Category: Real Estate And Property Law

Dubai Real Estate Law Firm | Al Reyami Advocates & Muhyealdeen International Legal Consultants – Real Estate and property lawyers support investors and builders in legal matters for the timely hand over of the property.

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UAE Green Residence Visa – 5-Year UAE Residence Program Launched

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5-Year Residence Program Has Been Launched for UAE Green Residence Visas

An Overview – UAE Green Residence Visa

To encourage talents, skilled workers, freelancers, investors, and entrepreneurs, the UAE has introduced a new 5-year residence program. Once a residence permit is canceled or expires, the system offers extended flexible grace periods of up to six months to remain in the country.

The United Arab Emirates has formalized a policy meant to give expatriates a bigger economic role in the nation by implementing legislation on foreign entrance and residence. The new entrance and residence system aims to strengthen the competitiveness and flexibility of the labor market, attract and keep qualified workers from all over the world, and foster a strong sense of stability among UAE nationals and their families.

The change is expected to draw a lot of new entrepreneurs and more employees with a variety of skill sets. It would increase the UAE’s talent pool and support the growth of several companies, in line with the Great Rulers’ objective of making the UAE a well-liked tourism destination across the world.

Capable employees can take advantage of this scheme to get a five-year residency without the involvement of a sponsor or employer. The permit is also called a “Green Residence Visa.” Our general practice lawyers will be glad to assist if you have questions.

How Does the Green Residence Visa Operate?

For those who cannot apply for residency through the typical employer or sponsor procedure, the five-year UAE Green Residence Visa is an exciting new option, as it was developed to bring competent professionals, entrepreneurs, investors, and freelancers.

Income and expertise will determine eligibility, but skilled independent contractors and entrepreneurs are likely to find this to be an interesting visa option.

Holders of these green visas will be able to extend their permissions to family members for a period of five years and maintain their residency status for a period of six months following the cancellation or expiration of their visa.

What Is The Difference Between A Work Permit And A Green Card?

Most of the time, employees who want to work in the UAE need to obtain a visa that is tied to their employer. This is known as an employment visa. Despite being the most popular, it poses issues for employees because it takes longer for them to find long-term accommodation.

Under the Green Visa scheme, foreign nationals will be able to remain in the country and find employment without a sponsoring company.

What Advantages Are There To Obtaining A Green Visa From The UAE?

Thanks to this new documentation, people from all walks of life may now live and work in the UAE. However, it also offers a few additional advantages, such as the following:

  • People will be self-sufficient without needing a sponsor
  • Up to the age of 25, holders may sponsor their parents and minor children.
  • There is a 180-day grace period provided, so workers have more chances of getting a new job in case their present contract is terminated. They are able to remain in the country and hunt for other employment opportunities without the need for a sponsor.

For What Reason Did The UAE Government Issue This Green Visa?

The new visa program was implemented for the reasons listed below, among others:

  • Bring in brilliant graduates and professional students as well as highly capable professionals.
  • Restore tourism to the UAE and lessen the country’s reliance on oil.
  • Expand the nation’s growth and the economy in a number of ways.

Freelancers are Eligible for a Green Card

  • Under this strategy, workers are encouraged to work in a variety of ways. A sponsor or employer is not necessary for the five-year residence for independent contractors and persons who work for themselves.
  • The applicant would require an approval from the Ministry of Human Resources and Emiratization to work independently.
  • A bachelor’s degree or professional certification should be used as proof. At least AED360,000 was earned through self-employment during the past two years.
  • As an alternative, the applicant might provide evidence of their financial security while living abroad.

Entrepreneurs And Investors Will Receive A Five-Year Residence Permit

  • This residence scheme was built to draw in revenue. Investors who are establishing or operating an enterprise are granted a five-year residence. This  takes the place of the earlier residence, which was only good for two years.
  • Investment authorisation and investment paperwork (evidence) are the two prerequisites.
  • If the investor (partner) has many licenses, the overall investment amount is calculated.
  • It is necessary to have the appropriate local authorities’ approval.

Skilled Workers

  • Through this scheme, qualified workers can get a 5-year residency without a sponsor or employer.
  • Candidates must be classified at the minimum level and have a current job contract, according to the Ministry of Human Resources and Emiratization.
  • Skilled Employee Level 1, 2
  • It is necessary to have a bachelor’s degree or its equivalent, and the pay should be at least Dh15,000 a month.
Family Members Will Now Enjoy More Benefits Permits to remain in the country for a longer duration.

Unmarried sons could have previously been sponsored for up to 18 years, but under the new rule, they can now be given residence permits for up to 25 years. Sponsorship for single women is not time-limited, though.

Children who show perseverance, regardless of their age, are awarded a residence visa.

The residency of family members has the same validity as the primary resident visa holder in all circumstances. Green Residence holders are allowed to provide residence permits to their first-degree relatives.

If you have any questions concerning this visa program for expats in the UAE, don’t be hesitant to speak to expert Dubai lawyers.

 

 

 

 

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Tenancy And Rent Disputes In The UAE

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Since foreign residents began buying homes in the UAE, the rental market’s economics has also expanded. As property owner you would need to optimize your rental income while also making sure that your rights were safeguarded. Tenancy and rent disputes have consequently emerged as one of the most typical legal issues in the United Arab Emirates.

The UAE government responded by passing the Tenancy Law, which lays out the fundamental guidelines for the conclusion and registration of rental and leasing agreements. The rights and responsibilities of landlords and tenants are also governed by the tenancy legislation. A contract that must be recorded with the Real Estate Regulatory Agency (RERA) governs this. This agreement cannot be terminated early without the other party’s consent, and in that case, previous (at least three-month) notice would be necessary.

If a landlord and tenant have a dispute, it is likely that legal counsel will be needed to resolve the matter in the best possible way. The renter and the owner may be represented by rental dispute lawyers in this situation, assisting both parties in handling the case in the Dubai Rental Disputes Centre and coming to a mutually agreeable conclusion.

Legal Assistance With Tenancy Disputes

Rental disagreements between landlords and tenants frequently stem from rental pricing. Most of the time, it makes perfect sense for both parties to carefully analyze the rights and responsibilities mentioned in the rental agreement in order to prevent disputes. Given these factors, it is preferable to work with a rent dispute lawyer in the UAE who focuses on matters involving rental properties because they have a lot of expertise managing these types of disputes. The following are the services this attorney can provide in tenancy disputes:

 

Legal Analysis – A specific tenant and landlord law situation might prompt Expert Rental Dispute Lawyers to search for pertinent laws. They have access to legal databases, which can make researching cases quicker and easier. The legal studies will help your case by acquainting you with your rights, obligations, and responsibilities as a citizen as well as a landlord or tenant.

 

Examining Relevant Documentation and Providing Advice: You can get help from a professional rental dispute lawyer to find any holes in your rental agreement. It is important for tenants to know that some landlords include an attorney’s fee clause in a rental or lease agreement in order to avoid needless legal disputes. If this clause is in your rental or lease agreement, you’ll be eligible for repayment of your legal fees and other related costs if you prevail in your case against the landlord.

 

According to the tenancy legislation, a contract must be signed and registered with the Real Estate Regulatory Authority before relocating into a house, an apartment, or any other type of property in the United Arab Emirates. The following are some of the elements listed in the contract law’s tenancy agreement:

  • The landlord’s duty and rights
  • Tenant rights and responsibilities
  • The duration, amount, and frequency of payments under the contract, as well as the location of the rental property
  • Other arrangements between owner and renters that are essential

Landlord’s obligations to tenants include:

  • Maintain the unit for the duration of the lease and rent it out in livable shape. Make any necessary repairs as per the contract
  • provide you with the necessary service
  • not raise the rent unless it complies with Dubai’s statute prohibiting rent increases
  • Unless you committed a mistake, give your security deposit back

As an owner, you have a right to expect your tenant to:

  • undertake to use your residential property lawfully
  • pay rent in full and on time, and not engage in any conduct that is forbidden by the agreement
  • not cause damage to the property
  • not offer lodging to those not covered by the leasing agreement
  • respect and adhere to the contract

A dispute may be started by either the landlord or the renter if any of these are broken.

 

What Are Dubai’s Most Common Rental Conflicts?

The common rental conflicts that may occur between a landlord and a tenant include:

  • Rent increases
  • Late, unpaid rent
  • Inadequate upkeep
  • Landlord trespassing on a tenant’s property without authorization
  • Requesting a security deposit for rent without warning
  • Landlord disregarding a tenant’s complaint about the property
  • Tenant making changes to the property without the landlord’s approval
  • Failure of tenant to pay their bills

 

How Is Eviction Enforced In The UAE?

The legislation governs the manner in which an eviction shall be conducted, which actually is in the tenant’s best interests. All real estate-related matters are under the control of the Real Estate Regulatory Agency (RERA). One of the regulating branches of the Dubai Land Department (DLD) is RERA and tenant-landlord interactions are governed by RERA laws, which outline each party’s obligations and the steps that should be taken in the case of a disagreement.

 

According to Law (33) of 2008’s Article (4), the landlord and tenant are responsible for ensuring that a valid lease agreement and all supporting papers are registered with RERA through Ejari.

When a tenant may be removed while the tenancy agreement is still in force, as well as the conditions for evicting a tenant after the contract has ended, are specified in Article 25.

According to Article (6) of the Law, if the tenant does not leave the property after receiving a formal statement from the landlord and the tenancy agreement has expired, it is believed that the tenant wants to renew the tenancy for the same period of time or one year.

The circumstances under which a landlord may attempt to remove a tenant before the contract’s expiration are outlined in Clause 1.

According to Article (25)’s Clause (1), the landlord has the legal authority to evict a tenant who doesn’t follow any rules within 30 days of being informed that the lease is about to end.

Clause (2) of Article (25) of Law No. (33) of 2008, indicates that if the landlord wants to remove the tenant after the contracts have expired, he must provide the tenant a notice of eviction for a minimum of 12 months.

According to Article (31) of Law (26) of 2007, the tenant is obligated to pay the rent up until the final decision is issued once an eviction action has been launched.

The tenancy agreement will be continued upon the death of either the tenant or the landlord, in accordance with Article (27) of Law (26) of 2007. The lease can only be ended by the lessor with a 30-day notice.

The transfer of property ownership to a new owner will not have an impact on the tenancy, according to Article (28) of Law (26) of 2007. The present Tenant shall have unlimited access to the Property until the termination of the Lease.

In conclusion, while resolving a rental disagreement may be a drawn-out process, it is possible if both parties are prepared to deal with the legal processes and rules governing the tenancy agreement. If either one thinks otherwise, it is best to consult an expert rental dispute lawyer to help sort it out.

 

 

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UAE INVESTORS LEGAL REMEDIES FOR PROPERTY HANDOVER DELAYS

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Property Handover Delay in Dubai | Cancelled Projects in UAE

Investors and builders in Real Estate sector are commonly hurdled by issues pertaining to the timely hand over of the property. This kind of dispute often causes enormous financial loss from investor’s pocket. Therefore, UAE legislators implemented laws to protect the claims of the investors who opt to deal with properties in off plan cases. However, several / difference legal options available for handover delays would mainly depend upon the terms and conditions mentioned in the contract.

Take for example, if the main reason of delay is within the context of force majeure (clause in the contract exonerating liability for unavoidable circumstances, such as catastrophes), then the purchaser will be unable to terminate the contract nor claim compensation for delay from the contractor/developer.

However, if the main cause of delay is imputed primarily due to the failure of the contractor/developer to perform its obligations set out in the contract resulting to breach thereof, then the purchaser may resort to the following legal remedies:

  • Termination of the agreement
  • Claim compensation for such delay (this must be expressly stipulated in the signed agreement between the parties and the purchaser must prove that the delay has caused substantial losses which is detrimental to the purchaser). Pursuant to UAE law, purchaser can claim compensation for the following: (i) Interest; (ii) Deposit; (iii) Legal and Agent fees; and (iv) any other amount accrued as determined and proved.

The above-mentioned legal remedies can be done by filing a claim in Dubai courts for litigation or if the parties have agreed in the contract for alternative dispute resolution, an arbitration case can be filed. Decision decreed in both the resolving avenues will be binding on all the parties related to the dispute.

In some instances, investors can also inquire with the Real Estate Regulatory Authority for delayed projects and cancelled project before the committee if the property is cancelled by RERA. Thus, Judicial Committee for liquidation has exclusive jurisdiction over any dispute related to cancelled projects and no other court or arbitration proceedings are permitted to decide on any stalled projects. Investors have the right to lodge their claims directly to the Judicial Committee in this regard.

Hence, before filing any legal case or seeking any settlement, it is very important to first review the terms and conditions of the signed contract between the parties. It is also noteworthy to check whether the property is registered with DLD and approved by RERA. Conducting a due diligence prior to lodging a claim will greatly be an advantage towards the investor in getting the aid needed and resort to the best remedy to protect its rights and interest.

If you are facing issued of property handover delays, legal opinion and assistance from experts will be indispensable. We at Al Reyami Advocates & Muhyealdeen International Legal Consultants has expert property lawyers in Dubai that can help you review and revisit the contract and provide you our legal opinion and assist you properly in enforcing your legal rights and remedies provided under the laws of United Arab Emirates. You may contact us for further information and consultation.

For Legal Consultation, Call Us Today!

 

Tenancy Law in Dubai UAE

Tenancy Law in Dubai UAE

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UNDERSTANDING TENANCY AND THE SETTLEMENT PROCEDURE FOR RENTAL DISPUTES IN DUBAI

Tenancy Law in Dubai UAE or Law No. 33 of 2008 regulates and embodies the legislations concerning the rights, obligations and framework the relationship between Landlords and Tenants in the Emirate of Dubai. Whilst, the Rental Disputes Centre (RDC) acts as the main forum and receives dispute application for resolving tenancy disagreements and cases.

Rental Disputes Centre (RDC) administers adjudication procedures enhancing rental judicial system developed to simplify the resolution process systematically and come up to speedy disposition of tenancy disputes.

Except for cases already assigned to special judicial court and cases related to long-term lease or financial lease contracts falling under the umbrella of Law No. 7 of 2006 for real estate registration, the jurisdiction of RDC extends to:

  • All rental disputes arising between tenants and landlords located in the Emirate of Dubai;
  • Counterclaims as well as requests for ad interim or expeditious action from either party to the tenancy agreement; and
  • Appeals from decisions and judgments in accordance with the provisions of the decree

OVERVIEW: Process and Procedures

RDC consists of two sectors: JUDICIAL and ADMINISTRATIVE. Administrative sector is mandated to provide technical and administrative support for the judicial sector. Judicial sector comprises of the following departments:

  1. Arbitration and Reconciliation Department is tasked for rental dispute settlements amicably within 15 days, unless otherwise extended by the supervising judge. Once the parties reach a settlement, an official settlement agreement will be issued which will be executory in nature. In the event that parties failed to reach an amicable settlement, the dispute will be elevated to the First Instance Department.
  2. Department of First Instance consist of committees. These committees shall determine and decide if a rental dispute falls within the jurisdiction of RDC. The First Instance judgments are appealable to the Appeal Department within 15 days from the date following the issuance of the judgment.
  3. Department of Appeal committees shall adjudicate appeals (only if rent claim is more than AED 100,000, except if it falls under special circumstances pursuant to Article 17(1) of Law No. 26 of 2013) filed against decisions issued by the First Instance Department unless otherwise its outside the realm of its jurisdiction. The judgments issued by the Appeal Department are final and executory.
  4. Law Enforcement Department will execute and enforce all final judgments decreed by the First Instance and Appeal departments.

DOCUMENTATIONS AND FEES

Supporting documents required by the Centre includes:

  • Claimant’s Emirates ID or Passport or Company’s commercial license
  • Original Tenancy Agreement
  • Copies of cheques given to the landlord (if any) or Statement of Accounts
  • Notarized Power of Attorney issued by the party to its authorized representative (if any)

Rental dispute cases brought before the Centre generally involve fees of:

  • 5% of the annual rent of the leased property (no less than AED 250 BUT NOT MORE THAN AED 20,000)
  • Other fees such as: deposit of rent with RDC, expert’s fees, notice publication in the event the other party fails to show up during hearings)

CONCLUSION

As the judicial arm aimed to ascertain rental disputes in a speedy, systematic and bringing about steadiness in regards to tenancy relationship and matters concerning between the landlords and tenants, RDC is committed to continued upgrade of its working mechanism that enables rental parties to ascertain their legal positions and guides them in the legal proceedings at various stage until the finality or resolution of rental disputes within the Emirate of Dubai. For other legal queries regarding property law in Dubai UAE, Contact trusted lawyers in Dubai UAE and set an appointment.

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Divorce Settlement in Dubai UAE

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Divorce Settlement in Dubai UAE

In terms of financial gains, there are no laws with respect to a divorce settlement. The property assets will remain in the name of their respective owners and co-owned property will be dealt with under general civil laws.

The finances and maintenance of spouses under UAE laws cannot be claimed by the husband to his wife even when he holds custody of the children but a wife may do so even if she has wealth.

Finance, Property & Assets For The Husband & Wife

An application has to be made to evaluate the financial position of a couple that is planning separation. If the parties are Muslim and are married to enforce it an application has to be made by the receiving party and not the giving party which can either be husband or wife who is going to divorce cannot enforce a settlement.

Any party can apply to the court for sale of their jointly owned property or for someone else to buy out shares. The basic assumption is that both parties made equal payments in property purchase but if one party made a higher investment then capital share will be large. However, UAE courts have jurisdiction over property owned within UAE and not abroad otherwise jointly owned bank accounts and some other assets will be dealt the same.

The claims that can be made by the wife are as follows,

1- The first claim can be made for not supporting her during the last year.
2- The Second claim can be made for supporting her during the waiting period called “Nafket Eda”.
3- To cover moral damage of the wife after being divorced by her husband against her will a claim can be made by her covering 25% to 40% of husbands salary or income called “Nafket Motaa”.

As per child maintenance rules for a divorce in UAE implies that either a claim for a legal guardian’s allowance be made depending on the husband’s income or the standard of living for a child would be equal to what he already had which includes schooling, medical, rent and other expenses.

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Tenancy Obligations in Dubai

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Tenancy Contracts – Tenant And Landlord Obligations

There are some tenant obligations that must be fulfilled based on the tenancy contract to avoid any legal charges against them

These include but are  not limited to:

a- No changes can be made to the property by the tenant prior to landlord and higher authorities approval

b- There is a requirement to pay certain amount of deposit to the landlord which will be returned once the tenancy contract expires

c- Rent has to be paid on due date or else legal action would be taken against the tenant

d- Maintaining the property in a manner as any ordinary individual would take care of his own property

e- As per the rule the tenant may not remove the leasehold improvements made by the tenant

f- Without the written consent of the landlord, the tenant cannot invite someone for the use or sub lease the property to third party

g- The tenant must hand over the property the same means the condition should not deteriorate except ordinary wear and tear

h- If not stated in the contract the tenant has to pay fees and taxes for the use of property or for sub lease

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Tenancy and Landlord rights in Dubai

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As an expat living in Dubai requires that you should familiarize yourself with tenancy rules and regulations which of course include the tenancy contract. Following are the rights of the tenants,

a- No changes are to be made by the landlord to the amenities or annexes of the property preventing its full use
b- Any decoration work or any other such work that requires approval from the authorities must be given to the tenant provided that does not affect the structure
c- The landlord is bound by law to give the house in good livable condition which is not bad allowing its full use
d- All the repairing and maintenance is to be done by the landlord and not the tenant during the term of the contract without affecting tenant’s usage
e- Rent can only be increased as per RERA rental bracket for contract renewal for different areas and properties
f- For any reason the landlord is not allowed to withhold the security deposit if done so then tenant can file complain to rent dispute committee
g- Disconnection of services to the property by landlord is not allowed if such incidence happens then tenant can complain to the police or the rent dispute committee for compensation

Please note that the contract can only be terminated with the mutual consent of both parties.

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Purchasing Property in Abu Dhabi

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Purchasing Property in Abu Dhabi

UAE property laws differ within cities or provinces such as property laws in Abu Dhabi are not the same as in Dubai. This relates to the sale and purchase by expats and it could be said that the conditions in Abu Dhabi for expat purchases have not evolved to the same extent as those for expats in Dubai.

As per Abu Dhabi Law 19 of 2005, UAE nationals are permitted to buy and sell property whereas GCC nationals and expats will also be able to own a property in selected areas such as Investment Zones where they can purchase flats, villas or land, however the main difference will be that GCC nationals can sell or purchase freehold.

The Investment Zones include areas such as Yas Island, Saadiyat Island, Reem Island, Al Reef, Raha Beach and more.

The types of ownership for non-GCC nationals or expats include,

1- Usufruct
Under this ownership they may hold only the rights to their flat or apartment but not the land. The person can benefit from the property owned by the third party, as per Article 4(1) the person can benefit till the lease of up to 99 years.

2- Musataha
This method is more commonly used to purchase villas or land as under this ownership one can make full use of land owned by the third party. As per Article 4(1) the right can be exercised for 50 years further extendable once for up to 50 years.

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Duties of a Property Broker in UAE

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Duties of a Property Broker in UAE | Property Lawyers in the UAE

Being a Property Broker in the UAE is effectively being the middle man between the buyer and the seller in relation to change of ownership of a fixed asset (a property)

As per property laws of UAE, the duties and responsibilities of a broker include:

a- Verify if the property title deed is genuine
b- Keep a record of all transactions with supporting documentation
c- Not be a part of or facilitate any transaction that is against the law
d- The broker and the developer are governed under a contract that should be registered with the Dubai Land Department (DLD)
e- The broker may take copies of the documents relating to the property for the transaction
f- Confidentiality
g- As per trusteeship rules, act as a trustee on behalf of the client
h- Carry out due diligence to ensure the developer is in good standing and is registered with the DLD
i- In the event of a breach of contract, as per law the broker should give up fees or claims
j- Where more than one broker is engaged, they are to be held jointly responsible for the transactions unless otherwise specified.

heba

HEBA in the UAE

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What is HEBA in the UAE

The unconditional and immediate transfer of property without any consideration (payment or reservation) by one person to another is known as Heba, under Muslim law.

In other countries, the term GIFT may be similar to what is known as HEBA but for the purpose of this article, we are referring to the donation of property to another person without the expectation of anything in return.

Once Heba has occurred, the transaction is final. In the event Heba was granted during a period of sickness, however, this could be contested by the potentially rightful heirs of the property in question. Similarly, if the donation was made under threat or duress, it can be revoked which also applies to cases where the gift was granted because of dishonest or deceitful action.

The recipient must accept the gift and may be cancelled only after the recipient’s consent while the giver still lives. It may also be reversed by court order in case Heba was provided under stress or deception, or by a person who has not the legal competence or capacity to grant it, even if the recipient does not accept the donation. Heba may be delivered by written document or with witnesses, however, it is advisable to have both.

HEBA Law in Dubai

There are 2 conditions whereby Heba can be granted at a future date which relate to death and birth. Heba can be granted whereby the transfer of the property occurs on the death of the current owner. It is also possible to enact Heba for the benefit of an unborn child provided that the child is born within 6 months of the Heba being given.

As with most aspects of law, it is strongly advisable to have any Heba you wish to grant clarified in writing and to have a witness to further authenticate its validity. In principal, Heba can be given verbally but has a strong possibility to be contested later if this cannot be verified clearly.

An important point to note. Heba can be refused by the person it has been granted to so may be advisable to ensure the intended recipient is happy to receive it.