February 24, 2024

Aqeeldhedhi

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ENFORCEMENT OF UK JUDGMENTS IN THE UAE

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

The Treaty between the UAE and the British isles on Judicial Aid in Civil and Industrial Matters does not precisely refer to the mechanism for enforcement procedures. As these types of, in the absence of an ideal treaty or memorandum of comprehension between the UAE and the Uk on the enforcement strategies, the provisions of Federal Legislation No. 11 of 1992 on the Civil Processes Regulation and Cupboard Conclusion No. 57 of 2018 as amended, use.

Article 85 of Cabinet Choice No. 57 of 2018 as amended, supplies for the theory of reciprocity less than which:

“Judgments and orders delivered by a international state might be ordered to be executed in the Point out less than the identical disorders as prescribed in the legislation of that nation for the execution of judgments and orders issued in the Point out.”

This new improvement follows the conclusion delivered in Lenkor Energy Trading DMCC v Puri [2020] EWHC 75 (QB) and the subsequent charm which reiterated the large standard necessary to be achieved in buy for a British isles court to oppose the enforcement of a foreign judgment.

The proceedings followed a tripartite agreement which was subsequently revealed to have ruled a transaction tainted by illegality. Even so, inside of this tripartite arrangement, the defendant issued two cheques on behalf of the participating firm which have been dishonoured when presented for payment. In an application to the Dubai courts, the claimant was awarded a favourable judgment towards the defendant who was held individually liable for the dishonoured cheques as for every Report 599(2) of Federal Regulation No. (18) of 1993 regarding the Professional Transaction Regulation. In the United kingdom proceedings which followed, the court confirmed prima facie that a remaining judgment issued by a courtroom of qualified foreign jurisdiction may perhaps be enforced in the Uk, besides in occasions wherever this sort of enforcement would be opposite to community policy. The British isles court docket also additional clarified the scope of the community plan defence on which a British isles courtroom may well impeach a foreign judgment by reiterating that the overseas judgment remaining enforced would itself 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 between the UAE and Uk, the the latest announcement by the Ministry of Justice is not binding upon the UAE courts but marks an critical improvement for the enforcement of United kingdom judgments in the UAE while offering some comfort and ease to lenders searching for to implement a Uk judgment towards a debtor in the UAE.

For further more info in relation to the enforcement of international judgments in the UAE remember to get hold of [email protected]. Remember to also call us on +97143438897 in which our staff will be delighted to support you.

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