What is the jurisdiction of DIFC?
allowed the DIFC Courts to hear any local or international cases and to resolve commercial disputes with the consent of all parties. The DIFC Courts are part of the sovereign structure of the Emirate of Dubai, within the UAE. Specifically, Dubai Law No. 12 of 2004 (‘Dubai Law No.
What is a hybrid jurisdiction clause?
For over a decade, hybrid jurisdiction clauses (also known as asymmetric or unilateral clauses) have been ubiquitous in international finance contracts in the London markets, and beyond. By these clauses a borrower may initiate proceedings only in the chosen court.
What happens if there is no jurisdiction clause?
What happens if there is no governing law clause or jurisdiction clause? The absence of governing law clauses and jurisdiction clauses results in major uncertainty if there is a commercial dispute. Such absence also minimizes the likelihood of a successful conclusion of a contractual claim.
What law applies in the DIFC?
Federal Law No. 8 of 2004: Regarding The Financial Free Zones in the United Arab Emirates (the Financial Free Zone Law), was gazetted on 27 March 2004. This law allows a Financial Free Zone to be established in any Emirate of the UAE, by Federal Decree.
Who can use DIFC Courts?
Decree no. 16/2011 opened the Courts’ remit to hear: Any civil or commercial case in which both parties select the DIFC Courts’ jurisdiction, either in their original contracts/agreements or post- dispute. as well as Any civil, commercial or employment case related to the DIFC.
Can two courts have exclusive jurisdiction?
Ltd.5, held that “it is no more res-integra that in a dispute between parties where two or more courts may have jurisdiction, it is always open for them by agreement to confer exclusive jurisdiction by consent on one of the two courts”.
Are jurisdiction clauses enforceable?
Indeed, our data suggest that such clauses are enforced by state courts approximately 85% of the time. We argue that the courts should generally decline to enforce consent-to-jurisdiction clauses when they are written into contracts of adhesion and deployed against unsophisticated counterparties.
Is DIFC a regulator?
Dubai International Financial Centre (DIFC) The DIFC is a Financial Free Zone within the UAE with its own civil and commercial laws as well as its own financial services regulator, the Dubai Financial Services Authority (DFSA).
What should be included in a jurisdiction clause?
In general, a jurisdiction clause should state whether it is exclusive or permissive in nature, and specify what claims are subject to its reach. New York courts will apply the governing law designated in the contract to interpret the nature and scope of the jurisdiction clause.
When is a governing law clause enforceable in New York?
Under New York Law, governing law clauses are not dispositive in and of themselves. Where both contracting parties are sophisticated, negotiated at arm’s length, and the parties themselves, or the contemplated performance, have some relationship to the chosen jurisdiction, governing law clauses are often enforceable.
When does a court disregard New York law?
New York law allows a court to disregard the parties’ choice of governing law when: The chosen jurisdiction’s law has no substantial relationship to the parties or the transaction, and there is no other reasonable basis for the parties’ choice.
Can a breach of jurisdiction be recovered in New York?
In general, New York law allows the recovery of damages for breach of a jurisdiction clause, consistent with breach of contract principles. Under the governing principle, an injured party will be restored to the position it would have been if the breach had not been committed.