Understanding Tenant Rights: Can a Real Estate Company Deduct from Your Security Deposit?

Understanding Tenant Rights: Can a Real Estate Company Deduct from Your Security Deposit?

Exploring the legal aspects of tenant-landlord relationships in Dubai, the situation falls within the framework of Law No. 26 of 2007. This law governs the dynamics between lessors and lessees in the Emirate of Dubai, shedding light on the often-debated topic of security deposit deductions.

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In Dubai, landlords, or their authorized representatives, have the right to collect security deposits at the commencement of a lease. These deposits serve as a financial safeguard for potential maintenance expenses upon the lease’s termination. However, the responsibility lies with the landlord or their representative to refund the security deposit, or any remaining portion, to the tenant at the lease’s end. Article 20 of the Dubai Tenancy Law explicitly states:

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“The lessor may, upon concluding the lease, receive from the lessee a security to ensure the maintenance of the property upon termination of the lease period, provided the lessor shall refund such security or remaining part thereof to the lessee upon termination of lease.”

Real estate management companies may consider deducting costs for necessary maintenance post-lease termination. Article 21 of the Dubai Tenancy Law elaborates on the tenant’s responsibility to return the property in its original condition, barring normal wear and tear or damage beyond their control. Disputes on this matter can be referred to the Rental Disputes Centre (RDC) in Dubai, as specified in Article 21:

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“Lessee shall, upon termination of the lease, hand over the property to the lessor in the condition in which he received it at the time of leasing except for normal tear and wear or whatever was out of his control. In case of conflict between the parties in this regard, the issue shall be referred to the committee to decide thereon.”

The term “committee” refers to the RDC, the authorized judicial committee for resolving lessor-lessee disputes.

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Reviewing your tenancy/lease agreement’s terms and conditions regarding property maintenance is crucial. If you believe deductions are unjustified, taking professional and amicable steps is advisable:

  1. Engage in discussions with the apartment’s owner to resolve the matter amicably.
  2. If unsuccessful, refer the matter to the RDC for further resolution by registering a complaint on their website.
  3. Seek guidance from a legal practitioner in Dubai for specific advice and assistance tailored to your situation.

Navigating security deposit deductions requires a thorough understanding of Dubai’s tenancy laws and proper procedural steps. Approach the resolution process respectfully and armed with knowledge to protect your tenant rights. #DubaiTenantRights #SecurityDeposit #RentalDisputes #DubaiTenancyLaw #RealEstateDubai #LegalGuidanceDubai

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