The Dubai Rental Disputes Centre has issued a ruling ending confusion over when property buyers must start paying service fees:

Key Decision:

• Buyers listed in the preliminary register must pay service fees from project completion date, even before formal handover or final ownership transfer

• Applies even when developers withhold delivery due to outstanding payments

Background:

• Law No. 6 of 2019 governs jointly owned properties but left gaps regarding payment responsibility for sold-but-undelivered units

• Disputes arose when buyers purchased by installments, properties were complete but not yet registered in buyer's name

Impact:

• Eliminates legal ambiguity between developers and buyers

• Ensures uninterrupted maintenance and operation of shared facilities

• Protects compliant owners and prevents service disruptions

• Strengthens Dubai's real estate regulatory framework

Judge Abdulqader Mousa Mohammed stated the ruling addresses the legislative gap by interpreting the law's intent to secure stability in jointly owned properties and guarantee essential services.

The Centre also closed 49,817 joint ownership execution files in 2024 and launched a self-execution service for more efficient service fee claims.