Monday, 25 August 2025

IP Litigation in the DIFC Courts

Author  Jens Cederskjold  Licence CC BY 3.0  Source Wikimedia Commons

 









Jane Lambert

The Dubai International Financial Centre ("DIFC") is a 110-hectare section of Dubai with its own common law legal system administered by English-speaking judges. Its legislation is based on the laws of England and Wales and other common law countries.  On 21 Nov 2019, the Ruler of Dubai enacted the DIFC Intellectual Property Law 2019, which I discussed in my Introduction to, and Overview of, the New DIFC Intellectual Property Law on 11 Dec 2019.  

One of the most interesting provisions of that enactment is the establishment of a Commissioner of Intellectual Property with power to resolve most intellectual property disputes quickly and cheaply.  I discussed the Commissioner's functions and responsibilities in DIFC IP Law Update on 24 Jan 2025.  However, there are likely to be cases that can best be decided by a judge.  These might include actions with complex facts or difficult points of law, claims that require an inquiry into damages or an account of profits or circumstances where justice might be defeated unless an interim injunction can be obtained quickly.  As the Innovation Hub and the AI Campus grow and develop, disputes are likely to arise that require the sort of robust judicial response that is available in London and Singapore.    

The DIFC Courts consist of a Court of First Instance, a Court of Appeal and a Small Claims Tribunal. The Court of First Instance is divided into 4 specialist Divisions, namely a Civil and Commercial Division, a Technology and Construction Division, an Arbitration Division and a Digital Economy Court.  Art 22 (2)  of DIFC Court Law 2004 enables the Court of First Instance to "order an injunction restraining a person from engaging in conduct or requiring a person to do an act or thing or other order the Court considers appropriate."  Art 36 (1) (a) of The Law of Damages and Remedies 2005 empowers the court to grant interim injunctions,

The Rules of the Dubai International Financial Centre Courts 2014 resemble the Civil Procedure Rules ("CPR") and contain many similar provisions, but they differ in several ways.  There is no equivalent to CPR Part 63 in the DIFC Court Rules, and the Courts' practice directions do not supplement Parts of the DIFC Court Rules.  Another important difference between IP litigation in the UK and in the DIFC Courts is that the DIFC Intellectual Property Law 2019 does not permit the DIFC Courts to revoke or declare invalid Gulf Co-operation Council or Emirati patents or other registered rights.  It is not yet clear whether the DIFC Courts would reach a similar decision to that of the Court of Justice of the European Union in Case C‑339/22, BSH Hausgeräte GmbH v Electrolux AB EU: C:2025:108, [2025] EUECJ C-339/22, [2025] WLR(D) 306, ECLI:EU: C:2025:108, 25 Feb 2025 where the Court believes such a patent or other IP right to be invalid.

The procedure for obtaining interim injunctions in the DIFC Courts is similar to that of England and Wales.   Applications are launched by an application notice supported by evidence in one or more witness statements, a statement of case verified by a statement of truth or the application notice itself.  A distinction is drawn in the timetable for exchanging evidence between applications that can be heard in less than 2 hours ("ordinary applications") and those that are likely to require more than 2 hours ("heavy applications").  Both appear to be treated as equivalent to "applications by order" in England and Wales.   As in those countries, an applicant for an interim injunction must undertake to the court to pay such damages as the court considers that the applicant should bear.  The court may order an applicant to give security for his or her undertaking.

The DIFC Courts Rules provide for freezing injunctions and search orders to be ordered in appropriate circumstances. The evidence supporting applications for such orders should be made by affidavit rather than in witness statements.   An independent legal representative with experience in executing similar search orders should supervise any search that may be ordered.  Such legal representative should report to the court on the execution of the order after such execution has been carried out.

There is no specialist intellectual property list in Dubai.  The Digital Economy Court probably comes closest. I mentioned that Division and its jurisdiction in DIFC IP Law Update 2025 on 25 Jan 2025. HE Justice Michael Black KC, one of my contemporaries at the Manchester Bar, has charge of that list.

Anyone wishing to discuss this topic should call me on +44 (0)20 7404 5252 during UK office hours or send me a message through my contact page at any time.