UAE Civil Transactions Law

Article 828

Book Two: Nominate Contracts · Section Three: Employment Contracts · Chapter One: Muqawala Contract · Part Two: Effects of Muqawala Contrac · Second: Obligations of the Employer

1. If the contract is concluded pursuant to a bill of quantities (BOQ) calculated on a unit-price basis, and it becomes apparent during the course of the work that, in order to execute the agreed design, it is necessary to exceed the estimated bill of quantities to a non-burdensome excess, the contractor shall notify the employer thereof, stating the expected increase in the consideration. If the contractor fails to do so, their right to recover the expenses exceeding the value of the estimated bill of quantities shall lapse. 2. If the excess required to execute the design is burdensome, the employer may be released from the contract and suspend the execution thereof, provided they do so without delay and compensate the contractor for the value of the works they have completed as estimated in accordance with the terms of the contract; alternatively, the employer may request the contractor to proceed with the execution, subject to the employer’s obligation to pay the value of the increase in the consideration.

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