According to the recently enacted law, if a piece of a property is expropriated, but the remaining portion is insufficient to be used in accordance with Dubai’s construction laws and regulations, the owner must be compensated in full if they do not intend to keep and add to the neighboring land.
The law was introduced by Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President and Prime Minister, with the goal of protecting the rights of persons who possess expropriated properties. It also guarantees that expropriated property owners receive full and fair compensation. When it is published in the official gazette, it will be implemented throughout the Emirate.
The resolution dated January 1, 1964, and its articles will no longer control expropriated properties for public use after the introduction and execution of this new law. Other legislation that is in conflict with the new law is likewise repealed.
Free zones and special development zones, including DIFC, are likewise covered by the statute. It oversees and regulates the conditions under which these zones’ facilities and buildings are expropriated. These rules apply to buildings that are in the process of being built as well as those that have already been completed. The law also specifies the terms and conditions under which compensation is provided to the property owners.
Compensation should be granted as per the previously set terms for properties that were expropriated prior to the issuance of these revised laws. It should be completed within a year of the new legislation’s implementation date. The chairman of the Dubai Ruler’s Court, however, has the authority to extend the deadline by six months.
The statute specifies all of the procedures and computations for determining compensation value. The law also outlines the procedure for filing an appeal against expropriation.