Buyer Filed Lawsuit Over Boca Raton Condo Deposit
A condo buyer in Boca Raton has sued to recover a $1.23 million deposit after the development missed its delivery deadline.
Updated on Oct. 10, 2026 in Residential
Live Poll
Do you trust developers to meet the completion dates promised in their condo purchase contracts?
Dr. Sajid Malik has filed a lawsuit in Palm Beach County Circuit Court seeking to recover a $1.23 million deposit for a $4.1 million luxury condo. The litigation follows the failure to complete Unit 712 at The Residences at Mandarin Oriental by the end of 2025.
Why it matters
This legal action highlights the financial risks buyers face when luxury development timelines slip significantly beyond original estimates. The dispute centers on whether developers can retain deposit funds when projects remain unfinished years after their planned completion.
The buyer paid a $1.23 million deposit on a $4.1 million property, with $820,000 released to the developer in 2022 and $410,000 currently held as a surety bond. The developer has reportedly failed to respond to a default notice sent in August 2026.
The players
Dr. Sajid Malik
The plaintiff and buyer of the luxury condo unit at The Residences at Mandarin Oriental.
Via Mizner Owner III, LLC
The developer responsible for The Residences at Mandarin Oriental project in Boca Raton.
First American Title Insurance Company
The title insurance firm that managed the escrow and provided the surety bond for the project.
The details
The developer received the initial deposit funds from escrow in 2022, while the remaining $410,000 was secured via a surety bond issued by First American Title Insurance Company. The lawsuit alleges that despite the original December 2022 completion estimate, the unit was not ready by the end of 2025. The plaintiff is now seeking a court order to force the title company to pursue the surety bond to recoup the outstanding deposit balance.
Timeline
January 2022: Dr. Sajid Malik signed the contract for Unit 712.
2022: First American Title Insurance Company released $820,000 to the developer.
December 2022: The original estimated completion date for the project.
August 2026: The plaintiff's attorney sent a default notice and refund demand.
October 9, 2026: The lawsuit was filed in Palm Beach County Circuit Court.
The Home Front
This dispute reflects a growing trend of legal challenges in South Florida luxury real estate as project delivery timelines face significant delays. The case highlights the critical importance of contract language regarding completion dates and escrow protections in high-end developments.
Prospective buyers should review all purchase contracts for specific language regarding construction milestones and the release of escrow funds to developers. Consult with a real estate attorney to understand your rights regarding surety bonds and default notices if your closing is delayed.
The takeaway
This case serves as a warning for buyers to monitor project progress closely and retain legal counsel well before contract deadlines pass. Ensure you have copies of your original signed contract and all correspondence regarding default notices filed in a secure location.
Further reading
Learn more about the local market in Boca Raton Residential.
Source note: This article includes information reported by BocaNewsNow.
Live Poll
Do you trust developers to meet the completion dates promised in their condo purchase contracts?
