ADGM Courts: the Premier Forum for International Dispute Resolution in the UAE
How parties bring a dispute to Abu Dhabi's common law courts by written agreement, and how the judgments are enforced
The article explains how the ADGM Courts apply English common law, who sits on the bench, the language of proceedings, and how the opt-in and opt-out mechanisms work. It then covers the courts and divisions that hear claims, digital services, mediation and arbitration support, enforcement of judgments outside the ADGM, the Real Property Division and the Fast Track.
Reviewed by Mohamed Noureldin, Founder, Managing Partner & Senior Legal Consultant
For a business operating in or engaging with the Middle East, the choice of jurisdiction for its commercial disputes is a critical strategic decision. One option is the ADGM Courts, the judicial arm of the Abu Dhabi Global Market (ADGM), which was established as an international financial centre in the capital of the UAE. Their familiar common law system and digital infrastructure are among the reasons they are increasingly favoured for complex, cross-border commercial litigation and arbitration. The courts apply English common law, and all proceedings before them must be conducted in English. They can also hear disputes between parties with no physical presence in the ADGM, if those parties agree to it in writing.
Familiar law
The ADGM Courts apply English common law, including the rules of equity, which the Application of English Law Regulations 2015 make part of the law of the ADGM. The international business community, and particularly parties from common law jurisdictions, values the familiarity, predictability and transparency this brings. See also our master service agreement drafting and negotiation services.
The legal framework itself covers a wide range of commercial legislation, regulations and rules. Together they govern all aspects of business within the financial free zone.
Who sits, and in what language
The judges are independent and are drawn from leading common law jurisdictions, including the UK, Australia and New Zealand. All proceedings before the courts must be conducted in English.
A familiar legal system and an internationally experienced judiciary together create a level of confidence. For multinational businesses selecting a forum for their dispute resolution clauses, that confidence is often a deciding factor.
Parties can opt in without a presence in the ADGM
The jurisdiction of the ADGM Courts is deliberately broad. It extends to civil and commercial disputes, including those arising from domestic, regional and international financial transactions. It also covers employment disputes within the financial free zone.
A key feature is the "opt-in" jurisdiction mechanism. The ADGM Courts may hear any civil or commercial claim or dispute that the parties agree in writing, before or after it arises, to file with them, including parties who have no physical presence or direct connection to the ADGM. Parties who choose the ADGM this way do so out of preference for its legal and procedural advantages, not out of necessity. An "opt-out" mechanism works in the other direction. Parties may agree to refer their disputes to arbitration. For claims involving the ADGM, its authorities or its establishments, or arising from contracts, transactions or incidents in the ADGM, they may also agree in their commercial contracts to submit to another court.
More on this forum is on our ADGM Courts service page, and on litigation generally in our courts and litigation practice.
Which court or division hears a claim
The ADGM Courts consist of the Court of Appeal and the Court of First Instance, and the Court of First Instance sits in divisions. This allows resources and judicial experience to be allocated to cases of varying complexity and value.
| Court or division | Jurisdiction and scope | Key feature |
|---|---|---|
| Small Claims Division | Small claims; its judgments are appealed solely to the Commercial and Civil Division, not the Court of Appeal | Special procedural provisions apply to small claims |
| Commercial and Civil Division | Includes appeals from the Small Claims Division | Handles general civil and commercial litigation |
| Court of First Instance | Exclusive jurisdiction over civil or commercial claims involving the ADGM or its authorities or establishments, or arising out of or relating to a contract entered into, executed or performed in whole or in part in the ADGM, a transaction entered into or performed in whole or in part there, or an incident that occurred in whole or in part there; also over appeals against decisions of ADGM authorities; the divisions above are part of it | Single-judge proceedings |
| Court of Appeal | Exclusive jurisdiction over appeals against judgments or orders of the Court of First Instance | Final court of appeal; decisions are binding and final |
For professional guidance on commercial litigation before these courts, see our courts and litigation services.
Remote access
The ADGM Courts have embraced digital transformation. Their infrastructure supports end-to-end integrated judicial services, including e-filing, electronic case management and virtual hearings. This reduces the administrative burden and cost for international parties. It also means justice can be administered without geographical constraints.
Mediation and arbitration alongside litigation
The ADGM framework actively promotes various forms of dispute resolution. It recognises that litigation is not always the most appropriate or cost-effective option for a commercial disagreement. The courts offer a Court-Annexed Mediation service, which encourages parties to seek early resolution.
The ADGM is also a hub for arbitration. The ADGM Courts support the arbitral process, including through the power to issue interim measures and to enforce arbitral awards. See our ADGM Courts arbitration services.
Enforcing ADGM judgments outside the ADGM
A court's effectiveness is ultimately measured by the enforceability of its judgments. Judgments and orders of the ADGM Courts are enforced by the competent entities outside the ADGM, under those entities' own procedures and any memoranda of understanding with them. That rule does not apply to an ADGM Courts judgment or order recognising or enforcing a judgment or order of a court outside the Emirate, or an arbitral award from a tribunal seated outside the ADGM.
A judgment creditor may apply directly to the courts of the Emirate of Abu Dhabi, which enforce without re-examining the merits.
A Real Property Division and the Fast Track
The Court of First Instance has a Real Property Division, and a case in the Commercial and Civil Division may be placed on the Fast Track. For property disputes, see our real estate dispute lawyers.
Nour Attorneys also offers dispute resolution and court litigation in the UAE, contract and commercial dispute resolution and real estate dispute services.
Disclaimer: this article is for general information only and does not constitute legal advice. Readers should seek legal advice on their own circumstances before making any decision or taking any action based on it.
