If The Property Is Not Registered, The Buyer May Terminate The Purchase Agreement.
I paid 40% of the property’s cost to buy a property from a developer over a year ago. However, it later emerged that the developer had not registered the property in my name with the Real Estate Regulatory Department. When I asked the developer to register the property in my name. He responded that after the project completion. The property may register in the names of all buyers. Following his agreement with the Real Estate Regulatory Department. Is this accurate? Is it legal for me to withdraw from the purchase agreement? Because the Initial registration of off-plan property is not in my name as per Dubai real estate law. Can I get my money back from the developer?
When an off-the-plan property sale, the developer requires by law to register it in the buyer’s name in the original property register. According to Article (3) of Law No. (13) Of 2008 Regulating Initial Property Registration in Dubai, this initial registration is required. All acts on off-plan property units must come in record in the original property register, according to the clause. Sales and other legal actions that transfer or limit ownership. As well as any rights based on them, are void unless they are registered.
If the buyer had complied with the requirement of price payment as per Article 8 of the same statute. The initial registration would have become the final registration upon completion of the project. Upon acquiring the completion certificate from the relevant authorities, the developer must register completed projects. Including the sold units in the names of the purchasers who have complied with their contractual duties.
In the absence of initial registration, the buyer has the right to terminate the purchase agreement and demand. That the developer restores the money if he violated the requirements imposed on him by Article 3 of the same law on bilateral transactions. According to Article 272 of the UAE Civil Transactions Law, if one party breaches a contract, the other party may demand that the contract continue or revoke after giving the debtor a legal notification.