Insights
Jan 08, 2026
Misuse of Eviction for Sale in Dubai: Landlords’ Limits and Tenant Rights
Dubai courts uphold tenant compensation when eviction notices for sale are misused, covering both financial and moral damages.
Eviction on the ground of property sale is a narrowly defined exception under Article 25(2)(d) of Dubai Law No. 26 of 2007. Landlords can only evict tenants if there is a genuine intention to sell the property and the tenant is given at least 12 months’ notice through notary public or registered mail. Any other use of this eviction right, such as transferring property by gift or re-leasing immediately after eviction, is considered unlawful and constitutes abuse of rights under Article 106 of the UAE Civil Transactions Law.
Case Overview: Landlord Misuses Eviction for Sale
In a recent decision, the Dubai Rental Dispute Resolution Centre (RDSC) ruled in favour of a tenant who was wrongfully evicted. The landlord had issued a legal notice citing intended sale of the property. The tenant vacated the premises in good faith, but the property was not sold, instead ownership was transferred by gift and subsequently re-leased.
The court emphasised that eviction for sale must serve its legal purpose, and any diversion from this -- like re-leasing or gifting the property -- amounts to misuse of eviction rights.
Legal Principles Applied
The Committee applied established jurisprudence from Dubai courts, highlighting key points:
Eviction for sale is an exception, not a general right to terminate tenancy.
Abuse of rights occurs when a landlord exercises eviction to gain benefits unrelated to sale.
Tenants who vacate based on such notices suffer both material and moral damage.
Compensation may include financial losses (higher rent, brokerage, relocation) and psychological distress.
This aligns with Article 106 of the UAE Civil Transactions Law, which protects individuals against actions where rights are exercised unlawfully or in a way that causes disproportionate harm.
Tenant Compensation for Misuse of Eviction
The RDSC ruled that the tenant was entitled to full compensation, which covered:
Increased rent for alternative accommodation
Brokerage commissions and relocation costs
Moving expenses
Moral damages due to loss of stable housing and forced displacement
The court reiterated that compensation must be proportionate to the harm suffered, following UAE judicial standards.
Implications for Dubai Landlords
This ruling sends a clear message to Dubai landlords:
Eviction for sale cannot be used as a pretext to vacate tenants without selling.
Landlords must demonstrate a genuine intent to sell and follow through with the transaction
Failure to do so can lead to civil liability, including compensation for material and moral damages.
Courts will scrutinise the substantive intent behind eviction notices, not just their formal compliance.
FAQs: Eviction for Sale in Dubai
Can a landlord evict a tenant claiming the property is for sale if they later re-lease it?
No. Eviction for sale must be genuine. Re-leasing without completing a sale is considered misuse of eviction rights, and the tenant may claim compensation.
How much notice must a landlord give for eviction on the ground of sale?
Under Article 25(2)(d) of Dubai Law No. 26 of 2007, the landlord must notify the tenant at least 12 months before the lease expires, using notary public or registered mail.
What compensation can a tenant claim if eviction for sale is misused?
Tenants may claim material losses such as higher rent, relocation costs, and brokerage fees, as well as moral damages for stress and disruption caused by forced eviction.
What legal provision protects tenants against misuse of eviction rights?
Article 106 of the UAE Civil Transactions Law prohibits the abuse of rights and allows tenants to claim damages when eviction rights are exercised unlawfully.
Does this ruling affect Dubai’s rental market?
Yes. It establishes that judicial scrutiny extends beyond formal notices, ensuring tenant stability and discouraging pretextual evictions
Key Takeaways
- • Eviction for sale is strictly limited to actual sales.
- • Abuse of eviction rights triggers compensation claims.
- • Landlords must demonstrate genuine intent and follow through.
- • Tenants are protected for both financial losses and moral harm.
- • Dubai courts focus on the substantive purpose, not just the notice’s formal wording.