The UAE statute of limitations specifies the maximum duration within which parties can file a lawsuit, once a cause of action accrues. According to the UAE’s legal framework, these time frames are vital in deciding whether or not a court will accept claims in respect of civil and commercial cases.

Hence, it is imperative for persons, companies, and law firms in the UAE to acquaint themselves well with the applicable limitation periods to ensure that the time boat doesn’t pass them by.

An Overview of the UAE’s Legal Rules on Limitation Periods

A number of important sources of legislation that are concerned with the regulation of the limitation periods in the UAE. These include:

• Federal Law No. 5 of 1985 (Civil Code)
• Federal Statute No. 11 for 1992 (Civil Procedures Code).
• Presidential Decree Law No. 31 of 2021 (Penal Code)
• Special laws in special spheres (labor, insurance, power of attorney)

Unlike common law countries, the UAE does not have a statute of limitations that subsumes all limitation periods in one law. Instead, the rules have been allocated among a number of legal texts. For this reason, the prescription period in the UAE needs to be scrutinized extensively through several legal sources to determine the relevant time frame for specific claims.

General Time Limits Under the UAE Statute of Limitations

• In civil cases, claims for rights and obligations according to a contract and in cases of tort must also be brought within 15 years by Article 473 of the Civil Transactions Law, unless a different period is prescribed by law.
  
• (According to the MDL), For commercial claims, the principle is that parties, and under normal circumstances the merchant in the commercial debt, shall bring an action within 10 years, as stipulated by the Commercial Transactions Law.

• As for the labor disputes, it is one year from the date of arising of the right based on Federal Decree-Law No. 33 of 2021 (UAE Labor Law).

• Also, in respect of insurance claims, the time that the claimant has to take action is 3 years from the “event” or the date when the claimant becomes aware of the wrong, according to Article 1036 of the Civil Transactions Law.

Overall, understanding the limitation period in UAE is essential for ensuring timely legal action across civil, commercial, labor, and insurance-related matters.

Limitation Periods in UAE Criminal Law

Limitation period for UAE Criminal Law offenses. The limitation period for criminal offenses is set out in the Penal Code (Federal Decree Law No. 31 of 2021). It places a 20-year statute of limitations on felonies, 5 years for misdemeanors, and 1 year for infractions. Yet there are some events (the starting of an investigation, the filing of a prosecution) that halt or “stay” the time running. So, you have to keep a close eye on pending legal actions in order to assess whether the limitation remains operative.

Interruption and Suspension Rules in the UAE Statute of Limitations

Prescription may be modified to some extent by interruption or by suspension. Disruption is when one party issues a claim or the debtor admits to a claim – this breaks the time clock, and a new one starts counting down. Suspension, on the other hand, is applicable in certain circumstances, such as when a case of a fortuitous event and a party’s incapacity are involved.

These are mechanisms at law to ensure that in the UAE, and in other jurisdictions, the concept of limitation applies, subject to situations where enforcement of rights may become temporarily impossible.

Key Exceptions and Unique Scenarios

Some legal relationships are affected by special prescriptive periods that are not based on general rules. For example, a party may be required to bring claims for professional liability — eg, those against doctors, engineers, or lawyers — within 3 years of discovering the relevant damage.

Likewise, construction claims, particularly those related to liability for defective works of construction, must be brought within 10 years of the date of completion of work, as per Article 880 of the Civil Transaction Law.

And with certain cases in the UAE statute of limitations doesn’t necessarily come into play. In particular, public law claims or claims against the government may not unreasonably come under some Law of Limitations unless there is a provision of Law to the contrary.

Conclusion

The UAE prescription period is the legal time limit within which legal proceedings may be initiated in civil, commercial, labor, insurance, and criminal proceedings, spanning from 1 year to 20 years according to the nature of the claim. These statutes of limitations are contained in different statutes, so you need to be able to determine what the time frame is. Also, various interruption and suspension provisions may extend these deadlines in some cases.

There are special rules for cases such as professional negligence, construction, or where claims are to be made against public bodies. Being aware of the UAE statute of limitations is very important as it will help protect legal rights and prevent delays in action.

Having said that, contact Khairallah Advocates & Legal Consultants and benefit from our free 30-min legal consultation.

*Disclaimer: our blogs, law updates, and FAQ’s are freely distributed for educational purposes and to showcase recent updates and regulations in the UAE’s framework.

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