Contributed By Tarish AlMansoori Advocates and Legal Consultants
The United Arab Emirates (UAE) operates a civil-law system that blends codified legislation with Islamic legal principles. The courts follow an inquisitorial model: judges actively investigate the facts, direct the taking of evidence and apply the relevant statutory provisions. Judicial precedent is not formally binding, although higher-court rulings are increasingly persuasive in commercial matters. Proceedings are largely written, supported by documentary evidence and expert opinions, while hearings tend to be short and procedural.
The UAE judiciary comprises both a federal and local court system. Dubai and Ras Al Khaimah maintain independent judiciaries, whereas the remaining Emirates fall under the federal structure. Each system consists of a Court of First Instance, a Court of Appeal and a Court of Cassation (or Supreme Court at the federal level). Courts are further divided by subject matter – civil, commercial, criminal, labour, family and administrative. Straightforward civil cases may conclude within six to 12 months; complex commercial disputes involving expert reports often extend to two years or more.
All courts use electronic filing portals. Pleadings, exhibits and expert reports are uploaded digitally, and parties can track progress through secure online dashboards. Proceedings are confidential: filings and judgments are not publicly accessible, and hearings are closed to non-parties. Family and banking cases are automatically treated as confidential.
Only advocates licensed in the UAE may appear before the courts. Foreign-qualified lawyers may advise clients and appear in arbitration, but they cannot conduct advocacy in Arabic-language proceedings. Representation before the DIFC and ADGM Courts – common-law jurisdictions within the UAE – is open to both UAE and international lawyers who are registered with those courts.
Third-party funding is not expressly regulated but is permitted provided it does not breach public-policy or professional ethics principles. Any arrangement must avoid characteristics of champerty or maintenance.
Funding is most common in commercial and civil disputes with identifiable monetary claims. Criminal, personal status and administrative matters are excluded.
Funding is typically available to claimants; defendant-side funding is rare, although parties may use insurance or indemnity arrangements.
There are no statutory limits on the amount a third-party funder may contribute. Terms are determined contractually.
Funders may pay court fees, expert deposits, translation costs and advocates’ fees. Recovery is normally based on a percentage of proceeds or a multiple of the amount advanced.
Pure contingency arrangements are prohibited. However, lawyers may agree a fixed or hourly fee supplemented by a discretionary success bonus that is not the sole basis of remuneration.
Funding is generally arranged before filing. It may be introduced later, but courts can require proof of capacity to meet costs before proceeding.
There is no universal pre-action protocol. Nevertheless, issuing a written notice of claim is good practice. Certain matters – tenancy, labour and consumer disputes – must first be referred to statutory conciliation bodies.
Limitation varies by subject: 15 years for general civil claims, ten years for commercial matters and one year for labour actions. The period usually starts when the claimant becomes aware of the breach or damage.
Jurisdiction is typically determined by the defendant’s domicile or the place of contract performance. UAE courts may assume jurisdiction if one party is domiciled locally or if obligations are performed within the UAE.
Proceedings commence with an electronic filing of a Statement of Claim setting out facts, legal grounds and relief sought. Supporting documents and translations must accompany the filing. Amendments are allowed with court approval.
Service is executed electronically or by court bailiffs. For defendants abroad, service occurs via diplomatic channels or registered post.
If a defendant fails to appear, the court may issue judgment in absentia. The defendant retains the right to appeal once notified.
The UAE does not have a general class action regime. However, multiple claimants with aligned interests may join in a single proceeding.
Lawyers are required to provide clients with fee estimates in compliance with the relevant legal authorities’ guidelines.
Parties may request interim measures such as asset attachments, travel bans, injunctions or appointment of an expert. Judges can grant ex parte orders in urgent circumstances where prior notice would frustrate the remedy. The applicant must substantiate urgency and potential irreparable harm.
There is no formal summary judgment procedure, but courts may dismiss clearly unmeritorious claims or rule on undisputed debts where documentary evidence is conclusive.
Common procedural objections include lack of jurisdiction, inadmissibility due to pre-litigation requirements and absence of standing. These are typically raised in the first defence memorandum.
Judges may join third parties where necessary to ensure complete adjudication. Interested non-parties may seek to intervene before final judgment.
Courts may order claimants without a UAE domicile to post security for costs upon the defendant’s request.
Costs are typically reserved to final judgment. Courts may award interim costs if an application is frivolous.
Urgent motions can be decided within days; non-urgent ones within weeks depending on court caseload.
There is no general discovery process. Each party produces its own evidence. Judges may order disclosure of specific documents essential to resolving the dispute.
Courts may compel third parties to produce documents or testify if necessary.
Disclosure is limited to relevant evidence. Broad discovery or fishing expeditions are prohibited.
Court-appointed experts play a decisive role in technical matters. Experts investigate, exchange memoranda with parties and submit reports subject to comment and challenge. Private expert opinions are admissible as supplementary evidence.
Lawyers are bound by strict confidentiality. Communications between lawyer and client are privileged and may not be disclosed except by client consent.
Documents affecting state security, public order or professional secrecy are protected from disclosure.
Courts may grant injunctions to preserve assets, prevent dissipation or halt actions causing irreparable harm. Temporary measures may include travel bans, asset freezes and seizure orders.
Emergency judges may hear applications outside normal hours. Relief can be granted within 24 to 48 hours in extreme urgency.
Ex parte injunctions are permitted if prior notice would defeat the purpose of the relief sought.
Applicants may be required to provide security for damages resulting from wrongful injunctions.
UAE courts’ powers extend only to domestic assets. Recognition of foreign freezing orders depends on reciprocity agreements.
Orders may bind third parties in possession or control of disputed assets if the court deems this necessary to secure enforcement.
Failure to comply can result in fines, enforcement by the police or, in serious cases, imprisonment.
Trials are predominantly written. Judges review memoranda and documentary evidence, relying heavily on expert findings. Oral pleadings are brief and largely procedural.
Judges determine schedules for submission of memoranda and expert reports. They may consolidate related claims or separate issues for efficiency.
There are no jury trials in civil or commercial cases; adjudication is exclusively judicial.
Evidence must be relevant, admissible and authenticated. Documentary evidence carries the highest probative value.
Experts assist the court rather than the parties. Their conclusions, though influential, are not binding. Judges may appoint a new panel if the first report is contested.
Hearings are closed to the public, but judgments are provided to the parties electronically. Selected decisions may be anonymised and published for educational purposes.
Judges play an active role – questioning parties, directing experts and clarifying procedural matters. Written judgments include reasoning and operative orders.
From filing to final judgment, civil and commercial disputes generally last six to 18 months depending on complexity and expert involvement.
Settlements reached between private parties do not require judicial approval unless a minor, an incapacitated person or a government entity is involved. However, the parties may request the court to ratify the settlement so that it carries the force of a judgment.
Private settlements remain confidential unless filed in court. Once ratified, the settlement terms become part of the public record, though courts may omit sensitive information upon request.
A ratified settlement is enforceable through the Execution Court in the same way as a final judgment.
A settlement may be annulled only for fraud, duress or lack of capacity. The burden of proof rests on the party seeking rescission.
Courts may order payment of compensation, restitution of property, declaratory relief or specific performance. They may also issue prohibitory or mandatory injunctions in appropriate cases.
The UAE recognises only compensatory damages. The court assesses the actual loss suffered and, in some cases, foreseeable consequential loss. Punitive or exemplary damages are not available.
If the debt is non-commercial but its amount is ascertainable and does not require the court’s discretion to determine, interest shall be calculated from the date of the judicial claim. However, if the amount of the debt is not ascertainable until judgment, interest shall be calculated from the date on which the judgment becomes final, as long as the court retains discretion in assessing the amount adjudged.
By contrast, interest for delay in commercial debts shall be recoverable upon their mere maturity, unless otherwise provided by law or agreed between the parties.
Judgments are enforced through the Execution Court. Enforcement measures include attachment of assets, freezing of bank accounts, sale of property and travel bans against debtors. Enforcement continues until full satisfaction of the judgment debt.
Under Articles (222) to (225) of Federal Decree-Law No. (42) of 2022 on Civil Procedure, a foreign judgment may be enforced in the UAE by filing a petition before the Execution Judge, who issues a decision within five working days. This decision is subject to direct appeal.
Enforcement is granted only if the court verifies that:
These provisions shall apply without prejudice to international treaties ratified by the UAE governing the enforcement of foreign judgments.
Judgments of the Court of First Instance may be appealed to the Court of Appeal within 30 days. Decisions of the Court of Appeal may be further appealed on points of law to the Court of Cassation.
Appeals to the Court of Appeal are de novo: the court reassesses both fact and law. The Court of Cassation reviews questions of law only, including jurisdictional and procedural errors.
Appeals are lodged electronically by filing a memorandum setting out the grounds. The appellant must pay court fees and, in some cases, a refundable deposit to discourage frivolous appeals.
According to Article (167) of Federal Law No. (42) of 2022 on Civil Procedure, the Court of Appeal in the UAE primarily considers issues related to the matters covered by the appeal. It reviews both the new evidence, pleas and aspects of defence submitted thereto, and the evidence, pleas and aspects of defence initially submitted to the Court of First Instance.
New claims not arising from the original proceedings are not admitted; however, the original claim may be modified to include subsequent financial rights, adjustments to compensation, or changes in reasoning, without introducing entirely new claims. Only parties involved in the original proceedings may participate, though third-party intervention is allowed if the judgment adversely affects their interests.
Under Federal Decree-Law No. (42) of 2022 on Civil Procedure, the conditions for admitting an appeal are prescribed by law, not imposed by the court. An appellant must file the appeal within the statutory time limit and pay the prescribed court fees and deposits at the time of filing. Failure to comply with these procedural requirements – such as missing the appeal deadline, non-payment of fees or failure to submit the required security – renders the appeal inadmissible.
After hearing an appeal, the Court of Appeal may affirm, amend or set aside the lower-court judgment. If the judgment is set aside, the court may either decide the case on the merits where it is ready for adjudication, or remit it to the court that issued the appealed judgment for reconsideration.
Similarly, the Court of Cassation may quash the appealed judgment and remit the case to the Court of Appeal, or decide it directly where legally permissible.
Pursuant to Articles (133) to (136) of Federal Law No. (42) of 2022 on Civil Procedure, the losing party is generally responsible for the costs of litigation, including court fees, expenses and attorneys’ fees as determined by the court. The court decides on costs automatically upon issuing judgment and may divide them among multiple losing parties proportionally. However, the court may order the prevailing party to bear all or part of the costs if it caused unnecessary expenses or concealed relevant documents. Where both parties partially succeed, costs may be shared. Additionally, a party that initiates a claim or defence on malicious grounds may be ordered to pay costs and a fine between AED1,000 and AED10,000.
According to Article (4) of Dubai Law No. (21) of 2015 on Court Fees, a party may challenge the amount of court fees. If a dispute arises at the time of registering a case, appeal or application, it is referred to the President of the competent court, whose decision is final. Moreover, the court hearing the case may, either sua sponte or upon a party’s request, reconsider the amount of collected fees during the proceedings.
The court considers several factors when awarding legal costs. The general rule is that costs are imposed on the losing party, including attorneys’ fees and translation expenses, as determined by the court. However, the court may, under Article (134) of Federal Law No. (42) of 2022 on Civil Procedure, order the prevailing party to bear all or part of the costs if that party caused unnecessary expenses or concealed relevant documents.
In cases where both parties partially succeed or fail, Article (135) empowers the court to apportion costs between them or direct each to bear its own. Additionally, under Article (136), the court may impose costs and a fine ranging from AED1,000 to AED10,000 if any party files a claim, motion or defence on malicious grounds. Thus, the court exercises discretion based on fairness, conduct of the parties, and the outcome of the case.
Under UAE law, interest is not awarded on legal costs.
ADR methods, particularly mediation and conciliation, are encouraged. They are seen as efficient mechanisms to preserve business relationships.
Several courts operate mediation centres. Judges may refer matters to mediation at any stage, and parties that settle through these channels may request ratification so that the agreement acquires enforceability equivalent to a court judgment.
Key ADR bodies include the Dubai International Arbitration Centre (DIAC), the Abu Dhabi International Arbitration Centre (arbitrateAD) and the Sharjah International Commercial Arbitration Centre (Tahkeem). These institutions also provide conciliation and mediation services under modernised procedural rules.
The legal framework governing arbitration in the UAE comprises a comprehensive body of federal legislation and domestic institutional regulations. The principal federal enactments include Federal Decree-Law No. (6) of 2018 on Arbitration, which serves as the primary legal framework governing arbitral proceedings within the State; Federal Decree No. (43) of 2006, through which the UAE acceded to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards; and Federal Law No. (42) of 2022 on Civil Procedure, which provides the procedural foundation for the enforcement of arbitral awards. Alongside these, DIFC Arbitration Law No. (1) of 2008, Decree No. (6) of the year 2009, the Dubai International Arbitration Centre (DIAC) Rules (2022), the Sharjah International Commercial Arbitration Centre (Tahkeem) Rules (2010), and the Abu Dhabi International Arbitration Centre (arbitrateAD) Rules (2024) collectively establish a modern and arbitration-friendly legal regime consistent with international best practices.
According to Paragraph (2) of Article (4) of Federal Decree-Law No. (6) of 2018 on Arbitration, an agreement on arbitration may not be concluded with respect to matters where conciliation is not allowed. Consequently, disputes involving matters of public policy or rights that cannot be subject to settlement by the parties are not arbitrable.
According to Article (53) of Federal Decree-Law No. (6) of 2018 on Arbitration, parties can challenge an arbitral award by way of an action for annulment before the competent court or during the consideration of a request for confirmation. The court may annul the award only if one of the following reasons exists:
“a. Absence of an Arbitration Agreement, or the Agreement is void, or terminated due to expiry of its term in accordance with the law to which the Agreement is subject by the parties or in accordance with this Law if there is no reference to a specific law;
b. One of the parties, at the time of conclusion of the Arbitration Agreement, totally or partially lacks legal capacity in accordance with the law which governs his capacity;
c. The person who lacks the legal capacity to take any action regarding the right, the subject matter of the dispute, in accordance with the law governing his capacity, which is stipulated in Article (4) of this Law;
d. If one of the parties to Arbitration fails to present its defense as a result of not being given proper notice of the appointment of an Arbitrator or of the arbitral proceedings, the Arbitral Tribunal’s violation of the litigation principles or for any other reason beyond its control;
e. If the arbitral award fails to apply the law agreed upon by the parties to be applied to the subject matter of the dispute;
f. If the composition of the Arbitral Tribunal or the appointment of one of the Arbitrators is in conflict with the provisions of this Law or the agreement of the parties;
g. If the arbitral proceedings are invalid to the effect that impairs the award, or if the arbitral award is rendered after the due time limit; or
h. If the arbitral award deals with matters not included in the Arbitration Agreement or exceeds the limits of this agreement. Nevertheless, if it is possible to separate the parts of the award which contain matters subject to Arbitration from its parts that contain matters not subject to Arbitration, only the latter parts shall be null.”
The enforcement of domestic arbitral awards in the UAE is governed by Federal Decree-Law No. (6) of 2018 on Arbitration, particularly Articles (52) to (55). According to Article (55), the party seeking enforcement must submit a request for confirmation and enforcement to the Chief Justice of the competent Court of Appeal. This request must be accompanied by the original arbitral award or a certified true copy thereof, a copy of the arbitration agreement, a certified Arabic translation of the award if it was written in another language, and a copy of the transcript of filing the judgment with the court.
The judge must issue a decision within 60 days from the date of submission of the enforcement request, unless he or she finds one or several reasons for annulment of the arbitral award based on any of the cases contained in Article (53). Once the arbitral award is confirmed, it transforms into an execution writ, which can subsequently be executed before the Execution Court pursuant to the provisions of Federal Law No. (42) of 2022 on Civil Procedure.
In parallel, the enforcement of foreign arbitral awards in the UAE is governed by the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, along with Articles (222) and (223) of the Civil Procedure Law. A party seeking enforcement must submit a request to the competent court, including the duly authenticated original award or a certified copy thereof, the arbitration agreement, and certified Arabic translations where necessary. Recognition and enforcement may only be refused on the limited grounds mentioned in Article V of the New York Convention. Once the foreign arbitral award is confirmed, it transforms into an execution writ, which can subsequently be executed before the Execution Court in accordance with Civil Procedural Law.
The UAE continues to modernise its judicial infrastructure. Recent developments include expanded e-litigation systems, improved expert-witness management and enhanced co-ordination between federal and local courts. These reforms aim to increase efficiency and transparency in dispute resolution.
Growth is anticipated in construction, financial services, technology and real estate disputes. The continued emphasis on digital transformation is expected to reduce case duration and promote paperless litigation. Arbitration will remain central to cross-border commercial activity, supported by the UAE’s strong enforcement framework and pro-arbitration judiciary.
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