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Off-Plan Property Delays in UAE: What Are the Legal Rights of a Buyer?
However, delays in the completion of off-plan properties can lead to significant challenges for buyers. Understanding your legal rights as a buyer in such situations is important. Dubai Law No. 13/2008, along with its amendments, provides a comprehensive framework that protects buyers' interests and outlines the obligations of developers.
Key Provisions of Dubai Law No. 13/2008
Dubai Law No. 13/2008, concerning the Interim Real Estate Register, is essential in regulating off-plan property transactions. Here are some essential aspects of the law that buyers should be aware of:
- Interim Real Estate Register (Article 3): The law requires all off-plan property sales to be registered in the Interim Real Estate Register. This registration legally recognises the buyer's interest in the property and prevents the developer from selling the same property to someone else.
- Developer Responsibilities (Article 4): Developers must follow strict rules, including delivering the property on time and ensuring it meets the promised quality and specifications in the sales contract.
- Buyer Rights in Case of Delays (Article 11): If the developer does not deliver the property on time, buyers have several options:
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- Compensation for Delays: Buyers may receive financial compensation for the delay and any resulting inconvenience or losses.
- Cancel the Contract: In cases of significant delays, buyers can cancel the contract and get a full refund, including deposits and instalment payments.
- Complete the Project: Buyers can ask the court to force the developer to finish and deliver the property according to the sale and purchase contract terms.
- Maintenance and Service Fees (Article 13)
- Resolving Disputes (Article 14)
- Keep Records: Save all communications with the developer, including emails, letters, and meeting notes. These records can support your claims.
- Contact RERA and DLD: Report the delay to RERA and the Dubai Land Department. These agencies can offer guidance, mediate disputes, and take action against the developer if needed.
- Get Legal Advice: Talk to a lawyer who specializes in UAE real estate law. They can help you understand your rights, explore your options, and take legal action if necessary.
- Negotiate: Sometimes, negotiating directly with the developer can lead to solutions like compensation, new delivery schedules, or other remedies.