Gulf buyer awarded BD54,900 over property contract breach

TDT | Manama                                                         

The Daily Tribune – www.newsofbahrain.com

The High Civil Court ruled to obligate a real estate company to cancel the sale agreement of an apartment in a tower in the Bahrain Bay area and return an amount of BD54,900 to the Gulf buyer, including material and moral compensation, expert and legal fees.

Lawyer Omar Al Omar stated that his client, the plaintiff, signed a preliminary purchase agreement concluded between him and the defendant (the real estate company), for a finished and furnished residential apartment in the residential tower in the Bahrain Bay area for a value of BD156,800, provided that the price of the unit is paid according to a payment schedule - with the plaintiff paying a 30% advance of the total unit price.

The plaintiff paid an amount of BD47,040. The remaining was to be paid upon delivery, and the agreement included the expected completion date. However, the defendant failed to complete the work and deliver the apartment to the plaintiff accordingly.

Lawyer Al Omar added, “By implementing the clause mentioned in the agreement, which allows the defendant to extend the completion date for a period of 12 months, the extension period also expired. Two years have passed since the extension date, and the plaintiff did not receive the apartment.

The company has not completed the work, and at the time of filing the case before the court, the apartment was unfinished.” Regarding compensation for material damage, Al-Omar referred to the Egyptian Cassation Court, wherein a compensation ruling for material damage requires a breach of financial interest of the injured party.