Facing a “No-Renewal” Clause in Dubai? Here’s What Tenants Need to Know

Introduction to Non Renewal Clause in Dubai Lease

The existence of a non renewal clause in a Dubai lease is a reason for tenant’s discomfort and uncertainty.

At Rubert & Partners, we regularly advise tenants who are presented with lease agreements that contain problematic or misleading provisions. One increasingly common issue is the inclusion of a “non-renewal” clause, whereby the landlord attempts to deny the tenant the possibility of extending their lease beyond a fixed date — often without any legal basis or required justification.

If you’re a tenant in Dubai and your landlord has told you that you won’t be allowed to renew your contract, this article is for you.

The Case at Hand: A 50% Rent Hike and “Final Lease Term” Language

A recent client came to us with a residential lease agreement that raised several red flags:

• A proposed 50% increase in rent at renewal.

• A clause requiring the landlord to only cover maintenance if the repair exceeds AED 2,000 — four times the average threshold in the market.

• An AED 1,000 penalty for bounced cheques (not unusual, but often waived in cases of signature mismatches or bank issues).

• Most concerning: a clause stating that the lease “will not be renewed” after a certain date, with no stated justification.

These terms were framed as non-negotiable — yet some of them run contrary to Dubai tenancy law.

Understanding Article 25 of Law No. 33 of 2008

In Dubai, Law No. 33 of 2008, which amended Law No. 26 of 2007, governs the rights and obligations of landlords and tenants. Article 25 of this law clearly outlines the exclusive legal grounds on which a landlord may seek eviction — both before and after the end of a tenancy.

🔹 Eviction Before Contract Expiry:

Only permitted under exceptional circumstances, including:

• Non-payment of rent (after 30 days’ notice),

• Subletting without consent,

• Using the property for illegal or immoral purposes,

• Endangerment of the property’s safety,

• Abandonment of commercial property,

• Unauthorized changes or misuse of the premises,

• Breach of legal obligations under the contract,

• Property deemed structurally unsafe,

• Government-mandated redevelopment.

In all such cases, formal notice via Notary Public or registered mail is required.

🔹 Eviction After Contract Expiry:

A landlord may request eviction only in the following scenarios:

1. Demolition or major reconstruction (with official permits),

2. Essential renovations that require the property to be vacant (supported by a technical report from Dubai Municipality),

3. Personal use by the landlord or their first-degree relative, where the landlord has no suitable alternative property,

4. Sale of the property.

Crucially, in all these instances, the landlord must provide 12 months’ advance written notice, delivered via Notary Public or registered mail.

Can a Landlord Simply Refuse Renewal?

In short: no, not unless they meet one of the specific legal grounds above and provide proper notice.

If the landlord and tenant do not agree to amend the contract, the existing contract continues to apply under the same terms. Dubai’s tenancy laws were intentionally designed to avoid arbitrary eviction or coercive tactics by landlords.

This means that any clause that attempts to pre-emptively deny renewal — without a valid reason as set out by the law — is not enforceable. Even if you signed the contract, such clauses can be challenged, especially if they contradict mandatory provisions of the law.

What Tenants Can Do when facing a non renewal clause in Dubai lease

If you are presented with a lease that includes questionable clauses — especially one claiming the landlord can deny renewal at a specific date:

1. Don’t panic – and don’t assume it’s enforceable just because it’s in the contract.

2. Know your rights – under Law No. 33 of 2008, you have significant protections.

3. Seek legal advice – we can help you assess whether a clause is legally binding or abusive.

4. Document everything – especially communication with your landlord and any notices received.

At Rubert & Partners, We Can Help with Non Renewal Clause in Dubai Lease

We have helped many tenants across Dubai negotiate more balanced lease terms, push back on unfair clauses, and assert their rights under the law.

If you are unsure whether you have to vacate your property or whether a rent increase is legal, or if you’re being pressured to sign a contract you’re uncomfortable with — reach out to our team.

Contact us today to schedule a consultation. We’re here to support tenants, protect your housing rights, and help you make informed decisions. If you are a Landlord we can help you draft enforceable agreements on which to rely and plan accordingly.

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We hope this post serves as helpful information when approaching rent renewal in Dubai, providing general insights into the current market landscape. Should you have any questions regarding this overview or require tailored advice, our team remains at your disposal.

For further information, you can explore our full collection of articles about Dubai real estate  and watch the videos in English by our Managing Partner Maria Rubert .

Disclaimer: The information provided on this page is for general informational purposes only and does not constitute legal advice. This article is intended as an introductory guide to Dubai’s rental law and practice.