Seeking compensation or cancellation for delay in property delivery

Hi Dear,

You have two solutions:

The first solution - you can make a compensation claim for delay in the handover of the property. The delay is a breach of the contract from the side of the developer and real estate company.

But one of these conditions of this case is, the handover of the property should have been done effectively. You can not be in this case before the actual handover of the property.

The second solution - is that according to the civil law, you can file a case to terminate the contract from the court and the recovery of all the payments that you paid, in addition to the legal interests on that amount until the completion of payment. These interests are estimated at a maximum of 12% of the amount of the judgment.

Regards

Mohamed Gadalla

00971509533170

My dear

We like to know what is the reason for the delay of the developer and if you still pay on a regular basis or if there's a delay in payments and whether the project will be completed or is among cancelled projects.

In general, the UAE Civil Law preserves your full rights in claiming compensation for delay in case you are waiting to receive the real estate unit.

In case of your desire not to continue to execute the contract, you can file a claim to cancel it and return the contractors in the situation they were before the contract and recover all your amounts again, in addition to the legal benefit of the value of 9% of the date of claim and even the full payment of the amount.

But this is generally. So that in order to give you the full advice, we must consult the contracts signed with you and give the legal opinion.

For other information, we are happy to communicate with you:

Phone: - 00971564081251

Whatsapp: - 00971564081251

Dear Questioner,

I understand your situation. I would like the reason behind the project delay to advise you accurately on refund and compensation. If the reason given for the delay is within the force majeure definition (beyond developer's control), then it is likely that you will not be able to terminate or claim any compensation for the delay.

If the developer fails to perform his obligation as per the agreed terms of the contract or Art 246 (1) of UAE Civil Code then the purchaser has two options:

• to terminate the agreement;
• to claim compensation for such delay.

You may seek legal remedy at Dubai Courts. The court will definitely look into the contract and if the developer found to be at fault, the court will terminate the contract and order the developer to repay the full amount paid by the purchaser.

I cannot comment further in this matter without verifying the SPA and clauses mentioned on delays. Please feel free to contact me if you need any further information, guidance or assistance in this matter. Thank You.

Regards,

Rajasree Ravivarma

0585013663/0544461746