LEASE TERMINATION AGREEMENT

Document Summary

This agreement documents the mutual intent of the parties to terminate the lease agreement and releases each party from any liability towards the other party.

Description

Article 7 of Law No. 26/2007 Regulating the Relationship between Landlords and Tenants in the Emirate of Dubai states: “If the lease is legal, it may not be terminated during its period at the individual will of either the lessor or the lessee, but rather by common agreement or by virtue of the provisions of the present law”.

However, Article 25 of Law No. 33 of 2008 amending some provisions of Law No. 26 of 2007 includes certain incidents in which the lessor may demand eviction of the tenant prior to the expiry of the tenancy period, this implies that the lease is terminated if one of these incidents occurs without the tenant’s consent.

The tenancy law does not provide an article for early contract termination, therefore, incase the lessee desires to terminate the lease before its expiry date he may be subject to penalties, unless an early termination clause is included in the contract setting the notice period for early termination.

Jurisdiction

This document is intended for use in the Emirate of Dubai.

Before Execution

• The information on this front page or contained in the headers and footers of this instrument are for guidance purposes only.
• Please delete this front page together with the information contained in the headers, footers, and the endnotes prior to circulating this letter. Where square brackets […] and highlights are used in the document, it indicates that there is missing or incomplete information which will need to be incorporated prior to signature.
• Please remove the square brackets and all highlighting prior to signature.

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