An Overview of ADGM Court Procedure

20 Apr 2022

The Abu Dhabi Global Market is a worldwide financial center located in Abu Dhabi. It has three independents’ authorities: The Registration Authority, the Financial Services Regulatory Authority, and ADGM Courts. The ADGM courts have been set up as an alternative to the onshore courts to resolve civil and commercial disputes on an international and local scale. The ADGM Court is confirmed by two instances: A Court of the first instance and a Court of Appeal. 

The Court of the first instance has three dissections:

  • Civil
  • Employment
  • Small claims division

We can find the ADGM Court Procedure Rules 2016, and these rules were last amended-on 15 February 2020. 

 

ADGM Court procedure rules 2016 

The proceedings are started on the date entered on the claim form when the Court issues the claim form at the claimant’s request. The claim form must state what final orders the claimant seeks, include the particulars of the claimant’s case, if the claimant seeks damages by way of interest, the details required in the relevant practice direction, and contain any other matter that may be set out in a practice direction. The claim form is supplied within the jurisdiction. The petitioner shall conclude the step required about the particular service process before noon on the calendar day four (4) months after the date of delivery of the claim form. 

Nevertheless, where the claim form is to be served out of the jurisdiction, the claim form shall be done no later than the calendar day six months of the date after the date of issue of the claim form. Once the offender obtains a claim form, he shall organize and serve an acknowledgement of service fourteen (14) days after the claim procedure service. 

Furthermore, a defendant who wishes to dispute the Court’s jurisdiction to try the claim or he/she needs to argue that the Court cannot apply its jurisdiction may employ an order stating that it has no such jurisdiction or should not exercise any jurisdiction which it may have. This application shall be made within 28 days after being served with the claim and be assisted by written evidence. It is considered a default judgment, a verdict without trial or hearing where an offender has been unsuccessful to file and serving an acknowledgement of service or has filed and served a disclosure of service but has failed to serve a defence.

Judgment in default of defence may be gotten where the defendant has filed and served: 

i. An acknowledgement of service, but at the date on which judgment arrives, the defense has not been filed and served 

ii. A countersuit where at the date on which decision has entered a defense has not been filed and served The Court must put aside a judgment if that judgment was incorrectly entered because:

1. In the case of a decision in default of an acknowledgement of service or default of defense, any of the conditions in rule 40 was notified (for example, if the claimant has satisfied the whole claim on which the claimant is seeking judgment).

2. The whole of the claim was fulfilled before judgment was entered. On the other hand, by notice on another party, a party may need him to disclose the events or the part of the case of the reporting party, detailed in the statement. 

 

A notice to accept facts must be sent no later than 21 days before the trial. Where the other party gives any admission in repose to the statement, the admission may be used against him only: 

I. In the proceedings in which the notice to admit is sent. 

II. By the party who sent the notice. 

Sometimes the only remedy which the claimant is seeking is the payment of money, the defendant may admit by giving notice in writing under the appropriate practice direction, responsibility to pay the entire or part of a claim for a specified sum of money or, where the sum is not stated, the whole amount or part only of that claim. 

Concerning the defense and reply, a defendant who wishes to defend all or part of a claim must file a defense and provide a copy of it to the claimant and every other party 28 days after service of the claim if a defendant fails to file and serve a defense. The term for doing so has expired, the claimant may obtain a default judgment. The parties might agree that the period for depositing and serving a defense shall be extended by up to 28 days. 

Additionally, Subject to any relevant practice direction, if a claimant wishes to file a reply to the defense, he must file the response and serve the answer to all the other parties simultaneously as it is filed within 21 days after the defense service. Related to the content of defense, a defendant must state in his defense which of the accusations in the particulars of claim he admits, which of them he/she denies, and which of them he/she is unable to accept or reject but which he requires the claimant to prove. 

A defendant who fails to the settlement with an allegation but has set out in his defense the nature of his case about the issue to which that accusation is relevant shall be taken to order for that allegation to be proved. Where the claim form contains a money claim, an accused shall be brought to request that any allegation concerning the amount of money claimed to be confirmed unless he expressly admits the allegation. A defendant who fails to the settlement with an allegation in the way referred to in the previous paragraphs shall be taken to admit that allegation. Where a defendant contends that he is entitled to money from the claimant and relies on this as a defense to the whole or part of the claim, the contention may be included in the defense and set off against the claim. Moreover, A defendant may make a counterclaim against a claimant by filing a counterclaim without the Court’s permission if he files it simultaneously as his defense, or at any other time with the Court’s permission. Particulars of the defendant’s claim shall be contained in the countersuit. 

A defendant who decides to counterclaim against a person other than the claimant shall request to the Court for an order that person is added as an additional party. In the end, a defendant may make an additional claim without the Court’s permission if the further claim is issued before or at the same time as he files his defense, or at other times with the Court’s consent.