DIFC Courts hears Dh5.3b in cases in first nine months

Monday, Oct 12, 2015

Dubai:

The value of cases filed in the Dubai International Financial Centre (DIFC) Courts in the first nine months of the year increased five-fold to Dh5.3 billion, up from Dh1.1 billion over the same period last year.

The increase is due to the “increasing size and complexity of cases handled”, rather than an increase in the amount of litigation, the DIFC Courts said in an emailed statement on Monday.

The DIFC Courts, located in the Dubai International Financial Centre, is the UAE’s only English-language, commercial common law judicial system.

The total number of cases filed in the Court of First Instance (CFI) in the first nine months of 2015 “fell slightly”, but the DIFC Courts did not give specifics. The average number of claims in the CFI rose to Dh95.7 million, up from Dh40.3 million in the period.

Almost all cases heard by the CFI this year have been international disputes and a recent survey by Clyde & Co found that almost 30 per cent of all mergers and acquisitions contracts in the Middle East that choose litigation now choose the DIFC Courts.

The DIFC Courts said that settlement rates remain at 92 per cent, partially due to a new fee structure that gives incentives to parties to settle early by rebating court fees.

Cases heard by in the Small Claims Tribunal (SCT) rose, with its jurisdiction increased to cover claims up to Dh500,000 in value. The total value of SCT cases heard in the first nine months of the year increased to Dh14.6 million, up from Dh3.7 million. The average claim value increased 43 per cent to Dh82,000 and 90 per cent of cases were resolved within four weeks.

Staff Report