ENFORCEMENT OF UK JUDGMENTS IN THE UAE

ENFORCEMENT OF UK JUDGMENTS IN THE UAE

In an effort to reinforce 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”) by the theory of reciprocity.

The Treaty among the UAE and the Uk on Judicial Guidance in Civil and Commercial Matters does not precisely refer to the mechanism for enforcement strategies. As this sort of, in the absence of an appropriate treaty or memorandum of knowledge amongst the UAE and the British isles on the enforcement strategies, the provisions of Federal Regulation No. 11 of 1992 on the Civil Methods Legislation and Cupboard Choice No. 57 of 2018 as amended, implement.

Write-up 85 of Cabinet Decision No. 57 of 2018 as amended, gives for the principle of reciprocity under which:

“Judgments and orders delivered by a international place might be ordered to be executed in the State below the exact ailments as approved in the regulation of that place for the execution of judgments and orders issued in the State.”

This modern enhancement follows the selection delivered in Lenkor Vitality Trading DMCC v Puri [2020] EWHC 75 (QB) and the subsequent attractiveness which reiterated the significant conventional needed to be achieved in order for a United kingdom court docket to oppose the enforcement of a overseas judgment.

The proceedings followed a tripartite agreement which was subsequently revealed to have ruled a transaction tainted by illegality. However, within just 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 personally liable for the dishonoured cheques as for every Report 599(2) of Federal Regulation No. (18) of 1993 relating to the Business Transaction Law. In the British isles proceedings which followed, the court verified prima facie that a closing judgment issued by a courtroom of knowledgeable foreign jurisdiction may well be enforced in the Uk, except in scenarios in which these kinds of enforcement would be opposite to general public plan. The United kingdom courtroom also even further clarified the scope of the public policy defence on which a Uk court may impeach a overseas judgment by reiterating that the foreign judgment becoming enforced would alone need to offend English 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 United kingdom, the recent announcement by the Ministry of Justice is not binding upon the UAE courts but marks an crucial development for the enforcement of United kingdom judgments in the UAE even though providing some ease and comfort to collectors trying to find to implement a British isles judgment versus a debtor in the UAE.

For more facts in relation to the enforcement of international judgments in the UAE be sure to contact [email protected] Make sure you also get in touch with us on +97143438897 in which our crew will be delighted to support you.

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