UAE Civil Transactions Law

Article 531

Book Two: Nominate Contracts · Section One: Contracts of Transfer of Ownership · Chapter One: Contract of Sale · Part Three: Certain Types of Sales · First: Salam Sale

1. If a purchaser, in a Salam contract, exploits the need of a farmer and buys a future crop from them at a price or on terms that are manifestly grossly unfair, the seller shall, when the time for performance falls due, have the right to request the court to adjust the price or the terms in a manner that removes the unfairness. The court shall take into consideration the circumstances of time and place, the general level of prices, and their differences between the date of the contract and the date of delivery, in accordance with the prevailing custom. 2. The purchaser shall have the right not to accept the adjustment ordered by the court and to recover the actual price they actually paid to the seller, in which case the seller shall have the right to sell their crop to whomever they wish. 3. Any agreement or condition intended to waive this right shall be void, whether such condition is in the Salam sale contract itself or in the form of a separate obligation whatever its nature.

WAWhatsAppTGTelegram