Refund ?

[johnb]

Hi,

A relative of mine purchased a couple of off plan flats in Ajman.
He is unable to continue making installments.
the contract says he can get 70% of money paid so far.
However, the developer said that this will only be given once they find new buyer. This particular condition is not mentioned in the contract
you can view sample contract here (its very short only 2 pages)
http://www.ajmanlandproperties.com/images/contract/contract2.pdf

he has only signed the payment plan and not the contract. Should he sign the contract or not ? The developer has sent it to him to sign.

some advice would be greatly appreciated

thanks
Ali

 

[Stephendxb]

Hi,

A relative of mine purchased a couple of off plan flats in Ajman.
He is unable to continue making installments.
the contract says he can get 70% of money paid so far.
However, the developer said that this will only be given once they find new buyer. This particular condition is not mentioned in the contract
you can view sample contract here (its very short only 2 pages)
http://www.ajmanlandproperties.com/images/contract/contract2.pdf

he has only signed the payment plan and not the contract. Should he sign the contract or not ? The developer has sent it to him to sign.

some advice would be greatly appreciated

thanks
Ali

If your friend is willing to forfeit what he has paid then get the developer to add the clause into the contract before you sign. It should state that he will receive the 70% back upon signing the contract or within xx number of days.

If you wait for it to be sold you could be waiting a long time and this would be coupled to the fact that the developer will not be in a hurry to refund and monies due..

Good luck

 

[Ronny19]

In general I am not sure somebody will buy any units in Ajman district. The confidence is 0 and all happening now will stay in memories of everybody for longtime. Incredible situation where 1000s of investors have paid milions of usd for nothing and can not be refunded any money, even 50%. The developer in your case is dishonest,like the majority of them there.

 

[johnb]

If your friend is willing to forfeit what he has paid then get the developer to add the clause into the contract before you sign. It should state that he will receive the 70% back upon signing the contract or within xx number of days.

If you wait for it to be sold you could be waiting a long time and this would be coupled to the fact that the developer will not be in a hurry to refund and monies due..

Good luck

There is no clause in the contract. The developer has said it from themselves. My point being, can they withhold the money when the condition is not mentioned in the contract.

The contract states that 70% should be returned (see url link). It makes no mention of any other conditions (such as finding a new buyer). So if he signs the contract can he then make a claim with ARERA ?

Also by signing it can the buyer be liable for anything else ? Considering they are going to default anyway.

 

[Ronny19]

Has your developer got the escrow account? If not, ARRA would not help you, and you will need to go to the court I suppose. If yes, perhaps you can ask to ARRA, because I think in that case ARRA got your money from the developer