Moving Out Of A Dubai Rental? Know Your Rights On Early Termination, Security Deposits And Ejari Cancellation

Most tenants only discover how complicated the end of a tenancy can be when they are actually preparing to leave. Under Article 7 of Law No. 26 of 2007 Regulating the Relationship between Landlords and Tenants in the Emirate of Dubai, as amended by Law No. 33 of 2008, a valid tenancy contract remains binding on both the landlord and tenant for its agreed term. It cannot generally be terminated unilaterally during that period unless termination is permitted by the law.

Accordingly, moving out and returning the keys does not, by itself, necessarily bring the tenant’s contractual obligations to an end. Whether a tenant is leaving at the end of the agreed term or seeking to exit earlier, the applicable contractual terms and legal requirements must be considered carefully. Two issues commonly arise during a move-out: whether and when the security deposit must be returned, and ensuring that the tenancy and its Ejari registration are properly brought to an end.

 

When Both Sides Agree To Part Ways

 

Sometimes, the cleanest way to leave a tenancy early is simply for the landlord and tenant to agree. Article 7 of Law No. 26 of 2007 provides that a valid tenancy contract cannot be unilaterally terminated during its term by either party, except where termination is permitted under the law. Mutual consent is one of the recognised routes for ending the contractual relationship.

 

If both parties agree to an early exit, they can settle the termination date, rent payable up to that date, handover arrangements and the treatment of the security deposit. The agreement should be recorded in writing and signed by both parties. This is particularly important where the tenant is leaving before the contractual expiry date, as a clear written agreement can establish that the landlord has agreed to the termination and to release the tenant from the remaining contractual term, subject to the terms agreed between the parties.

 

When The Tenancy Contract Provides An Exit

 

The next place to look is the tenancy contract itself. Some contracts contain an early termination or break clause setting out when the tenant may leave, the notice required and any payment that may become due upon early termination. The precise wording of the clause can therefore have significant practical consequences for a tenant seeking to leave before the agreed expiry date.

 

There is no single statutory early-termination penalty that automatically applies to every Dubai tenancy. The tenant's position will depend on the contract, the circumstances and the applicable law. A tenant should therefore not assume that a commonly used “two months' rent” or another early termination charge is automatically imposed by Dubai tenancy legislation. If the contract contains a specific termination mechanism, the tenant should comply with its requirements and retain evidence showing that the required notice was properly given and received.

 

When The Landlord Fails To Meet Its Obligations

 

A tenant's position may be different where the reason for leaving is connected to a failure by the landlord to perform its obligations. Article 16 of Law No. 26 of 2007 provides that, unless otherwise agreed, the landlord is responsible during the tenancy for maintenance and for repairing defects or damage affecting the tenant's intended use of the property. Article 15 also requires the landlord to hand over the property in a condition that allows the tenant to make the intended use of it.

 

A serious and unresolved failure may therefore give rise to a dispute before the Rental Disputes Centre. The tenant should first document the problem, notify the landlord and retain evidence of the response or failure to act. Simply vacating the property without addressing the contractual and legal consequences can create a separate dispute over rent or other liabilities. The circumstances of each case will need to be assessed on their facts rather than assuming that a maintenance problem automatically permits the tenant to terminate the lease.

 

The position also needs to be considered in light of the new Civil Transactions Law, Federal Decree by Law No. 25 of 2025, which came into force on June 1, 2026. Article 738 provides that either contracting party may, for a “supervening excuse” relating to that party, request termination of the lease, subject to liability for damage arising from the termination within the limits recognised by custom.

 

This is not an automatic right to walk away from a tenancy whenever a tenant's circumstances change. Whether a particular circumstance amounts to a qualifying supervening excuse will depend on the facts, the evidence and the applicable legal principles. A tenant should therefore obtain appropriate legal advice before relying on this provision as the basis for early termination.

 

Protecting Your Security Deposit

 

For many tenants, the security deposit is the final financial issue to be resolved. Article 20 of Law No. 26 of 2007 allows a landlord to obtain a security deposit to ensure maintenance of the property upon expiry of the tenancy and requires the landlord to refund the deposit, or the remaining balance, to the tenant upon expiry of the lease.

 

The condition in which the property is returned is therefore important. Under Article 21, the tenant must surrender the property in the condition in which it was received, subject to ordinary wear and tear and damage arising from reasons beyond the tenant's control. Where the parties disagree about the condition of the property, the matter may be referred to the competent rental dispute forum.

 

Tenants should photograph or video the property at handover, retain records of rent and utility payments, and obtain a written handover or inspection record wherever possible. If deductions are proposed, the tenant should ask for details and supporting evidence rather than simply accepting that the entire deposit can be retained. Keeping a clear record from the beginning to the end of the tenancy can be particularly useful if the parties later disagree about damage, outstanding payments or the amount that should be refunded.

 

Do Not Forget The Ejari

 

Moving out and cancelling the Ejari registration are related but distinct steps. The tenancy may have been terminated between the parties, but the administrative record should also be brought up to date. Dubai Land Department guidance provides for cancellation of tenancy contracts through the Ejari system, Dubai REST and Real Estate Services Trustee Centres, subject to the circumstances of the contract and the required approvals.

 

The Dubai Land Department currently provides a specific service for cancelling a tenancy contract where the property has been vacated. Its guidance states that an expired contract can be cancelled through the relevant channels, while cancellation of an active contract may require the owner's involvement or supporting documentation. For tenants, cancellation of an active Ejari through the relevant service channels may require the landlord's approval.

 

A tenant should therefore keep evidence of the termination, handover and Ejari cancellation. This can become important if the landlord later disputes the date on which possession was returned or alleges that the tenancy remained active. It is also sensible to retain confirmation of the cancellation rather than assuming that physically leaving the property automatically updates the official tenancy record.

 

When A Dispute Reaches The Rental Disputes Centre

 

Not every move-out is straightforward. Disputes may arise over early termination, rent, maintenance, the condition of the property, deductions from the security deposit or the date on which the tenancy actually ended. The Rental Disputes Centre, established under Decree No. 26 of 2013, has jurisdiction over rental disputes between landlords and tenants concerning real property in Dubai, subject to the exclusions and jurisdictional limits set out in the Decree.

 

The Centre also has a conciliation function designed to facilitate amicable settlements before disputes proceed through the relevant judicial process. Under the Decree, the Mediation and Conciliation Directorate can review documents and evidence, hear the parties or their representatives and propose settlement in an effort to resolve a rental dispute amicably.

 

For a tenant, preparation should begin before a dispute reaches the Centre. The tenancy contract, Ejari, payment records, notices, correspondence, photographs and handover documents can all help establish what was agreed and what occurred when the tenant moved out. A properly organised record can also help distinguish between contractual obligations, disputed deductions and claims arising from the condition or use of the property.

 

Know Your Position Before You Move Out

 

Moving out of a rental property should not be treated as simply a matter of handing back the keys. The route available to a tenant will depend on the tenancy contract, the reason for leaving and the circumstances of the particular case. Whether the tenancy ends by expiry, mutual agreement, contractual termination or through a formal dispute process, understanding the legal position before taking action can help prevent unnecessary liability and disputes.

 

For tenants, the practical steps are equally important: give notice in the required manner, keep a clear record of communications and payments, document the condition of the property at handover, address the security deposit and ensure that the Ejari registration is properly dealt with. Taking these steps before leaving can make the difference between a straightforward move-out and a dispute that continues long after the keys have been returned.