Does a tenancy contract supersede the laws of the Real Estate Regulatory Agency (RERA)?

Dear Questioner,

Regarding rental contracts in Dubai, the Rental Law regulates the relationship between the landlord and the tenant, and this law is the primary reference in the event of any conflict with the terms of the contract.

A. Does this addendum supersede the laws of the Real Estate Regulatory Agency (RERA)?

No, no addendum or clause in the rental contract can override or conflict with the laws of the Real Estate Regulatory Agency (RERA) in Dubai.

In the event of a conflict, the provisions of the law prevail over the terms of the contract.

B. Does the contract automatically renew, or is it considered terminated as per the conditions of the addendum?

According to the Dubai Rental Law, if the tenant continues to occupy the property after the expiry of the contract term without objection from the landlord, the contract is considered automatically renewed with the same previous terms.

However, if the contract or addendum stipulates that the landlord must notify the contract owner of his/her intention not to renew before a specific period (such as 90 days), this must be adhered to in order to avoid any future disputes.

C. How much should be paid to the landlord if the tenant vacates a week after the expiry of the contract?

If the tenant vacates the property after one week of the contract expiry without prior notice in accordance with the terms of the contract, the landlord may be entitled to compensation for the period the tenant occupied the property after the contract expiry.

This compensation is calculated based on the daily rent of the property. For example, if the monthly rent is AED 10,000, the daily rent is approximately AED 333. Therefore, for an additional week, the amount due may be approximately AED 2,331.

Hello,

No, this addendum does not supersede RERA laws. In the UAE, rental agreements are regulated by laws set by RERA (Real Estate Regulatory Agency), and these laws govern issues such as lease renewals, tenancy disputes, rental increases, and penalties for overstaying or failure to vacate.

While the addendum outlines specific terms for renewal, termination, and penalties for overstay, any clause in the contract that contradicts RERA regulations would be unenforceable.

This means that if the addendum contains terms that violate local rental laws (for example, if the overstay fee is excessive or if notice periods are shorter than required by law), the terms outlined by RERA would prevail.

RERA usually requires that the tenant or landlord give a notice of renewal or termination of the lease in a timely manner.

For example, in Dubai, tenants are generally required to notify the landlord about their intention to renew the lease at least 90 days (3 months) before the contract expires.

If a tenant stays beyond the contract expiration date without renewing the lease, RERA allows landlords to impose an overstay fee.

However, the overstay fee must be reasonable and not punitive. The UAE law does not generally allow automatic renewal unless agreed upon by both parties.

If there is no explicit agreement to renew, the contract terminates at the end of the term.

For a detailed discussion, kindly share your WhatsApp number.

Dear Inquirer,

No, the addendum cannot supersede RERA laws. Any terms in a tenancy contract must comply with Dubai's rental laws. If any provisions in the addendum are contrary to RERA regulations, the laws will prevail.

According to the conditions of the addendum, the contract is considered terminated if the tenant does not inform the landlord three months prior to the expiration of the contract. Therefore, it does not automatically renew.

If the tenant vacated a week after the expiry of the contract, they would be liable for the overstay fee as stipulated in the addendum.

Typically, this fee is calculated based on the terms set out in the tenancy agreement or local regulations. If the overstay fee is not specified in the addendum, it would be prudent to refer to the original tenancy contract or RERA guidelines to determine the exact amount.

In many cases, landlords may charge a daily rate for the overstay. It is best to have a lawyer present to prevent any risks that may occur

If you need further clarification, you can contact us.

Dear Questioner,

Thanks for your inquiry!

Regarding the above, we would like to inform you that:

a) No, the addendum does not supersede RERA laws. RERA laws still apply and must be followed.

b) As per the conditions of the addendum, the contract is considered terminated if the tenant fails to inform the landlord of their intention to renew the contract or if the landlord chooses not to renew the contract.

c) If the tenant vacated a week after the expiry of the contract, they would be liable to pay the landlord the overstay fee as stated in the addendum. The exact amount would depend on the terms and conditions of the addendum.

Kindly do not hesitate to contact us via phone or email for further assistance.

Regards,

Hello,

In accordance with Dubai rental laws, the contract is binding on both parties, provided that it does not contradict the applicable laws, which state that a rental contract is automatically renewed under the same terms unless either the landlord or tenant raises an objection.

In this case, if the tenant does not wish to continue the tenancy, they are required to inform the landlord three months in advance as agreed.

Failing this, the landlord may have grounds to seek compensation, as the contract would be considered automatically renewed for another term.

The tenant should ensure to hand over the keys formally to end the tenancy relationship, as the landlord may not accept the termination without the agreed-upon penalty being paid, which is common in such circumstances.

My advice to the tenant is to negotiate with the landlord, as failing to provide sufficient notice has impacted the landlord’s ability to find a new tenant.

Given the current favorable market, the landlord may be able to re-rent the property at a higher rate than the previous rent. Therefore, it’s advisable to attempt to exit with minimal losses and secure a written acknowledgment of the key handover and vacation of the property.

Dear questioner

a. No, an addendum cannot supersede RERA laws. RERA (Real Estate Regulatory Agency) laws are the primary governing body for tenancy contracts in Dubai.

b. According to the addendum, the contract is not automatically renewed. Clause 2 explicitly states that failure to execute a renewal at the landlord's discretion will result in automatic termination.

c. The addendum states that an overstay fee will be applicable from the day after the contract's expiry. The exact amount of this fee would typically be specified in the contract or the addendum itself. If not explicitly stated, it's generally calculated based on the daily rental rate.

a. No, an addendum cannot supersede RERA laws. RERA laws are the primary legal framework governing tenancy agreements in Dubai. Any clauses in the addendum that contradict RERA laws will be deemed null and void.

b. According to the addendum, the contract is not automatically renewed. Clause 2 explicitly states that failure to execute a renewal at the landlord's discretion will result in automatic termination.

c. If the tenant vacated a week after the expiry of the contract, they would be liable to pay an overstay fee for that one week. The exact amount of the overstay fee would depend on the specific terms of the tenancy agreement and any additional clauses in the addendum.

We will let you know how this addendum works in your case compared to RERA guidelines. Kindly share your WhatsApp number to discuss this further.