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    Can a developer terminate a contract for minor payment delays?

    Ali Faizan Syed1 min read0 viewsUpdated 1/2/2026
    A developer cannot unilaterally terminate a contract for a payment delay without following the legal notice procedure. They must first notify the DLD, which then serves a thirty-day grace period notice to the purchaser. Termination is only permissible if the purchaser fails to settle the specific breach within that window. Even then, the amount the developer can retain is strictly capped by the completion percentage of the project, preventing excessive forfeiture for minor or first-time defaults.

    Related Topics:

    Contract Termination
    Payment Delay
    Grace Period
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