Breach of contract under UAE law can be a complex legal issue, and it’s crucial to comprehend how it operates.
In this article, we’ll provide information about breach of agreement under UAE law, the types of breaches that can occur, and the remedies available to the injured party in 2024.
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Table of Contents
Breach Of Contract Under UAE Law
Under UAE law, a breach of contract occurs when one party fails to fulfil its contractual obligations without a valid legal justification.
This encompasses various scenarios, from failing to deliver goods as agreed upon to not meeting payment deadlines.
The UAE Civil Code is the legal backbone for handling such situations, ensuring fairness and accountability.
Types of Breach of Contract.
Breach of contract can take different forms under UAE law:
- Material Breach.
This significant breach strikes at the heart of the contract, denying the injured party the primary benefits they expected. It is considered a grave violation of the contract terms. - Minor Breach.
Also known as a partial breach occurs when a party fails to fulfil a minor or ancillary obligation outlined in the contract. While not as severe as a material breach, it still warrants attention. - Anticipatory Breach.
This occurs when one party does not intend to fulfil their contractual obligations before the agreed-upon performance time. It raises concerns about the contract’s future.
Read about the Top Small Business Contract Lawyers in Dubai 2024 and Tenancy Contract Early Termination Dubai in the UAE.
Remedies for Breach of Contract.
When a breach of contract under UAE law occurs, the injured party has several remedies at their disposal:
- Specific Performance.
The court can mandate the breaching party to fulfil their contractual obligations as initially agreed upon. This remedy aims to enforce the contract’s terms. - Damages.
The injured party can seek monetary compensation (damages) to recover losses incurred due to the breach. Damages are a common remedy in breach of contract cases. - Termination.
In some cases, the non-breaching party may have the right to terminate the contract and be released from further obligations. This is particularly relevant in situations where the breach is substantial. - Liquidated Damages.
If the contract contains a clause specifying a predetermined amount of damages in case of a breach, the injured party can claim those damages. - Legal Proceedings.
In the event of a breach of contract, the injured party may initiate legal proceedings by filing a lawsuit in the relevant UAE court.
Consulting a legal expert, like Al Mulla, a Lawyer & Legal Consultant, is advisable to navigate the specific procedures and requirements effectively.
Learn about Expert Business Contract Drafting and Reviewing in Dubai and the top Contracts Lawyer UAE.
Also, find the Best Breach Of Contract Lawyers In Dubai in 2024 and Find the Top Contract Dispute Lawyers in Dubai in 2024.
FAQs about breach of contract UAE law.
Conclusion.
Understanding breach of contract under UAE law is essential for individuals and businesses. It’s a legal framework designed to ensure fair and just resolution of contractual disputes.
In the UAE, Al Mulla Lawyer & Legal Consultant is a trusted expert in handling breach of contract cases.
Whether seeking specific performance damages or considering legal proceedings, having a knowledgeable legal advocate on your side can make all the difference in protecting your rights and interests.
Remember, the specifics of breach of contract cases can vary, so consulting with legal experts is always prudent.
Contact Al Mulla Lawyers today! Click the Whatsapp icon below or visit our Contact Us page.
Find us at these locations:
– Dubai: Deira, Port Saeed, Street 8, City Avenue Building, Office 705-708.
– Abu Dhabi: Corniche Street, Golden Tower, Office 22.
– Ras Al Khaimah: Al Nakheel, Al Maamoura Building (Emirates NBD Bank Building), Fourth Floor.
A law graduate and legal writer focusing on UAE law, he became known for his ability to clarify complex legal concepts through his writings. His work simplifies the intricacies of the legal landscape in the Emirates, helping both locals and expatriates navigate their legal concerns.