FILING A CASE IN UAE: HOW COURT FEES ARE CALCULATED

Court fees are an essential component of civil litigation in UAE. Before a claim is accepted for registration, the claimant is generally required to pay the prescribed judicial fees, unless exempted by law. The amount payable varies depending on the jurisdiction, the nature of the claim, the value of the dispute, and the applicable laws.

Unlike countries with a unified judicial fee system, UAE follows a decentralized system. While substantive procedural law is governed federally, judicial fees are regulated separately by each emirate for its local courts. Consequently, the calculation of court fees in Dubai differs from Abu Dhabi, Sharjah, Ras Al Khaimah, and the Federal Courts.

This article provides an overview of the legal framework governing court fees in UAE, with particular emphasis on the Dubai Courts, where the majority of commercial disputes are filed.

The principal legislations governing court fees include:

1. Federal Law No. 13 of 2016 Concerning Judicial Fees Before Federal Courts, applicable to matters before the Federal Judiciary.
2. Dubai Law No. 21 of 2015 Concerning Judicial Fees of the Dubai Courts, as amended by:

• Dubai Law No. 2 of 2019, and
• Dubai Law No. 7 of 2020.

Each emirate having an independent judicial authority has enacted its own legislation prescribing court fees.

General Principles for Assessment of Court Fees

Although the fee schedules differ among emirates, several common principles apply throughout the UAE.

1. Court Fees Must Generally Be Paid Before Registration

A civil claim is ordinarily not accepted for registration until the prescribed judicial fee has been paid. Dubai Law No. 21 of 2015 provides that lawsuits, appeals and applications may only be heard after payment of the applicable judicial fees unless an exemption or deferment has been granted.

2. Court Fees Depend Upon the Nature of the Claim

The amount payable depends on factors such as:

1. whether the claim is civil or commercial;
2. whether it is labour or family related;
3. whether the claim has a specified monetary value;
4. whether the claim is for declaratory or injunctive relief;
5. whether the matter is filed before the Court of First Instance, Court of Appeal or Court of Cassation.

3. Claims Are Classified as:

(a) Claims with a Specific Monetary Value, such as recovery of debt, contractual claims, damages, unpaid invoices, commercial disputes etc. The judicial fee is generally calculated as a percentage of the claim amount, subject to statutory minimum and maximum limits.

(b) Claims Without a Specific Monetary Value such as declarations of rights, cancellation of contracts, certain injunctions, declaratory relief etc. Under Article 15 of Dubai Law No. 21 of 2015, where the value cannot be determined, the claim is deemed to have a value of AED 200,001 for fee calculation purposes.

Calculation of Court Fees before Dubai Courts

Dubai follows one of the most structured judicial fee systems in the UAE.

Civil Claims

For Ordinary Civil Claims, under Article 14 of Dubai Law No. 21 of 2015 (as amended), the judicial fee is 6% of the value of the claim subject to the following limits:

The minimum filing fee is AED 500.

Commercial Claims Not Exceeding AED 500,000

Following the 2019 amendments, commercial disputes with a claim value not exceeding AED 500,000 are treated differently.

The claimant shall pay 6% of the claim value, capped at AED 5,000, at the time of filing. If the claimant succeeds, an additional fee up to AED 15,000, may be collected from the judgment debtor based on the amount awarded by the final judgment. This system reduces the claimant’s upfront financial burden while shifting part of the fee to the unsuccessful party.

Labour Cases

For labour disputes exceeding AED 100,000, the court fee is 5% of the claim amount, subject to a maximum of AED 20,000. Claims within the statutory exemption threshold may benefit from fee exemptions under applicable labour legislation.

Family Cases

Family matters are generally governed by separate fee schedules, specifically provided under Schedule 2 of the Law No. (21) of 2015, rather than the percentage-based formula applicable to civil and commercial claims. Certain family proceedings are exempt from judicial fees or subject to nominal fixed fees.

Claims of No Specific Value

Certain disputes do not involve a readily ascertainable monetary value, such as contract cancellation, declarations of ownership, injunctions, declaratory judgments etc. For such claims, Article 15 deems the claim value to be AED 200,001, and the judicial fee is assessed on that deemed value unless the law provides otherwise.

Appeals

Separate judicial fees apply when filing appeals before the Court of Appeal or the Court of Cassation. These are calculated according to the applicable fee schedules specifically provided under Schedule 3 of the Law No. (21) of 2015 and differ from the fees payable at first instance. Additional fees may also be payable for interlocutory applications, execution proceedings, and other procedural requests.

Exemptions from Court Fees

Dubai’s Judicial Fees Law exempts certain categories of litigants and proceedings from court fees. These include, among others the lawsuits filed by federal and local government entities, certain family-related proceedings, and other categories expressly listed in Article 8 of the Law.

Additionally, the law permits the competent committee to grant exemptions or defer payment in appropriate cases.

Centre for Amicable Settlement of Disputes (CASD)

Where a dispute is first referred to the Centre for Amicable Settlement of Disputes (CASD), only 50% of the applicable judicial fee is payable upon registration. If the dispute is subsequently referred to the competent court, the balance of the judicial fee is collected, with credit given for the amount already paid.

Recovery of Court Fees

Judicial fees are generally recoverable as part of the legal costs awarded by the court. Where the successful party is awarded costs, the unsuccessful party may be ordered to reimburse the judicial fees, subject to the court’s order and the applicable statutory provisions.

Conclusion

The calculation of court fees in UAE depends on the applicable jurisdiction, the type of claim, and the value of the dispute. In Dubai, the general rule for civil claims is a judicial fee of 6% of the claim value, subject to statutory minimums and maximum caps, with special provisions for commercial, labour, and non-monetary claims. Understanding these rules enables litigants and legal practitioners to accurately estimate litigation costs and make informed decisions before commencing proceedings.

As each emirate maintains its own judicial fee legislation, parties should always consult the relevant local law and fee schedules applicable to the court in which the proceedings will be instituted.