Questions & Answers
Questions & Answers
3 available 3 • View allAction against the developer for violating the rules of escrow account



2
Q: Hi,
What action do I take if a developer has accepted cheques from me (towards my 30% off-plan payment plan) that were made payable to the company (and not payable to the specific escrow account for the developer's project I am buying from)?
Is this illegal and voids my SPA contract with the developer?
Thanks for your advice.




Apr 20, 2020
1698
Can I terminate property purchase and recover payments and cheques for breach?
1
Q: Dear Sirs,
I signed a contract with a developer in the UAE to purchase a property off-plan, with expected completion in late 2024. Construction on the property has not started yet.
I have also provided them with cheques for the downpayment as well as the installments. However, due to unforeseen circumstances, I informed them that I will not be able to go ahead with any of the payments.
So far, I had only paid an initial "show of interest" fee of AED 10.000 by credit card. I have asked for the contract to be canceled, and for the cheques to be returned.
They have refused to do so and stated that as a penalty for defaulting, I will have to pay 10% of the total amount. The first cheque for the down payment is due in one week and it will be returned by the bank due to insufficient funds.
Kindly advise on my options.

Nov 21, 2022
207
How can I claim the money I paid for an off-plan property due to overdelay in delivery?


2
Q: Greetings to all on this helpful forum and many thanks for previous replies.
We have a pertinent question about an execution judgment against a developer in Ajman. The flat was bought in 2006 on plan. By the delivery date Dec. 2008, there were hardly 3 concrete floors.
We had paid by that time AED 155,000. We stopped paying the PDC cheques and opened a civil case. We won a judgment for execution in 2018 for payment of the whole amount plus interest plus expenses.
So far no payment and they seem to be open for business.
Does anyone here on this forum know why that is and how long this can go?
What would be the reason for this delay and are there any assurances that the amount will be paid?
Would a court order for payment remain not executed indefinitely and why?
An answer to my email address would suffice for confidentiality.
Thank you



Jun 13, 2024
79
Legal blog
2 available 2 • View allProcedures of Litigation and Execution in the UAE 42
Many people opt to go for litigation without hiring a legal professional, mainly because they can't afford it. This article provides a brief summary of the steps and procedures of litigation. As the process itself can be confusing to many, even after getting a favorable judgment, we present some tips to help them execute judgments issued by the court and get their rights if an amicable solution has not been reached.
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Contracts 101: Official Agreements to WhatsApp Messages 2
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.
Mar 3, 2021
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Laws & Regulations
3 available 3 • View allFederal Law No. (10) of 1992 On Evidence in Civil and Commercial Transactions 14
The provisions of this law On Evidence in Civil and Commercial Transactions (Law of Evidence) govern evidence in civil and commercial disputes in the UAE.
Jan 15, 1992
19085
Federal 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
148341
Law No. (8) of 2007 Concerning Escrow Accounts for Real Estate Development in the Emirate of Dubai 7
This Law applies to developers who sell units off-plan in real estate development projects in the Emirate of Dubai and who should receive payments from purchasers or financiers towards such real property units to the special escrow accounts.
May 6, 2007
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