Enforcing Foreign Judgements in U.A.E.: A Successful Case Study

Today, in a world that has gotten so small due to global connectivity, the legality of one’s obligations knows no borders. One recent case that will be discussed in this article will truly exemplify how an American judgment was successfully enforced in the United Arab Emirates and will serve as a perfect case study to show how flexible the UAE’s legal system has been and how much it has abided by international legal norms.

Case Background

The case was instituted by an American state court judgment passed against a defendant, who thereafter shifted his abode to Dubai. The claimant harbored a feeling of grievance with the judgment as well as its payout and, therefore, approached the courts in Dubai for the enforcement of the said American judgment.

Early Obstacles

He took this matter before the Court of First Instance in Dubai, which dismissed the application for enforcement on the grounds that there was no treaty between the United States and the UAE on the recognition and enforcement of judgments. The ruling is evidence of the common problem at international law, that is, the enforcement of a foreign judgment without an actually applicable treaty.

Legal Framework: Article 222 of the UAE Civil Procedures Law

Undeterred by the setback, the client appealed the decision by invoking Article 222 of the UAE Civil Procedures Law. The said article provides an avenue towards recognition and enforcement of foreign judgment even in the absence of a bilateral treaty. Along this line, Article 222 provides that the UAE shall enforce the foreign judgment on the condition that:

  1. The foreign judgment must be absolute and final.
  2. The judgment is not in conflict with the UAE Public Policy or the principles of Islamic Sharia.
  3. The foreign court had competent jurisdiction.

The Appeal

Appellant-client had appealed on the grounds that his judgment fulfilled all conditions as outlined under Article 222. The appeals court cut into the matter and focused on:

  1. Finality and Binding Effect. The American judgment was final, and there was no appeal pending in the matter.
  2. Public Policy. The judgment did not contravene any UAE public policy or one of the principles of Islamic Sharia.
  3. Jurisdiction. The original court in the United States had proper jurisdiction to adjudicate upon the matter.

The Court of Appeal, however, ruled in the client’s favor and overturned the earlier dismissal order. The appellate court took pains to elaborate that a bilateral treaty is not required for recognition and enforcement of foreign judgment in the UAE and that Article 222 of the UAE Civil Procedures Law applies in the absence of such a treaty.

The Ruling of Cassation Court

The case went as high as the Cassation Court, which is the highest level of judiciary in the UAE. The Cassation Court upheld the judgment of the appellate court that the absence of a treaty does not prevent foreign judgments from being enforced. In fact, the court mentioned that there is sufficient legality under the UAE Civil Procedures Law to enforce such judgments.

Successful Enforcement

By order of the Cassation Court, the client had finally enforced and collected the American judgment in Dubai. The ruling, although a delivery of justice to the claimant, substantively acted to create a landmark legal path subsequent for the cases related to the enforcement of foreign judgment in the UAE.

Key Takeaways

  1. Persistence Pays Off. Even when things were initially going against them, persistence and proper knowledge of local laws can indeed prevail and help enforce foreign judgments.
  2. Article 222. This provision is crucial for enforcing foreign judgments in the UAE, providing a legal framework even in the absence of bilateral treaties.
  3. Judicial Adaptability. The UAE judiciary itself is capable of applying international legal principles serving the best interest of justice even across borders.

Conclusion

The successful enforcement of an American judgment in the UAE demonstrates how the country enforces the highest international legal standards. It serves as a guiding light to any individual and entity looking forward to enforcing foreign judgment in the UAE, showing a way that with the right legal strategy and proper understanding of the local laws, justice can indeed be served beyond borders.

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