Where the matter concerns the purchase of off-plan property in Dubai, such relations are governed by special legislation, primarily Dubai Law No. 13 of 2008 (as amended), as well as Dubai Law No. 8 of 2007 on escrow accounts. These laws establish the mandatory registration of the project and all sale contracts in the Interim Real Estate Register (Oqood), and provide a mechanism for protecting purchasers’ funds through a separate project escrow account.
The first step is to verify the legal status of the project. It is necessary to ensure that the project is registered with the Dubai Land Department (DLD), that the sale and purchase agreement (SPA) is registered in Oqood, and that an active escrow account has been opened for the project. Funds paid by purchasers must be deposited exclusively into that account and used solely for the construction of the specific project. If payments were made outside the escrow account, this s...