UAE Civil Transactions Law

Article 667

Book Two: Nominate Contracts · Section One: Contracts of Transfer of Ownership · Chapter Six: Mudaraba Contract · Part Three: Expiration of the Mudaraba Contract

1. If the Mudaraba contract is for an indefinite term, either contracting party may withdraw from it at any time, provided that they inform the other contracting party of their intention to withdraw a reasonable period in advance, and that the withdrawal is not in bad faith or at an inappropriate time. 2. If the Mudaraba contract is for a fixed term, a contracting party may not withdraw from it before the lapse of the term, but may request this from the court if they present acceptable reasons, provided that they compensate the other contracting party for any harm caused thereby.

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