Q: Dear Mr Naser, My cheque returned due to insufficient funds. I received a text from my bank regarding bounced cheque and deposited funds to cover the amount and tried to reach my landlord, offered her cash delivery in an hour or bank transfer not to cause any inconvenience due to any delayed payment. She refused it. Next day, I received an email from her that she has proof from my bank that it bounced back due to insufficient funds (which is true) and wants to meet me with her lawyer and asks for AED 5,000 penalty. There's a clause added on my contract; "IN CASE OF ANY CHEQUE BOUNCE FOR ANY REASON, THE PENALTY WILL BE AED 5,000 PER CHEQUE & TENANCY CONTRACT WILL BE TERMINATED & SECURITY DEPOSIT WILL BE NON-REFUNDABLE". Is the added clause legal? Isn't it too harsh? I tried to find it on RERA or RDC but wasn't able to find info. I tried hard to pay them on the same day but they didn't accept. Looks like they are trying to benefit from the situation and making another AED 5k. Can you help me?

Q: The landlord is taking 4000 from our final deposit for bounced cheques which happened in 2015, 2016, and 2017. We lived in this property since 2015 and now when we are finally moving out, he decided to charge us for these fees of 1000 per cheque now in 2019. Is this possible?

Q: I was late to pay my rent by 24 hours last month since I had a delay in salary payment but had the integrity to pay the money just a few hours after the cheque was bounced. Today, I am getting a notice from the landlord to pay a fine of AED 500. I just wish to know if it's is legal according to the law.

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 residential retail properties pertaining to the liability for property maintenance and the repercussions of defaulting on rent payments in the UAE. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.

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. 

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.

This Decree establishes a specialised judicial system to hear rent disputes and develops the procedure for determination of such disputes through an expeditious and simple process for the purpose of realising social and economic stability for all persons involved with the real property rental and other related sectors.