Q: We are from the UK and our broker found a buyer for a property. The MOU was agreed and had an expected transfer date and expiry date. The MOU stated that the buyer will prepare for NOC and the take transfer of the property during the period we are in Dubai.We arrived in Dubai during the agreed dates. The buyer did not prepare the NOC in advance but only after we arrived leaving insufficient time for the NOC to be completed. The buyer did give us a small cash advance on the sale which we still hold. On the day of the transfer, the buyer claimed they had an emergency and were not available to complete the process. We had to return to the UK.However, the buyer and broker are now expecting us to return to Dubai to complete the process. However, due to health restrictions we can not do this easily.Are we as sellers obliged to return and complete the transfer? Has the MOU effectively expired? Are we entitled to the buyer's deposit? Can the MOU be terminated?Thank You.

Q: Hello, I had recently signed a sale contract of my property through a broker in Dubai. The broker was supposed to have the deposit 10% cheques. When I had asked for a copy of the deposit cheques, I realized it was from a third party. Doing a background check of the third party company, I discovered that the third-party company had an expired trade license (they provided valid dates on trade license, meaning government trade license document was forged) and now the sales agreement dates are coming to an end; I don't have managers cheques nor valid deposit cheques. The only documents I have are deposit cheques from a third party, letter of assurance from the third party company (with forged copy-pasted signature and no stamp, forged trade license of the third-party company). What can I do?

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: I am a broker. The seller is threatening me. The buyer put an offer for a property. The buyer sent a cheque copy with the name of the seller, the seller asked to change it to his name since there were joint buyers, which I have sent to the seller, we didn’t sign any MOU. I never received any personal cheque copy from the buyer to date and when I informed the seller that they were not responding back to me, the seller threatened me and harassed me with  pre-suing legally against me. He is demanding 285k AED (which was 10% of the villa price) he wants the buyer / my company / me to pay that ASAP. What should I do? Can you suggest, please?

Q: Dear Sir/Madam, I'm purchasing a property in Dubai. I have signed the Form A and F and provided a photo of the cheque deposit. The seller has been slow in settling his outstanding payments with the developer. The Memorandum of Understanding (MoU) expires tomorrow, but the seller has informed me that he will receive the No Objection Certificate (NOC) from the developer tomorrow and has requested an extension to the contract. I haven't agreed to the extension yet. I've found another property that I prefer and would like to withdraw from this deal. Can I reject the MoU extension and exit this agreement?

Q: Dear Sir/Madam, I have a question related to a real estate transaction in Dubai. One of my clients signed an MOU but couldn't complete the deal on time, and the MOU has now expired. The owner wants to claim the deposit, but unfortunately, I did not collect the deposit cheque from the buyer; he only sent me a picture of the cheque at the time of completing the MOU. So, my question is, what consequences might I face for not collecting the cheque from the buyer if the seller takes legal action to collect his 10% deposit? What are the potential consequences I will have to deal with? Thank you in advance!

Q: Hello, I'm about to buy a property in Dubai on the secondary market and have some questions. The agent sent me a link to the Real Estate Brokerage Contract with the following note: A 10% deposit cheque will be given to our agency under the seller's name for the XX apartment. It is non-transferable without consent from both parties and will be returned only by judicial order in case of a dispute. Is it legal to hand over a physical deposit cheque to the agent under the owner’s name before signing Form F, with the mentioned note? If I give this cheque before signing Form F, will I get it back if I change my mind? My rights are not protected here if the owner changes his mind before signing Form F. I tried to verify the title deed ownership on the DLD site, but it shows "Records not found." The agent said this happens sometimes because the owner didn't update their details two years ago when they bought the property, and everything will be validated at the trustee office. Is this correct, or should I insist on updating the details to see validation on the DLD site?

An interview-format article covering the topic of contracts in the UAE. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.

This Bylaw regulates the Real Estate Brokers Register in the Emirate of Dubai. No person may engage in real estate brokerage activities in Dubai unless he is licensed by the competent entities and entered in the register, which is maintained by Dubai Land Department.

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.