Seeking rent compensation in Dubai has become a hot question more than ever before considered and pursued as landlords may have become a bit optimistic when choosing to evict tenants and re-rent at a higher price.
It is well known that properties that are evicted with the reason to sale the property cannot be rented out for a period of two years as per the practice of the Dubai Rent Committee, but how to catch the short term rentals? Are they also prohibited and out of the Landlord’s options that evict with the reason to sell?
What does the Law Say?
When we talk about Dubai rent law we are referring to Law No. 33 of 2008 amending some provisions of Law No. 26 of 2007 Regulating the relationship between Landlords and tenants in the Emirate of Dubai.
One of the modified articles is Article 25. 2 which deals with the eviction of tenants upon the expiry of the tenancy contract.
This article reads as follows:
- Upon expiry of the Lease Contract, the Landlord may seek eviction of the Tenant from the Real Property only if:
- (A) the Real Property owner wishes to demolish and reconstruct it or to add any new structures that would prevent the Tenant from using the Real Property, provided that the owner obtains the required permits from the competent entities;
- (B) or the Real Property is in a condition that requires restoration or comprehensive maintenance that cannot be carried out while the Tenant occupies the Real Property, provided that this condition of the Real Property is verified by a technical report issued or certified by the Dubai Municipality;
- (C) the Real Property owner wishes to retake possession of the Real Property for his own use or for use by any of his first-degree relatives, provided that the owner proves that he does not own any alternative Real Property that is suitable for this purpose; or
- (D) the leased Real Property owner wishes to sell it.
For the purposes of paragraph (2) of this Article, the Landlord must notify the Tenant of the eviction reasons at least twelve (12) months before the date of eviction, and the notice must be served through a Notary Public or by registered mail.
Points C and C are the most common reasons used by landlords to seek the eviction of their tenants. Now, when it comes to point D, jurisprudence is turning landlords’ task more and more difficult. First it looks after actions taken by the landlords to actually sell the properties. Judges that are less rigorous in this respect would still expect that the old tenant should have the right of first refusal should the owner change his mind and opt to re-rent the Unit.
Tenants that are not given this right of first refusal are entitled to seek Dubai rent compensation in the amount of one year of rent from the former landlord.
Some ex-tenants are hesitant to pursue their rights when landlords are doing short term rentals but it is indeed possible to seek to claim damages. Rent is not permitted when landlords evict for the purpose to sell the property.
Evidence of Short Term Rentals
There are several companies and applications offering short term rentals in the Emirate of Dubai, the most popular being AirBnB, of course. It is the possible to retrieve data from these applications and websites (pictures).
Another potential strong evidence is booking the apartment for a night to keep record of the address and the short-term stay.
These properties registered with Dubai Municipality to be advertised and used as short-term rentals often also have permits visible that can be photographed.
On top of these options the evidence of neighbors or security guards is also of great value.
How to start when seeking Dubai Rent Compensation
We recommend gathering all the evidence in advance to block any potential defence prior to taking any action. Once all evidence is gathered it will need to be translated in order to be filed with the Rent Disputes Center under the auspices of the Dubai Land department.
It is highly recommend to seek expert advice prior to filing a claim with the Dubai Rent Dispute Centre.
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We hope this post will help you understand the means to challenge an eviction notice process in the UAE when Landlord claims to intend to sell the property and remain available for any questions regarding this post of general application. For any additional questions of personalized inquiries please text us at info@rubertpartners.com.
For more information on this topic we do invite you to take a look to our earlier post on “Eviction in Dubai: Can my Landlord evict me? here. You may also watch Partner Maria Rubert’s video in her YouTube channel here.
*The information on this page and post is not intended to be legal advice. This publication is intended to provide an initial introduction to tenancies and eviction reasons in the UAE and ways to challenge an eviction.