Dubai Legal Funding
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    Legal Funding in Dubai

    Is Third-Party Funding Allowed in the DIFC Courts?

    Yes. The DIFC Courts issued Practice Direction No. 2 of 2017 on third-party funding, and the ADGM Courts have Litigation Funding Rules (2019). Both permit funding subject to requirements such as notifying the court and other parties of the funding arrangement.

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    DIFC Courts

    Practice Direction No. 2 of 2017 addresses third-party funding of DIFC proceedings. Among other things, a funded party must give notice that it has entered into a funding arrangement and identify the funder. The court may take funding into account when dealing with costs and security for costs.

    ADGM Courts

    The ADGM Courts' Litigation Funding Rules 2019 set requirements for funding agreements, including notification and the content of the agreement, and confirm the funded party keeps control of the proceedings.

    Onshore courts and arbitration

    There is no dedicated statute on litigation funding for onshore UAE courts, so arrangements are structured carefully on a case-by-case basis. In arbitration, the DIAC Arbitration Rules 2022 address disclosure of third-party funding.

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    This guide is general information, not legal advice. Dubai Legal Funding is not a law firm. Speak to qualified counsel about your specific matter.