AL RAHA VILLAGE PROPERTIES CONTRACT

Contract Overview

  • Bilateral agreement (Contract No. RV-CON5674-25) for:
    • Furnished accommodation
    • Optional catering OR self-cooking facilities
    • Laundry service
  • Issued in bilingual form (Arabic / English); Arabic text prevails in case of conflict.
  • Village: “Al Raha Village Properties”, Mafraq (F2C2), Abu Dhabi.
  • Parties:
    Service Provider: Al Raha Village Properties L.L.C.
    Client: Any company/establishment housing its workforce.
    • Third-party subcontractors possible: “Catering Company” & “Laundry Company”.

Article 1 – Definitions

  • Village, Service Provider, Client, Occupants
  • Furnished Accommodation Service & Units
  • Categories of Rooms
    • Labour (10 beds, common toilets)
    • Technicians (4-6 beds, common toilets)
    • Supervisors (2 beds + ensuite)
    • Administrators (1 bed + ensuite)
  • Rooms Cleaning, Catering, Self-Cooking, Laundry Services
  • Guarantee Deposit, Monthly Invoice, Additional Services, Main Contract

Article 2 – Subject of Contract

  • Service Provider supplies fully-furnished rooms with utilities (water, electricity, A/C, security, cleaning, sanitation).
  • Additional services (catering/self-cooking, laundry, etc.) per Client request.

Article 3 – Contract Duration & Renewal

  • Automatic renewal on identical terms unless written 60-day non-renewal notice.
  • Non-renewal notice must be supported by Higher Corporation for Specialized Economic Zones ("ZonesCorp") approval ≥ 1 month pre-expiry.
  • Failure → contract deemed renewed; full value payable.
  • Payment before renewal: post-dated cheques covering new period ≥ 2 weeks before expiry.
  • Service Provider rights if late:
    • Gradual suspension of services & village access
    • Change payment terms
    • Penalties: 1st month delay 1%1\%, 2nd–3rd months 2%2\%
    • May cash security cheque.

Article 4 – Accommodation Procedures

4.1 Registration & Access Cards
  • CD with passport, visa, photo data required at signing.
  • Access cards sole property of Service Provider; mandatory for entry/ services.
4.2 Room Allocation
  • Client supplies bed list; SP strives to cluster occupants.
  • Empty beds may be leased to third parties unless Client books via addendum.
4.3 Internal Transfers
  • Client requests via FM; SP may relocate occupants for operations/security.
4.4 Replacement
  • Departure (leave/transfer): card surrendered; bed reserved.
  • Replacement fee: AED 50AED\ 50 (+ VAT) per capita.
4.5 Add / Reduce Occupants
  • Additions via written request + addendum; charges start earlier of entry or addendum date.
  • Reduction ceiling: ≤ 50%50\% of total AND ≤ 50%50\% within any one category.
  • Procedures differ during term vs at renewal (written notice ≥60 days, ZonesCorp approval, evacuation, addendum).
  • Indemnity for reduction: 2-month service value.

Article 5 – Additional Services & Price Escalation

  • Requests by signed letter/email; addendum issued.
  • Monthly invoicing; deemed correct if no objection within 5 days.
  • Service Provider may raise prices with 60-day notice.
    • Catering price may rise intra-period up to 15%15\% without notice.
    • Silence → deemed acceptance.
  • Administrative fees (all + VAT 5%5\%):
    • Lost/damaged card – AED 50AED\ 50
    • New card on replacement – AED 50AED\ 50
    • Card data change – AED 25AED\ 25

Article 6 – Delay in Payment

  • Invoices payable within 5 days of email/receipt.
  • Postponing a cheque:
    • Written request ≥ 1 week prior
    • Fees: cheque < AED 100,000AED\ 100{,}000AED 2,000AED\ 2{,}000; > 100 k → AED 5,000AED\ 5{,}000
    • One postponement / cheque / year; max 30 days.
  • Bounced cheque fees identical to postponement fees.
  • Non-payment after notice → automatic termination, service cut-off, full contract value + delay fine 7%7\% p.a. + legal costs.

Article 7 – Guarantee Deposit

  • Payable cheque (amount set in p.2, Art 3.2) upon signing.
  • Refund after expiry minus deductions.
  • SP may encash after 1-week notice to cover dues/damages.
  • Client must replenish deposit within 1 week after any draw-down.

Article 8 – Insurance

  • Client must maintain medical & property insurance; provide policy copies.
  • No hazardous storage; follow fire/safety rules.
  • Infectious cases → quarantine rooms; costs:
    • Accommodation AED 10AED\ 10/day/person
    • Catering (if not contracted) AED 15AED\ 15/day/person
  • SP may hospitalize at Client cost; unpaid invoices deducted from deposit.

Article 9 – Service Provider Obligations

  • Continuous provision of contracted services.
  • Maintain Civil Defense safety standards; issue safety guidance.

Article 10 – Client & Occupant Obligations

  • Joint & several liability of Client, partners, authorized signatory.
  • Pay all cheques/invoices; 5-day non-payment = default.
  • Comply with contract, Village rules (Schedule 1), government regulations.
  • Preserve property; safeguard own valuables.
  • No entry to dining halls if catering not contracted; consumed meals charged.
  • Specific bans: drying clothes improperly, trading, weapons, etc. (see Schedule 1).
  • Human-rights compliance; serious breach → automatic termination.
  • VAT: single annual cheque; standard rate 5%5\%; late VAT → Cabinet 40/2017 penalties:
    • Immediate 2%2\% of unpaid tax
    4%4\% on 7th day
    1%1\% daily up to 300%300\% total.

Article 11 – Client Representative

  • At least one resident, 24/7 available, empowered to liaise.
  • Replacement must be notified; representative designated on p.1.

Article 12 – Maintenance & Damage

  • SP handles routine maintenance; Client must report faults promptly or bear repair cost.
  • Client pays for deliberate/accidental damage beyond fair wear.

Article 13 – Redelivery of Units

  • Full evacuation, return of cards & inventory by midnight of last day; handover record.
  • Failure → automatic renewal & monthly invoicing until actual vacate.

Article 14 – Force Majeure

  • Events > 2 months (war, disaster, strikes, fires, etc.) → either party may terminate after 1-month notice.
  • Financial liabilities up to termination date remain payable.

Article 15 – Termination by Service Provider

Immediate termination & eviction without court when:

  1. Non-payment within 1 week of notice.
  2. Breach of contract/laws by Client/Occupants.
  3. Client bankruptcy/liquidation.
  4. Village redevelopment requiring vacancy.
  • Client termination during term or auto-renewal not allowed; if insisted, full contract value forfeited + ZonesCorp NOC required.

Article 16 – Assignment

  • No sub-lease or contract transfer without SP & ZonesCorp written consent; Client remains liable.

Article 17 – Governing Law & Jurisdiction

  • Not subject to Abu Dhabi Rent Law; governed by labour-camp regulations or, failing that, UAE Civil Code.
  • Exclusive jurisdiction: Abu Dhabi commercial courts.

Article 18 – Service Schedules

  • Catering, Self-Cooking (Schedule 2), Laundry (Schedule 3) conditions form part of contract.

Article 19 – Correspondence

  • Must be written, signed, stamped (email accepted).
  • Contract addresses are official; any change requires written notice.

Article 20 – General Provisions

  • Severability; written amendments only (signed by SP).
  • Two originals executed.
  • Non-waiver clause.
  • Arabic prevails.

Schedule 1 – Residence Rules & Violations

Key Prohibitions (selection)
  • Unauthorized occupants / no visa or no access card.
  • Misuse/transfer of access cards.
  • Alcohol, drugs, weapons, flammables.
  • Cooking inside rooms; bringing stoves, gas, washing machines.
  • Drying clothes on balconies/ windows.
  • Meetings, business, gambling, loud music, smoking indoors.
  • Tampering fire equipment.
  • Pets, birds, indecent dress.
Violation Table (sample)
  • No visa occupant → fine AED 2,000AED\ 2{,}000 + eviction + official report.
  • Alcohol/drug possession → AED 500AED\ 500 + eviction.
  • Cooking in room → AED 500AED\ 500 + eviction.
  • Card misuse → AED 2,000AED\ 2{,}000.
  • Improper laundry drying → AED 100AED\ 100 (repeat → confiscation).
  • Littering → AED 50AED\ 50; Spitting/Urinating → AED 200AED\ 200.
  • Additional 10 % admin fee on government fines.

Violations invoiced monthly; unpaid → deducted from deposit.
SP may evict after 72-hour written notice; no liability for resultant losses.


Schedule 2 – Self-Cooking Service

Service Parameters
  • Kitchen access times:
    • Breakfast 03:00-07:00
    • Lunch 12:30-14:30
    • Dinner 17:00-21:30
    • Ramadan Iftar 15:00-21:30; Suhour 02:00-07:00
  • Dining hall adjacent to cooking stations.
  • Raw materials: weekly/monthly allowance per head; may purchase onsite.
  • Charges per Article 1 (p.1 of main contract); paid by cheque/bank transfer.
Client Duties
  • List authorised cooks; max 1 cook/room; PPE (burn-proof gloves).
  • Supply medical fitness certificates; maintain insurance.
  • Comply with QHSES rules (40 detailed points e.g., knife safety, no smoking, clean-as-you-go, no removal of cooked food from area, shut off gas, use only provided equipment).
  • Violations: written warning; repeat → AED 500AED\ 500 per incident.
SP Duties
  • Provide equipped, monitored kitchen & dining facilities; CCTV 24/7.

Schedule 3 – Laundry Service

Scope
  • Two washes per week per Occupant; laundry bag labelled with building/room/bed.
  • Collection & return within 48 hours.
  • Payable via main-contract rates irrespective of actual use; service irrevocable during term (its cancellation = contract termination).
Client Duties
  • Pay invoices; notify SP 1 week before >1-month occupant leave; surrender/re-activate cards.
  • Adhere to SP timing & rules; pay extra for additional loads or pressing.
Limitations of Liability
  • Damaged garments returned unwashed.
  • SP not liable for colour change, wear, normal damage.

Numerical / Formula Summary

  • VAT rate: 5%5\%.
  • Renewal non-notice: ≥ 60 days; ZonesCorp NOC ≥ 30 days pre-expiry.
  • Penalties: 1%1\% (1st month), 2%2\% (months 2-3), 7%7\% p.a. delay interest.
  • Library fines: see Schedule 1 table.
  • Quarantine costs: accommodation AED 10AED\ 10/day, catering (if needed) AED 15AED\ 15/day.
  • Replacement fee: AED 50AED\ 50 (+ VAT).

Practical / Ethical / Legal Implications

  • Emphasis on worker welfare: medical quarantine, insurance, human-rights clause.
  • Strict compliance demanded; hefty financial & operational penalties for breaches.
  • Provides operational clarity for large workforce housing; integrates safety, hygiene, legal governance.
  • Real-world relevance: aligns with UAE labour-camp regulations, VAT regime, corporate liability standards.