Interpreting Contracts in the DIFC

The Dubai International Finance Centre (DIFC) is the fastest growing financial centre in the world and remains of great interest to foreign investors looking to establish a presence in Dubai and the United Arab Emirates. The DIFC was established using the best practices of global financial centres and applies international standards to the Dubai and Middle Eastern markets.

The DIFC has a set of laws which are based on common law. Its common law system distinguishes the DIFC from onshore Dubai (and the United Arab Emirates), which has a civil law system in place. DIFC laws are fairly comprehensive in nature and provide for certainty when applying contract law.

This update highlights and briefly discusses the salient features of the DIFC Contract Law (6/2004) and the DIFC Implied Terms in Contracts and Unfair Terms Law (6/2005).

This article was originally edited by, and first published on, www.internationallawoffice.com - the Official Online Media Partner to the International Bar Association, an International Online Media Partner to the Association of Corporate Counsel and European Online Media Partner to the European Company Lawyers Association.