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Guide19 March 202610 min read

What to Check Before Signing Any Contract in the UAE (2026 Checklist)

Whether it is a rental lease, job offer, insurance policy, freelancer agreement, or business contract — these 15 checks apply to every document you sign in the UAE. Print this, save it, or just upload your contract to TenderScan and let us check it all for you.

The 15-Point UAE Contract Checklist

These are the clauses that cause the most disputes in UAE courts, based on RERA, DIFC, and UAE Labour Law cases.

1. Termination Clause

How can either party end this contract? What is the notice period? What penalties apply? In UAE rental contracts, RERA allows a 2-month penalty but landlords often push it to 3 months. In employment contracts, notice periods of 30-90 days are standard but some contracts add financial penalties on top.

2. Auto-Renewal Terms

Does the contract renew automatically? What is the notice window to opt out? Many Dubai leases require 90 days written notice — miss it by one day and you are locked in for another year. Employment contracts in free zones often auto-renew unless formally terminated.

3. Payment Terms

When is payment due? What happens if you are late? Is there a grace period? Rental contracts in Dubai typically require post-dated cheques. Some include a bounced cheque clause that triggers immediate eviction. Employment contracts should specify salary date, end-of-service gratuity calculation, and overtime rates.

4. Liability and Indemnity

Who is liable if something goes wrong? Are you indemnifying the other party for their mistakes? Watch for unlimited liability clauses. In UAE law, indemnity clauses that are excessively one-sided can be challenged, but only if you notice them before signing.

5. Non-Compete and Restrictive Covenants

Are you restricted from working for competitors after the contract ends? UAE Labour Law (Federal Decree-Law No. 33 of 2021) limits non-compete to 2 years and requires it to be reasonable in geographic scope. But many employers still include blanket non-competes covering all industries across the GCC.

6. Governing Law and Jurisdiction

Which court handles disputes? UAE mainland courts, DIFC courts, or ADGM courts? This matters enormously. DIFC and ADGM courts operate under common law (English-style). UAE mainland courts operate under civil law. The difference can change the outcome of your case entirely.

7. Force Majeure

What happens if unforeseeable events prevent either party from performing? After COVID-19, force majeure clauses became critical. Check whether pandemics, government orders, and supply chain disruptions are explicitly listed.

8. Exclusions and Limitations

This is the number one trap in insurance policies. What is NOT covered? Pre-existing conditions, geographic limitations, driver age restrictions, agency vs non-agency repair — these exclusions are where insurance companies save money and you lose coverage.

9. Security Deposit and Refund Terms

How much is the deposit? Under what conditions is it returned? What deductions are allowed? RERA in Dubai has rules about security deposits, but the contract can override some defaults. Check whether the landlord can deduct for normal wear and tear (they should not).

10. Intellectual Property

Who owns the work product? If you are a freelancer, does the client own everything you create during the contract — including work done in your own time? Employment contracts in the UAE often include blanket IP assignment clauses that cover all inventions, not just work-related ones.

11. Confidentiality Scope

What counts as confidential? How long does the obligation last? Some NDAs last forever. Others define confidential information so broadly that you cannot discuss publicly available information about the company.

12. Penalty Clauses

Are there liquidated damages for breach? UAE Civil Code allows penalty clauses but courts can reduce them if they are disproportionate. However, you have to challenge them in court, which costs time and money.

13. Amendment Clause

Can the other party change the terms after you sign? Some contracts include a unilateral amendment clause — meaning the company can change your terms with just written notice. This is common in insurance policies and subscription services.

14. Language of the Contract

In the UAE, Arabic is the official legal language. If there is a conflict between the Arabic and English versions, the Arabic version prevails in court. If you signed an Arabic contract and relied on an English summary, the Arabic text is what binds you.

15. Signature and Execution

Is the contract properly executed? Are all pages initialled? Is the signatory authorised to sign on behalf of the company? A contract signed by someone without authority may not be enforceable.

Or Just Upload It

Checking all 15 points manually takes 2-4 hours and requires legal knowledge. TenderScan checks all of them in 30 seconds, tells you exactly which clauses are risky, and gives you a clear SIGN, NEGOTIATE, or REJECT verdict with specific negotiation points.

Skip the Checklist. Upload Your Contract.

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