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Dubai: Can real estate company deduct money from tenant’s security deposit? – News

Published: Sunday, December 31, 2023, 09:44

Ask: I stayed in a one-bedroom apartment in Dubai for four years and left recently. While I was following up on my security deposit, the real estate company said they would deduct Dh800 as expenses for repainting the flat. Is this legal? If not, how do I fix it? What is the procedure?

Answer: This case is governed by the provisions of Law No (26) of 2007 that regulates relations between landlords and tenants of properties in the Emirate of Dubai.

It should be noted that it is legal in Dubai for a landlord (or his authorized representative) to obtain security deposits from tenants at the beginning of the lease for the maintenance of the leased property at the end of the lease period. However, the landlord (or the landlord’s authorized representative) is obligated to “refund such security or the remaining portion thereof” to the tenant at the end of the lease. This follows article (20) of the Dubai Leases Law, which reads as follows:

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“The lessor may, at the conclusion of the lease, receive from the lessee a guarantee to guarantee the maintenance of the property at the end of the rental period, provided that the lessor repays said guarantee or the remaining part of it to the lessee at the end of the lease. leasing contract”.

Therefore, the interested real estate management company may request deductions for any maintenance work on the leased property, once the lease contract for the property has ended.

You may also refer to the provisions of Article (21) of the Dubai Leases Law, according to which, upon termination of the lease, it is the duty of the tenant to deliver the leased property to the owner in the condition in which the tenant had received the property , except for normal wear and tear or damage caused by causes beyond the tenant’s control. However, if a dispute arises in this regard, such dispute may be referred to the Rental Dispute Center in Dubai. Said article (21) says the following:

“The lessee must, upon termination of the lease, deliver the property to the lessor in the condition in which it was received at the time of the lease, except for normal wear and tear or anything that was beyond its control. In case of conflict between the parties in this regard, the matter will be referred to the committee for decision.”

The term “committee” is defined in the Dubai Leases Law as “the judicial committee competent to resolve disputes between landlords and tenants.” Currently, the RDC is the judicial committee authorized to resolve disputes between landlords and tenants, that is, between landlords and tenants.

You may also carefully read the terms and conditions for maintenance of the leased property as described in the lease/lease agreement.

After considering the provisions of the Dubai Leasing Law and the provisions of your rental/lease agreement, if you still believe that the deductions are not justified, you can try to resolve the matter amicably through discussions with the apartment owner. If you cannot reach an agreement with the apartment owner, you can proceed to refer the matter to the RDC for resolution.

You can register your complaint on the RDC website to initiate the necessary procedures. After registration, you will receive more information and instructions on next steps. However, it would be advisable on your part to consult with a lawyer in Dubai who will be able to provide you with the necessary advice and assistance on the matter.

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