SharjahSaturday, September 25, 2004

Tenants failing to renew their rental contracts within 15 days will lose the protection of the law that prevents landlords from hiking rents in the first three years, a legal spokes-man for the municipality said.

Municipality officials, however, have given businesses a grace period of up to 30 days to renew their tenancy agreement to maintain tenancy law protection.

Hamdi Abul Wahab, an official from the rent-dispute committee at the municipality, told Gulf News that a lack of awareness about rent laws has been a sticking point for many tenants who had hoped to settle rent-hike disputes at the municipality. He said landlords have claimed these tenants had failed to act despite repeated calls to renew their tenancy agreements.

"Landlords cannot hike rents for three years after tenancy contracts are registered at the municipality. However, if tenants fail to renew their contracts within 15 days from the expiration date, the landlords have the right to cancel the contracts. Many customers are not generally aware of this law," Abul Wahab said.

He said many tenants seeking municipal intervention over rent hikes had been turned away simply because they had turned up more than 15 days after the tenancy expiration date.

Gulf News yesterday spoke to tenants who sought municipal intervention. They blamed landlords for misusing rent laws to hike rents and said they only knew their tenancy contracts would be cancelled when the 15-day period elapsed.

After losing legal protection, many tenants are in a dilemma and wonder whether to pay hefty rent hikes or move out of their apartments.

Carlotte Gariplan, a Filipina executive at Sharjah Airport, said she was unaware of the 15-day rule. She said she told her landlord she would renew her tenancy contract after receiving notice of the rent hike.

She has been living in a one-bedroom apartment for Dh13,000 in Al Naba'a since last year. Now she is being asked to pay Dh17,000.

When she came to settle the dispute at the municipality, she was told it was too late. To her surprise, she was also told that her tenancy contract was not registered last year.

"I received notice of a rent hike on September 4, the date when my tenancy contract actually expired. I did not agree with the hike and asked the landlord to renew my contract. After 15 days, the landlord asked me to move out. Today, September 22, I sought municipal intervention, but was told it is too late."

Several real estate agents who did not want to be named acknowledged such cases are happening with increasing frequency.

"Some tenants who rent apartments from landlords are more likely to have such problems. They often fail to get their tenancy contract registered at the municipality," a agent said.

Another agent said: "We always make sure all tenancy contracts are registered at the municipality. We also alert tenants about renewals."

Alaa Mazin, an Iraqi civil engineer who has been living in a three-bedroom apartment in Abu Shagara for two years, said landlords tend to give rent-hike notices when the tenancy agreement is near the end.

"Regardless of the three-year law, the landlord asked me to pay more for my apartment.

"The standoff continued and when I sought municipality intervention after 15 days, the municipality did not accept my point of view. I was told the landlord had already claimed I had failed to renew my contract," he said.

Mazin had to move out of his apartment and is now looking for new accommodation for his family.

Municipal intervention sought

Many aggrieved tenants in Sharjah seek municipal intervention to resolve rent dispute. They blamed landlords for misusing rent laws.

"I received notice of a rent hike on September 4. I did not agree with the hike and asked the landlord to renew my contract. After 15 days, the landlord asked me to move out. Today, September 22, I sought municipal intervention, but was told it is too late. I do not know what to do," said Carlotte Gariplan, a Filipina executive at Sharjah Airport.

"Regardless of the three-year law, the landlord asked me to pay more for my apartment," said Alaa Mazin, an Iraqi civil engineer. "Some tenants often fail to get their tenancy contract registered at the municipality," a real estate agent said.

Gulf News