An Ultimate Guide to Handling Rental Disputes in Dubai

August 19, 2024

An Ultimate Guide to Handling Rental Disputes in Dubai - Provident Estate

Disputes between landlords and tenants are common worldwide, and swiftly and effectively resolving these issues is essential for maintaining a healthy rental market. In Dubai, rental disputes involving RERA are handled by the Rental Dispute Settlement Centre Dubai. Whether you're a tenant facing unexpected rent increases or a landlord dealing with property damage, understanding the proper steps to resolve these issues is crucial. This guide provides a comprehensive overview of how to solve a rental dispute in Dubai, offering practical advice and insights into the processes and resources available to help both tenants and landlords reach a fair resolution.

Common Reasons for Rental Disputes in Dubai

Common reasons for rental disputes in Dubai often arise due to misunderstandings or disagreements between tenants and landlords. Here are some of the most frequent causes:

  • Rent Increases: When landlords raise the rent beyond what tenants consider reasonable, especially if it exceeds the limits set by the Dubai Land Department's Rental Index
  • Lease Termination: When a tenant wishes to terminate the lease early or when a landlord tries to evict a tenant before the lease expires without following the proper legal procedures
  • Property Defects: If the property condition is not as promised in the lease agreement and there are issues such as defects and/or pest infection
  • Late Rent Payments: If tenants consistently pay rent late or fail to pay altogether
  • Security Deposit Issues: Conflicts over the return of the security deposit, particularly if the landlord deducts amounts that the tenant believes are unfair
  • Maintenance and Repairs: When landlords fail to carry out necessary maintenance or repairs or when tenants are held responsible for damages that they believe should be covered by the landlord

All About Rental Dispute Settlement Centre in Dubai

Disagreements between tenants and landlords can sometimes be inevitable. While these issues are often resolved with mutual understanding, there are situations where it may be necessary to escalate the matter to the Rental Disputes Settlement Centre.

Also known as the Dubai Rental Dispute Centre (RDC), it is the official authority responsible for resolving rental disputes between landlords and tenants in the city. Established under the Dubai Land Department (DLD), the RDC plays a critical role in maintaining the stability and fairness of Dubai's rental market. It ensures that both parties' rights (landlord and tenant) are secured according to Dubai's laws and regulations.

It handles a variety of cases, such as disagreements over rent increases or decreases, issues related to the termination or renewal of lease contracts, disputes concerning security deposits, maintenance and repair responsibilities, eviction notices, unauthorized alterations to the property, and violations of lease terms. 

Filing a Rental Dispute Case in Dubai

Here is a step-by-step process to file a case about a rental dispute in Dubai:

  • Gather all necessary documents, which include the following:
    • Ejari certificate
    • Tenancy contract
    • Rental deposit slip
    • Title deed and landlord’s passport copy
    • Copies of cheques issued to the landlord
    • Passport, Residence Visa, and Emirates ID
    • Any relevant communication between the tenant and landlord (emails, notices)
    • Evidence of the dispute (e.g., photographs of maintenance issues, documents showing the rent increase)
  • Visit the Rental Dispute Settlement Centre, located at the Dubai Land Department in Deira, or use their online               services. Or, you can visit the RDC branches at different locations, like Al Manara Centre or Al Twar Centre.
  • Fill out the necessary forms to file your case. These forms are available at the RDC or on the Dubai Land Department’s website.
  • Attach all required documents and pay the registration fee, which is 3.5% of the annual rent (minimum AED 500, maximum AED 20,000).

Once your case is filed, it will be reviewed, and you may be called for a mediation session. The aim is to resolve the issue amicably without proceeding to a full hearing. If mediation fails, your case will proceed to a hearing where both parties will present their arguments. It is advisable to have legal representation, although it is not mandatory. The RDC will then issue a judgment based on the evidence and arguments presented.

If you are dissatisfied with the judgment, you can appeal the decision within 15 days. The appeal will be reviewed by a higher department within the RDC. If the judgment is in your favor, the RDC will ensure it is enforced. This could involve returning a security deposit, reducing rent, or even eviction if applicable.

Important Considerations:

  • Timeframe: The entire process can take anywhere from a few weeks to several months, depending on the complexity of the case and whether it goes through mediation or a full hearing.
  • Language: All documents must be in Arabic or officially translated into Arabic.
  • Legal Representation: While it’s not mandatory to have a lawyer, it can be beneficial, especially for complex cases.

A Guide to Solving a Rental Dispute in Dubai | Provident Estate

The Cost of Issuing a Rental Dispute Case

The cost of issuing a rental dispute case in Dubai can vary depending on the nature of the dispute and the amount involved. However, here are the general costs associated with filing a case:

  • The standard fee for registering a rental dispute case with the Rental Dispute Settlement Centre (RDC) in Dubai is typically 3.5% of the property's annual rent.
  • Additional translation costs will apply if any documents need to be translated into Arabic (as all legal proceedings in Dubai require documents to be in Arabic). These costs can be around AED 210 per page.
  • 3.5% of the annual rent (minimum AED 500, maximum AED 20,000) to lodge a complaint
  • Moreover, you have to pay an administration fee of AED 110.

If you hire a lawyer to represent you, legal fees can vary widely depending on the lawyer's experience and the case's complexity. Some lawyers charge a flat fee, while others bill by the hour. Other incidental costs may include fees for obtaining official documents, service charges for notifications, and possible expert fees if an expert opinion is required during the case.

These costs are general estimates, and it's advisable to consult directly with the Rental Dispute Settlement Centre or a legal professional for the most accurate and up-to-date information relevant to your specific situation.

A Guide to Solving a Rental Dispute in Dubai | Provident Estate

Location and Timings of RDC

The Rental Dispute Centre (RDC) in Dubai is open Monday through Thursday from 7:30 a.m. to 3:30 p.m. and Friday from 7:30 a.m. to 12:00 p.m. Customer service is available via phone, email, and chat from Monday through Friday between 7:30 a.m. and 4:30 p.m. The RDC is located on Baniyas Road, near Etisalat Tower 1, in Deira—Riggat Al Buteen, Dubai, United Arab Emirates.

The Rental Dispute Settlement Centre in Dubai plays a crucial role in maintaining the balance between landlords’ and tenants’ rights, providing a structured and fair process for resolving rental disputes in the emirate.

Eviction Process

The eviction process in Dubai is governed by specific provisions under the Dubai Tenancy Law, ensuring that both landlords and tenants are treated fairly. A landlord can evict a tenant before the tenancy period expires if certain conditions are met, as outlined in Article 25 (1). These conditions include non-payment of rent within 30 days of receiving a payment notice, subleasing the property without the landlord’s written consent, using the property for immoral or illegal activities, causing intentional or negligent damage to the property, or if the property is at risk of collapse, as confirmed by a technical report.

Eviction can also occur if the tenant uses the property beyond its permitted use, violates building regulations, fails to comply with legal or contractual obligations within 30 days of receiving a remedy notice, or if the property requires demolition by a government authority.

Upon the expiration of the tenancy contract, a landlord can evict a tenant only under specific circumstances outlined in Article 25 (2). These include:

  • If the property needs to be demolished and reconstructed due to development requirements, 
  • If the landlord intends to demolish the property
  • If extensive renovation or maintenance is required that cannot be carried out while the tenant occupies the property
  • If the landlord needs the property for personal use or for immediate next of kin.

The landlord is required to provide the tenant with a written eviction notice. The notice must be delivered through a Notary Public or by registered mail to ensure legal compliance. If the landlord intends to use the property for personal reasons, they are prohibited from renting it out to a third party for a period of two years for residential properties or three years for non-residential properties unless the Rental Dispute Settlement Centre (RDC) specifies a shorter period.

If a tenant disputes the eviction or believes it does not comply with the law, they can file a complaint with the RDC. The RDC will review the case to determine whether the eviction is lawful and whether the tenant is entitled to compensation. Once the RDC confirms the legality of the eviction, the eviction order is enforced, with the landlord required to adhere to the terms set by the RDC, including any restrictions on re-renting the property within the legally specified timeframes. This process ensures that evictions are carried out fairly and within the boundaries of Dubai's rental laws.

Looking for an expert to handle all your property-related concerns? Provident’s property management specialists can help you with rental disputes by communicating with the tenant or landlord, ensuring compliance with legal requirements, providing expert advice, and representing your interests in the dispute resolution process.

FAQs about Rental Disputes in Dubai

Regardless of the reason for eviction, the landlord must notify the tenant of the eviction at least 90 days before the tenancy contract's expiry date. This is the legally specified notice period in Dubai.

Decree No. 43 of 2013 governs rental increases in Dubai. The law outlines the conditions under which a landlord may increase the rent, depending on how the current rent compares to the average market rate. The Rental Increase Calculator by RERA determines the allowable percentage increase, which ranges from 0% to 20%, depending on how far below the average market rent the current rent is.

If a landlord wishes to increase the rent upon renewal, they must notify the tenant at least 90 days before the contract’s expiry date. This is the minimum notice period according to the Dubai Tenancy Law unless both parties have agreed on different terms.

You can contact the center by phone at +971-800-4488.
 

For more information, get in touch with us at Provident