spongemonkey
Posts 20942

spongemonkey
Posts 20942

apart from the tenants who have been in situations like this ? and can tell her what happened to them? we had to pay the 3 months or whatever....experiences....I don't see "Landlords" in the title..

IAMVP
Posts 855

ghost_writer
Posts 154

I really would advise you to get professional advice Eli1979 and I am only saying this as I am a LL myself and would be doing the same thing were I in your shoes. The contract you have is legally binding and is between yourselves and the tenant, the company does not even enter into the equation as far as you are concerned, if they loaned the tenant the money that is between him and the company and nobody else. If there is no clause in the contract stating that there is a 3 month cancellation penalty then you are under no obligation to reimburse him for the remaining months BUT this might also mean that until the contract expires you are not able to put another tenant in the property as you have been paid for the year. I'm assuming you took a security deposit from the tenant, if you did and he leaves without paying DEWA and the property is damaged in any way then you can deduct that from his security deposit. Ask him to leave you a forwarding address to send the balance outstanding if there is any. I really wouldn't be getting into any more discussions with him as it sounds to me that you are both just going around in circles, you really need to clarify what your rights are and then put them in writing to him so there are no misunderstandings, one thing is for sure and that is you are under no obligation to his company. Good luck!

spongemonkey
Posts 20942

Princess_I
Posts 2454

WTH - he has no right to say no.

He is in breach of contract - tell him either he finds another tenant or he forfeits rent. Khalas.

Eli1979
Posts 759

Thanks IAMVP! Anyway he is saying no to everything we offer so now he is really getting on my nerves. Don't know what' wrong with him. Will finish everything this week in one way or another. Thanks again

IAMVP
Posts 855

I cannot find an online link.
Page 5 called Ask the Law

The lawyer tells the tenant that he cannot get his money back unless there is a provision for this in the tenancy contract. He says the tenant should search for a new tenant, and then only if the LL agrees to this. There is no mention of refund UNLESS there is a provision for this in the contract.
In that particular case the tenant had given post dated cheques for 2 years advance.....but he is stuffed, the LL gets to keep the cheques and cash them.

To be honest Eli, I would not ask advice on this board, as not many of the ladies here are LL's, and they will be answering you in a moral way. This is your investment, it is all about money in the end, and you took the risk when you invested in property, so now you have the right to rent it out and you do not need to be messed around by your tenant. You can just wash your hands of it all, and say that you will not entertain any more with this tenant and he cannot have a refund. He has asked too much of you. Tell him to make sure he send you a registered letter 2 months prior to the contract ending to let you know that he will not be re-signing, otherwise he will be liable for another years rent, and make sure he sorts out the DEWA account.
edited by IAMVP on 24/09/2011

Eli1979
Posts 759

IAMVP
Posts 855

Your answer is on Page 5 of todays Gulf News.

You do not have to do anything at all.

Relax.

Puffinlunde
Posts 469

derien
Posts 1920

TwoKids
Posts 629

It is not the first time that a person in Dubai has had to borrow money from overseas or bust his gut to find a new job, to meet financial obligations and stay/leave.

Princess_I
Posts 2454

Eli1979
Posts 759

DH called him and offered a refund of 4 months rent instead of 5. He said he will call the company and ask. Guess what ?They said no! WTF??

Cheeky Monkey
Posts 1517

Since no-one knows the full facts of the tenant it is hard to judge how flexible the OP should be. The OP thinks the tenant hasn't been with the company long, but I don't think knows for 100%, he may have worked for the company in another country or location. She says he has been on 'holiday', maybe he went away to visit a sick relative or search for work and didn't go to lay on the beach or ski in the Alps. Just because he hasn't given the OP his detailed life history doesn't make him into a bad guy. Also, just because he regotiated a lower rent because he paid in one cheque does not mean he knew what was going to happen. Lots of people use the offer of one cheque to negotiate lower rent, were they ALL planning on doing a runner, lol? Plus, we are often hearing on here of people who have come to Dubai with a job offer, set themselves up with a home etc and then are made redundant and are having difficulty with their landlords and they get tons of sympathy and "sod the greedy landlord" messages, now the shoe is on the other foot it is "sod the dodgy tenant". Hhhhmmm.... spot the discrepancy anyone?

The siuation isn't fair on either party but as a human (and a landlord) I would just stick to what I felt was legal and morally right. If the tenant's name is on the contract I would simply get a leaving date from him, work out the remaining portion of rent, work out the three month penalty from the date he first made you aware he would be leaving and give him the rest back. It is then his job to negotiate with his company monies owing between them. It is not the landlords problem. Neither is it the tenants problem that the landlord may have an empty house. That's the risk both sides take in the renting market. At least he hasn't just done a runner, leaving the house wrecked and hugs DEWA bills - which he may do if you start being unreasonable. Personally, there is no way I would go on holiday, delay giving his money due, or be awkward in any way. Have a heart, he may have given up everything for a chance on a new life which may now be crumbling around him. I would have to be human and do what I could to help, after all it may be ME next time...

IAMVP
Posts 855

OP, go on holiday.

Hannah33
Posts 178

OP, I agree with some previous posters that his financial / final salary / gratuity / rent allowance / whatever with his employer are not your problem. Your lease is with him and you have not had any dealings with his company - why should you now have to deal with some random company that you don't know anything about? In each of the 12 month leases I've signed while living here, I've always understood the arrangement to be that it's a fixed term and if I want to leave early, I will only get a refund if I or the landlord can find a suitable replacement - or if I am lucky enough to have a nice landlord who can afford to give me a refund without reletting the flat! Otherwise I have to honour the full 12 month term I signed up for. I don't think any of my leases have ever had wording allowing me to vacate on 3 months notice before the full 12 months is up, but maybe there is something in the law about this...

If you want to be cooperative, I would speak to his company and say that you will consider signing the letter only if and when the company formally takes over the lease (ie signs a new lease for the remainder of the 12 month period - 8 months or whatever - and agrees to be the tenant under the lease). If the company does this, the person that is your tenant now should also sign something saying he is not due anything from you.

The company can then either make use of the flat for another employee, or can notify you that they do not wish to use the flat / continue the leae and they and you can try to find a replacement tenant. If you find someone new, great, you can give the company a refund for the rent paid for the unused portion of the lease term. If not, tough luck for the company, unless there is something in the lease or law allowing them to terminate early on giving notice.

Either way, do NOT feel pressured into signing any random bits of paper. If the tenant was that worried, maybe he should have spent his 3 weeks looking for a new tenant instead of b*ggering off on holiday.

derien
Posts 1920

IAMVP
Posts 855

If I WAS the LL, I would tell the tenant that I am DOING NOTHING at all.
I would not go to RERA or call the tenant, and forget any hopes of discussing with his company. The company is nothing to do with you. END OF

You gave him a reduced rent based on a one year contract and payment. If he wants to sublet then he must ask in writing. Most LL's do not allow subletting.

He rented for a year, you do not have to do ANYTHING unless you are called to come to RERA.

ghost_writer
Posts 154

Is it not normal practice for a company who are taking on a new employee to have a probationary period of 3 or 6 months? If it is, would the company take the risk of handing over a whole years rent to their new employee without first checking out if he is any good or not? I would have thought that if they were going to pay a large sum of money out up front that they would have made the agreement with the LL as at least then they have control should things go wrong with the employee. And playing devil's advocate here, what if he was fired due to gross misconduct? Seeing as that he wrote the cheque out and signed the contract, what if the company actually gave him more than AED 65,000 but he chose somewhere cheaper so that he could keep the rest, and now by breaking the contract he wants the LL to sign accepting the responsibility of reimbursing the company? There is no way would I be signing anything if I were the LL. Another problem I have is, if he owes the company money that they gave him in advance, how was he able to leave the country to go on holiday for 3 weeks, would his company not have taken his passport in order to cancel the visa? Has he been fired or is he doing a runner and trying to land the LL in deep trouble if she signs taking responsibility for his debt? If I were the LL I would be getting all the legal advice I could get before agreeing to do anything.

Princess_I
Posts 2454

To be honest, the tenant purposefully negotiated a reduced rent for one check.... he knew the score.....

TwoKids
Posts 629

I agree with IAMVP. I do not think that the tenant will get a gratuity, but probably will have his final salary payments withheld.

I feel for the OP. What happens if she refunds 6 months rent and then her apartment is vacant for 6 months, due to the oversupply?

The tenancy is in the tenant's name. It is not up to the LL to chase the company.

If the tenant can find a new tenant then refund the money minus the penalty but if not then the rent money remains with the LL. This is what would happen with my property in Australia and is not unique to Dubai.

Genie
Posts 1552

Tallybalt
Posts 959

I'd have to agree that this is the company's problem, not your problem. Let your tenant hash out a deal with the compay if he can.

The company agreed to offer your tenant one cheque for a year's rent, knowing fully well that there's always the possibility the employee wouldn't work out and would need to leave the company at some point in the year. That's the risk the company takes, and I wouldn't cry for them these days when it's much easier to rent an apartment in 3-4-6 cheques. No company should offer a single year's rent in one cheque at all.

The company should do the honorable thing and take over the remainder of the lease or assume the loss.

Tell the tenant to deal with the company, and have the company call you and arrange for some kind of termination of the lease. Don't sign any documents or write any letter until you have spoken with all the authorities at the company. Get the company to prepare and sign the documents or a new lease before you even put your signature to anything.

Eli1979 wrote:
So I called ReRA again..First person I talk to said to me : If he paid in one cheque and he wants to leave then What's the problem? Second person I talked to said to not sign or do anything but go there and open a case.

Eli1979
Posts 759

So I called ReRA again..First person I talk to said to me : If he paid in one cheque and he wants to leave then What's the problem? Second person I talked to said to not sign or do anything but go there and open a case.

IAMVP
Posts 855

If you want to do business then do it properly and show that you can handle it.
Being a LL is a business and hard work.
To be fair would to allow him to sublet etc etc. Since he has not bothered, or tried then he cannot be serious.
Dealing with his personal issues is not your JOB as a LL.
If you do not respect yourself in this job, then no-one else will, including your tenant.
If you want to be extra generous then offer him the refund minus the penalty.
Do not entertain any discussion with another party (his company etc).
I don't think that he is so bothered or else he would have tried to solve it.
This is the first time I have heard of a LL giving a refund. Was his rent a special rate because of the 1 cheque? In this case his rent should be re-adjusted accordingly, as he no longer paid for 1 year. Tell him that the rent of the flat is now higher than previously agreed.....now he will sweat.

NOT YOUR PROBLEM

AdviceSeeker
Posts 2239

Monkey Face
Posts 922

It's interesting to read how opinions change when the poster isn't the person on the other side who lost their job and is looking for some compassion from their landlord.

khatoon
Posts 126

rera is rigth dont sign anything...just let them settle their thing...its not ur call...