Unhappy about rent hike? Approach municipality

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Unhappy about rent hike? Approach municipality

In Sharjah, the landlord is not allowed to hike the rentals for three years once the rent agreement is signed for the first time.

By Ashish Mehta

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Published: Sat 5 Mar 2016, 11:00 PM

Last updated: Mon 7 Mar 2016, 9:34 AM

We live in Sharjah in a two bedroom apartment. We will be completing three years in the house and the current rent is Dh25,000. We hadn't received any notification regarding rent hike, but when we approached the landlord for renewal, he is demanding a 100 per cent rent hike. Which means, our rent will be Dh50,000. After negotiations, he has agreed for Dh45,000.
The building is quite old and lot of bachelors are staying here. I think the rent was increased in the hope that we would vacate the apartment and it can be leased out to bachelors at a higher rent. But we would like to continue living in the same building as shifting is very hectic.
My questions are: Can a landlord increase the rent after three years like this? What should be our action in this case? Do we have to agree with the landlord? Is there any protection for tenants after three years?
Your landlord is within his rights to increase the rent for the apartment upon completion of three years, in accordance with the prevailing regulations in the emirate of Sharjah regarding rentals. But if you find the increase unreasonable, you can file a complaint at the rent regulation department to decide on a proper increase. It should be noted that in the emirate of Sharjah, the landlord is not allowed to hike the rentals for three years once the rent agreement is signed for the first time with the tenant. Further, there is no requirement for you to agree with the landlord, you can still negotiate and come to an amicable settlement.
You may contact the Sharjah Municipality to confirm if the increase in rent is justified. If the same is not justified, you may consider approaching the Rent Control Committee of the Sharjah Municipality and file an application for amicable settlement of the dispute.
No ban if employee has skills
I am currently working in Abu Dhabi. I have done my MBA and joined a company five months ago as an accountant and administration assistant. The company is facing loss but they still pay salary on time. My question is would there be any problems for me if I move to another company after six months?
It may be noted that as per the new Ministerial Order No. 766 of 2015 issued by the Ministry of Labour with effect from January 1, an employer and employee may mutually consent to terminate the employment contract during the term provided the employee has completed at least six months of employment or if the employee is eligible for the skill levels classified by the ministry.
Further, the automatic labour ban of six months is waived if the employee has skills or professional levels classified as level 1, level 2 and level 3 by the Ministry of Labour.
Since you hold an MBA post-graduate degree and is employed as an accountant cum administration assistant you fall under the purview of the first professional level, under which Dh12,000 monthly salary is required to take up new employment before expiry of your contract period. It is assumed that your educational certificates are duly attested as per the requirements of the Ministry of Labour.
Article 4 of the Ministerial Order No.1186 of 2010 states that: "As an exception to the provision of the Item No. 2 of Article 2 of this Resolution the Ministry may issue a work permit to an employee without requiring the two-year period in the following cases:
a) In the event that the employee is starting his new position at the first, second or third professional levels after fulfilling the conditions for joining any of these levels according to the rules in force at the Ministry, and provided that his new wage is not less than Dh12,000 at the first professional level, Dh7,000 at the second professional level and Dh5,000 at the third professional level."
Ashish Mehta is the founder and Managing Partner of Ashish Mehta & Associates. He is qualified to practise law in Dubai, the United Kingdom, Singapore and India. Full details of his firm on: www.amalawyers.com. Readers may e-mail their questions to: news@khaleejtimes.com or send them to Legal View, Khaleej Times, PO Box 11243, Dubai.


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