His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE, in his capacity as Ruler of Dubai, has issued Law No. (5) of 2017, partially amending Law No. (12) of 2004, on the Judicial Authority at Dubai International Financial Centre Courts (DIFC Courts).
In addition to civil and commercial claims, the new amendment expands the jurisdiction of DIFC Courts to include labour claims and actions arising out of labour contracts signed between DIFC companies and establishments and their employees.
The new Law amends the provisions of Article No. (5) of Law No. (12) of 2004 regarding the jurisdictions. The Article’s amendment includes the jurisdiction of the Court of First Instance, the jurisdiction of the Court of Appeal, the litigation procedures and the authorities of the execution judge.
The Court of First Instance will have exclusive jurisdiction to hear and determine the civil, commercial and labour claims and actions to which the DIFC or any DIFC body, DIFC establishment or licensed DIFC establishment is a party.
The new Law also amends the provisions of Article No. (5) of Law No. (12) of 2004 regarding the Jurisdiction of the Court of Appeal.
The Court of Appeal shall have exclusive jurisdiction to hear and determine appeals filed against judgements and decisions made by the Court of First Instance and request of interpretation by the Chief Justice of the Courts of any article of the DIFC Laws and DIFC Regulations upon an application submitted to him from any DIFC body, DIFC establishment or Licensed DIFC establishment; such interpretation shall have the same authority as the interpreted legislation.
Judgments rendered by the Court of Appeal shall be final and conclusive, and shall not be subject to appeal.
The procedure outlined in the Rules of the Courts shall apply to civil, commercial and labour claims and actions heard by DIFC Courts and the Chief Justice of the Courts shall assign one or more of the Courts’ judges as execution judges.
Law No. (5) of 2017 is effective from the date of issuance and will be published in the Official Gazette.
The new Law boosts DIFC’s position as a global hub that attracts leading companies and talent in the financial industry. The law also helps to facilitate litigation procedures for employees based in DIFC.