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Commercial Law

An Overview of Commercial Dispute Law

Introduction The UAE Contracts are governed by two primary legislations, the Civil Code and the Commercial Transactions Law. The Civil Code Law under Federal Decree Law No. 25 of 2025, to be enacted on 1st June 2026, abrogates the Federal Law No. 5 of 1985 governs general civil transactions, while the Commercial Transaction Law, established by Federal Law No. 50 of 2022, specifically addresses commercial and merchant transactions, where the primary goal is to make a profit. Fundamental Principles of Contract Law According to Article 113 of the 2025 Civil Code, a contract is formed when an offer and acceptance come together, showing a shared intention to create legal effects. Article 113(2) concerns pacta sunt servanda, which stipulates that a validly formed contract constitutes private law between the parties and can only be revoked or amended by mutual agreement or on legal grounds. A contract shall satisfy the principles of good faith. This duty also extends to the negotiation, as well, when a party who withdraws from negotiations in bad faith can be held liable for the other party’s actual losses. For a contract to be legally valid, Article 124 provides for three requirements. Consent The object of the contract is certain, lawful, and capable of existing The purpose must be lawful. Specific Commercial Law Principles The Commercial Transactions Law governs the commercial and merchant transactions, both commercial physical and virtual activities. These businesses shall be governed by the agreement between the parties and the provisions of the Commercial Transaction Law (2022). In the absence of a specific provision or commercial custom, the Civil Code shall apply, provided its application does not conflict with the general principles of commercial activity. Some of the specific commercial law principles are as follows: Article 373 of the civil law does not assume joint liability. However, Article 69 of the Commercial Law says that if two or more people owe a business debt, they are automatically jointly responsible unless the law or an agreement says otherwise, in contrast to the Civil Law. Civil transactions are subject to specific evidentiary requirements, and Article 8 says that evidence is governed by provisions in force at the time evidence was prepared. While the Commercial Law expedites the process, and commercial obligations can be established by all means of evidence, regardless of the amount involved, as provided under Article 91. In Commercial Law, Article 71 provides that if a merchant performs a service or business related to their commercial activities for a third party, they are deemed to have done so for consideration, unlike civil law, which says that the work is for free if the work is of a nature customarily performed gratuitously or falls outside the person’s professional vocation. While civil courts can grant an exception ‘reasonable period of grace’ for performance under Article 311(2), commercial courts are generally prohibited from granting a debtor a time limit for payment unless the creditor consents or under general exceptional circumstances as provided under Article 82. Interest is prohibited under civil law based on Sharia principles. Any agreement that includes a benefit more than the main amount is generally regarded as null and void. The contract remains valid, as indicated in Article 591(2). But Article 72 of the Commercial Law makes it clear that a creditor can get interest on a business loan. The contract sets the rate; if no rate is given, the market rate is used, provided it does not exceed 9%. The general limitation period for actions to enforce a right under civil law is 15 years, though there are shorter periods for some transactions. Under Commercial Law, to ensure the finality of business dealings, Article 92 provides that cases related to merchants’ obligations are barred after 5 years from the date the performance falls due. Steps for Handling Disputes Under Commercial Law The handling of disputes involves a structured process that prioritizes contractual agreements, commercial customs, and efficient evidentiary rules. 1. Reviewing the Contractual Disputes The first step is to refer to the agreement between the parties. Article 2 of the Commercial Law stipulates that commercial businesses and merchants are primarily governed by their specific agreements, unless they contradict the general commercial principles. Also, parties to commercial transactions are encouraged to specify a mechanism of dispute resolution within their contract. 2. Formal Notification Official summons and notices on commercial matters must be served through the Notary Public as provided under Article 81 of the Commercial Law. 3. Hierarchy of Law Article 2 of the Commercial Law says that in the absence of any specific agreement, the rules of commercial customs and practices shall apply. It is to be noted that a special or local custom will have precedence over general custom. The rules for previous dealings among the parties are also considered a special custom. In the absence of a commercial custom, civil law applies, unless it does not contradict the general commercial principles. Where the legislation is silent, the court adjudicates according to the Islamic Sharia principles. Natural law and equity will serve as the gap-fillers. Judicial Remedies In cases of breach, the buyer has several options through the court: The act provides for specific performance, i.e., execution in kind. This remedy aims to force the defaulting party to fulfill the exact terms of the agreements rather than just paying money for the breach. Article 102 of the Commercial Law provides for applying for a court order by the merchant to compel the seller to deliver the specific item. The court may refuse this execution in kind if it would be unduly onerous for the debtor. Rescission is the judicial undoing of a contract, intended to release both parties from their obligations because one side failed to perform. Article 234(1) of the Civil Law states that if one party fails to perform a material obligation, the other may apply to the court for rescission. Rescission under Articles 192 and 237 of the Civil Law has the primary effect of returning the parties to their pre-existing situation. Article 102 of the Commercial Code states that if a seller fails to deliver, the merchant has the explicit right to cancel the contract. The party may demand damages. and compensation for losses, considering the contract terminated. Parties can agree in their contract, and the agreement will be terminated ipso facto upon a breach of contract without the need for a specific court judgment to confirm the termination, provided a formal notice is served (Article 235 of the Civil Law). The court provides for damages either as a standalone remedy or in combination with rescission or execution in kind. Damages are generally assessed based on actual loss. Under Article 222 of the Civil Code, if two parties have mutual obligations that are both due, either party may withhold performance of their own obligation (for instance, like paying the price), if the other party fails to perform their reciprocal obligation (for instance, like delivering the goods). Dispute Resolution Mechanisms Resolving disputes in commercial transactions meticulously is an essential element in managing risk in this globalized international environment. These disputes are usually resolved through formal court procedures or alternative dispute resolutions. 1. Litigation The UAE offers a civil law jurisdiction system through the onshore courts and common-law jurisdiction through the offshore courts. The onshore courts follow the federal laws. The offshore court in the free zones follows common-law jurisdiction through its laws aligned with the international judicial system. Onshore Courts The litigation process in the UAE is primarily governed by Federal Decree Law No 42 of 2022, which came into force on January 2, 2023. The UAE judicial system provides for a three-tier system, supplemented by specialized offices. Case Management Office (CMO): CMO is responsible for preparing and managing cases before they are referred to a judge. They are established at the seat of each court, and their duties include registration, service of process, exchange of submissions, and expert reports. Court of First Instance: These courts have the jurisdiction to hear all matters, disputes, and proceedings of civil, commercial, and personal status claims, provided it is not excluded by a special provision. Court of Appeal: This court hears the appeals against the orders and judgments issued by the First Instance Court. Court of Cassation: This court is the highest level of appeal and entertain challenges based on statutory violations, application problems, or procedural nullity.A case commences when the plaintiff submits a statement of claim to the CMO. Once the legal fees have been paid, the lawsuit will be fully registered. The case is referred to the appropriate courts, and pleadings are often held in open court, unless in sensitive cases. Following completion of the procedures, the court issues a reasoned and signed judgment. A party has 30 days to appeal a ruling to the Court of Appeals, and a final challenge can be filed within 30 days of the appellate judgment within the Court of Cassation. Offshore Courts Apart from the onshore courts, the free zone areas have their own common law jurisdiction system. Dubai International Financial Center (DIFC), following English language, has its own laws and an independent court, DIFC Courts, as governed by Law No 2 of 2025. Their structure comprises the Court of Appeal, Court of First Instance, and a Small Claims Tribunal. They have exclusive jurisdiction over civil and commercial disputes involving DIFC establishments. They also allow external parties to opt in to their jurisdiction through clear written agreements. Abu Dhabi Global Market (ADGM) is also a financial free zone situated in the Emirate of Abu Dhabi, having its own laws and an independent judicial system. 2. Alternative Dispute Resolution Negotiation and Mediation Negotiation allows the parties to have direct discussions and helps them to reach a conclusion. This is considered the initial step in any kind of conflict. Mediation is a step above negotiation, because in mediation, there will be a neutral third party who facilitates the discussions and helps them to find a middle ground. Arbitration Arbitration is the preferred way for resolving high-value complex disputes. The Federal Law No. 6 of 2018, amended by Federal Decree Law No. 15 of 2023, governs the process of arbitration and is based on the UNCITRAL Model Law. The panel and the arbitrators will be decided and appointed by the parties, and their decision will be binding between the parties. The Arbitration Law helps to uphold party autonomy and is a cost-effective, speedy way to settle disputes. Conclusion The Civil Code provides the general foundation for all obligations, and the Commercial Code introduces specific rules tailored for merchants and business dealings. While handling disputes within commercial transactions, the contract is to be reviewed first in order to identify whether the principles mentioned in the contract are fair and do not conflict with the general principles. And for resolving disputes, they shall adhere to the mechanism of dispute resolution provided in the contract. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - May 14 2026
Property Law

Best Rental Dispute Lawyer for Landlords in Dubai

Rental disputes in Dubai are rarely as simple as they first appear. What may begin as a delayed rent payment or a tenant refusing to vacate can quickly turn into a legal issue that requires strict compliance with UAE tenancy laws. For landlords, having the right landlord lawyer in Dubai or a rental claim lawyer in the UAE is not just helpful; it is often essential. This guide walks you through the legal landscape in a clear and practical way, helping landlords understand their rights, avoid common mistakes, and choose the right legal support. Understanding Rental Disputes in Dubai Law No. 26 of 2007, as amended by Law No. 33 of 2008, and rules from RERA govern Dubai's rental system. These laws try to find a middle ground between the needs of landlords and tenants, but they also have strict rules about how things should be done. From a landlord’s perspective, the most common disputes usually arise from: Non-payment of rent Tenants refusing to vacate after notice Disagreements over rent increases Property misuse or illegal subletting Damage to the property What many landlords do not realize is that even when they are clearly in the right, failing to follow the correct legal process can weaken or even invalidate their claim. Why Landlords Need a Rental Dispute Lawyer It's easy to think that a rental dispute is simple, especially when the problem seems clear. But Dubai's legal system is very organized, and even small mistakes in how things are done can have big consequences. A good rental claim lawyer in the UAE does more than just file a case. They help you approach the situation strategically. They begin by assessing whether your claim is legally strong. For example, in eviction cases, the lawyer will check whether the correct notice period has been given and whether it has been served through the proper legal channels. They also ensure that all notices are drafted correctly. This is particularly important because improperly served notices are one of the most common reasons landlords lose otherwise valid cases. Beyond that, a lawyer represents you before the Rental Disputes Center (RDC), ensuring that your case is presented clearly, supported by proper documentation, and aligned with how the RDC typically evaluates disputes. The Legal Rights of Landlords in Dubai Dubai law does provide landlords with strong rights, but these rights must be exercised carefully. A landlord has the right to evict a tenant, but only under specific conditions. For instance, if rent remains unpaid after a formal 30-day notice, eviction proceedings can begin. Similarly, eviction for personal use or sale requires a 12-month notarised notice. Landlords also have the right to increase rent, but only in line with the RERA Rent Index and with proper notice. Arbitrary increases are not enforceable. In cases where tenants breach the tenancy agreement, such as damaging the property or leaving early without agreement, landlords may also be entitled to ask for compensation. The most important thing to remember is that the law protects landlords, but only if they follow the right steps. What Makes the Best Landlord Lawyer in Dubai? Not all lawyers approach rental disputes in the same way. The best ones combine legal knowledge that is useful in real life. A good landlord lawyer knows more than just the law; they also know how the Rental Disputes Center works in real life. They know what kinds of evidence are important, how cases are usually judged, and how to make your claim stand out. effectively. They also focus heavily on documentation. In Dubai, cases are often decided based on records, Ejari registration, payment history, written communication, and properly served notices. Equally important is their ability to give practical advice. In some situations, pursuing eviction may not be the most efficient solution. A good lawyer will help you explore alternatives such as negotiated settlements or structured payment arrangements, depending on what works best for your situation. The Importance of Strategic Legal Thinking In more complicated cases, the outcome often depends on how well you prepare rather than what you say in court. From Mrs. Awatif Al Khouri's point of view, the key to winning legal battles is careful planning to make sure that all the documents, notices, and procedural steps are in order before the case reaches the RDC. This kind of strategic thinking can really help, especially in disputes that are worth a lot of money or are very private. Common Mistakes Landlords Should Avoid Many landlords unintentionally weaken their position by making avoidable errors. One of the most common mistakes is serving notices incorrectly, either informally or without following legal requirements. Others rely too heavily on verbal agreements, which are difficult to prove in court. Failing to register Ejari, attempting to force a tenant out without legal process, or ignoring required notice periods can also lead to serious legal setbacks. In Dubai, the courts prioritize compliance. Even a strong case can fail if the process is not followed properly. Choosing the Right Rental Claim Lawyer in the UAE Choosing the right lawyer is an important choice. It's important to know how to handle tenancy disputes, but it's also important to know how to follow RDC rules. A good lawyer should be able to explain your choices in a way that is easy to understand and doesn't use a lot of legal jargon. They should also have a plan for how to write and prepare cases. For expats and landlords managing property from abroad, communication becomes even more important. You need someone who can guide you step by step and keep the process transparent. Ultimately, the goal is not just to win a case but to resolve the dispute efficiently and with minimal disruption. Conclusion Rental disputes in Dubai are not just about proving a point; they are about following the law exactly and making your case well. For landlords, the little things can make the difference between success and failure. For example, how a notice is served, how documents are put together, and how the case is set up from the start. If you hire the right landlord lawyer in Dubai, you can be sure that your rights are protected and your case is handled with the care it needs. In this case, it's very important to have experienced legal advice. Mrs. Awatif Al Khouri often asserts that the outcome of a rental dispute is mostly decided before it even gets to court by careful planning, good paperwork, and smart choices. This point of view makes a simple but important point: to win a tenancy dispute, you need to do more than just react to problems. You need to be clear about what you want, be ready, and get the right legal advice from the start. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - May 14 2026
Family Law

Best Lawyer for Will Disputes in Dubai

When it comes to inheritance in Dubai, it's important to find a good balance between legal requirements, family ties, and personal wishes. There may be questions about how to read or use a will in some cases, especially when the assets, beneficiaries, or legal frameworks are different. Because the UAE has a wide range of laws, disputes can involve both civil and Sharia principles, depending on the situation. People can better understand and feel more confident about how to deal with these problems by learning how the law deals with them. Understanding Will Disputes in Dubai A will dispute happens when someone challenges the validity, interpretation, or execution of a will. In Dubai, these disputes are handled through the courts, and the applicable law depends on several factors. For Muslims, inheritance is typically governed by Federal Decree Law No. 41 of 2024 on Personal Status, which is based on Islamic law. The Federal Decree Law No. 41 of 2022 on Civil Personal Status grants non-Muslims more freedom. For example, they can distribute their possessions in accordance with a registered will. Abu Dhabi Law No. 14 of 2021 also helps expats in Abu Dhabi because it makes it clear how to divide up an estate when there is no will. For example, it says that all children should get the same amount of money, regardless of their gender. Common Reasons for Contesting a Will Disagreements or uncertainty about what the deceased wanted can often lead to disputes in Dubai. Such situations can get out of hand very quickly, especially when they involve important assets or family ties. Why it's important to get legal help in will disputes It's not just about reading a will when there are disputes. They need to know UAE laws, court procedures, and the rules for presenting evidence very well. Even a small technical problem, like not registering or witnessing correctly, can change the outcome of a case. A well-structured legal approach helps in: Assessing whether the will is legally valid Identifying the correct law that applies to the estate Preparing strong documentation and evidence Representing your position before the court Exploring settlement options to avoid prolonged litigation In many cases, disputes can be resolved faster when both sides receive clear and practical legal advice from the beginning. How to Settle a Contested Will in Dubai There are usually several steps to take when dealing with a contested will in Dubai. The general steps are the same for all cases, but they may differ. Going over the Will and Estate Papers The first thing to do is to carefully read the will, property records, bank accounts, and any other papers that support it. Figuring out what law applies The court will decide which law applies based on the person's religion, nationality, and whether or not they have a will. Making a Claim If a disagreement can't be worked out peacefully, the case goes to court. Proof and Hearings Both sides make their cases, using documents, witnesses, and expert opinions if needed. Decision and Enforcement The court makes a decision, which could mean moving assets around or confirming that the will is valid. Because this process is legally and emotionally complicated, it's important to hire a will dispute lawyer in Dubai at all times. Key Challenges in Contested Will Dubai's legal system is flexible, but this also makes some things harder: Assets in more than one country: Many expats own property in more than one country. Different legal systems: There are problems when the law in your home country and the law in the UAE don't agree. Wills that aren't registered: Not registering them can cause problems. Family fights: Stressful emotions can make it hard to make decisions To deal with these problems, we need to be clear about the law and have a practical, problem-solving attitude. Helpful tips for avoiding or dealing with will disputes There are steps you can take to lower the risk, even though not all disputes can be avoided: Write a will that is clear and follows the law Change the will often to reflect changes in your life Keep good records of your assets and beneficiaries. Talk to family members about your plans when you can. Get legal advice as soon as possible if a disagreement comes up Following these steps can make a big difference in keeping you out of long, stressful legal battles. A Practical Way to Deal with Disputes Experience in the UAE courts is very important when it comes to contested cases in Dubai. A will dispute lawyer in Dubai who works with family and estate disputes on a regular basis knows how judges think about fairness, evidence, and the best interests of dependents. Mrs. Awatif Al Khouri is well-known for her extensive experience in litigation in UAE courts, including handling sensitive family and inheritance disputes. Her method is to combine strong legal arguments with practical solutions, making sure that clients can get through tough times with confidence and clarity. Choosing the Right Legal Support If you are dealing with a contested will in Dubai, the right will dispute lawyer Dubai, will help in: Honest and clear advice from the start A good understanding of both civil and Sharia law when it comes to inheritance Experience with court cases and settling disputes Ability to deal with private family issues with care Final Thoughts Contested wills in Dubai can be complicated, especially since there are many different cultures and legal systems that come together. It's important to know your rights and act quickly when you're contesting a will or defending one. A good legal strategy can help you protect your interests, lower the level of conflict, and make a confusing situation easier to understand. With help from professionals like Mrs. Awatif Al Khouri, people can handle will disputes with more confidence and a clear path ahead. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - May 14 2026
Family Law

Can a Parent Travel with a Child Without the Father’s Permission in the UAE?

In the UAE, relocating minors across borders is not seen as a routine choice for parents. It is a legal issue that involves custody rights, parental authority, and judicial oversight. If you try to travel with a child without knowing these things, you could be stopped right away at immigration points or have to go through legal proceedings later. This blog examines whether a mother may travel with a child without the father’s permission under UAE law, with a distinction between the applicable legal regimes. Applicable Legal Framework in the UAE Family matters in the UAE are governed primarily by two legislative regimes: Federal Decree-Law No. 41 of 2024 on Personal Status Law Federal Decree-Law No. 41 of 2022 on Civil Personal Status Law Position Under the Civil Personal Status Law (Non-Muslims) The civil personal status regime signifies a deviation from the traditional custodial framework by implementing a shared parental responsibility paradigm. The nature of parental power In most cases, custody is shared, unless ordered. Both parents retain equal legal authority over the child. There is no automatic presumption of exclusive paternal guardianship. As a result, decisions affecting the child, including international travel and any child travel restrictions in the UAE, are treated as shared parental decisions. One Parent Traveling Alone In principle, neither parent has the right to make unilateral decisions that significantly impact the child if the other parent disagrees. So: A parent can only travel with the child if there are no child travel restrictions or no objections. If the other parent objects, the matter becomes justiciable. The objecting parent may seek a travel ban or a preventive order. Therefore, while the civil law does not impose a strict requirement of paternal permission, it equally does not permit unilateral relocation or travel in situations that are in dispute. Court Action When there is a disagreement, the court will decide if travel is allowed. The most important thing to consider is what is best for the child, based on factors such as: Purpose and length of trip Chances of not returning Current custody arrangements The child's welfare and safety The court may give permission with conditions, deny travel, or set up safety measures. Position Under the Personal Status Law (Muslims) The 2024 Personal Status Law framework keeps the difference between custody and guardianship, which has a direct effect on travel rights. Guardianship and Custody The custodian, responsible for daily care The guardian is responsible for major decisions concerning the child. International travel is treated as a significant legal decision, falling within the sphere of guardianship. Need for Guardian Approval In general: A custodian can't take the child out of the UAE without the guardian's permission. The guardian can ask for a child travel restriction These kinds of orders are enforceable through immigration authorities. This position represents a systematic distribution of parental responsibilities rather than an arbitrary practice. The Court's Choice and Exceptions There is no limit. Courts can still let someone travel without the father's permission if there is a good reason. Where permission is granted: The trip is temporary and well-defined. There is no risk of permanent relocation. The trip is in the child's best interest. Courts may set conditions like financial guarantees or clear deadlines for returns. Child Travel Restrictions in the UAE A child travel restriction is a legal measure that keeps a minor from leaving the UAE as a precaution. Important features: Either parent can ask for it. In disagreements, it is often given on a temporary basis. It can be enforced right away at all UAE ports of exit. Once the restriction is in place, it works no matter what the custody status is, and it can't be bypassed without a court order. Applications for Travel Permission That Are Urgent If you need to travel right away, you can ask the right court for: Temporary lifting of a travel ban One-time travel authorization Preventive orders allowing travel subject to conditions Such applications are typically assessed on an expedited basis but require precise legal framing and supporting evidence. When there is an urgent need for help, child travel disputes need both quick procedures and clear substance. Mrs. Awatif Al Khouri has handled complicated family law cases in the UAE, such as those involving travel bans, custody fights, and emergency court applications. In these kinds of cases, it's often necessary to carefully follow both the law and court rules. Conclusion There is no clear answer to the question of whether a parent can take a child on a trip without the father's permission in the UAE. Under the civil personal status regime, parental authority is shared, although unilateral actions are, however, legally contestable. According to the personal status law, parental permission is still a key requirement for international travel. In both systems, the court is in charge, and it makes decisions based on what is best for the child. Early legal assessment is important in sensitive situations that involve travel. Mrs. Awatif Al Khouri has handled these kinds of disputes in both court and advisory settings, showing how important it is to have a structured and legally sound approach when parental rights and cross-border movement come together. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - May 14 2026