In an work to improve judicial continuity, on 13 September 2022, the United Arab Emirates…

In an work to improve judicial continuity, on 13 September 2022, the United Arab Emirates (“UAE”) Ministry of Justice issued a letter to the Director Common of the Dubai courts confirming the enforcement of judgments issued in the courts of the United Kingdom (“UK”) by the theory of reciprocity.

The Treaty concerning the UAE and the United kingdom on Judicial Assistance in Civil and Commercial Issues does not precisely refer to the mechanism for enforcement processes. As this sort of, in the absence of an acceptable treaty or memorandum of knowing concerning the UAE and the United kingdom on the enforcement processes, the provisions of Federal Law No. 11 of 1992 on the Civil Treatments Legislation and Cabinet Conclusion No. 57 of 2018 as amended, apply.

Posting 85 of Cupboard Conclusion No. 57 of 2018 as amended, provides for the basic principle of reciprocity under which:

“Judgments and orders sent by a overseas country may perhaps be requested to be executed in the Point out less than the same conditions as approved in the law of that state for the execution of judgments and orders issued in the Condition.”

This modern improvement follows the decision shipped in Lenkor Electrical power Buying and selling DMCC v Puri [2020] EWHC 75 (QB) and the subsequent attraction which reiterated the large normal demanded to be satisfied in purchase for a British isles court to oppose the enforcement of a international judgment.

The proceedings adopted a tripartite arrangement which was subsequently shown to have governed a transaction tainted by illegality. However, in just this tripartite arrangement, the defendant issued two cheques on behalf of the participating corporation which ended up dishonoured when introduced for payment. In an software to the Dubai courts, the claimant was awarded a favourable judgment in opposition to the defendant who was held personally liable for the dishonoured cheques as for every Posting 599(2) of Federal Regulation No. (18) of 1993 relating to the Commercial Transaction Law. In the Uk proceedings which adopted, the court docket confirmed prima facie that a closing judgment issued by a courtroom of competent foreign jurisdiction may perhaps be enforced in the United kingdom, apart from in occasions the place these kinds of enforcement would be contrary to community plan. The Uk courtroom also further more clarified the scope of the community coverage defence on which a United kingdom courtroom may perhaps impeach a foreign judgment by reiterating that the foreign judgment remaining enforced would by itself will need to offend English community policy, and not the fundamental transaction on the basis of which the judgment was issued.

In the absence of a binding treaty amongst the UAE and Uk, the current announcement by the Ministry of Justice is not binding upon the UAE courts but marks an vital enhancement for the enforcement of Uk judgments in the UAE while supplying some convenience to collectors trying to get to enforce a British isles judgment against a debtor in the UAE.

For even more details in relation to the enforcement of overseas judgments in the UAE make sure you get in touch with [email protected] Make sure you also get hold of us on +97143438897 where our staff will be delighted to aid you.