Recent Ruling Of Dubai Court Of First Instance On Enforcement Of Foreign Arbitral Awards: Back To Square One?

by Gordon Blanke

A recent ruling of the Dubai Court of First Instance (see Case No. 489/2012, ruling of the Dubai Court of First Instance of 18 December 2012) questions de novo the UAE courts’ compliance with their obligations under international enforcement instruments in the enforcement of foreign arbitral awards. Following the recent trend of consolidation of the UAE courts’ practice to abide by the terms of international enforcement instruments – foremost amongst them the New York Convention (see Convention on the recognition and enforcement of foreign arbitral awards, done in New York on 10 June 1958, as ratified and hence implemented in UAE law by UAE Federal Decree No. 43 of 2006), this ruling marks a sudden and unwelcome setback in what commentators had believed had become a turning-point in the UAE enforcement practice of foreign arbitral awards. [Read more…]

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Top Tips For Handling Disputes In The UAE

by Richard Bell and James Fox

No business wants to enter into a dispute. Disputes are often costly, tie up management time and distract staff from profitable work. In the UAE where a civil dispute is sometimes accompanied by a criminal complaint, a dispute can have a significant impact on key staff, including travel bans and the stress of facing criminal charges. Taking the right action from the beginning of a dispute can help to resolve the dispute faster, more efficiently and at less cost. [Read more…]

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Bridging the contractual gap between an employer and a sub-contractor in the UAE

By Eric Teo

What are the rights of an employer in the event a nominated sub-contractor fails to deliver the standard or quality of material and workmanship that the employer had expected to receive? Common wisdom dictates that the employer would ordinarily seek recourse against the main contractor for the sub-contractor’s failure, but are there any alternatives?

To answer the above question we need to firstly understand that there are, in practice, two types of sub-contractors: domestic sub-contractors and nominated sub-contractors. Secondly, we should examine the contractual relationships between the three parties, i.e. the employer, the main contractor and the sub-contractor. [Read more…]

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Construction legal disputes most costly in Middle East

Legal disputes in the Middle East construction industry are now taking over a year to be resolved, according to study from EC Harris.

The global built asset consultancy said it has found that construction disputes in the Middle East are taking, on average, 14.6 months to be settled compared to just nine months in the previous year, an increase of 62 percent. [Read more…]

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Sweett wins contractual dispute after contractor is liquidated

Construction consultancy Sweett has won a legal dispute with a house-builder client after a contractor went into liquidation. The court ruled that Cyril Sweet (now just Sweett), was not negligent as employer’s agent for Michael Wight Homes in failing to procure a performance bond for its client. [Read more…]

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Limit of changes that can be introduced under variation provisions!

by Dr  Chandana Jayalath

Changes are inevitable in any construction therefore the parties are provided a flexibility to make changes to the work under a typical contract changes clause. However, the ability for owner requested changes, even if provided in the contract, are not without limitations, restrictions as well as consequences.

[Read more…]

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FIDIC Asia-Pacific Contract Users – take a look at these 6 great reasons to attend

FIDIC’s 5th Asia-Pacific Contract Users’ conference is taking place on 11th & 12th June in Malaysia (workshops on 10th & 13th June).

If you’re involved in this region then you won’t want to miss out! Take a look a look at these 6 great reasons to attend:
[Read more…]

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ICTAD Price fluctuation Formula; Clarifying The Context in Which It Operates

 by Dr. Chandana Jayalath*

  The provisions of price adjustment on account of increase or decrease in costs of goods and services in construction contracts are practiced World over to have more realistic competitive bids and execution of contracts on just and equitable manner. Prices of materials, plant and labour are highly variable due to fluctuations in the currency market. Construction experts, therefore, thought it prudent to compute the cost of contracts on present price, keeping provisions of price adjustment for probable fluctuations. The Institute for Construction Training and Development (ICTAD) of Sri Lanka has undertaken among others, the standardization of “country specific” documents to regulate and streamline the administration of contracts. The Formula Method for Reimbursement of Price Fluctuation is one such initiative to offer a reasonable basis for calculating price adjustment for construction contracts.

[Read more…]

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Trust & teamwork should be our mantra

By Vasanth Kumar  

As Qatar seems set finally to award raft of contract awards with highly compressed time limits, one of the key challenges will be “teamwork” amongst various stakeholders involved in the construction industry.

These mega project awards will modernise the country in line with the ambitious National Vision 2030 and the FIFA world cup in 2022 but Doha can’t afford any project delays which will be a fertile breeding ground for disputes ,penalties and lawsuits between the various parties involved in construction. [Read more…]

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Two states bid for sustainability lead

By Arvin Daeizadeth

Leadership in sustainability can only be seen in two countries, the UAE (Abu Dhabi) and Qatar. These are the only two states that have mandated sustainability ratings for new buildings – Estidama and QSAS.

One of Alpin’s current projects is the Msherieb Downtown Doha project, a massive redevelopment set in the heart of Doha. Comprised of more than 90 buildings, most are set to be LEED Gold. [Read more…]

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