Questions & Answers
Questions & Answers
6 available 6 • View allThe seller decides not to sell the property after signing the MOU. What to do?

3
Q: Dear sir/madam,
I signed an MOU to purchase a property. The MOU was signed by the POA holder of the seller on hard paper. We have been following up with the seller agent and he was keeping us up to date for nearly a month that the NOC is in progress.
Last week when the MOU period expired, the agent informed us that the POA issuer has decided not to sell as he has another offer. I asked the agent about the MOU and the agent said MOU has no value as it is on paper and not in the Dubai Rest application.
Questions:
Can I enforce a paper-based MOU (Form F)? Or due to new rules, it is no longer valid and we made a mistake?
The MOU was for one month and it is about six weeks since we signed the MOU.
Appreciate any advice!


Oct 12, 2022
1399
Is 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
796
What can I do if the property selling agency denies MOU terms?



0
Q: I am the buyer of a property and I signed MOU with an agency.
One of the MOU clauses was “if the property valuation is less than the selling price, then the MOU is null and void”.
The valuation came less than selling price and the agency is refusing to give the cheque back.
What can I do?




Jul 18, 2021
688
Getting a deposit or compensation if the buyer backs out after signing the MOU




2
Q: Hello,
A buyer of my property has refused to proceed after signing the MOU. Form F indicates the penalty type as "NO."
Am I entitled to a deposit cheque or compensation?
I have already rejected other buyers and came to Dubai for the deal, but the buyer is not answering the phone.





+1
Dec 25, 2023
476
Form F says "No penalty". Can I still claim compensation if the buyer withdraws?




2
Q: Dear Sir/Madam,
I signed an MOU (Form F) with a property buyer, and in the form, it says penalty type "NO."
Does this mean I can't claim compensation or recover a security cheque if the buyer refuses to proceed with the purchase after signing the MOU?





Dec 26, 2023
317
The seller did not proceed with the transaction. Can the buyer claim the 10% fine?




1
Q: Dear Sir/Madam,
Form F was signed between the seller and the buyer; however, the seller did not proceed with the transaction, resulting in its failure.
The contract stipulates that if the seller breaches the deal without reason, they are obliged to pay a fine of 10%.
Can I, as the buyer, take legal action?





+3
May 28, 2024
438
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
148375

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