Dubai Court of Cassation Upholds Ruling Against Property Owner in Dh295 Million Building Sale Dispute

The Dubai Court of Cassation has rejected a property owner’s appeal seeking to terminate the sales contract of a 19-storey building in Al Mamzar valued at Dh295 million.

 

Case documents revealed that the seller breached his contractual obligations by failing to release the mortgage on the property, which blocked the transfer of ownership to the buyer.

 

The dispute traces back to 2024, when both parties signed a sales agreement. Under the terms, the seller was required to clear the mortgage within 30 days, while the buyer was to issue a cheque for the full amount once ownership was registered.

 

However, the creditor bank demanded settlement of a combined debt of Dh435 million, which included Dh295 million tied to the disputed property and Dh140 million linked to another property owned by the seller.

 

Following a review of the case and a real estate expert’s report, the Court of First Instance dismissed the seller’s attempt to void the contract, noting that the property remained mortgaged. The Appellate Court upheld this ruling in June 2025, confirming the seller’s failure to meet his obligations.

 

The seller escalated the matter to the Court of Cassation, arguing that the buyer had breached the deal by refusing to issue the cheque, thereby preventing him from settling the bank debt and releasing the mortgage. He also submitted WhatsApp messages, claiming they showed the buyer’s commitment to pay within a week of signing.

 

The court dismissed these claims, affirmed the earlier judgments, and closed the case.

 

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