Friday, Apr 13, 2012

Gulf News

Abu Dhabi A court has ordered a real estate company to pay Dh100,000 as compensation to a property buyer for failing to deliver a residential unit on time. The court also imposed a fine of Dh3,000 for every week of delay following its verdict on February 28, this year.

Abdullah Makhashen, an Emirati, signed the agreement to buy a residential unit in the Reef Villas in Abu Dhabi on August 31, 2009. The real estate company was supposed to deliver the villa in December 2010 but failed to do so.

Makhashen claimed that despite several attempts to work out a delivery date, the company failed to commit or explain the reasons for the delay. Finally, Makhashen went to court.

Technicality

The law firm representing him claimed that due to a technicality in ownership, the case was rejected when it was first filed in court. According to the firm, the court wanted to deal with the owner of the property, which was recorded as a financial institution — not the plaintiff.

“We filed a report before the Abu Dhabi Court of First Instance but unfortunately the judge refused to accept the case. The court informed us that Makhashen doesn’t have a claim to the property directly because it was financed by a bank,” Shakeel, a representative of the office of Ebrahim Khouri Advocates, said.

So, Makhashan filed a case at the Court of Appeal on January 25, this year. This time, the judge ruled in his favour ordering the real estate company to hand over the disputed property to him along with compensation.

By Iman Sherif ?Staff Reporter

Gulf News 2012. All rights reserved.