Question: My landlord notified me via email about a rent increase on January 8 and the tenancy agreement expires on March 31.
After going back and forth over email, we settled for an amount. But the landlord sent me a 12-month eviction notice, citing his desire to sell the property.
Even though I agreed to the rent increase over email, can I now refuse to accept it because the notice was served less than 90 days before contract expiry?
I have yet to sign the renewal tenancy agreement and wish to renew it according to the current rental amount.
I also want to place a block on the Ejari of my landlord’s apartment.
Is it possible to do so immediately after I move out or should I wait for the landlord to rent out the unit to another tenant at a higher price? VC, Dubai
Answer: Although you have agreed to the rent increase, technically, you could still contest it as the communication for changing the contract was done outside the 90-day window.
If the owner does not agree to change again, stating that he thought an agreement was in place, you will have no alternative but to file a case at the Rental Dispute Settlement Committee (RDSC) in Dubai.
I cannot confirm what the outcome would be, given that the UAE's laws are not set on precedent.
The judge could find in your favour, or the fact that you had previously agreed could work against you.
You need to explain to the landlord your reasons for no longer agreeing to the rent increase. The best option would be to work out a mutually acceptable agreement.
Under Law 33 of 2008, landlords are not allowed to send a 12-month eviction notice to an existing tenant, saying he or his first-degree next of kin intend to move in, even though they plan to re-let the property at a higher rent.
By evicting an existing tenant under these circumstances, a landlord cannot re-let the property for a period of two years.
However, when the eviction is for the reason of selling, the law is silent as to the ability to re-let going forward.
Should the property not be sold, any decision as to what happens next will be based on what a presiding judge at the RDSC states is his will.
You will have to test the court system by filing a case at the RDSC to see if the judge will offer you compensation for being evicted under the grounds of selling, but the owner then goes on to re-let it again.
I would suggest you contact Ejari to understand what can be done with future Ejari contracts in this situation.
Clearly, the law is in place to stop landlords from evicting tenants unnecessarily to gain the maximum rent by leasing the place to someone else.
However, further investigation and consideration is also a play when deciding what to do.
Q: My previous landlord evicted me because he wanted to renovate the villa and then he moved in to the property.
My current landlord has been issuing notices of sale to most of his tenants in the community, but there are no obvious signs of selling.
I am facing the prospect that I may move out later this year. If I resist and continue to stay, is it easy for the landlord to demonstrate that he is selling by providing a simple contract in partnership with a broker?
Can I win my case if the property is rented within two years? However, the law is not punitive. While it appears to protect the tenant, it only provides compensation for costs incurred.
If the tenant’s compensation includes only moving and storage costs, it is much less than the increase in rent that landlords are now demanding.
Please advise as to what I should do. OT, Dubai
A: The first thing to point out is that the law in the UAE is not set on precedent and past examples are not necessarily a barometer of future situations.
My understanding is that if a landlord evicts a tenant and then goes on to re-let to someone else for the reason of achieving a higher rent, the law protects the interest of the tenant by offering compensation.
This compensation does not include only moving costs but also the yearly rent.
sales director, AX Capital
People face different situations and will get varied solutions when filing cases at the RDSC, so it is not easy to confirm what outcome is likely.
If the landlord wishes to evict you for the reason of renovations, he has to show approvals from entities such as the municipality. This stops landlords from using this excuse without proper thought or paperwork.
If the landlord states that he is selling, he needs to send a 12-month notice of the same stating this reason.
Unfortunately, when rents are trending upwards, it is common for landlords to try to maximise their investment by requesting the highest rent possible.
However, it is clear that the law is fair and protects the interests of all parties.
Mario Volpi is the sales director at AX Capital. He has worked in the property sector for 39 years, in London and Dubai. The opinions expressed do not constitute legal advice and are provided for information only. Please send any questions to m.volpi@axcapital.ae
