How to Choose the Best Lawyer: A UAE Guide
Choosing the best lawyer in the UAE comes down to five checks: whether they are an advocate or a legal
A construction delay claim in the UAE is a formal request made when a building project runs late. Most often, the contractor asks for an extension of time, called an EOT, to avoid being penalised for the delay, and sometimes for the extra costs of staying on site longer. The employer, on the other hand, may claim delay damages for late completion. Who pays depends on what caused the delay and what the contract says. Most large projects use standard contracts, such as FIDIC forms, which set out how and when a delay claim must be made. A key rule is notice: the contractor usually must report a delay event quickly, or risk losing the claim. Handling a construction delay claim in the UAE correctly protects your time, money, and project. Strong records and early legal advice make the biggest difference to the result.
A construction delay claim arises when a project is not finished on time and someone seeks time or money as a result. There are two main parts. The first is an extension of time, or EOT, where the contractor asks for more time so they are not penalised for the delay. The second is prolongation costs, which are the extra costs of running the site for longer, such as staff and equipment. This is one focused part of wider construction law, which covers many other building issues. Because the rules are technical, a legal consultation early on is wise. For example, a contractor delayed by a late design change may claim both extra time and extra cost. A construction delay claim is a request for more time or money when a project finishes late.
Knowing the cause of a delay is the key to any claim, because it decides who is responsible. Delays usually fall into two groups. Excusable delays are not the contractor’s fault, such as the employer changing the design, giving information late, or an exceptional event, and these can earn the contractor more time. Non-excusable delays are the contractor’s own fault, like poor planning, and earn no extension. Some excusable delays are also compensable, meaning the contractor can claim money as well as time. Sorting out who caused what often involves a careful look at the contract, which links to commercial terms, and the claim itself may become a civil matter. For example, a delay caused by the employer’s late approvals usually entitles the contractor to more time. The cause of a delay decides who is responsible and whether extra time or money is owed.
Making a delay claim is a careful, step-by-step process, and missing a step can be costly. The contract, often a FIDIC form, sets out exactly what to do. The first and most important step is notice: you usually must tell the other side about the delay event within a set number of days, or you can lose the right to claim under a time bar. Next, you prepare the claim itself, which includes a delay analysis showing how the event affected the programme. Strong evidence is vital, such as the project schedule, site records, photos, and letters. Developers and contractors often act through a corporate entity, and buyers facing handover delays may also have a real estate claim. For example, failing to give notice in time is one of the most common reasons a valid claim fails. To make a delay claim, give notice on time, then support it with a clear analysis and strong records.
When a project finishes late, the employer often has the right to charge the contractor a penalty. These are usually called liquidated damages, a fixed sum agreed in the contract for each day or week of delay. The employer can deduct this amount without having to prove the exact loss. However, under UAE law, these agreed penalties are not always final. A court or tribunal can sometimes reduce them if the penalty is far higher than the real loss suffered. This is an important protection, and challenging an unfair penalty may require litigation or another formal process. A contractor with a valid extension of time can also avoid penalties for that period. For example, if a delay was the employer’s fault, the contractor may not owe penalties at all. Liquidated damages are agreed delay penalties, but UAE law allows them to be reduced if they are clearly excessive.
When a delay claim is disputed, there are several ways to settle it, and most contracts set a clear order. Knowing how to resolve a construction dispute in Dubai starts with the contract itself. The first step is usually direct talks between the parties, which can solve many issues quickly. If that fails, many FIDIC contracts use an engineer’s decision or a dispute board to review the claim. The next stage is often amicable settlement. If the dispute still remains, it usually goes to arbitration, which is very common in construction, or to court. To learn more about that route, see our guide on how arbitration works in the UAE. For example, a clear dispute clause in the contract can decide exactly how a delay claim is handled. Construction disputes in Dubai are usually resolved through negotiation, dispute boards, and then arbitration or court.
Construction delay claims are technical, so you need a team that understands both the law and the building process. Hessa Al Hammadi Advocates & Legal Consultants advises contractors, developers, and owners across the UAE on delay claims and disputes. We are ISO 9001:2015 certified for quality management and licensed before all major UAE courts. We handle the notices, claims, and evidence, backed by a dedicated international arbitration practice that suits complex construction cases. We act for clients from many nationalities and explain each step in plain language. We cannot promise a specific result, but we prepare every claim carefully and pursue the best outcome the facts allow. You can learn more on our about us page, or reach us through our contact us page to book a consultation. Strong, certified construction expertise gives your delay claim its best chance.
Dealing with a construction delay claim in the UAE? Hessa Al Hammadi Advocates & Legal Consultants help contractors, developers, and owners with notices, claims, penalties, and disputes, backed by ISO 9001:2015 certification and a dedicated arbitration team. Book a consultation today.
It is a claim made when a project runs late. The contractor usually asks for an extension of time to avoid penalties, and sometimes for extra costs, while the employer may claim delay damages. The contract and the cause decide who pays.
An EOT is more time granted to the contractor for delays that are not their fault, such as employer changes or late information. A valid EOT protects the contractor from delay penalties for that period.
Most contracts require you to report a delay event within a set time. If you miss this deadline, a time bar can stop you from claiming, even if your claim is otherwise valid. Acting fast is essential.
Sometimes, yes. Liquidated damages are agreed in the contract, but UAE law allows a court or tribunal to reduce them if the penalty is far higher than the actual loss. A lawyer can advise on challenging an unfair penalty.
Most start with negotiation, then move to an engineer’s decision or a dispute board, and then to amicable settlement. If unresolved, they often go to arbitration, which is common in construction, or to court.
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