Real Estate Disputes

Real estate in the UAE is regulated largely at emirate level. In Dubai, off-plan sales, escrow accounts and registration are governed by specific local laws administered by the Dubai Land Department; Ajman has its own regulator and rules.

Registration matters. In Dubai, off-plan sales must be recorded in the interim real property register. Whether a sale was properly registered can affect its enforceability and the remedies available.

Escrow protection. Buyer payments for off-plan units in Dubai must be deposited in a project escrow account and used for that project. Where a project is cancelled, refund arrangements follow the escrow framework.

When the buyer defaults. If a buyer fails to pay, the developer must follow a procedure through the Dubai Land Department before terminating, and the amount it may retain depends on how far the project has progressed.

When the developer delays. Delayed handover, changes to specifications and failure to complete can give the buyer grounds for termination, refund or compensation, depending on the contract and the evidence of delay.

Keep the sale and purchase agreement, the payment receipts, the registration certificate and all correspondence on handover dates. These documents determine which remedies are realistic.

Legal framework
Dubai Law No. 7 of 2006 concerning Real Property Registration
Dubai Law No. 8 of 2007 concerning Escrow Accounts for Real Estate Development
Dubai Law No. 13 of 2008 regulating the Interim Real Property Register, as amended (including Law No. 19 of 2017)
Ajman: Ajman Real Estate Regulatory Agency framework and Ajman Law No. 1 of 2025 on real estate contributions
Federal Decree-Law No. 25 of 2025 (Civil Transactions Law): sale and contractual liability

The rules differ between Dubai, Ajman and the other emirates, and between off-plan and completed property. Retention percentages and procedures should be confirmed against the current text for the specific project.