New Rental Disputes Settlement Centre Established in Dubai

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In his capacity as the Ruler of Dubai, UAE Vice President and Prime Minister His Highness Sheikh Mohammed bin Rashid Al Maktoum has issued Decree No. 26 of 2013 establishing the ‘Rental Disputes Settlement Centre’ as part of the Land Department in the emirate of Dubai.

The establishment of the centre aims to enhance legal procedures that facilitate the settlement of rental disputes which, in turn, will reflect positively on socio-economic stability among members of the community.

The regulations set forth by the decree apply to the Special Judicial Committee for Rental Disputes which was established by Decree No. 2 of 1993 and its amendments.

The mandate of centre, as per Decree No. 26 of 2013, includes the settlement of all rental disputes for properties in Dubai and free zones within the emirate (unless such disputes are assigned to judicial committees or special courts for the purposes of rent dispute settlement), lawsuits arising from such disputes, requests for urgent action by either of the disputing parties, appeals on rulings and sentences which may be challenged for appeal as per the decree and its ensuing regulations and decisions.

As per the decree, the centre is not tasked with the settlement of rental disputes arising from financial leasing contracts in addition to disputes arising from long-term rent contracts that fall under the provisions of Law No. 7 of 2006 concerning property registration in the emirate of Dubai.

The Chairman of the Dubai Judicial Council is authorised to issue necessary decisions to implement the provisions of the decree. The centre, its committees and departments are to be headed by judges. Members of various committees will comprise legal professionals and experts. Decisions and rulings are to be issued on behalf of His Highness the Ruler of Dubai unanimously or by a majority vote.

The decree defines the organisational structure of the centre, both legal and administrative. The legal section will include departments for conciliation and mediation, trial chamber and appeals chamber in addition to a department tasked with implementing sentences and rulings. The administrative section will include a number of organisational units tasked with providing technical and administrative support to the legal section.

The decree will be published in the official gazette and is effective after 60 days from its date of publication.

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