DIFC 088/2022

Liv v Leanna

This case involve a broker fee payable to an estate agent who had negotiated a property lease. Issues included whether both the tenant and the owner were liable to pay the fee as the fee had been negotiated by the tenant but only the owner had signed the broker contract.

Background

The Claimant was Liv a company registered in Dubai, UAE.

The Defendant was Leanna an individual who engaged the services of the Claimant to lease a property located in Dubai, UAE.

The underlying dispute arose over broker fees to be paid by the Defendant to the Claimant pursuant to a lease brokerage agreement between the owner and broker signed by the Claimant and the Defendant on 31 August 2020 in relation to Office Unit in Dubai.

The Broker Agreement stated that “at the time of signing the tenancy contract the owner/landlord agrees to pay the broker a commission amount of one month of the average annual gross rent or 5000 AED if one month is below 5000 AED”.