Question: I've resided in a Dubai apartment for the past three years. Upon moving in, the real estate company levied a fee on me, but now they are imposing a Dh1,000 'service fee' and a Dh200 Rera fee every time I renew my tenancy contract. I received the renewal notice last week, and these charges are listed again. Is this permissible? Is this lawful?
Answer: In Dubai, a tenancy contract outlines the respective rights and duties of the landlord and tenant concerning the rented property. Additionally, the contract specifies how various payments, such as government fees and taxes, are agreed upon and detailed between the landlord and tenant based on the contract's terms. Typically, tenants are accountable for these payments unless the lease contract explicitly states otherwise. This is stipulated in Article 22 of Law No (26) of 2007 Regulating the Relationship between Landlords and Tenants in the Emirate of Dubai, which states: “Unless the Lease Contract states otherwise, the tenant must pay all fees and taxes owed to government entities and departments in relation to the use of the real Property, and must pay the fees or taxes prescribed for any sublease of the real property.” The Rera registration fees are obligatory government charges that you, as a tenant, must pay. Therefore, according to the Tenancy Law, you are required to pay the charges unless your tenancy contract states otherwise. The landlord may rightfully claim the service charges if you had agreed to such charges in your tenancy contract. In the event of no amicable resolution regarding this matter between you and your landlord, you may approach the Rental Dispute Centre of Dubai to resolve the issue amicably.
Ashish Mehta is the founder and Managing Partner of Ashish Mehta & Associates. He is qualified to practice law in Dubai, the United Kingdom, and India. Full details of his firm can be found at: www.amalawyers.com. Readers may email their questions to: news@khaleejtimes.com or send them to Legal View, Khaleej Times, PO Box 11243, Dubai.