Question

how does the UAE contract law differ from other countries?

please write as much as you can

Answer 1

While doing the business by companies , there is a practice of draft a contract between the companies. It is important to have a common law system or legal system to establish such contracts.

There are many differences between the UAE law contract from other countries. Some of the major differences are as follows:

• Memorandums Of Understandings.

The memorandums of understanding is also referred as the MOU's which considered as unenforceable under the english law and other common law countries legal systems. The MOU's doesn't contain all terms, because of that the courts in common law countries consider it as vague.

• ​​​​​​Good Faith.

In UAE contract law the terms in the contract should not use to abuse the rights of other contracting parties and it doesn't make unjustified damage to another party. In all UAE contracts there is a duty to act in good faith. So it is a concept that different from English, American and other common law countries.

• Misrepresentation lead by fraudulent behaviour.

​​​​​​​​​​​​​​Only the fraudulent behaviour constitutes the misrepresentation in UAE contact law. In English law, the misrepresentation can either be innocent or negligent. Before classifying a representation to misrepresentation, the UAE law finds an fraudulent in that representation.

• Termination Provisions.

​​​​​​​​​​​​​​​​​​​​​It is possible to terminate a contract by a party without any cause under English/common law. But in the case of UAE Contract law it is not possible to terminate the contract without cause.