{
    "entity_type": "page",
    "name": "Laws and legislation: practice questions in the style of the DLD broker exam",
    "url": "https://continentalclub.ae/dld-broker-exam-practice/laws-and-legislation/",
    "language": "en",
    "description": "DLD Laws and Legislation exam revision: Oqood, escrow, service charges, tenancy notices, eviction rules and broker compliance in Dubai.",
    "published_at": "2026-10-27T21:37:59+00:00",
    "updated_at": "2026-10-27T21:37:59+00:00",
    "publisher": {
        "name": "Continental Club Property LLC",
        "orn": "31933",
        "url": "https://continentalclub.ae/"
    },
    "faq": [
        {
            "question": "Is an off-plan sale valid without Oqood registration?",
            "answer": "No. An off-plan sale or other disposition must be entered in the Interim Register; otherwise, it is void."
        },
        {
            "question": "How long does a landlord need to notify a tenant before eviction for unpaid rent?",
            "answer": "The tenant must receive notice and be given 30 days to pay. This differs from the 12-month notice for specified end-of-term eviction grounds."
        },
        {
            "question": "What is the developer warranty period for structural defects?",
            "answer": "Structural defects are covered for 10 years from the completion certificate. Mechanical, electrical, plumbing and sewage systems are covered for 1 year from handover."
        },
        {
            "question": "Can a property be sold if service charges are unpaid?",
            "answer": "No. A lien may be placed over the unit, and it cannot be sold or transferred until the outstanding service-charge debt is paid."
        },
        {
            "question": "Where are tenancy disputes heard in Dubai?",
            "answer": "Rent Disputes Centre has exclusive jurisdiction over landlord-tenant disputes in Dubai and its free zones, subject to the exceptions stated in the law."
        }
    ],
    "markdown": "https://continentalclub.ae/dld-broker-exam-practice/laws-and-legislation.md",
    "content_md": "This topic tests how well you apply Dubai real-estate rules to practical brokerage situations: off-plan registration, escrow protection, jointly owned property, tenancy, notices, eviction and dispute routes. It also checks whether you can distinguish statutory requirements from common assumptions that may sound plausible in a client conversation.\n\nFor a broker, these rules affect transaction checks, client guidance, contract handling and risk awareness. In our 30-question practice simulation, this topic usually accounts for about 4 questions based on our brokers’ experience; DLD does not publish an official topic-by-topic exam format.\n\n## Ownership, registration and off-plan sales\n\nDLD is the sole authority for registering real-estate rights. A transaction must be entered in the register to take effect; a transaction made outside the legal framework is void. The register and Title Deed have absolute evidential force.\n\n- Foreigners may own property only in designated areas.\n- Available rights include freehold, or usufruct / leasehold for no more than 99 years.\n- Off-plan sales and other dispositions must be entered in the Interim Register through Oqood. Without registration, the transaction is void.\n- For exam purposes, a developer should register an off-plan sale in DLD through Oqood within 60 days.\n- A developer may not begin or sell an off-plan project before obtaining the land and required approvals.\n- A developer may work only with a certified broker and must register the contract in DLD.\n\n## Escrow and purchaser default\n\nUnder Law 8/2007, purchasers’ payments must go into the escrow account of the relevant project. Each project has its own account, and project escrow funds cannot be seized for the developer’s creditors.\n\n- The escrow agent retains 5% of the total account amount after the completion certificate and releases it to the developer one year after units are registered to purchasers.\n- If a project is incomplete, the escrow agent, in coordination with DLD, may take steps to complete it or refund depositors.\n- When a purchaser defaults, DLD gives the purchaser 30 days and seeks reconciliation before further action.\n- At 80% completion or more, the developer may retain all amounts paid and either request a public auction of the unit to recover the balance or terminate and retain up to 40% of the unit price.\n- At 60% or more (but below 80%), termination may allow retention of up to 40% of the unit price.\n- Below 60% completion where work has started, termination may allow retention of up to 25%.\n- If work has not started for reasons beyond the developer’s control, or RERA cancels the project, 100% of payments are returned under the escrow rules (Article 11 as amended by Law No. 19 of 2020).\n\n## Jointly owned property and service charges\n\nLaw 6/2019 governs jointly owned property. Owners Association was replaced by Management Entity. Service charges fund common-area maintenance and are paid by owners according to area.\n\n- Annual service charge = area × rate. Where the question states that balcony area is charged at 25% of the rate: 1,500 sq ft × 15 + 200 × 15 × 25% = 23,250 AED.\n- The owner remains responsible for service charges even if the unit is leased and the tenant does not reimburse the owner.\n- Unpaid service charges can create a lien over the unit. The unit cannot be sold or transferred until the debt is paid.\n- Structural defects are covered for 10 years from the completion certificate.\n- Mechanical, electrical, plumbing and sewage systems are covered for 1 year from handover; if the owner refuses handover, the period runs from the completion certificate.\n\n## Tenancy, notices and disputes\n\nTenancy contracts and amendments are registered in Ejari. A contract should clearly identify the property, purpose, term, rent and payment method.\n\n- Either party seeking to change tenancy terms or rent at renewal must give at least 90 days’ notice before contract expiry.\n- For non-payment, eviction may be sought after 30 days following notice to pay.\n- For eviction at the end of a tenancy, the landlord must give 12 months’ notice through a notary public or registered mail for the statutory grounds, including personal use or sale.\n- A sale does not terminate a fixed-term tenancy agreement.\n- Subletting requires the landlord’s written consent.\n- RDC has exclusive jurisdiction over landlord-tenant disputes in Dubai and its free zones, subject to stated exceptions.\n\n## Sample questions with explanations\n\n*Questions are paraphrased in the style of the exam; they are not official DLD questions.*\n\n### 1. After a tenant has not paid rent, what notice period must a landlord give before seeking eviction?\n\n1. No prior notice is needed; eviction can happen immediately.\n2. A 30-day notice.\n3. A 12-month notice.\n4. A 90-day notice.\n\n**Show answer and explanation**\n\n**Answer: B) A 30-day notice.**. For non-payment, the landlord must first serve notice and allow 30 days. If the tenant does not cure the breach, the landlord may pursue the eviction route.\n\n### 2. According to the DLD e-service, what is the total fee shown for a real-estate investor’s 10-year Golden Visa?\n\n1. AED 5,774.50.\n2. AED 6,984.75.\n3. AED 9,884.75.\n4. AED 4,020.\n\n**Show answer and explanation**\n\n**Answer: C) AED 9,884.75.**. The listed total for the real-estate investor’s 10-year Golden Visa application is AED 9,884.75.\n\n### 3. Under Bylaw No. 85 of 2006, why must the brokerage agreement with a client be made in writing?\n\n1. It is required for the broker to be entitled to commission.\n2. It is required for the client to obtain mortgage finance.\n3. It is required to register the property with the Municipality.\n4. It is required for annual renewal of the broker’s registration.\n\n**Show answer and explanation**\n\n**Answer: A) It is required for the broker to be entitled to commission.**. A written agency agreement is a precondition for the broker’s entitlement to remuneration under the stated bylaw.\n\n### 4. Which category of property may not be sold or leased by brokers holding a blue card?\n\n1. Units in time-sharing projects.\n2. Units located in Dubai free zones.\n3. Units in freehold areas under Law 3 of 2006.\n\n**Show answer and explanation**\n\n**Answer: A) Units in time-sharing projects.**. The restriction applies to real-estate units in time-sharing projects.\n\n### 5. For a retiree’s Golden Visa application through the DLD e-service, what property value and residence period apply?\n\n1. Property worth at least AED 1 million and a 10-year residence permit.\n2. Property worth at least AED 2 million and a renewable 10-year residence permit.\n3. Property worth at least AED 1 million at purchase and a renewable 5-year residence permit.\n4. Property worth at least AED 750,000 and a 3-year residence permit.\n\n**Show answer and explanation**\n\n**Answer: C) Property worth at least AED 1 million at purchase and a renewable 5-year residence permit.**. The retiree route stated here requires property valued at least AED 1 million at the time of purchase and provides a renewable 5-year residence permit.\n\n### 6. What is a broker required to do if the broker’s deception, misrepresentation or negligence causes another party financial loss?\n\n1. Settle the loss using the developer’s escrow account.\n2. Send the affected party to the Municipality.\n3. Take no action if the client signed the contract.\n4. Compensate the party that suffered the loss.\n\n**Show answer and explanation**\n\n**Answer: D) Compensate the party that suffered the loss.**. A broker must compensate a party for loss resulting from the broker’s deception, misrepresentation or negligence.\n\n### 7. A registered broker should confirm project escrow-account details so investor payments go to the project trust account. In whose name should that account be held?\n\n1. Dubai Land Department.\n2. The real-estate developer.\n3. The buyer.\n4. The project.\n\n**Show answer and explanation**\n\n**Answer: D) The project.**. Escrow money must be held in a separate account for each project. Therefore, the relevant account is in the name of the project.\n\n### 8. Within what period should a developer register an off-plan sale transaction in DLD through Oqood?\n\n1. Within one year.\n2. Within 60 days.\n3. Registration is unnecessary.\n4. After 30 days.\n\n**Show answer and explanation**\n\n**Answer: B) Within 60 days.**. For exam purposes, the developer should register the sale through Oqood within 60 days. This period should be checked against current DLD regulations in practice.\n\n### 9. What processing time is stated by the DLD e-service for a real-estate investor’s Golden Visa application?\n\n1. One working day.\n2. Seven to ten business days.\n3. Twenty-five minutes.\n4. Thirty business days.\n\n**Show answer and explanation**\n\n**Answer: B) Seven to ten business days.**. The stated application service time is 7–10 business days.\n\n### 10. Under Bylaw No. 85 of 2006, what is the correct treatment of money received by a broker?\n\n1. The broker holds it as trustee and follows the client’s instructions.\n2. The broker may deduct commission before the transfer date.\n3. The broker may invest it personally until transfer is due.\n4. The broker may release it to the other party without the client’s instruction.\n\n**Show answer and explanation**\n\n**Answer: A) The broker holds it as trustee and follows the client’s instructions.**. The broker acts as trustee for amounts received and must act in accordance with the client’s instructions.\n\n### 11. Can each of the seven UAE Emirates issue its own real-estate legislation?\n\n1. Incorrect.\n2. Correct.\n\n**Show answer and explanation**\n\n**Answer: B) Correct.**. The correct statement is that each Emirate may issue its own laws governing real estate.\n\n### 12. After correctly serving 12 months’ notice, on which listed ground may a landlord evict a tenant?\n\n1. On none of these grounds.\n2. To rent the property to a new tenant at a higher rent.\n3. Because the landlord intends to occupy the property personally.\n\n**Show answer and explanation**\n\n**Answer: C) Because the landlord intends to occupy the property personally.**. Personal occupation by the landlord is one of the statutory end-of-term eviction grounds, subject to the 12-month notice requirement. Seeking a higher rent from a new tenant is not such a ground.\n\n### 13. Who is required to attend a Golden Visa application for a real-estate investor?\n\n1. Only the applicant; escorts cannot apply and no representative is accepted.\n2. The applicant or an attorney acting under a power of attorney.\n3. The broker who completed the property sale.\n4. The applicant together with sponsored family members.\n\n**Show answer and explanation**\n\n**Answer: A) Only the applicant; escorts cannot apply and no representative is accepted.**. The application must be made by the applicant personally. Escorts do not apply, and a representative is not accepted.\n\n### 14. What does due diligence mean in Module 8?\n\n1. Checking only whether the broker has a valid trade licence.\n2. Taking reasonable measures to prevent an error that could cause the client financial loss.\n3. Collecting the entire commission before the sale contract is signed.\n4. Registering the signed sale agreement with Dubai Municipality within one week.\n\n**Show answer and explanation**\n\n**Answer: B) Taking reasonable measures to prevent an error that could cause the client financial loss.**. Due diligence means taking reasonable steps to avoid mistakes that could result in financial loss to the client.\n\n## Common exam traps\n\n- Confusing the 90-day notice for changing tenancy terms with the 12-month notice required for end-of-term eviction on statutory grounds.\n- Assuming that a landlord can evict immediately for unpaid rent. The statutory process requires notice and a 30-day opportunity to pay.\n- Thinking that an off-plan contract remains effective without Oqood registration. It is void unless entered in the Interim Register.\n- Assuming a developer always retains 40% after purchaser default. Retention is up to 40% only at the specified completion levels; below 60%, it is up to 25%.\n- Mixing up the 10-year structural warranty with the 1-year warranty for mechanical, electrical, plumbing and sewage systems.\n- Assuming a unit with unpaid service charges can be freely transferred. A lien prevents sale or transfer until the debt is settled.\n\n[Practise “Laws and legislation” in the free exam trainer](/dld-broker-exam-practice/?topic=LAW#ex-app) · [Take a mock exam: 30 questions, 60 minutes](/dld-broker-exam-practice/)\n\n## FAQ\n\n### Is an off-plan sale valid without Oqood registration?\n\nNo. An off-plan sale or other disposition must be entered in the Interim Register; otherwise, it is void.\n\n### How long does a landlord need to notify a tenant before eviction for unpaid rent?\n\nThe tenant must receive notice and be given 30 days to pay. This differs from the 12-month notice for specified end-of-term eviction grounds.\n\n### What is the developer warranty period for structural defects?\n\nStructural defects are covered for 10 years from the completion certificate. Mechanical, electrical, plumbing and sewage systems are covered for 1 year from handover.\n\n### Can a property be sold if service charges are unpaid?\n\nNo. A lien may be placed over the unit, and it cannot be sold or transferred until the outstanding service-charge debt is paid.\n\n### Where are tenancy disputes heard in Dubai?\n\nRent Disputes Centre has exclusive jurisdiction over landlord-tenant disputes in Dubai and its free zones, subject to the exceptions stated in the law.\n\n## All DLD exam topics\n\n- [Real estate mathematics](/dld-broker-exam-practice/real-estate-math/)\n- [Real estate concepts and systems](/dld-broker-exam-practice/real-estate-concepts/)\n- [Laws and legislation](/dld-broker-exam-practice/laws-and-legislation/)\n- [Sale brokerage agreements and property sales](/dld-broker-exam-practice/sale-brokerage-agreements/)\n- [Jointly owned property](/dld-broker-exam-practice/jointly-owned-property/)\n- [Rental and rental disputes](/dld-broker-exam-practice/rental-and-disputes/)\n- [Property valuation](/dld-broker-exam-practice/property-valuation/)\n- [Code of ethics for brokers](/dld-broker-exam-practice/code-of-ethics/)\n- [Registration of transactions, taxes and fees](/dld-broker-exam-practice/registration-and-fees/)\n- [Mortgages](/dld-broker-exam-practice/mortgages/)\n\n## Continental Club Broker Academy\n\nWant to start your broker career with a Dubai brokerage that trains its own team? [Learn about the Academy](/academy/).",
    "attribution": "Continental Club Property",
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