Mario Volpi advises an Abu Dhabi tenant who is having problems getting a deposit returned. Silvia Razgova / The National
Mario Volpi advises an Abu Dhabi tenant who is having problems getting a deposit returned. Silvia Razgova / The National

Abu Dhabi tenant’s eight-month wait for deposit return goes on



In March 2015 we vacated an apartment in a gated community near Abu Dhabi. We moved because the rent jumped up following the removal of the rent cap. All went well with the handover, but eight months later we are still waiting for the return of one of our deposits. The staff working on behalf of the landlord, a developer, have made promises to return the money but still it has not been delivered. We raised this at the executive director level in the company and eventually received the rent deposit back after six months, but we are still waiting for the District Cooling deposit to be returned. The amount to be returned is not in dispute – they simply refuse to pay it. What can we do? IS, Abu Dhabi

The return of a deposit is one of the most common problems I hear about and one that often doesn’t follow a “one size fits all solution”. In your situation, you have had to be incredibly patient and also persistent which has now ultimately paid off as you have finally received your rental deposit monies back. I recommend that with the District Cooling deposit, you keep up your persistence with the company and/or try to take matters at even higher levels. Given that the amount is not in dispute, I suggest requesting a face-to-face appointment and being available in person is often the key to success as telephone calls and emails are too easily ignored. Threatening to go to a higher authority, such as the municipality, might help but I always believe diplomacy is the way forward. Being polite but firm should win the day. I’m certain that the amount in question is too small to file a court case, so please try and keep persevering.

What is the law for an early lease termination in Ras Al Khaimah? We rented an apartment in Al Hamra village and had so many issues after moving in that we have decided to leave after two months. When checking the contract terms, we noticed the landlord added special conditions into the document. We have a copy of the contract we signed without any of the special conditions. To end the issue positively, we sent a one-month notice to the landlord, but he refuses to accept it and insists on us staying until the contract ends. We went to the municipality, legal department and the police station in RAK but nobody could tell us what the law is. And how we can cancel the contract if it's been modified after we signed it? EP, Ras Al Khaimah

Any alteration to a contract after all parties have signed it is not permitted without the agreement of the said parties and therefore will render the contract null and void. I suggest you use this extremely serious point to cancel the contract and move on. Seeking another way to remove yourself from this situation may also prove difficult as the rental sector in RAK is still developing, and unfortunately there does not seem to be any clear procedure yet of how to legally break a tenancy contract. Perhaps you can use examples of what happens in other emirates to help in your continued negotiations with the landlord. In Dubai, for example, there is a commonly followed practice that the tenant has to pay a penalty of two months’ rent and in Sharjah the amount is 30 per cent of the outstanding rental amount. Given that the RAK municipality or the higher authorities have not been able to assist you, try and find some common ground with your landlord and perhaps explain his responsibilities to you as his tenants regarding the maintenance of the property. If he had been more responsible you probably would not have sought early termination of the contract in the first place.

I am subletting a room. When I moved in I paid a deposit of Dh1,000 (to secure the property). No terms were discussed apart from rental price and the monthly payment and no written contracts were exchanged. I am now leaving Dubai but have only given a few days’ notice. The person I rent from is demanding a month’s rent. As no contracts were exchanged and this was not discussed, where do I stand? EA, Dubai

The fact that you do not have a proper written contract means that no conditions to the agreement can be verified. Therefore the fact that you have given only a few days’ notice to vacate should not be the trigger point for you to pay one whole month’s rent, as this would not have been agreed upon beforehand. More importantly, subleasing is not allowed unless the landlord is aware and has expressly agreed to it (in writing). Therefore before entering into further contentious discussions, I suggest you request the proof from this person that they are legally subletting.

Mario Volpi is a real estate professional who has worked within the industry for the past 31 years in London and Dubai. The opinions expressed in this article are those of the author and they do not reflect in any way those of the institutions to which he is affiliated. It does not constitute legal advice and is provided for information only. Please send any questions to mariovolpi64@gmail.com

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The White Lotus: Season three

Creator: Mike White

Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell

Rating: 4.5/5

The smuggler

Eldarir had arrived at JFK in January 2020 with three suitcases, containing goods he valued at $300, when he was directed to a search area.
Officers found 41 gold artefacts among the bags, including amulets from a funerary set which prepared the deceased for the afterlife.
Also found was a cartouche of a Ptolemaic king on a relief that was originally part of a royal building or temple. 
The largest single group of items found in Eldarir’s cases were 400 shabtis, or figurines.

Khouli conviction

Khouli smuggled items into the US by making false declarations to customs about the country of origin and value of the items.
According to Immigration and Customs Enforcement, he provided “false provenances which stated that [two] Egyptian antiquities were part of a collection assembled by Khouli's father in Israel in the 1960s” when in fact “Khouli acquired the Egyptian antiquities from other dealers”.
He was sentenced to one year of probation, six months of home confinement and 200 hours of community service in 2012 after admitting buying and smuggling Egyptian antiquities, including coffins, funerary boats and limestone figures.

For sale

A number of other items said to come from the collection of Ezeldeen Taha Eldarir are currently or recently for sale.
Their provenance is described in near identical terms as the British Museum shabti: bought from Salahaddin Sirmali, "authenticated and appraised" by Hossen Rashed, then imported to the US in 1948.

- An Egyptian Mummy mask dating from 700BC-30BC, is on offer for £11,807 ($15,275) online by a seller in Mexico

- A coffin lid dating back to 664BC-332BC was offered for sale by a Colorado-based art dealer, with a starting price of $65,000

- A shabti that was on sale through a Chicago-based coin dealer, dating from 1567BC-1085BC, is up for $1,950

Skewed figures

In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458. 

NO OTHER LAND

Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal

Stars: Basel Adra, Yuval Abraham

Rating: 3.5/5

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

In numbers: PKK’s money network in Europe

Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010

Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille

Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm

Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year

Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”

Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners

TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013