In UAE real estate disputes, courts do not have the power to force property transactions to proceed (specific performance), meaning they will never compel a seller to sell or a buyer to purchase property, even if the contract explicitly states such obligations; instead, courts only award monetary damages as compensation for breach of contract.
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Lawgical #314 - Forcing completion of property purchasesAdded:
Uh so another nuance about the UAE uh the UAE juristprudence or is um uh there's no kind of injunctive relief if you will in other words the court will never force the party to sell the property if if the seller changes their mind and equally so they will not force the party to buy right so let's say I'm the I'm the buyer and you're the seller and so I now back away but in the contract it says that you know I have no right to back away I have to buy the property well the courts don't in the UEE don't have that kind of power for good reasons I guess for logical reasons to force me to buy. So that's also important to understand is that that will never be a remedy. So any of the the sellers that may think though well we've got it in the contract that in the event the buyer backs away I will force them to buy anyway. They will have to buy the court will order them. No that's just the courts don't have that power.
They don't exercise that power in the UAE. So therefore they'll never [clears throat] force the buyer to buy and therefore we go back to okay so what are the damages? So they will only award damages for my breach. Okay, I am the one that's I'm the buyer. I'm the one that's wrong because I, you know, I'm breaching the contract. So, but they will only look at what would be the appropriate compensation for me to pay to the seller for breaching the contract.
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