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Title Registration Law

By-Law No (85) of 2006 regarding the Regulation of Real Estate Brokers Register in the Emirate of Dubai (the Brokers Law ) was issued by the Chairman of the Dubai Land Department on 30th May 2006 and came into force immediately. The By-Law was issued pursuant to Article (6) paragraph 6 and Article (28) of Law No (7) of 2006 concerning Real Property Registration in the Emirate of Dubai (the Dubai Property Law ).

(Article (6) paragraph 6 of the Dubai Property Law tasked the Land Department to lay down the rules in connection with regulating and maintaining a register for real estate brokers ; Article 28 of the Dubai Property Law gave the Chairman of the Land Department the power to issue the required regulations, orders and instructions for the enforcement of the provisions of the Dubai Property Law.)

Essential Features

The essential features of the Law may be summarised as follows:-

  • The Brokers Law is applicable to all real estate brokers who deal in the sale and purchase of property that is registered at the Dubai Land

Department ( regulated brokers ).

  • In addition to the requirement to obtain and maintain a trade license from

the Dubai Department of Economic Development, a regulated broker is required to apply for registration in the Brokers Register maintained by the Dubai Land Department.

  • The requirement to obtain registration in the Brokers Register applies to

the company itself and to those individuals within the company who wish to have authority to attend the Land Department to transact business. The current registration fee is AED 5,000 per annum for companies and AED 500 per annum for individuals. These fees are currently under review and are subject to change.

  • Existing Brokers have a period of six (6) months from 30th May 2006 to

obtain registration in the Brokers Register.

  • Certain criteria must be met as a condition of a Broker s registration in the

Register, including the production of a certificate from an accredited training course provider and the passing of a professional test administered by the Land Department.

  • All registered Brokers are required to comply with a Code of Ethics

published by the Land Department.

  • A Broker must be appointed by his client in writing and the contract must

be registered at the Land Department as a precondition to the Broker being eligible to be paid his fee. This measure is designed to prevent several Brokers claiming a commission from a single transaction.

  • Breach of the Brokers Law or the Code of Ethics may result in a warning,

notice, suspension from work for a period of up to six (6) months, blacklisting or cancellation of the Broker s registration.

  • A new Council is established at the Land Department to hear disputes

related to Brokerage. This is not a mandatory form of dispute resolution and both parties must agree for their dispute to be referred to the Council. The Council will act as a conciliator, not an arbitrator, and neither party is bound to accept its findings and recommendations. However, if the referral to the Council results in a mutually agreed settlement of the dispute, such settlement is enforceable through the Courts.

There follows an unofficial translation of the Brokers Law, together with the Code of Ethics issued pursuant to it:

By-Law No. (85) of 2006
Regarding the Regulation of Real Estate Brokers Register in the Emirate of Dubai Chairman of the Lands & Property Department

After perusal of Law No. (7) of 2006 Regarding Real Estate Registration in the Emirate of Dubai, and pursuant to Articles (6) paragraph (6), and (28) of the said law and according to the proposal by the Department s General Director, We issued the following By-Law: