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commercial law

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September 17, 2017


UAE Legal Q&As: How Does the Court Ensure Lawsuit Settlements are Paid?

Question: If the court rules in favour of the claimant (the person who filed the lawsuit), what does the court do to ensure payment is received? And is there punishment for non-compliance?

Answer: Execution of final and enforceable judgments are carried out from the premises of the Court of First Instance under the supervision of the Execution Judge and assisted by execution officers. The Execution judge has exclusive jurisdiction regarding enforcement of judgments and determining all objections and disputes in the course of execution proceedings. As soon as the execution action is filed, the judgment debtor is served an execution deed as stipulated in the Civil Procedure Code. The notice states in clear terms what the debtor is required to do within 15 days. Failing the full payment to the judgment creditor, the creditor can seek an attachment order against the debtor's property or assets or apply to detail the debtor.

Question: What is the name of the court that deals with commercial cases?

Answer: Commercial Courts deals with commercial cases. This court has two circuits; the minor circuits consist of a single judge who looks into commercial claims with a value of less than Dh100,000 as well as counter cases regardless of their value. The second circuit is the major circuits which consist of three Judges and is presided by one of them. The major circuits look into commercial claims, the value of which are either not estimated or are greater than Dh100,000 as well as the counter cases, regardless of their value.

After the first instance court judgment, the judgment can be appealed before the court of appeal within 30 days. The time limit begins from the day after the judgement is announced. If the defendant did not attend or plead in trial, the 30-day limit starts the day judgment is served. The litigant parties (parties involved in the lawsuit) can challenge the judgment issued by the Courts of Appeal before the Court of Cassation if the value claimed in the action exceeds Dh200,000.

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