Deposit
A deposit is the sum a buyer puts down when signing a sale agreement. In DLD’s standard resale contract it is given as a security cheque in the seller’s favour.
Definition
DLD’s Contract F provides for “A deposit (Security) cheque in favor of the Seller” on signing, leaves the amount for the parties to fill in, and states that the cheque “is kept as a trust” and may not be cashed without a written order from the seller and the buyer together. If the buyer defaults, the seller may terminate and retain the deposit; if the seller defaults, the deposit is refunded and the seller pays the same amount again.
What it shows — and what it does not
The deposit shows commitment and sets out what happens if either side fails to complete. The contract does not fix the amount; that is agreed between the parties.
Example
Illustrative example: a buyer hands over a deposit cheque on signing Contract F; on the transfer day the deal completes and the cheque is dealt with as the parties agreed.
Next step
Read Deposits and completion conditions.
Source: Property Sales Contract between Seller and Buyer (Contract F) — Dubai Land Department · supports: the deposit cheque, trust, and default clauses · checked 11 October 2026
Governance
- October 11, 2026
Maintenance: Updated for material UAE authority/trustee process changes and recurring user confusion. Method: Editorial Policy