UAE Civil Transactions Law

Article 486

Book Two: Nominate Contracts · Section One: Contracts of Transfer of Ownership · Chapter One: Contract of Sale · Part Two: Effects of Sale · 3. Warranty Against Disturbance

1. If the purchaser settles with the claimant of entitlement regarding the subject matter of the sale before a judgment is rendered in their favor, and the seller denies the claimant's right, the purchaser shall be entitled to prove that the claimant is well-founded in their claim. Upon such proof, the seller shall have the option to either pay the equivalent of the settlement amount or refund the price to the purchaser. 2. If the settlement is concluded after a judgment has been rendered in favor of the entitled party, the purchaser shall retain the subject matter of the sale and shall be entitled to recover the price from the seller.

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