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

Q: Is the Memorandum of Understanding (MoU) signed between the parties before the deal is enforceable/ recognised by the court if either party does not fulfil his/her obligation as agreed in the MoU?

Q: Hi, I had signed an MOU to buy an apartment. I had the following clause in the MOU: "This sale purchase contract is subject to the final approval from the Buyers Banks" My mortgage has been rejected by one bank. While I was processing my mortgage with another bank the MOU expired and the seller is not willing to extend the MOU. Can I claim my deposit check back from the agent? Thanks, Dinesh

Q: Dears, I was trying to buy a house in Dubai using a mortgage loan. I signed an MOU with the seller. Unfortunately, the mortgage defaulted and I didn't get the expected loan amount. I requested for MOU cancellation, but the seller rejected and sent me a Notarial Notice to start legal action against me and to encash the cheque. What should I do? Should I hire a lawyer and prepare for legal defense? Thank you in advance dears.

Q: Hi, My form F on a property purchase stipulates that "if the buyer is unable to obtain a finance loan within 10 days of the contract, deposit cheque must be returned." In this instance, the seller delayed initial valuation viewings (so now past 10 days) and now valuation has come in less than the asking price, effecting my ability to borrow the necessary amount. Are there any local/federal laws in the Emirate of Dubai that also provide any overriding defence? Thanks

Q: Hi, What if the buyer backs out in the purchase of a property after the internal MOU drafted by the seller was signed? There was a clause stating the security deposit will be returned upon full payment. Form F from the DLD was not yet signed. In this case, can we still get the 10% security deposit or not?

Q: What is the interpretation of this clause in Form F of the sale agreement of property? "If applicable, if after applying for the loan the Buyer is unable to obtain such loan within a period not to exceed (14) days from the date of execution of the Contract, this Sales Contract shall be void, and the full amount of the Deposit Cheque shall be refunded to Buyer."

Q: Hi, I have a situation where I signed an MoU and gave my security deposit to the seller's agent. However later, the bank valuation of the property is lower than the selling price. On my MoU, it has a clause that “the buyer has a right to cancel/negotiate if the bank valuation is not the same as MoU.” I tried to negotiate, however, we didn't agree on the price so I asked to cancel. Now the agent is threatening me that they will not cancel the MoU and that will deposit my cheque. Later I also came to know that the person I am dealing with is not the same person whose name is mentioned as a broker in the MoU. The agent I am dealing with is constantly messaging me with threats. I decided not to speak to him and instead, I wrote an email to the broker whose name is mentioned on the MoU but received no response. I am on a very tight timeline as I need to vacate my apartment in 3 weeks, I found another unit but I don't know if I can pursue this while the initial MoU still not canceled. Please, I need advice.