Q: In case of a long-term lease with a commercial tenant for eg 5 years and the tenant wants to break the contract say after 3 years. The termination clause in the agreement states that the tenant has to pay a minimum rent for 3 years + termination penalty equal to 6 months + 3 months notice period. The query is, at the time of termination, lease agreement ceases and the tenant is liable to pay the termination penalty + notice period immediately or as per the terms of the lease agreement? Assume the tenant wants a payment plan, can he lock up the premise and not hand over the keys till the minimum rent period (i.e 3 years) and whether late payment fees is applicable? (assume the lease agreement states late payment fees for non-payment), if applicable whether the calculation should be from termination date or the lease due dates? I believe the late payment fees should be from the termination date and not on lease due dates since the lease agreement is terminated by way of the notice.

Q: What are the tenant's termination rights of a commercial lease in RAK if the rent is being paid based on production and no advance rent paid? The contract does not provide the right to terminate for the tenant. Thank you.

Q: Sir, I have taken an office in Dubai for three years starting from 1st April 2015 to 31st March 2018. Due to slow business conditions, I am forced to reduce expenses and planning to vacate current office and move to a smaller one. Unfortunately, there is no early termination clause in the lease agreement. Please advise what is the penalty in such cases as per government law. Thanking You, Kind Regards.... Kuttan

Q: The landlord has complained in the Rental Disputes Center that we are not vacating and has demanded 10 months rent. Whereas our shop was already vacated and DEWA final bill was also done. In this case, what is my right and how should I proceed?

Q: I had issued rental cheques meant to be replaced by a new manager/owner taking over my company and bank accounts later on (for which I remained a silent partner). the cheques were not replaced and were bounced by the landlord upon non-payment. I am no more the bank signatory or the manager on the trade license. But they have filed a criminal case in Dubai police against my name since I signed the cheques. The rental dispute case is against the current manager. How do I close my Dubai police case? And in the event of closure will I be liable to pay the rental dispute case too? Your reply will be highly appreciated.

Q: Good evening, My tenant in JLT has subleased the apartment to bachelors. I would like to send him a notice to vacate pursuant to article 25 of Law No. (33) of 2008 Amending Law No. (26) of 2007. Is there a standard template to send a notice? Can I send it by registered post?

Q: Good morning. Kindly help me out with the below query: If a sole establishment is converted into an LLC, what would happen to the existing Lease Agreement with the Sole Establishment as the tenant? Thank you.

Q: The landlord has filed a case against me for not paying the shop rent. I notified the owner when I sold the shop in Feb 2022 and the POA was given to the new owner but he took my EID in the contract for renewal. He said it was just for one month and after that, the new owner would cancel the contract because he didn’t have EID for renewal. I requested NOC several times from the landlord but they didn’t give it to me. My contract in which he took my signature expired on 16 March 23 and all the cheques were paid, and the payment was done by a third party too till Sept 24. From March 23 till Sept 24, I didn’t make any agreement with the landlord. Also, the trade license expired in Dec 2023 and was not renewed. I have no idea how the landlord collected cheques till Sept 2024 without a contract, and he doesn’t have any copy of the contract with him. Now he filed a case against me with old documents instead of the new owner's name in the case. It is sold to 3 people after me. My question here is, am I liable to pay the rent and fines?

The relationship between tenants and landlords is regulated in Dubai by Law No. 33 of 2008 Concerning the Relationship Between Landlords and Tenants in the Emirate of Dubai. The arising rental disputes are referred to Rental Disputes Settlement Centre (“RDSC”) created by Decree No. 26 of 2013 to reconcile between the parties and reach an amicable settlement or seek a final judgment issued and enforced by the RDSC.

An interview-format article covering the topic of defaulting on commercial lease in the UAE and related procedures. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW. In this article, Ludmila discusses what one should do if the tenant becomes unresponsive.

In the UAE, the relationship between landlords and tenants in terms of their responsibilities is primarily governed by Federal Law No. 5/1985. This law covers commercial properties without addressing the part related to maintenance and duties. However, it is common for commercial tenants to assume responsibility for repairs and upkeep.

ما هو مصير الشيكات المرتجعة لغلق الحساب أو مضي مدة تقديمها؟ هل يمكنني فتح بلاغ بشأن ارتجاع الشيك في الإمارات؟ وما هو الفرق بين عقد الإيجار وعقد الاستثمار في إمارة أبوظبي؟

The provisions of this Law apply to real property leased out in the Emirate of Dubai, including vacant and agricultural lands, but excluding hotel establishments and real property provided by natural or legal persons as accommodation to their employees at no charge.

Provisions of this Law supersede articles (2), (3), (4), (9), (13), (14), (15), (25), (26), (29), and (36) of Law No. (26) of 2007 Regulating the Relationship between Landlords and Tenants in the Emirate of Dubai.