Law No. (4) of 2010 Amending Some Provisions of Law No. (20) of 2006 Concerning the Lease of Premises and Regulation of the Landlord-Tenant Relationship in the Emirate of Abu Dhabi

Preamble

We, Khalifa bin Zayed Al Nahyan, Ruler of Abu Dhabi

Having reviewed:

- Law No. (1) of 1974 concerning the reorganization of the Governmental Body in the Emirate of Abu Dhabi and its amendments; and

- Law No. (2) of 1971 concerning the National Advisory Council, and its amendments; and

- Law No. (20) of 2006 Concerning the Lease of Premises and the Regulation of the Landlord-Tenant Relationship in the Emirate of Abu Dhabi; and

- Law No. (2) of 1994 concerning Tenancy of Places and Organization of Landlord; and

- The tenant relationship in the Emirate of Abu Dhabi, amended by Law No. (6) of 2009; and

- Law No. (23) of 2006 on the Judicial Department in Abu Dhabi, amended by Law No. (11) of 2008; and

- Acting upon what was presented by the chairman of the Judicial Department and approved by the Executive Council,

Issued the following Law:

 

Article One

The texts of Articles (20), (24), (26), (27), (28), (30), and (31) of the aforementioned Law No. (20) of 2006 shall be replaced by the following texts:

 

Article (20)

1. The lease contract shall be valid up to the lapse of the lease period specified therein and may be renewed for similar term(s) by mutual consent of both parties.

2. Where the lease term ends, and the tenant still uses the leased premises with the landlord's knowledge and without any objection on his part, then the lease contract is deemed renewed for a similar term with the same conditions.

3. Where one of the parties does not wish to renew the lease contract or wants to modify its terms, he shall notify the other party in writing two months before the expiry date of the lease contract in case of premises leased for residential purposes, and three months before the expiry date of the lease contract in case of premises leased for commercial, industrial, liberal profession, and artisanal purposes.

4. Subject to the previous clauses in this article, the landlord may not request vacating the leased premises due to the lapse of the lease term before 9 November 2010. This date may be extended by a resolution of the Chairman of the Executive Council as he sees fit.

5. The Committee may decide that the leased premises be vacated before the date set in clause 4 of this article, in the event that the stay of the tenant in the leased premises causes serious harm to the landlord, and provided that the tenant has made use of the leased premises for a period of not less than two years. In this case, the tenant is granted a moratorium not exceeding six months to vacate the leased premises starting from the date of the Committee's decision.

6. A resolution of the Chairman of the Executive Council shall set the rules and procedures for registering lease contracts of real estate in the Emirate.

 

Article (24)

1. A local committee (s) named "Rent Dispute Settlement Committee" shall be formed, shall report to the Abu Dhabi Judicial Department, and shall be chaired by a judge. Its formation, headquarters, and remuneration of its members shall be determined by a decision of the chairman of the Judicial Department.

 

Article (26)

1. A local committee (s) named "Committee of Appeal" shall be formed, shall report to the Abu Dhabi Judicial Department, and shall be chaired by a court of appeal judge. Its formation, headquarters, and remuneration of its members shall be determined by a decision of the chairman of the Judicial Department.

2. 2-The Committees of appeal shall be competent to promptly consider the challenges against the rulings of the "Rent Dispute Settlement Committee", subject to article (28) of this Law.

3. A higher committee, named the Cassation Committee, shall be formed and shall report to the Abu Dhabi Judicial Department (ADJD), headquartered in Abu Dhabi and chaired by a court of cassation judge. Its formation and remuneration of its members shall be determined by a decision of the chairman of the Judicial Department.

4. The Cassation Committee shall be competent to decide on the appeals filed against the rulings of the "Court of Appeal", subject to article (28) of this Law.

5. The said committees shall seek the assistance of a consultative committee of experts and specialists in real estate and rental matters. The formation of the consultative committee, as well as the cases of seeking its assistance, shall be determined by a decision from the chairman of the judicial department.

 

Article (27)

1. A decision by the chairman of the Judicial Department upon the proposal of the Judicial Council of Abu Dhabi, shall be issued on rules, internal regulations, administrative; functional and financial structures of the Rent Dispute Settlement Committee, the Committee of Appeal, and the Cassation Committee, as well as on the procedures to be adopted before the said committees, method of implementing their rulings and fees to be collected against applications submitted before it.

2. All fees are collected in favor of the Department of Finance at the Government of Abu Dhabi.

3. Applications submitted by government departments shall be excluded from the above-mentioned fees.

4. The undersecretary of the Abu Dhabi Judicial Department shall present the annual budget of the Rent Dispute Settlement Committee, the Committee of Appeal, and the Cassation Committee to the chairman of the judicial department for endorsement.

 

Article (28)

1. The Committee's ruling shall be deemed final if the involved value of the subject of dispute does not exceed Dhs100,000.

2. In respect of any higher values, the said committee's rulings may be challenged before the Committee of Appeal within 15 days from the day following the issuance of the said ruling in the presence of parties, and as of the day following serving the defendant the committee's ruling or his proven knowledge thereof if taken in absentia.

3. An objection for cassation may be filed against the rulings of the Committee of Appeal if the involved value of the dispute exceeds Dhs500,000 within 15 days from the day following the issuance of the said appealed decision taken in the presence of parties, and as of the day following serving the defendant the committee's ruling or his proven knowledge thereof if taken in absentia.

 

Article (30)

The procedures adopted for deciding on disputes and rulings thereon before the Rent Dispute Settlement Committee, the Committee of Appeal, and the Cassation Committee shall be governed by the valid regulations at the time of issuance of this law, until the issuance of a decision by the chairman of the judicial department in this regard.

 

Article (31)

1. All pending rent disputes currently considered at courts, with no date set for adjudication yet, shall be referred to the Committees formed by virtue of this Law.

2. The Court of Cassation shall consider rental disputes previously challenged before it prior to the issuance of this Law.

 

Article Two

Two new articles with No. (33) bis (1) and 33 bis (2) shall be added to the provisions of Law No. (20) of 2006 with the following texts:

 

Article (33) Bis (1)

All employees and officials of the Rent Dispute Settlement Committees shall be transferred to the judicial department, without prejudice to their rights and benefits. All their appropriations shall be transferred to the judicial department.

Article (33) Bis (2)

All deposits and financial appropriations related to Rent Dispute Settlement Committees shall be transferred from the General Secretariat of the Executive Council to the Judicial Department.

 

Article Three

This law shall become effective from the date of its issuance and shall be published in the Official Gazette.

 

Khalifa Bin Zayed Al Nahyan
Ruler of Abu Dhabi
Issued by us in Abu Dhabi
On: 26 Safar 1431 Hijri
Corresponding to: 10 February 2010