9.3 The Rent Disputes Settlement Centre (RDC) and Alternative Dispute Resolution
Key Takeaways
Decree No. 26 of 2013 gives the RDC exclusive jurisdiction over rent disputes in Dubai and its free zones, except free zones with their own tribunals such as DIFC.
The RDC's mediation unit tries to settle within 15 days of the parties appearing, and a signed settlement has the force of a writ of execution.
First-instance judgments in claims below AED 100,000 are final, except eviction judgments and other listed cases (Article 17).
Appeals are lodged within 15 days, and an appellant against a money judgment deposits half the judgment amount (Article 18).
The RDC charges 3.5% of the annual rent for eviction and similar claims, with a minimum of AED 500 and a maximum of AED 20,000.
9.3 The Rent Disputes Settlement Centre (RDC) and Alternative Dispute Resolution
The legal module lists both the RDC and alternative dispute resolution (ADR). A broker is not a lawyer, but must know where each kind of dispute goes, how long it takes and what it costs, so that clients are not given wrong expectations.
1. Jurisdiction
Decree No. 26 of 2013 Concerning the Rent Disputes Settlement Centre (issued 18 September 2013, in force 60 days after publication) renamed and restructured the Special Tribunal for landlord–tenant disputes. Under Article 6 the RDC has exclusive jurisdiction to decide rent disputes over property in the Emirate or in its free zones, including counterclaims and urgent or interim applications, to hear appeals, and to enforce its decisions. It has no jurisdiction over:
- Rent disputes in free zones that have their own tribunals or courts, such as the DIFC, where the DIFC Leasing Law (DIFC Law No. 1 of 2020) and the DIFC Courts apply.
- Disputes arising from lease-finance contracts.
- Disputes on long-term leases registered under Law No. 7 of 2006.
Law No. 6 of 2019 later gave the RDC exclusive jurisdiction over disputes on jointly owned property (Article 42) and made unpaid service charges enforceable by its execution judge (Article 32).
2. Structure and timelines
| Unit (Article 7) | Role | Key timing |
|---|---|---|
| Mediation and Conciliation Directorate | Tries to settle the dispute amicably under a supervising judge; not used for urgent or interim applications | Aims to settle within 15 days of the parties appearing (extendable); limitation periods are suspended while it runs; a signed settlement approved by the judge has the force of a writ of execution, and half the filing fee is refunded if settlement is reached |
| First Instance Division | Tribunals of a judge (chair) and two members experienced in law and real estate | Must decide within 30 days of referral (extendable) |
| Appellate Division | Two judges and one real estate member | Its judgments are final |
| Judgment Enforcement Directorate | Enforces final judgments; may seek help from the Dubai Courts Execution Department | Eviction awards are executed through the Centre |
3. Appeals (Articles 17–18)
- First-instance judgments in claims below AED 100,000 are final, except where: an eviction judgment is issued; the judgment breaches jurisdiction rules; it grants relief not requested or more than requested, or ignores a request; the losing party was not properly represented or served; it rests on documents or testimony later found false; or a party concealed decisive evidence.
- The appeal period is 15 days from the day after the hearing at which judgment was given (or from service, if the losing party never appeared).
- To appeal a money judgment, the appellant deposits half of the judgment amount with the Centre, unless the chairman allows otherwise.
4. What the RDC applies (Article 19)
The tribunals decide by reference to (1) the legislation in force in the Emirate, (2) the provisions of Islamic Sharia, (3) principles of natural justice and fairness, and (4) custom that does not contradict law, public order or morals.
5. Fees (RDC published schedule)
| Claim type | Fee |
|---|---|
| Eviction, lease renewal, rent claim, termination of a current lease and similar cases | 3.5% of the annual rent, minimum AED 500, maximum AED 20,000 |
| Pure monetary claims | 3.5% of the amount claimed, minimum AED 500, maximum AED 15,000 |
| Add-ons | POA registration AED 25; process service AED 100; knowledge and innovation fees AED 10 each; AED 130 + VAT partner fee if filed through a Real Estate Services Trustee centre |
| Executing an eviction | 1% of the annual rent, maximum AED 5,000 |
Example: an eviction claim on a warehouse let at AED 850,000 a year: 3.5% = AED 29,750, so the fee is capped at AED 20,000.
6. Documents and language
A claimant normally files the Ejari-registered tenancy contract, the title deed and owner's ID (for landlords), identity documents, cheque copies or payment evidence, and any notices with proof of service. Documents not in Arabic should be accompanied by a certified Arabic translation.
7. Other dispute routes (ADR)
| Dispute | Route | Source |
|---|---|---|
| Lease with an arbitration clause | Parties may arbitrate; meanwhile the tribunal can issue interim awards to protect rights, and can appoint arbitrators if the parties fail to | Law No. 26 of 2007, Articles 32–33 |
| Developer and off-plan buyer | DLD may attempt conciliation; a written settlement confirmed by DLD binds both | EC Resolution No. 6 of 2010, Article 14 |
| Off-plan buyer default | DLD's 30-day notice and mediation before the developer acts | Law No. 13 of 2008, Article 11 (Law No. 19 of 2020) |
| Brokerage fee disputes | DLD's brokerage dispute council, only if the brokerage agreement provides for it or the parties later agree in writing; decision within 30 days | Bylaw No. 85 of 2006, Articles 34–38 |
| Cancelled or unfinished projects | Special tribunal | Decrees No. 21 of 2013 and 33 of 2020 |
| Jointly owned property disputes | RDC | Law No. 6 of 2019, Article 42 |
A tenant claims the return of a AED 35,000 security deposit and loses at first instance; no eviction or procedural defect is involved. Can the tenant appeal?
Yes, any judgment can be appealed within 30 days
Yes, on payment of a AED 10,000 appeal fee
No: judgments in claims below AED 100,000 are final unless a listed exception applies, such as an eviction judgment or a jurisdiction or service defect
No, because deposit disputes can only be mediated
A company files an eviction claim at the RDC against the tenant of a warehouse let at AED 850,000 a year. What is the basic filing fee?
AED 29,750, being 3.5% of the annual rent
AED 20,000, because 3.5% (AED 29,750) exceeds the AED 20,000 maximum for eviction-type claims
AED 42,500, being 5% of the annual rent
AED 500, the flat fee for commercial leases
A landlord and tenant settle their dispute in the RDC's Mediation and Conciliation Directorate, and the supervising judge approves the signed settlement. What is the legal effect?
It is a non-binding memorandum that either side may ignore
It must still be confirmed by the Appellate Division
It is binding only once registered in Ejari
It has the force of a writ of execution, and half of the claim registration fee is refunded
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