Sheikh Mohammed has issued a law to settle disputes in citizen home building contracts, aiming for faster, amicable resolutions. Effective from Jan 1, 2026, it introduces mediation and expert adjudication before court, ensuring housing projects continue smoothly and citizens receive homes on time.
Dubai – His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has issued a new law designed to quickly and peacefully resolve disputes that arise during the construction of homes for UAE citizens. This move is part of ongoing efforts to improve the well-being of residents and maintain the pace of housing development across Dubai.
The law, which will officially take effect on January 1, 2026, introduces a new system to resolve disagreements between homeowners and construction contractors without the need for lengthy court cases.
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The key aim of this law is to create an alternative dispute resolution system specifically for issues related to the building of citizen housing. Instead of going straight to court, parties involved in a conflict will be encouraged to first try to resolve the issue through a fair and quick process led by experienced mediators.
This method is expected to protect everyone’s interests—both homeowners and builders—by allowing disagreements to be handled in a smoother and more cooperative way. By avoiding delays, housing projects can move forward without unnecessary interruptions, helping ensure that families receive their homes on time.
To carry out this law, a specialised unit will be created within the Centre for Amicable Settlement of Disputes, which operates under the Dubai Courts. This unit will deal only with cases related to the construction of citizen homes.
The process begins with mediation, where both sides are guided by expert mediators to find a peaceful solution. This phase is limited to 20 days, but if both parties agree, it can be extended for an additional 20 days.
If mediation does not result in an agreement, the case will then be handled by a special committee made up of one judge and two technical specialists. This committee must make a decision within 30 days, although this deadline can also be extended if necessary.
Even after the committee makes a decision, either party can appeal to the Court of First Instance within 30 days. This gives both homeowners and contractors the right to further legal recourse if they believe the decision was not fair.
The new law reflects the leadership’s commitment to enhancing social stability and citizen satisfaction. By speeding up the process of solving contract-related issues, the government aims to reduce stress for families waiting for their homes and avoid project delays.
It also promotes continued trust and cooperation between citizens and construction service providers, allowing both to focus on successful project completion instead of getting stuck in long legal battles.
This law is an important step toward building a more responsive and citizen-friendly legal framework in Dubai. It reflects a broader strategy to make government services more efficient and to address the needs of UAE nationals in a timely and thoughtful manner.
As the law comes into effect on January 1, 2026, preparations will likely begin soon to set up the new mediation unit and train experts. Citizens and contractors alike can expect more clarity, transparency, and faster resolutions once the system is in place.
