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Lease Agreement Cancellation Letter for United Arab Emirates

Lease Agreement Cancellation Letter Template for United Arab Emirates

A formal document used in the United Arab Emirates to officially terminate a lease agreement between a landlord and tenant. This document must comply with UAE Federal Law and specific emirate-level regulations, particularly Dubai Law No. 26 of 2007 if the property is located in Dubai. It includes essential details such as property information, original lease reference, termination date, and handover arrangements. The letter serves as official documentation of the parties' intention to end the lease relationship and outlines the practical steps for lease termination, including notice periods, security deposit return, and final settlement of any outstanding obligations.

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What is a Lease Agreement Cancellation Letter?

The Lease Agreement Cancellation Letter is a crucial document in UAE property management that formally terminates a lease arrangement between parties. It must be drafted in accordance with UAE Federal Law No. 5 of 1985 (Civil Code) and relevant emirate-specific regulations, such as Dubai Law No. 26 of 2007 for Dubai properties. This document is used when either party wishes to terminate a lease agreement, whether at the natural end of the term or through early termination. The letter must include specific details about the property, reference the original lease agreement, specify the termination date, outline handover arrangements, and address financial settlements including security deposits and outstanding payments. For Dubai properties, the cancellation should be registered with the Ejari system, while other emirates may have their own registration requirements.

What sections should be included in a Lease Agreement Cancellation Letter?

1. Date and Address Block: Current date and full contact details of both landlord and tenant

2. Reference Line: Clear subject line stating 'Lease Agreement Cancellation Letter' and any reference numbers

3. Property Identification: Complete address and details of the leased property

4. Lease Reference: Details of the original lease agreement including date of commencement and any registration numbers (e.g., Ejari)

5. Cancellation Statement: Clear statement of intent to cancel the lease agreement and the proposed effective date

6. Notice Period Confirmation: Confirmation that the notice period required under the original lease agreement is being observed

7. Handover Arrangements: Proposed date and time for property inspection and key handover

8. Closing: Formal closing, signature blocks for both parties

What sections are optional to include in a Lease Agreement Cancellation Letter?

1. Security Deposit: Details of security deposit return arrangements, to be included if a security deposit was paid

2. Outstanding Payments: List of any pending rent, utility bills, or maintenance charges, include if there are outstanding payments

3. Forwarding Address: New address for future correspondence, include if tenant is relocating

4. Early Termination Fee: Details of any early termination penalties, include if lease is being terminated before the agreed end date

5. Maintenance Issues: List of any repairs or maintenance needed, include if there are outstanding maintenance issues

6. Mutual Agreement Statement: Statement confirming mutual agreement to terminate, include if cancellation is by mutual consent rather than unilateral notice

What schedules should be included in a Lease Agreement Cancellation Letter?

1. Property Condition Report: Detailed checklist of property condition at the time of cancellation notice

2. Outstanding Payments Schedule: Itemized list of any outstanding payments including rent, utilities, maintenance charges

3. Handover Checklist: List of items to be returned (keys, access cards, etc.) and final meter readings

4. Photo Documentation: Photographs of property condition, if required

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Genie AI

Document Type

Cancellation Letter

Sector

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Free to use
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Relevant Industries

Real Estate

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Real Estate

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Tenant Relations

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Property Manager

Real Estate Agent

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Tenant Relations Manager

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