In UAE, construction law is a body of law that deals with matters relating to building construction and related fields. It covers a wide range of legal issues including contract law, bonds and bonding, guarantees and sureties, liens and other security interests, tendering, construction claims, and related consultancy contracts. Construction law affects many participants in the construction industry in UAE, including financial institutions, surveyors, architects, builders, engineers, construction... More >>

In UAE, construction law is a body of law that deals with matters relating to building construction and related fields. It covers a wide range of legal issues including contract law, bonds and bonding, guarantees and sureties, liens and other security interests, tendering, construction claims, and related consultancy contracts. Construction law affects many participants in the construction industry in UAE, including financial institutions, surveyors, architects, builders, engineers, construction workers, and planners. Construction law in UAE builds upon general legal principles and methodologies and incorporates the regulatory framework; contract methodologies and selection; subcontract issues; causes of action, and liability, arising in contract, negligence and on other grounds; insurance and performance security; dispute resolution and avoidance. Construction law has evolved into a practice discipline in its own right in the UAE, distinct from its traditional locations as a sub practice of project finance, real estate or corporate law. There are often strong links between construction law and energy law and oil and gas law. There is now a European Society of Construction Law, and Society of Construction Law in the UAE. The Joint Contracts Tribunal works on the most popular type of standard construction contracts. It appears that the UAE has been prepared to embrace international standards for dispute resolution, particularly with regard to arbitration. An interesting development in the property arena in the UAE is that, where real estate purchasers are unwilling to go to court, arbitration is now seen as an attractive alternative way of resolving commercial disputes. In the UAE, many sale and purchase agreements relating to off-plan real estate contain arbitration clauses whereby the partners agree that they will resolve disputes by way of arbitration. A key issue will be for the parties to take advantage of the flexibility that arbitration offers in the resolution of disputes as opposed to the more formulaic approach of a court system. As for the construction law practice for which specific lawyers in the UAE are responsible, they foresee an increase in our arbitration case-load going forward and are looking at a number of opportunities in the UAE and anticipate that there will be more of this contentious work in the near future as the patience of creditors runs out. On the non-contentious side, they foresee more work in the sustainability sector. Given the need to reduce carbon emissions in the UAE, there is a need for comprehensive legislation on this subject. In the event that the UAE chooses to implement legislation similar to the CRC Energy Efficiency Scheme, or other legislation, it could have wide ranging implications for a number of organizations, particularly those in the construction sector. << Hide