VP issues law pertaining to Dubai International Financial Centre Courts

In his capacity as the Ruler of Dubai, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE, issued Law No. (2) of 2025, pertaining to the Dubai International Financial Centre Courts (DIFC Courts).

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Provisions of the new law seek to regulate the judicial and administrative aspects of the DIFC Courts alongside existing DIFC regulations.

The law also defines the jurisdictional remit and ensures the independent operation of DIFC Courts, including the Court of Appeal, the Court of First Instance, and the Small Claims Tribunal. It also outlines the procedural framework for the appointment of the Chief Justice and the Director of the Courts and their respective responsibilities.

The new law offers an alternative dispute resolution pathway by establishing a Mediation Centre, where parties can amicably resolve their disputes with the help of mediators registered with the DIFC Courts. The president of the DIFC is responsible for defining its operational framework, jurisdiction, and the procedures to be followed.

Under the new law, the DIFC Courts have exclusive jurisdiction to hear and resolve civil, commercial, and labour claims involving the DIFC's bodies or institutions, whether filed by or against them, or in which they are a party. They also handle claims involving the DIFC's bodies, institutions, activities, and employees, as well as matters related to trust deeds, non-Muslim wills, and the recognition or enforcement of arbitration awards under DIFC arbitration law.