DIFC Courts

An independent English-language common law court system serving the Dubai International Financial Centre, with judges drawn from common law jurisdictions. Parties outside DIFC can opt in to its jurisdiction by contract, which is a practical reason for using DIFC-governed agreements.

Where it comes up

The DIFC Courts are an independent English-language common law court system, with judges drawn from common law jurisdictions. They sit inside the UAE but apply their own law, which is why so many international contracts specify them.

What it costs

Court fees scaled by claim value. The relevant cost is usually the legal fees rather than the filing.

Who it applies to

Parties inside DIFC automatically, and parties outside it who opt in by contract. Judgments are enforceable through defined channels.

How it actually goes

1. Decide whether to opt inDIFC Courts have jurisdiction over DIFC entities automatically, and over anyone else who agrees to it in writing.
2. Draft the clause properlyAn opt-in clause has to be clear and specific. A vague reference to 'the courts of Dubai' will not get you there.
3. Choose the right trackThe Small Claims Tribunal handles lower-value disputes quickly and cheaply; the Court of First Instance takes the rest.
4. EnforceDIFC judgments are enforceable through Dubai Courts under a protocol between them, and abroad under the treaties the UAE is party to.

The attraction is procedural rather than substantive: English language, common law, published judgments and judges drawn from common-law jurisdictions. For a contract with overseas counterparties, that predictability is usually worth more than the choice of governing law.

In short

• English language, common law, independent of the UAE civil courts
• Parties can opt in by contract
• Judgments enforceable through defined channels

Where this leads

Back to the glossary