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22,000 Rental Cases Annually ... Will the Electronic Platform End the Chaos of Contracts?

22,000 Rental Cases Annually ... Will the Electronic Platform End the Chaos of Contracts?

Experts told “Al-Siyasa” that unified contracts and electronic litigation reduce disputes and bolster investor confidence.

Sulaiman Al-Dulijan: Enhances market transparency and provides an accurate rental database.

Iman Al-Hashash: Shifts courts from proving the contract to adjudicating the core of the dispute.

Khaled Al-Saghir: Addresses deficiencies in paper contracts and curtails litigation procedures.

Twenty-two thousand rental cases annually, contracts varying from one landlord to another, and procedures taking considerable time in courts... This reality places Kuwait’s rental market before accumulated regulatory and legal challenges. However, the government’s project to launch an electronic rental platform opens the door to a new phase reliant on unified contracts, digital documentation, and electronic litigation, thereby enhancing transparency and raising the efficiency of the real estate system.

Real estate experts and specialists told “Al-Siyasa” that the project represents a qualitative leap in regulating the real estate market. It is not limited to converting contracts from paper to electronic format but establishes an integrated system that contributes to reducing disputes, providing an accurate database, and supporting decision-makers. They emphasized the importance of issuing a clear executive regulation and ensuring the platform’s integration with government entities to guarantee its success and achieve its objectives.

Initially, real estate expert Sulaiman Al-Dulijan stated that the electronic rental contracts platform project is one of the important initiatives in the current phase, coming within the framework of correcting and regulating the real estate market. He pointed out that similar experiences are implemented in some Gulf countries and have proven the importance of transitioning to electronic contracts.

He clarified that one of the most prominent challenges facing the market currently is the absence of an accurate and comprehensive database of rental contracts. He explained that documenting contracts electronically via a unified platform will lead to the creation of an integrated real estate database, providing accurate information to policymakers and contributing to raising the level of transparency within the market.

He added that the availability of real estate data is one of the most important pillars for regulating the market, as it enables precise monitoring of rental movements and tracking price levels, thereby helping to curb excessive rent increases or unjustified decreases.

He noted that the electronic contract should not be limited to residential units only but should encompass all assets being rented, ensuring the unification of documentation procedures for all contracts.

Al-Dulijan affirmed that the project will naturally face some challenges and observations upon its initial implementation, but this is considered normal in any transformative project. He pointed out that the idea has been discussed for some time, and today there is consensus on the importance of accelerating its implementation due to the transparency, accurate database, and better regulation of the real estate market it will provide, serving landlords, tenants, and decision-makers alike.

For her part, real estate legal advisor Iman Al-Hashash stated that the electronic rental contracts platform project is among the most important digital transformation initiatives in the real estate sector in recent years. It does not merely convert rental contracts from paper to electronic format but establishes a more organized and transparent legal system, the effects of which directly reflect on the stability of the real estate market.

She explained that her practical experience in real estate disputes confirms that a large percentage of rental cases do not arise from ambiguity in legal texts, but rather from weak documentation of the contractual relationship or disagreements between parties regarding contract terms, duration, signing date, or signature validity. She noted that the platform contributes significantly to reducing this type of dispute by unifying, documenting, and electronically storing the rental contract.

She emphasized that the platform would not eliminate all rental disputes, as disagreements regarding non-payment of rent, eviction, or breach of obligations would persist. However, it would significantly reduce evidentiary disputes, thereby shifting the court’s focus to examining each party’s compliance with its obligations, accelerating case resolutions, and enhancing judicial efficiency.

She added that the platform’s true value lies not merely in its electronic nature, but in its ability to regulate the rental relationship from inception to termination. She noted that its real success would not be measured by the number of electronic contracts, but by its capacity to reduce disputes and improve the quality of contractual agreements.

She stressed that the project’s success also depends on the platform’s integration with relevant government entities, through connectivity with the Public Authority for Civil Information, the Ministry of Electricity and Water, the Kuwait Municipality, judicial authorities, and electronic payment systems. Additionally, the inclusion of an electronic notifications service would help streamline many current procedures.

She underscored that the project’s success would not be achieved simply by launching the platform, but would require a clear executive regulation, a simplified user guide, and a transitional implementation period. She affirmed that the project would bring about a qualitative leap in the real estate market, bolster investor confidence, facilitate landlords’ management of their contracts and proof of their rights, and provide tenants with greater protection through the documentation of all contract terms, thereby supporting transparency and limiting long-term disputes.

“The Rental Relationship”

For his part, real estate expert Khaled Al-Sagheer stated that the Minister of Justice’s announcement regarding the electronic platform for rentals and contracts, which is currently being developed, represents one of the most prominent digital transformation projects that will have a direct impact on the real estate sector. He described it as an advanced step toward regulating the rental relationship and developing the litigation system.

He clarified that the platform is part of a legislative package that includes amendments to the Rent Law and the preparation of a new law regulating landlords’ unions. However, he noted that it constitutes the most crucial pillar of this package, as it will contribute to standardizing rental contracts, shortening documentary cycles, and accelerating litigation procedures.

He added that approximately 22,000 rental cases are heard annually in the courts, accounting for about 5% of the total caseload. A significant portion of these cases stems from discrepancies in contracts and procedures, as well as the absence of unified documentation, which has led to case backlogs and delays in resolution, despite the nature of these cases requiring swift handling.

He affirmed that adopting a unified electronic contract containing binding terms and conditions for all parties would mitigate these issues and ensure that landlords and tenants can promptly obtain their rights. He pointed out that one of the key features proposed for inclusion in the platform is the automatic linkage between the property’s electronic number and the tenant’s civil ID number. This would enable verification of the number of units licensed for rent and prevent the leasing of any non-compliant or unapproved units, thereby helping to eradicate the phenomenon of non-compliant residential units and enhancing adherence to safety and fire prevention requirements.

He further explained that linking the tenant’s data with the number of family members would allow for matching the population count against the permitted capacity for each unit. This would help reduce population density, improve quality of life, and enhance public safety by alleviating pressure on infrastructure and electrical networks, while facilitating evacuation procedures during emergencies.

He noted that the platform can also integrate with credit bureau data to verify the tenant’s financial solvency before signing the contract, thereby reducing default cases and limiting future rental disputes. He clarified that merging property, tenant, and creditworthiness data into a single electronic system will address many shortcomings of paper contracts, transitioning the rental sector into a more efficient and transparent digital framework.

Key Advantages:

• Standardizing basic data for rental contracts.

• Strengthening the legal validity of contracts and facilitating their proof.

• Reducing manipulation or discrepancies in contract copies.

• Enhancing trust between landlords and tenants.

• Providing an accurate database that aids in developing future real estate policies.

Key Challenges:

• The need to raise awareness among landlords and tenants on how to use the platform.

• The necessity of updating certain regulations to keep pace with electronic transactions.

• Protecting personal data and ensuring cybersecurity.

• Integrating the platform with other government entities.

22% Monthly Jump ...

July Trading Volume Reaches KD 398.5 Million

Real estate trading in Kuwait during July 2026 recorded approximately KD 398.52 million, representing a 22.34% increase compared to June, when trading volume stood at KD 325.76 million. However, this figure reflects an 11.31% decline compared to July 2025, which recorded KD 449.32 million.

The monthly report from the Research and Studies Center of Dar Al-Safa Real Estate, a copy of which was obtained by "Al-Siyasa," revealed a drop in the number of transactions to 571 deals, down from 599 in June, a decrease of 4.67%. This also represents a 1.38% decline compared to the same month last year, which saw 579 transactions.

The report indicated that the residential sector maintained its leading position in trading volume at KD 167.99 million, rising slightly by 0.47% on a monthly basis and by 17.48% compared to July 2025, despite a drop in the number of transactions to 418 deals, an 8.73% decrease from June.

The investment sector recorded the highest monthly growth, with its trading value rising to KD 137.10 million, a 46.16% increase compared to June, despite a 27.84% decline on an annual basis. The number of transactions increased to 133 deals, up from 126 in June.

Commercial real estate trading also rose to KD 90.19 million, marking a monthly increase of 56.63%, despite a 14.10% decline compared to July of the previous year. The number of transactions increased to 17 deals, up from 11 in June.

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