Obligations after signed MOU?

[Sevinc Oguz]

Hi all,
I just signed (as well the seller) on a MOU/ Form A for a property. The MOU has a time frame of 6 weeks. Is it possible that the seller can sell it to someone else during this time?

 

[realdeals]

This link seems to suggest than an MOU is not legally binding?

https://www.investopedia.com/terms/m/mou.asp

It will depend on the details of the MOU - maybe some have penalty clauses if the deal does not complete?

 

[Longterminvestor]

If the MOU is not legally binding then what is the point of going through with it and all of the solicitors fees, etc?

Surely it must depend on the small print of each MOU as to how legally binding it might be?

 

[Sevinc Oguz]

Exactly this what I was thinking too. If the MOU not a legally binding document what is the use of? The MOU is a ready contract downloaded from the dubai Land department. It has a clause that both parties have to oblige on the terms. However I was wondering in case seller sells the property to someone else- what would be the consequences.

 

[Bulldozer]

Im in a similar position, but as seller ... have asked for the original MoU / Form F from the broker once the Buyer has signed it, to show serious intent. I've read somewhere that a original physical MoU is preferred to an emailed scanned version, so that you can hold the buyer to account in court if he tries to back out... Any thoughts on this? Is it true? preferred or not preferred?