Your rights
Dubai
November 2, 2026

Dubai rental centre: a lease can be annulled before it starts if fraud is proven

Dubai's Rental Disputes Centre annulled a lease before handover after finding the landlord was deceived about the tenant company's rental record.
/ The Case

What happened

The Rental Disputes Centre in Dubai has set a new legal principle. A rental contract can be annulled (cancelled as if it never existed) before it starts, if one side proves they were deceived by fraudulent means. In Arabic law this deception is called "taghreer".

The case began when a landlord signed a rental contract with a company. Before handing over the property, the landlord found that the company already had earlier rental cases and judgments against it. These were for not paying amounts due on properties it had rented in order to rent them out again to others.

The landlord also found that several arrest and summons orders had been issued against the company's manager. These were in cases linked to rental obligations, bounced cheques and delays in payment. The landlord feared the company would not meet its obligations and asked for the contract to be annulled before it started.

The first-level panel rejected the claim. On appeal, the General Panel of the centre studied the facts and decided that what was proven amounted to fraud. It annulled the contract and returned both sides to the position they were in before signing.

/ The Law

What the law says

According to Al Bayan, the General Panel based its decision on Articles 170, 171 and 173 of the Civil Transactions Law. It found that the facts proven in the case amounted to fraud under these articles.

The panel confirmed that a party may ask for annulment before the contract starts, as long as the fraud is proven and the legal conditions are met. This means legal protection also covers the period after signing but before the lease begins.

/ Your Risk

What this means for you

For tenants and landlords in Dubai, signing a lease does not always lock you in if the other side deceived you. If you can prove fraud, the centre can cancel the contract before it starts. But the claim must be proven. In this case, the first panel rejected it, and it succeeded only on appeal.

This is why evidence matters from the very first conversation. Messages, documents and statements made during negotiation may later help show whether you were misled.

The head of the Rental Disputes Centre said these principles help people understand the legal protection available to them. He also stressed checking the "Rental Status Certificate" before signing. This free digital service from the centre shows whether the other side has past rental cases or judgments. It can help you decide whether to go ahead with a contract before you are bound by it.

/ Stay Safe

What to do:

  • Before signing, check the identity and documents of the other side, including their rental case record through the Rental Disputes Centre's free Rental Status Certificate service.
  • Rent only through a registered tenancy contract and keep a copy.
  • Keep all documents, messages and receipts related to the lease in one place, starting from the negotiation stage.
  • If a dispute starts with the landlord or tenant, keep all messages and use the official rental dispute centre of your emirate.
  • Do not sign documents you do not fully understand, especially in a language you do not read.
/ Our Help

We support our clients through legal incidents

If you are in a similar situation, or just want to understand it better, read our detailed breakdown below. Or just fill out the form if you have an urgent problem.

/ Our Engine

Meet Atlas, our AI legal engine

Describe your situation, and Atlas will sort out the facts, match them to the applicable UAE legislation and show you the risks and possible next steps. It is built on fixed sources, so every conclusion can be traced and verified. If your case needs a human, our lawyers step in right away.

How does it work? It’s simple:

Tell Atlas about your issue

Briefly describe what happened. You can start right now, with no waiting and no appointment.

Facts first, analysis second

Atlas separates what you told it from the legal analysis, so your own interpretation does not distort the picture. Then it matches the facts to UAE law and cites the relevant provisions.

Risks and options

You see the high-risk zones, the contradictions and the possible procedural scenarios, so you know where you stand before you make a decision.

A human steps in when needed

If your case needs a lawyer, we connect right away, assign a responsible specialist and work to protect your interests. Everything you share stays confidential.

Why is this important?

Most legal errors start with a distorted understanding of the situation, and in a stressful moment time is short. Atlas helps you see the situation clearly in minutes, and our team is ready to take over as soon as a person is needed.

/ Sources

We base our articles on official statements and trusted sources

You can be confident that all the data in this article is up to date, and you can review the original sources below if needed:

/ Contact Us

Tell us about your problem, and we'll find a solution.

Thank you! Now it’s our turn.
Oops! Something went wrong while submitting the form.