New unified rental contract in Dubai sets clear rules for companies and customers
Standardised system defines rights, fees and obligations for all parties
DUBAI – The Roads and Transport Authority (RTA) has stepped up efforts to regulate the emirate’s car rental sector with a unified contract now mandatory for all rental offices in Dubai.
The move aims to ensure clarity, transparency, and consistency in agreements between companies and customers. It forms part of broader initiatives supporting Dubai’s commercial transport sector and aligns with the ambitions of the Dubai Economic Agenda (D33).
The unified contract establishes a clear legal framework governing the relationship between rental offices and renters. By standardising terms and conditions, it defines the rights and obligations of both parties while safeguarding their interests through transparent and structured agreements.
Unified contract
The contract is implemented through a secure and automated digital platform designed to enhance transparency across the sector. All car rental offices in Dubai are required to adopt the system, ensuring consistency in how agreements are issued and managed. The initiative reflects Dubai’s focus on delivering smart, customer-centric services that reinforce its global reputation for efficiency and innovation.
Ahmed Mahboob, CEO of the Licensing Agency at RTA, highlighted the authority’s ongoing efforts to improve service quality and competitiveness. He noted that the car rental sector in Dubai has witnessed significant growth in both registered vehicles and licensed operators, underlining the need for streamlined processes and unified standards.
Digital process
A key feature of the unified contract is its fully digital execution. Contracts are issued through the Transport Activities Rental System (TARS), with identity verification completed using a one-time password (OTP) for secure digital signatures. This process ensures accuracy, reduces disputes, and enhances trust between rental companies and customers.
RTA has also conducted awareness workshops for car rental companies across the emirate, focusing on contract provisions, compliance requirements, and implementation procedures. These sessions aim to ensure that all stakeholders are aligned with the new system.
Customer protection
The unified contract includes detailed provisions covering vehicle and renter information, as well as comprehensive documentation of the vehicle’s condition at both handover and return. Images are used to accurately record the vehicle’s status, reducing the likelihood of disputes.
It also clearly outlines financial obligations, ensuring renters are not charged for costs arising from accidents or during repair periods. The contract prohibits undisclosed fees, including unexpected toll-related charges, and requires rental companies to refund security deposits within a specified timeframe.
In addition, the framework reinforces compliance with all applicable federal and local laws in the UAE, strengthening accountability across the sector. By reducing complaints and improving awareness of rights and responsibilities, the unified contract is set to reshape customer experience in Dubai’s growing car rental market.