FIDIC / Legal Reference: Governing law for UAE-seated construction contracts
The primary legislation governing civil obligations and contracts in the UAE, including construction contracts. It contains specific provisions on muqawala (construction) contracts, including the contractor’s obligations, the engineer’s liability, and the 10-year decennial liability rule for structural defects.
What it means in practice
The UAE Civil Code governs construction contracts as muqawala under Articles 872-896. These provisions address: the contractor’s obligation to complete the Works, the employer’s right to examine and accept the work, payment entitlement, defects liability, and the grounds for termination.
Of particular importance are: Article 880 (10-year decennial liability), Article 390 (court discretion to adjust penalty clauses), Article 247 (prevention principle), Article 273 (Force Majeure), and Article 267 (limitation of liability). These provisions cannot be excluded by contract in the case of decennial liability.
Where disputes arise
UAE Civil Code provisions frequently interact with FIDIC contract terms in UAE-seated arbitrations. Where UAE law governs the contract, the Civil Code’s mandatory provisions override inconsistent contractual terms.
UAE Context
The UAE Civil Code is federal legislation applicable across all Emirates. However, Abu Dhabi and Dubai each have onshore and offshore (DIFC/ADGM) court jurisdictions — creating a complex legal landscape for UAE construction disputes.
Related terms
UAE Civil Code issues frequently arise in construction disputes seated in the UAE. e-Basel provides expert witness services that address both FIDIC contractual and UAE law considerations.
FIDIC Expert Witness Dubai →Search terms: UAE civil code construction · Federal Law 5 1985 UAE · UAE construction law · muqawala UAE law · UAE construction contract law