The Impact of Slight Fraud on the Contract: An Analytical Study of Article 189 of the UAE Civil Code

In: Arab Law Quarterly
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  • 1 Abu Dhabi University, Abu Dhabi, United Arab Emirates

Abstract

The United Arab Emirates (UAE) legislator has regulated gross fraud in the Civil Code, which derives its provisions from the Hanafi school of Islamic jurisprudence. A penalty was adapted so that when gross fraud has an impact on a contract, the defrauded contracting party can terminate the contract in question. The legislation also regulates slight fraud, but only in two very specific cases. This article aims at determining the accuracy of Article 189 that regulates slight fraud, and then identifies its shortcomings by analysing the cases in which slight fraud affects a contract. It concludes that this text is inaccurate, and suggests the UAE legislator amend Article 189. In addition, we suggest a new definition of terminal illness.