Questions & Answers
Questions & Answers
4 available 4 • View allIs the property seller liable to pay penalty for not fulfilling the obligations of MoU?

4
Q: Hello,
We have signed an MOU in Dubai to purchase a property. The property is under 3 names (Mother, and her two sons, both minors).
The MOU has been signed by the mother 3 times (as co-owner, and then as a legal guardian of her two kids).
She then went to court to ask the judge for authorization to proceed with the sale for her kids. Should this have been done prior to signing the MOU?
The case has been rejected by the judge since there was no specific clause/condition in the MOU for obtaining approval from the judge.
Is the seller, at least the mother, liable for the penalty of not being able to complete the transfer due to her own actions as stipulated in the MOU (10%)?
Thanks a lot.


Oct 17, 2022
794
Assistance with understanding the MOU rights and obligations
1
Q: Could you kindly advise if it is correct to put in an MOU that I, as the seller will be penalized an amount equivalent to the deposit for not transferring on the expected date?
The MOU states that I would need to pay this to the buyer- also it states that the deposit cheque is refundable on the date of transfer- what does this mean?
Thanks

Aug 20, 2018
1663
Can I terminate a property purchase MOU and claim refund due to seller's breach?



3
Q: 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."




May 4, 2021
3508
How to protect my deposit if financing falls through?




1
Q: Dear Lawyers,
I have verbally agreed on the sale price of a property I wish to buy.
What happens if I sign the MoU, deposit my 10% security, and the finance falls through, or the bank undervalues the property, meaning I’d need a larger deposit?
Can I get it written into the MoU that for such reasons I will not be liable to lose my deposit or cover agents' fees, and would this be legally binding?





+1
Jul 7, 2024
148
Laws & Regulations
1 available 1 • View allFederal Law No. (5) of 1985 On the Civil Transactions Law of the United Arab Emirates 96
The provisions of this law, promulgating UAE Civil Code, govern the civil transactions in the United Arab Emirates. The commercial transactions remain subject to the laws and regulations applicable in their regard.
Dec 15, 1985
148362

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