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Force Majeure Clauses in Contracts: A Special Reference to Form F in Dubai Real Estate Transactions

Introduction Contractual obligations may become difficult to perform due to unforeseen external events that disrupt normal commercial operations. In recent years, particularly in the wake of the COVID-19 pandemic and various geopolitical tensions, the term "force majeure" has come under increased scrutiny in the realm of business agreements. Consequently, businesses are now meticulously examining their contracts and assessing the adequacy of their "force majeure" provisions in light of the risks posed by these tensions. However, force majeure is only available in certain situations and cannot be invoked merely because performance has become harder or more expensive. The doctrine works within certain legal limits, and its application depends on whether the event in question makes it absolutely impossible to perform the contract. Historically, the doctrine was codified in the Civil Code under Federal Law No. 5 of 1985, which established the legal framework governing circumstances that prevent or significantly hinder contractual performance. The UAE approved a new set of laws called Federal Decree-Law No. 25 of 2025 on Civil Transactions, which is set to come into force on 1 June 2026. Although the new law keeps the basic rules on "force majeure" and "extraordinary circumstances," it also clarifies when performance is impossible and when it is still possible but too difficult.   It is important to understand the difference between these two terms when deciding whether geopolitical factors can justify breaking or changing a contract. Legal Framework of Force Majeure Clause and Exceptional Circumstances The doctrines of force majeure in the UAE law (Civil Code of 1985)  under Article 273 and exceptional circumstances under Article 249 provide legal ways to deal with cases where events beyond the parties' control make it impossible to perform the contract. Both theories are based on unexpected events that neither party could have predicted. However, they are very different and should only be used in certain circumstances. When an unexpected and uncontrollable event makes it objectively impossible to fulfill a contractual duty, this is called "force majeure" in the UAE law. When a contract has a  "force majeure" clause, the problem will be addressed according to the terms of the contract. Article 273 of the Civil Code, on the other hand, also covers situations where performance is impossible because of "force majeure." This will apply even if there is no specific clause in the agreement. In such situations, the law recognises that a party cannot reasonably be expected to fulfil an obligation that can no longer be performed in reality. In bilateral agreements, if an event totally ceases performance, each party may no longer have to do what they agreed to, and the contract may come to an end automatically. The idea also applies when something becomes partially or temporarily impossible, except for that part of the contractual duty, the rest of the agreement remains valid for both parties. The theory can also be used as a defense against liability if the party that was supposed to be responsible can show that the failure to perform was caused by things that were out of their control. The Force Majeure clause does not automatically release parties from obligations, its application depends on legal conditions and factual circumstances. To apply, the event must be unforeseeable at the time the contract was concluded, unavoidable despite reasonable efforts to mitigate its impact, and must render the performance of the contractual obligation objectively impossible rather than merely difficult, costly, or inconvenient. The concept of exceptional circumstances, which is sometimes called hardship, is different from force majeure. This idea is used when performance is still technically possible but too hard to do because of unexpected public events. In cases where unforeseen events do not prevent performance but make the obligation excessively burdensome, relief may be sought under Article 249 of the Civil Code. Instead of terminating the contract, the law allows judges or arbitral tribunals to step in and make things fair between the parties to maintain the balance of the contract. So, the difference between these two doctrines is very important, force majeure deals with situations where something really can't happen, while the doctrine of exceptional circumstances tries to ease extreme suffering without ending the contract. Application of Force Majeure Clause in Form F Real Estate Agreements The Dubai Land Department (DLD) issues Form F, also known as the Unified Sale Agreement or MOU, as the standard contract that documents the mutually agreed-upon terms between the buyer and seller in a property transaction. It includes the purchase price, the security deposit (10% in most cases), the completion date, the broker's commission, and the obligations of both parties prior to the transfer. If a force majeure event occurs in Dubai real estate practice, the parties may be excused from fulfilling the terms of the contract, and the contract may be terminated without penalty. However, Form F in Dubai real estate does not always include a comprehensive force majeure clause in most of the transactions. Regardless of its absence, the UAE Civil Code principles continue to be applicable. Therefore, the courts may continue to assess force majeure clause in accordance with civil law principles. The concept of force majeure is strictly interpreted by the courts. If a party violates the Dubai property Form F contract, the resulting legal ramifications will depend on the specific party at fault. In instances where the buyer fails to fulfil the transaction, the vendor may have the right to retain the 10% deposit made at the agreement's inception. Conversely, if the seller defaults and refuses to finalize the property transfer, the buyer may be entitled to either compensation or the return of the deposit, potentially with additional damages contingent upon the circumstances. Nevertheless, if a party can successfully demonstrate that the non-performance stemmed from a force majeure event, this may function as a legal defense, thereby absolving the party of any liability associated with the said breach. When a dispute arises, and one party claims a force majeure clause or refuses to perform contractual obligations, the first step is to carefully review the Form F contract, particularly the wording of force majeure and other relevant clauses, the agreed-upon completion date, and any penalty provisions. The affected party may issue a formal legal notice requesting the completion of the transaction or the termination of the agreement, and, if applicable, the return of the deposit, if the issue remains unresolved. If the situation remains unresolved, a complaint can be lodged with the UAE courts. The court will then determine if the circumstances meet the criteria for force majeure. They'll also consider whether the event genuinely hindered the transfer of the property and, consequently, whether the deposit should be returned or managed in accordance with applicable legal guidelines. Conclusion: Evaluating ‘Force Majeure’ Clause When UAE courts apply the concept of force majeure, they are very careful and go no further than the law allows. To validate a claim, the party making it must demonstrate a clear connection between the unexpected event and their inability to fulfil the contract. The event must go beyond being merely inconvenient or expensive; it must clearly make performance impossible. Loss of income or higher costs are usually not enough on their own. Courts also consider whether the event was beyond the parties' control and not something they could reasonably have expected. Situations such as transport disruptions, airspace closures, or trade restrictions may qualify if they genuinely prevent contractual performance. In order to invoke the force majeure clause in the UAE, the party must also establish that the unforeseen event was the direct and exclusive cause of the breach. It also needs to show that all reasonable steps were taken to lessen the effects of the event, that the party acted in good faith, and that they properly told the other party according to the deadlines agreed upon. When evaluating a force majeure clause in the UAE law, several key factors must be examined. The clause's scope must be analyzed to ascertain if the enumerated events adequately encompass disruptions resulting from geopolitical instability or unforeseen circumstances. A thorough examination of the procedural requirements for invoking the provision is essential, encompassing the notice deadline and any associated responsibilities. Furthermore, a comprehensive review of the entire contractual framework is warranted, with particular attention to the governing law and dispute resolution clauses, given their influence on the interpretation and enforcement of the force majeure provision. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - April 21 2026
Property Law

AN OVERVIEW OF CONSTRUCTION DISPUTES IN THE UAE

INTRODUCTION The United Arab Emirates has established itself as a top destination for ambitious construction and real estate development because it keeps investing in infrastructure, tourism, and mixed-use developments. This also made it more likely that there would be problems during the project's duration. Disagreements about construction in the UAE often happen because of vague contract terms, project delays, changes to the scope of work, payment disputes, and the difficulties of dealing with many different parties. Given the technical and commercial complexity of these projects, disputes are rarely straightforward. In light of this, effective dispute management requires legal expertise and a practical understanding of construction works and practices LEGAL FRAMEWORK OF CONSTRUCTION DISPUTES 1. Civil Law UAE’s legal framework for construction is transitioning from the Federal Law No.5 of 1985 Concerning the Civil Transactions Law to the Federal Decree-Law No. 25 of 2025, which comes into force on June 1, 2026. Both laws regulate construction via "Muqawala" in Old Law or "Contracts for Work," in New Law, but the New Law adds more detailed responsibilities and judicial powers to ensure fairness in contracts. Under the Old Law, a Muqawala contract says that one party must do work in exchange for money from the employer and the contractor is usually responsible for any losses that happen because of their work. The New Law keeps this basic concept but changes the words to "Contract for Work" between a "contractor" and a "client." One of the differences in the New Law is the contractor's duty to disclose the truth. The Old Law says that contractors must follow technical requirements while using materials provided by the employer. New Law, on the other hand, says that the contractor has the duty to disclose the client right away if they find any problems with the materials or any other issues. If the contractor doesn't give such notification, they are responsible for all the problems that come up. The New Law gives the client stronger options for dealing with performance breaches. Under Article 818, a client can issue a notice to remedy a breach if a contractor's work is defective. The New Law significantly strengthens the client's position by explicitly allowing them to hire a third-party contractor to finish or fix the defective work, with the original contractor covering the costs, if the contractor doesn't respond to a request for repairs. Furthermore, the New Law includes a provision for contractual equilibrium. This allows courts to adjust payments or extend deadlines if unexpected and unforeseeable events significantly disrupt the contracts. Decennial Liability Under the Old Law, specifically Articles 880 to 883, contractors and architects are held jointly liable for a period of 10 years for the total or partial collapse of buildings or any defect threatening structural stability or safety, upon delivery of the work. Any agreement attempting to exempt or limit this liability is void. Legal claims must be filed within three years of either the building's failure or the moment the flaw is found. The New Law largely preserves this 10-year decennial liability framework under Articles 821 to 824, but clarifies the joint and several nature of the obligation between the contractor and the engineer (the term now used instead of architect). It says that this liability still stands even if the collapse was caused by a defect in the ground or if the employer gave permission for the work to be done incorrectly. The New Law also preserves the rule that any provision attempting to exclude or limit this liability is void. The three-year limitation period to bring an action following a collapse or discovery remains unchanged. The Limitation Period Both laws stipulate a three-year limitation period for certain defined types of legal actions. Although the standard limitation period for civil claims generally extends to 15 years, a 3-year rule applies to construction projects involving the collapse of buildings or major safety defects. Contractors and engineers are responsible for structural integrity for 10 years. As a result, any claim for compensation based on this responsibility has to be made within three years of the collapse or finding. Beyond the decennial liability and limitation periods, several other critical provisions govern construction disputes in the UAE. Contractual Equilibrium One of the most essential things that might cause problems on construction sites is changing the price and time. Under the Old Law, contractors who had a lump sum contract usually couldn't ask for additional funds because of rising costs of materials or labor. This was only possible if the employer agreed to adjustments under Article 887(1). However, the New Law introduces a "contractual equilibrium" clause (Article 829). This clause allows the court to change the payment or give the parties more time to conclude the contract if something happens that they didn't expect and that has significant impacts on the contract's financial basis. The objective is to find a balance between the interests of both parties. Right of Retention and Subcontracting Construction disputes often involve a contractor withholding the work due to non-payment. Both frameworks permit a contractor to exercise a right of retention over property where their work has produced a beneficial effect, allowing them to keep the item until the agreed consideration is paid under Article 879 (Old Law) and Article 820 (New Law). Regarding subcontractors, the general rule remains consistent, a main contractor may delegate work unless prohibited by contract or the work’s nature requires personal performance. Crucially, a subcontractor has no direct claim against the employer for payment unless the main contractor has formally assigned that right to them. Priority Rights (Lien for Payments) For construction disputes involving insolvency or non-payment, both laws provide contractors and architects (engineers) with a special priority right (privilege). This right is connected to the buildings or structures that were built or repaired, but only to the extent that their work increased the property's value. To be valid against other parties, this right must be registered in the land registry, and its priority is determined by the date of registration. When the law doesn't directly deal with a certain construction issue, UAE courts follow an arrangement of sources. The Old Law says that Sharia comes first, then custom. The New Law makes this clearer by adding a last step, if there is no rule in Sharia or tradition, the court will determine based on natural law and the norms of justice. 2. Dubai Law No. 7 of 2025 concerning the Regulation of Contracting Activities The law was published in the official Gazette on July 8, 2025 and came into force on January 8, 2026, sets up a complete legal system to control contracts in the Dubai Emirate. The law's primary objectives are to advance the contracting sector, ensure the proper execution of projects according to urban planning standards, and establish clear foundations for the classification of contractors. Under Article 4, the scope of this law is expansive, applying to all contractors and contracting activities throughout Dubai, including special development zones, free zones, and the Dubai International Financial Centre (DIFC). Contractors' responsibilities are specified in Article 15, mandating adherence to building, safety, and environmental regulations, while also prohibiting the execution of "sham projects" designed for unlawful profit. Article 22 stipulates administrative penalties for those who violate the rules with fines of 1,000 to 100,000 AED (which can be doubled for repeated violations), having suspension of their activity, or having their classification lowered. Finally, Article 26 sets a time limit for correcting a status. All contractors who are now working must follow the rules of the law within a year of it being passed. Given the law becomes effective six months after its July 2025 publication (January 2026), contractors have until January 2027 to finalize their registration and classification. 3. FIDIC CONTRACTS In the UAE construction industry, FIDIC contracts are very common, especially for large and complicated projects. This is because they provide a clear way to define roles, responsibilities, and how risks are shared among everyone involved in the project. Standard forms such as the Red, Yellow, and Silver Books are commonly adopted, but they are often tailored through particular conditions to reflect local legal requirements and commercial practices, sometimes altering the intended balance of risk. In these contracts, the importance of proper contract administration is underscored, which includes the function of the Engineer, strict notice provisions, and structured processes for managing variations and claims. As a result, it is essential that everyone involved has a good understanding of how FIDIC works in the UAE, both practically and legally. DISPUTE RESOLUTION There are many ways to settle disputes in the United Arab Emirates, and the parties can choose the one that works best for them. Mediation and negotiation Mediation and negotiation are informal, voluntary ways to settle disagreements that do not involve court. In negotiation, the two parties negotiate with each other directly, but in mediation, a neutral third person helps them reach a solution that works for both sides. These ways are cheaper, more private, and faster than other alternatives. Arbitration Arbitration is the preferred method for resolving disputes within the UAE's construction sector. The UAE Arbitration Law (Federal Law No. 6 of 2018, amended by Federal Decree Law No. 15 of 2023) provides the legal framework. This approach offers a private and adaptable setting, allowing parties to select arbitrators possessing the requisite technical expertise to adjudicate the dispute. Litigation Litigation involves resolving disputes through the UAE judicial system, particularly when arbitration has not been agreed upon. Litigation is a strong way to enforce the law, although it is usually more formal and takes longer than other ways to settle disputes. Dispute Adjudication Boards and Expert Determination Dispute Adjudication Boards or DABs, are designed to address the inevitable disagreements that crop up during a project's life. DABs are made up of neutral specialists who arrive at decisions or suggestions which helps keep disagreements from getting worse. Expert determination is a means to settle technical or financial issues by employing an outside expert when specific knowledge is required. CONCLUSION The UAE has a well-established legal and institutional setup to handle these issues. This framework provides several avenues for resolving disputes, such as court proceedings, arbitration, and other alternative methods. Therefore, choosing the best route is crucial for preserving business ties, avoiding unnecessary hold-ups, and getting results quickly and affordably. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - April 21 2026
Family Law

A Complete Guide for Expats on Non-Muslim Civil Marriage in the UAE

For many expat couples in the UAE, getting married is now not only a religious or cultural choice, but also a legal one. By allowing non-Muslim civil marriage, the UAE has made it possible for expats to get married without having to follow religious rules. If you're getting married, are already married abroad, or are just thinking ahead about legal protection, it's important to know about civil marriage. This is especially true if you ever need help from Divorce Lawyers again. This article talks about civil marriage for people who aren't Muslim, who can apply for it, how it works, and why it's important for expats living in the UAE. What does it mean to have a non-Muslim civil marriage in the UAE? A non-Muslim civil marriage is a marriage that is legal and follows civil law instead of religious law. A civil marriage doesn't need a religious ceremony or a guardian (wali), unlike a religious marriage. The process is based on a contract, is open to everyone, and is based on both parties' free will. For example, getting married in a civil ceremony is like starting a business instead of joining a club. It is a legal contract that the state recognizes and is meant to make things clear, safe, and legally protected. Who is allowed to get married in the UAE? Non-Muslim couples, including expatriates from any country, can get married in the UAE. Couples who live in the UAE and those who come to the country just to get married can both use it. There are a few things that need to happen for someone to be eligible: both people must be at least 18 years old, they must both agree to the terms freely and without pressure, and they must not be closely related by family. This choice has become very popular with mixed-nationality couples, professionals, and expats who want the law to be clear and consistent in different places. Where Can You Sign Up for a Civil Marriage? Civil family courts are now in charge of registering civil marriages. Abu Dhabi was the first emirate to set up this system. A civil marriage certificate is valid all over the UAE once it is issued. Many couples who live outside of the UAE choose Abu Dhabi because the process is easy, they can apply online, and they get their marriage certificates quickly. Interesting fact: Since the law went into effect, thousands of civil marriages have been registered, showing that there is a lot of demand from expats. A Step-by-Step Guide to the Civil Marriage Process Here's a simple breakdown: 1.) Application Online Send in the application along with copies of your passport and basic information. 2.) Review by the Court The civil court checks to see if someone is eligible and has given their permission. 3.) Marriage Agreement The couple signs a civil marriage contract, and in some cases, no witnesses are needed. 4.) Marriage Certificate Given The certificate is legal in the UAE and can be made legal for use in other countries. Tip: A lot of couples talk to divorce lawyers before they get married to learn how civil marriage will affect property, custody, and divorce later. Does the UAE allow civil marriage? Yes, most of the time. But whether a civil marriage certificate is accepted outside the UAE depends on the laws of the country where you want to use it. You might need the following to use a UAE civil marriage certificate in another country: Apostille or proof Recognition by the right embassy or consulate Real-life example: A couple from Europe gets married in Abu Dhabi under civil law. They then make the marriage certificate legal so they can use it back home for things like visas, taxes, or inheritance.   The main differences between civil marriage and religious marriage: Civil Marriage Governed by civil law No religious ceremony is needed Rights for both spouses that are not based on gender Divorce rules that are clear and the same for everyone Religious Marriage Governed by religious law Ceremonies of a religious nature are necessary The religion that applies decides rights. The rules for divorce are different for each religion. Divorce lawyers often tell couples who live abroad that this difference is even more important if the marriage ends later. What Happens When a Civil Marriage Ends? When a civil marriage ends, civil personal status law, not Sharia law, is what matters. In practice, this often makes it possible to get a no-fault divorce, makes the process easier, and treats both spouses equally. A lot of expats, especially those from Europe, North America, or other civil-law countries, are used to and can count on this way of doing things. It's a good idea to talk to divorce lawyers early on if you're thinking about getting a civil marriage. This way, you'll know how civil law would handle things like divorce, child custody, and dividing up property. Children, Custody, and Getting Married in a Civil Ceremony Getting married in a civil ceremony does not get rid of parental duties. In any case that has to do with kids, the courts look at what is best for the child and what kind of stable living arrangements they need. You still have to pay child support, and issues of custody and guardianship are handled by civil personal status law instead of religious rules. Why civil marriage is important even if you're already married A lot of couples think they only need legal help when things go wrong, but it's usually better to plan ahead. Civil marriage can be good because it protects both spouses equally, makes it easier to figure out which laws apply, and makes it easier to deal with divorce lawyers in the future if legal issues come up. Final Thoughts  Non-Muslim civil marriage in the UAE is a big step forward for expats and couples who want clear laws and fair treatment. It offers a modern option for people who don't want to get married according to religious law, and it sets up a clear legal framework for things like divorce, child custody, and inheritance in the future. If you know how civil marriage works and how divorce lawyers deal with these issues, you can make smart choices whether you are getting married, are already married, or are just planning ahead. Soft Legal Disclaimer This article is for general informational purposes only and does not constitute legal advice. Laws and procedures may vary depending on individual circumstances and emirate. For tailored guidance, consult qualified Divorce Lawyers in the UAE. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - April 21 2026
Family Law

Divorce Lawyer in Dubai: The Complete Guide for UAE Residents (Married Couples)

A Full Guide for UAE Residents on Divorce Lawyers in Dubai (For Married Couples) The process of divorce can be akin to the act of replacing the engine of a vehicle that is already in motion; it is challenging, emotional, and full of steps you didn't plan for. This easy-to-read guide will help you and your spouse in the UAE to understand when you need a divorce lawyer and what that lawyer does. It includes essential instances for securing legal aid, pragmatic advice for protecting your children and funds, precise information, and authentic examples that can be utilized during calm family discussions. Quick Information You Need To Know In the UAE, the first official step in a divorce case is usually to register at the Family Guidance Section. Before moving forward, courts often require reconciliation or conciliation sessions. Dubai's statistics authority has released divorce rates for Emiratis in Dubai. For 2022–2023, the rate is about 1.9–2.0 per 1,000 people who are married. The UAE now has more than one legal way to handle family matters. For Muslims, there is Muslim personal-status law (Federal Decree Law No. 41 of 2024), and for non-Muslims (Federal Decree Law No. 41 of 2022), there are different rules. The rules that apply depend on the couple's personal status and choices. The rules for child custody and guardianship have been changed, and courts usually act in the "best interest of the child," taking into account the child's age and well-being. Recent studies sum up those changes in custody. When to Hire a Divorce Lawyer When you need help with the paperwork and the official process A lawyer can help you register your divorce case with the Family Guidance Section, get the paperwork ready, and help you through the steps you have to take to try to get back together. This cuts down on delays and mistakes when filing. If the divorce is contested (there are disagreements about money, custody, or property) When parents fight over their kids or spouses fight over money or property, a contested divorce can take a long time and be very stressful. A lawyer negotiates, goes to hearings with you, and, if necessary, files motions to protect your assets or asks for emergency measures. Cross borders (like an expat spouse or foreign assets) It gets more complicated when one or both spouses are expatriates or own property outside of the UAE. Lawyers work with lawyers in other countries to make sure that custody, maintenance, and asset division can be enforced across borders. If there are kids, guardianship, or money involved Child custody, visitation, guardianship, and maintenance (alimony/child support) are typically the most contentious matters. The courts look out for the child's best interests, and family lawyers who know what they're doing can help you make parenting plans and gather financial evidence to support a fair outcome. As per Article 123, the custody ends when child attains 18 years of age; however, the child can choose to reside with either of the parents upon attaining 15 years of age. If you think someone is committing fraud or coercion, or you need to protect your assets, If you think someone is hiding money, forging signatures, or trying to move assets, you may need to take legal action right away. A lawyer can get emergency court orders to freeze assets and keep evidence safe. Simple comparisons to help you understand how it works Two people sharing a moving checklist and packing together is faster if they both agree to get a divorce. Contested divorce means that two people are packing for different places and arguing over which boxes belong to whom. This takes longer and needs mediators like lawyers and courts. Family Guidance (conciliation) is like having a neutral mechanic check your engine before you decide to replace it. Timelines: What married couples can really expect If the paperwork, agreements, and reconciliation are simple, a mutual or uncontested divorce can be finished in a few weeks to a few months. Contested divorces can take anywhere from a few months to more than a year, depending on things like custody disputes, complicated assets, and appeals. Plan for changes and make sure to include them in your plans. A quick list of useful tips for married couples Start with your passports, marriage certificate (notarized), children's birth certificates, bank statements, and property/title documents. Think about mediation. It can be faster, cheaper, and better for kids when it works. Family Guidance units in the UAE help people get back together. Protect urgent needs right away: if kids' safety is at risk or property is being taken, call your lawyer right away. There are emergency orders. Be honest about assets that are in more than one country. Not doing so will slow down cases and could get you in trouble with the law. Keep the conversation calm, and when you can, use simple examples to help the other person understand what you're saying. Conclusion A divorce lawyer is not just for when things go wrong for married couples in Dubai and the rest of the UAE. They are your map, translator, and negotiator when things get complicated, emotional, or cross-border. If your case involves disagreement, children, property, foreign assets, or urgent safety or asset risks, you should talk to a family lawyer right away. Good legal help keeps your kids, your money, and your future safe, and it can also help you get through a tough time more easily. Author: Awatif Al Khouri
Awatif Mohammad Shoqi Advocates & Legal Consultancy - April 21 2026