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The buyer is unable to handover the salon after paying a down payment, what to do?

Thank you in advance for this platform which helps others. My wife paid a business owner a down payment of 45,000 AED for a salon that they are selling. This was in December.

The owners signed an agreement that they will hand over the documentation and tenancy contract to us. They gave us the key to the unit as well since the salon is closed.

Due to an issue with their property management, the handover was delayed and they missed out on several deadlines that we have an agreement on in writing.

They gave a security cheque of 45,000 AED as a guarantee with a promise in writing that if they don't hand over the business, we can encash the cheque.

It has been 3 months since they committed to hand over the business, They are not answering calls and are not cooperating. We want to deposit the cheque. If it's bounced, we will bring it to the attention of the police.

May we request your advice on this situation!

Aceptive Legal Consultants
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17 May 2021, 07:13

Dear questioner,

As it is mentioned in the agreement that in the case of no handover, you can deposit the cheque, therefor you can deposit the same in the bank for clearance.

Further, we need to review the agreement in order to assist you properly.

Kindly contact us directly for a detailed discussion!

If need be, kindly contact us via phone for a detailed discussion or write us an email for further assistance.

Elnaggar & Partners
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17 May 2021, 07:33

Indeed your case allows you to withdraw the cheque "unless there is a term which allows the landlord to delay the anticipated date for some time".

Therefore, we need to check the contract first, also the agreements you had in this regard to know whether it allows withdrawing the cheque and you did so, or if there are insufficient funds, you will receive a reply from the bank on the same, then you can file a police report immediately.

Better to refer the whole matter to a law firm, would be more than happy to handle this on behalf of you.

Kindly contact me for more information!

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Colin Biggers & Paisley Lawyers (Middle East)
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17 May 2021, 07:33

Dear questioner,

You can certainly deposit the cheque and register a criminal complaint based on it.

Further, we can initiate a civil proceeding for them to fulfill their part of the contract.

We would however need to review all the documents and understand the matter to give you appropriate legal advice.

You can call us to discuss this matter in detail.

Regards,

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Mohammed Bani Hashem Advocates & Legal Consultants
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17 May 2021, 07:36

Dear questioner,

Pursuant to the query, you can deposit the cheque and if the cheque bounced, you can file a criminal case for the bounced cheque and a civil case for recovery of money.

Also if you need, we can help you to send a legal notice to fulfill their obligation.

Further, we need to see your agreement know your matter in detail to give you proper advice.

Kindly contact us via phone.

Thank You!

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