Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minster of the UAE and Ruler of Dubai, on Monday issued a new law focused on resolving disputes related to the execution of citizen housing building contracts in the emirate.
The move is aimed at strengthening social stability and improving citizens’ well-being. Set to take effect on January 1, 2026, the law introduces a dedicated legal framework to swiftly and efficiently handle disagreements, without disrupting the progress of housing development projects.
Developing an alternative dispute resolution (ADR) system for construction contracts, protecting the rights of all involved parties.
Promoting amicable and consensual solutions, encouraging the continuation of contractual relationships.
Providing a swift and more efficient mechanism for resolving disputes, to streamline dispute resolution in citizen housing projects.
Ensure that construction progress remains uninterrupted, even during contractual disagreements.
To implement the new law, the Centre for Amicable Settlement of Disputes will form a specialised branch to manage disputes specifically related to citizen housing construction contracts.
Under the new system disputes will first undergo mediation, to be concluded within 20 days, with a possible extension of another 20 days if both parties agree.
If mediation fails, the case will be referred to a dedicated committee comprising one judge and two industry specialists. This committee must issue a decision within 30 days, extendable once by the same period.
Parties have the right to appeal the committee’s ruling to the Court of First Instance within 30 days of the decision.