Construction Dispute Dubai

Construction disputes in Dubai typically arise from several common issues:

• Contractual Breaches: Disagreements over the terms of contracts, such as delays in project completion, non-payment, or failure to meet the specified quality standards.
• Change Orders: Disputes related to changes in the scope of work, which may not be agreed upon by all parties involved.
• Defects in Workmanship or Materials: Issues arising from substandard materials or poor workmanship that do not comply with contractual specifications or regulations.
• Claims for Extensions of Time and Additional Costs: Disputes occur when contractors seek additional time and compensation due to unforeseeable circumstances or delays caused by the other party.

Construction disputes in Dubai can be resolved through several mechanisms, depending on the terms of the contract and the nature of the dispute:

• Negotiation and Mediation: Parties may attempt to resolve disputes through direct negotiations or mediation, which is a less formal and more flexible approach, often resulting in a mutually agreeable solution.
• Arbitration: Many construction contracts in Dubai include arbitration clauses. Arbitration is a formal process where an impartial third party (or panel) makes a binding decision. It is particularly common in international construction contracts.
• Litigation: If other methods fail or are not applicable, disputes may be taken to court. The Dubai courts handle cases based on local laws, while the Dubai International Financial Centre (DIFC) courts handle cases that fall under its jurisdiction, often involving international parties.
• Dispute Adjudication Boards (DABs): Some contracts establish DABs to provide quick, expert resolution of disputes during the construction phase, helping to prevent escalation.