- •Under Article 880 of the UAE Civil Code, contractors and design consultants bear strict, joint liability for structural defects that threaten building stability for 10 years following project handover.
- •Parties cannot contractually waive this liability, and legal proceedings for such defects must be initiated within three years from the date the claimant discovers both the defect and the responsible parties.
- •Decennial liability is limited to defects that compromise structural integrity or safety; simple non-compliance with updated performance standards or regulations does not automatically trigger these statutory obligations.
The United Arab Emirates (UAE) has firmly embedded the principle of decennial liability within its legal framework to ensure the safety, durability, and quality of construction projects. Rooted in civil law tradition, this liability holds architects, engineers, and contractors jointly responsible for major defects that threaten the structural integrity of a building for a period of ten years from the date of handover.
Legal Basis
Decennial liability in the UAE is primarily governed by Federal Decree-Law No. 42 of 2022 on Civil Transactions (Civil Code), which replaced the earlier Federal Law No. 5 of 1985. Article 880 of the Civil Code stipulates that both the engineer (if responsible for design) and the contractor are liable jointly for any total or partial collapse of buildings or installations they have constructed, even if the defect arises from the land itself or the employer approved the construction.
This liability is strict, meaning fault or negligence does not need to be proven. It applies regardless of whether the defect results from an error in design, construction, or both. However, it is contingent on the works being permanently affixed to the land — temporary structures fall outside its scope.
Key Conditions and Limitations
- Ten-Year Period: Liability extends for ten years from the date of delivery, not from the date of discovery of the defect, unless the contract or law specifies a shorter period.
- No Contractual Waiver: The law prohibits parties from contracting out of this liability. Any clause that attempts to exclude or limit this statutory liability is deemed null and void.
- Time-Bar for Claims: Legal action must be initiated within three years from the discovery of the defect, or the right to claim lapses.
Case laws & Judgments
1. UAE Federal Supreme Court – Case No. 782/2024
Court: UAE Federal Supreme Court – Civil
Issue: Decennial liability and statute of limitations
Facts: A residential tower was demolished by authorities due to foundational defects. A property buyer sued the developer, contractor and consultant for rescission of the sales contract and compensation based on structural defects.
Held:
- Article 880 imposes strict liability on the contractor and design consultant for structural defects or collapse for 10 years from handover.
- Limitation (Article 883): The three‑year period for bringing a decennial claim begins from the claimant’s actual knowledge of the defect and the identity of the responsible parties (not merely from the defect’s occurrence).
- The Supreme Court overturned the Court of Appeal’s time‑bar ruling because the claimant only acquired actual knowledge once the demolition order and expert report emerged.
2. Dubai Court of Cassation – Judgment No. 539 of 2023
Court: Dubai Court of Cassation
Issue: Scope and proof of decennial liability against consultants & contractors
Facts: A project owner claimed defective design and supervision causing firefighting system non‑compliance and alleged structural issues.
Held:
- The Court reaffirmed that Article 880 applies only where a defect threatening stability, safety or structural integrity is proven.
- Mere non‑conformity with newer regulations or performance standards after completion does not automatically invoke decennial liability if there is no clear defect compromising safety or stability.
- Expert evidence must clearly demonstrate that design/supervision flaws caused the alleged defect within the 10‑year decennial period.
Practical Implications
For construction professionals and developers in the UAE, decennial liability presents a substantial financial and reputational risk. As a result, it is common for contractors and designers to maintain professional indemnity insurance covering potential liabilities under this provision. Additionally, employers often rely on this statutory protection to ensure long-term building safety and recourse in case of latent structural failures.
Conclusion
Decennial liability serves as a cornerstone of construction law in the UAE, aligning with the nation’s commitment to building safety and regulatory compliance. It underscores the importance of diligence, robust design, and construction standards ultimately protecting public interest and supporting the UAE’s ambitions for sustainable urban development.
Article authored by Mr. Thajudheen Kinathiyil, Junior Associate at QAF Legal.
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