Questions & Answers
Right of the seller to claim the deposit from the buyer for breaching the MOU
Hello,
I have signed an MOU where the buyer failed to complete the transaction as per the date of transfer plus the extension. Thus, the MOU expired. I have requested from the agency the 10% deposit cheque signed by the buyer.
They refused to give it to me and requested an extension without any penalties or price increase despite the market appreciation by 10%. What can I do to get the cheque legally from them?
I am already in a big issue because I already bought a bigger unit having in mind that my unit is sold. They are asking for an MOU extension but the prices went up and I request the fair price as per the market and they are refusing to pay the increase.
Appreciate it if somebody can provide me with feedback on these two points:
1- Can the agency hold the cheque and not give it to me? Aren't they violating the law here?
2- What can be done in this case and what would the next steps be?
Thanks in advance,
Regards,
Dear Questioner,
We need to review the terms of the MOU form in order to assist you properly.
In response to inquiries:-
1- The agency has no right to refuse to give the cheque if the buyer does not comply with the terms of the memorandum of understanding.
2- You need to send a legal notice to the buyer and The agency for the violation of the terms of the MOU, non-compliance with it, and compensation.
Kindly send us a copy of the MOU by email, so that we can review the same and advise you properly.
Thanks
Mostafa ALSaeed
We have questions about this in order to advise you correctly.
We need to review the terms of the MOU form in order to assist you properly.
- What are the terms in the MOU signed and agreed by both parties?
- We need your POA to start the proceedings on this violation of the terms of the MOU if there's non-compliance with it then a case can be made and you shall be compensated.
Kindly send us a copy of the MOU by email.
Dear questioner,
The agency or the broker has no right to hold your cheque.
You need to send a proper legal notice to the buyer mentioning the specific default and claiming the compensation for the same.
Kindly contact us directly on the phone or by email for a detailed discussion.
As per your query, the deposit must be returned, as the transaction did not complete. Yes, it violated the law. However, we have to check the terms of the MOU and the cause of action.
The next step is to take legal proceedings for the recovery of the money.
Please call or e-mail us.
Disclaimer- The above-referred view is not a legal opinion, these opinions cannot be challenged or presented before any court of Law.
