Assignments and Liens in UAE Law

The objective of the course is to examine UAE law in relation to assignment and liens.  The course is divided into two sections, in which we will examine:

Assignment: An assignment is the transfer of a right, debt or obligation from one party to another.  An assignment is a contract between the assignor and the assignee (and often a third party) and it must satisfy the necessary elements of offer and acceptance, consent, subject matter and cause. The course will examine provisions of the UAE Civil Code, in particular Articles 1106 to 1113, and 891.

Ownership of land must be registered at the Land Registry, and therefore a mere assignment may be insufficient.

Liens. A lien is a right that one party must retain the property of another person as security for money owed to him. The classic example is the “mechanic’s lien”, whereby if you take your car to a garage for repairs, the garage will not allow you to retrieve your car until you have paid the costs of the repairs.

A lien may be particularly relevant in the construction industry, whereby a contractor with possession of the development may refuse to hand possession back to the owner until the contractor has been paid his dues. We will consider the FIDIC contracts and Articles 879 and 1527 of the Civil Code, and other provisions of the Civil Code.

Participants are encouraged to bring a copy of the UAE Civil Code with them.