ENFORCEMENT OF UK JUDGMENTS IN THE UAE

In an effort and hard work to fortify judicial continuity, on 13 September 2022, the United Arab Emirates (“UAE”) Ministry of Justice issued a letter to the Director General of the Dubai courts confirming the enforcement of judgments issued in the courts of the United Kingdom (“UK”) through the principle of reciprocity.

The Treaty between the UAE and the Uk on Judicial Aid in Civil and Business Matters does not particularly refer to the mechanism for enforcement strategies. As such, in the absence of an proper treaty or memorandum of knowing among the UAE and the Uk on the enforcement strategies, the provisions of Federal Regulation No. 11 of 1992 on the Civil Treatments Regulation and Cupboard Selection No. 57 of 2018 as amended, implement.

Post 85 of Cupboard Choice No. 57 of 2018 as amended, provides for the basic principle of reciprocity less than which:

“Judgments and orders delivered by a foreign place may perhaps be purchased to be executed in the Condition beneath the identical disorders as recommended in the regulation of that region for the execution of judgments and orders issued in the Condition.”

This new progress follows the final decision shipped in Lenkor Strength Investing DMCC v Puri [2020] EWHC 75 (QB) and the subsequent appeal which reiterated the superior typical necessary to be fulfilled in order for a United kingdom courtroom to oppose the enforcement of a overseas judgment.

The proceedings followed a tripartite agreement which was subsequently revealed to have governed a transaction tainted by illegality. However, inside this tripartite arrangement, the defendant issued two cheques on behalf of the partaking business which have been dishonoured when offered for payment. In an application to the Dubai courts, the claimant was awarded a favourable judgment against the defendant who was held individually liable for the dishonoured cheques as for each Report 599(2) of Federal Legislation No. (18) of 1993 about the Industrial Transaction Regulation. In the British isles proceedings which followed, the courtroom verified prima facie that a closing judgment issued by a courtroom of competent foreign jurisdiction could be enforced in the United kingdom, apart from in scenarios wherever these types of enforcement would be contrary to community policy. The United kingdom courtroom also even further clarified the scope of the public policy defence on which a United kingdom court might impeach a international judgment by reiterating that the overseas judgment remaining enforced would alone need to offend English general public 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 British isles, the new announcement by the Ministry of Justice is not binding upon the UAE courts but marks an essential improvement for the enforcement of United kingdom judgments in the UAE while furnishing some consolation to creditors seeking to enforce a Uk judgment versus a debtor in the UAE.

For further more details in relation to the enforcement of foreign judgments in the UAE you should make contact with [email protected]. You should also make contact with us on +97143438897 the place our group will be delighted to support you.