27 January 2008

Sharjah: Tenants in Sharjah say they are dissatisfied with the Rent Dispute Arbitration Committee, claiming that its employees lack appropriate knowledge, and that the committee does not protect them from drastic rent hikes.

On June 7, 2007, Gulf News reported that Sharjah issued a law preventing landlords from increasing rent for the first three years of the tenancy contract, then two years for any additional increase.

"I was surprised to be rejected when I contacted the Rent Dispute section who informed me there is no such law," said Munir Ahmad, who was confused as to whether the law existed or not.

Favouring landlords

Fahad Al Shuhail, Director of Consumer Protection at Sharjah MunicipalitySharjah Municipality, confirmed that the law was in effect and that a rent cap does not exist in Sharjah.

Residents pleaded with Sharjah MunicipalitySharjah Municipality to work with the Rent Committee because they said that their decisions are not always satisfactory and usually favour the landlords.

Azya Jamil, a businessman who has operated a women's clothing shop for six years in Al Taawun Mall, said that he was informed by the owner, the Sharjah Awqaf (Endowment), Department to evacuate the building in 2006.

"Awqaf officials told me that the shopping centre will be converted to a business centre, but why I am the only tenant evacuating? A showroom has been recently leased out to a motor-bike dealer, and the same principle should be applied to them," he said.

No official letter was delivered to him confirming that the shopping centre would be turned into a business centre.

An official at the Sharjah Economic Development Department said that the conversion of Al Taawun Mall is currently under discussion and that it will take at least two years before any development takes place.

Complaint lodged

Jamil went to the Rent Committee to lodge a complaint and had his contract renewed at the municipality until May 2008.

He said the Awqaf Department then filed a case against him, which led to the Rent Committee rescinding their decision and ordering him to vacate the premises within two weeks. Officials at the Rent Committee refused to comment when contacted by Gulf News.

"[Tenants] should have the proper protection they deserve and we should not be asked to leave if we pay our rent on time. The committee based its decision on the fact that tenants are only protected from being evacuated within the first three years and not after that."

Abdul Qadir Khader, an official at the Investment Department in Sharjah Awqaf, insisted that the shopping centre would soon be turned into a business centre, but refused to elaborate on how many shops were told to evacuate.

"We wanted Jamil to vacate because he wanted to decorate his shop, and right now we only want to rent out the premises for offices," Khader said.

By Mariam M. Al Serkal

© Gulf News 2008. All rights reserved.