Questions & Answers
Can I terminate a property purchase MOU and claim refund due to seller's breach?
I signed an MOU for purchasing a property from the seller. It has now been close to two months, with no progress.
The tenant at the seller's property is not allowing time for valuation purposes. And now the seller is saying it's not his problem and is not willing to pay the 10% agreed as per the MOU.
There's a specific clause in the MOU as below:
"In the event that the 'seller' fails to complete the transfer on the agreed date due to his own act or omissions, then the full deposit will be refunded to the buyer, and also the 'seller' agrees to pay the same deposit amount to the buyer as a compensation for the loss of the said property unless they agreed amicably to different terms or dates."
Dear questioner,
You can open a case against the seller in order to claim your money.
Kindly contact us directly on the phone or by email for a detailed discussion.
Dear Questioner,
We can certainly assist you with your query, we can file a civil case to recover your money.
We need more details to provide you with appropriate legal advice.
You can contact us on the phone to discuss this in detail.
Regards.
Hi,
We would like to review the documents in order to advise on the termination of the MOU and payment of the penalty.
Sayed
We are a law office working in the UAE since 2008. The clause you mentioned is a standard term in real estate transaction contracts.
However, it looks like the seller is not performing his legal obligation and you may have the recourse to file a complaint before the regulatory authority if he is not going to agree amicably.
We may only advise you precisely after having a look at the MOU that you already signed with the seller.
You may contact us for further assistance.
Shakeel A. Mian
Sr. Legal advisor
