The Real Estate Settlement Agreement is a crucial document used in the United Arab Emirates when parties need to formalize the resolution of real estate transactions or disputes. It serves as a legally binding instrument that outlines the terms of settlement, including property transfer details, financial arrangements, and mutual obligations. This document is particularly important in the UAE real estate market, where property transactions are strictly regulated by both federal and emirate-specific laws. The agreement ensures compliance with UAE Civil Code (Federal Law No. 5 of 1985) and relevant real estate regulations, providing a clear framework for property settlements while protecting the interests of all parties involved. It's commonly used in situations involving property disputes, transaction completions, or when modifying existing real estate agreements.
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1. Parties: Detailed identification of all parties involved in the settlement, including full legal names, addresses, and any registration numbers
2. Background: Context of the settlement, including history of the property transaction, any disputes or issues leading to the settlement
3. Definitions: Key terms used throughout the agreement, including property-specific terminology and legal concepts
4. Settlement Terms: Core terms of the settlement including financial arrangements, mutual releases, and obligations
5. Property Details: Comprehensive description of the property including location, size, and registration details
6. Payment Terms: Details of all financial settlements, payment schedules, and payment methods
7. Property Handover: Process and timeline for transferring possession of the property
8. Registration and Transfer: Requirements and procedures for legal registration of the property transfer
9. Representations and Warranties: Statements of fact and assurances from all parties regarding the property and settlement
10. Governing Law and Jurisdiction: Specification of UAE law application and jurisdiction for disputes
11. Execution: Signing requirements and execution formalities as per UAE law
1. Dispute Resolution: Detailed procedures for resolving future disputes, including mediation and arbitration - include when there's history of disputes
2. Third Party Claims: Provisions dealing with potential third-party claims - include when there are known potential claims
3. Tenant Provisions: Terms relating to existing tenants - include when property is currently leased
4. Mortgage and Encumbrances: Provisions dealing with existing mortgages or liens - include when property is mortgaged
5. Condition of Property: Detailed provisions about property condition and any required repairs - include when property condition is disputed
6. Tax Implications: Provisions addressing tax consequences - include when significant tax implications exist
7. Confidentiality: Terms regarding confidentiality of settlement terms - include when parties require privacy
8. Insurance: Provisions regarding property insurance during transition - include when handover period is extended
1. Property Description Schedule: Detailed technical description of the property including plans and specifications
2. Payment Schedule: Detailed breakdown of payment terms, installments, and due dates
3. Title Documents: Copies of relevant title documents and registration certificates
4. Existing Encumbrances: List of all existing mortgages, liens, or other encumbrances
5. Handover Checklist: Detailed list of items to be checked during property handover
6. Property Condition Report: Current condition assessment of the property with photographs
7. Outstanding Obligations: List of any outstanding obligations or payments related to the property
8. Required Permits: Copies of all relevant permits and approvals
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