Dubai off-plan project cancelled: how a refund works for buyers in Canada

The message says your Dubai off-plan project is cancelled, and from Canada the refund looks distant. The law is clearer than most buyers expect: a RERA cancellation means a full refund is owed. What is less certain is how much is in the escrow account and how long collection takes.

These steps come from Executive Council Resolution No. 6 of 2010 (ECR 6/2010), Articles 24 to 27, as summarized by the law firm Al Tamimi. The DLD's own FAQ confirms the 60-day window and the referral to court.

What happens to the money of Canada investors in a cancelled Dubai project?

Your money is owed back in full, and the first source of repayment is the project's escrow account. Escrow is the dedicated account that, under Dubai Law No. 8 of 2007, receives off-plan buyers' payments and cannot be seized by the developer's creditors.

Refund owed after RERA cancellation

All payments

Source: Law No. 19 of 2020

Escrow refund

14 days

of funds available

Source: Al Tamimi on ECR 6/2010

Developer shortfall

60 days

extendable by RERA

Source: DLD FAQ

Old 30% deduction for unstarted projects

Removed in 2020

Source: Al Tamimi, 2021

How do you confirm a RERA cancellation from Canada?

Check the Dubai Land Department (DLD) record, not a forwarded message. In the Dubai REST app, Project Status (Mashrooi) shows each project with an active, finished or cancelled label, according to Gulf News (2023).

What should buyers in Canada gather for the RERA cancelled project refund?

Gather proof of every dirham paid and every dollar sent. Refunds are calculated on what reached the project, so the receiving side of each transfer matters.

What if the escrow account cannot cover everyone?

Then the shortfall becomes a debt the developer must pay, and enforcement moves to the courts. A special tribunal set up under Decree No. 33 of 2020 handles liquidation of cancelled projects, and the DLD describes the liquidation timeline as indefinite.

That route is covered step by step in the liquidation track for Canadian buyers.

Canadian consular officials cannot intervene in private legal matters, under the Consular Services Charter, but they can give you a list of local lawyers. A UAE-qualified lawyer is usually the next call if 60 days pass without payment.

Does a refund affect your Canadian tax filings?

Possibly, so talk to a tax adviser. This is general information, not tax advice. The CRA's Form T1135 applies when the total cost of specified foreign property exceeds $100,000; if you have reported the unit, ask whether the refund changes what you report next year.

More on this topic: handling a dispute with the developer, the global cancelled-project guide and the Canadian buyers' hub. You can also review a project's registry status before any further payment.

This guide is general information, not legal advice. Laws and procedures change; check the official source before acting. Published 12 October 2026, last updated 12 October 2026.