Asset Seizure In Dubai: When Can A Creditor Request Attachment?

When a debt remains unpaid, a creditor may worry that the debtor will transfer money, sell property, move assets outside the UAE, or otherwise make recovery difficult. In Dubai, the law allows creditors in certain circumstances to seek an attachment over a debtor’s assets.

Asset seizure doesn’t necessarily mean immediate seizure and sale of property. Often the first step is to freeze or restrict dealings in the asset so it is available while the dispute is resolved.

The main rules are found in Federal Decree-Law No. 42 of 2022 Promulgating the Civil Procedure Code.

Precautionary Attachment and Execution Are Different

A precautionary attachment is a protective measure. It may be requested before the creditor has obtained a final judgment where there is a genuine risk that assets securing the claim may disappear or become unavailable.