How Long Do I Have to Sue for Unpaid Money in the UAE?
Quick Answer: For commercial obligations between traders, five years from the date the debt fell due (Article 92 of FDL 50/2022). For civil contracts, fifteen years. For a dishonoured cheque, two years from expiry of the six-month presentment period (Article 670). Miss the deadline and the debtor can have the claim dismissed.
- Identify the exact date your debt fell due.
- Classify the claim as commercial, civil, or cheque-based.
- Gather any written acknowledgment of the debt.
- Calculate the time left, then file proceedings before it expires.
- A demand letter does not interrupt limitation. Only an acknowledgment or a judicial step does.
- Take legal advice now if any deadline falls within the next twelve months.
- Commercial obligations: 5 years (Article 92, FDL 50/2022).
- Civil contracts: 15 years (Article 473 old Code; Article 429 new Code from 1 June 2026).
- Cheques: 2 years drawer, 3 years drawee bank, 1 year between obligors (Article 670). Article 670(4) exception preserves claims where drawer failed to provide funds.
- A demand letter does not interrupt limitation. Acknowledgment and judicial steps do.
- The debtor must raise limitation as a defence; the court will not apply it on its own.
- FDL 25/2025 (effective 1 June 2026) retains the 15-year general period. Transition governed by Articles 6 and 7.
How long do I have to sue for unpaid money in the UAE?
There is no single deadline. Commercial obligations between traders: five years. Civil contracts: fifteen years. Dishonoured cheques: two years from expiry of the presentment period. The category is decided by the nature of the parties and the transaction, not by the size of the claim.
The period runs from the date the debt became due for payment. If your invoice was payable on 30 days’ terms, the clock starts when those 30 days expire.
What is the limitation period for commercial debts?
Article 92, FDL 50/2022: Five years from the maturity date for obligations of traders against each other in their commercial business, upon denial and absence of lawful excuse. Replaced the old ten-year period under FDL 18/1993, repealed 2 January 2023.
Not every commercial claim is five years. Contract agency: three years (Article 226). Bills of exchange against the acceptor: three years (Article 618). Sale defects: shorter still.
The four limitation regimes
| Regime | Period | Statute | Runs from | Typical claim |
|---|---|---|---|---|
| Obligations between traders | 5 years | Art 92, FDL 50/2022 | Maturity date | B2B invoice, supply/service debt |
| General civil contracts | 15 years | Art 473 old Code; Art 429 new Code | Date right falls due | Loan or non-commercial contract |
| Cheques | 2yr/3yr/1yr | Art 670, FDL 50/2022 | Expiry of 6-month presentment | Dishonoured cheque (Art 670(4) exception) |
| Special commercial | 3yr + shorter | Arts 226, 618, FDL 50/2022 | End of agency, maturity, delivery | Agency, bill of exchange, defects |
Does the period restart if the debtor acknowledges the debt?
Yes. A written acknowledgment interrupts the period and starts a fresh one of equal length. A partial payment can also interrupt where it clearly amounts to an implied acknowledgment.
A demand letter does not interrupt limitation. Only an acknowledgment from the debtor or a judicial step resets the clock. A creditor who sends a demand letter and waits, believing the deadline has been pushed back, can find the claim has quietly expired.
What is the time limit for a bounced cheque?
Article 670, FDL 50/2022: Two years (drawer/endorsers), one year (between obligors), three years (drawee bank), each from expiry of the presentment period. Article 670(4) preserves claims where the drawer failed to provide or withdrew funds.
Losing the cheque claim does not necessarily lose the debt. The underlying contract survives if it is within its own limitation period.
Can a debtor refuse to pay by claiming the debt is too old?
Article 488 old Code; Article 444 new Code: The court may not dismiss a claim on limitation on its own motion. The debtor must raise the defence. Limitation does not extinguish the debt; it bars the action to enforce it.
Will the new Civil Code change the limitation period?
Article 429, FDL 25/2025 (effective 1 June 2026): The fifteen-year general civil period is retained. Article 6 applies new provisions to every period not yet completed. Article 7: where the new law sets a shorter period, it runs from 1 June 2026, but if the old remainder is shorter, that governs.
Worked example: three debts reviewed in 2026
Claim A: AED 5m commercial invoice (2019)
Alive. The 2021 acknowledgment interrupted the period and started a fresh five years. Well within time in 2026.
Claim B: AED 3m dishonoured cheque (2022)
Cheque route expired, but check two things: (1) does Article 670(4) apply (drawer never funded it)? (2) is the underlying contract still within its own five-year period?
Claim C: AED 8m oral agreement (2015)
Time-barred. No acknowledgment, no partial payment, no proceedings. The period expired in 2025 at the latest.
Common worries answered
“Is it too late?”
Often not. Fix the due date and check for acknowledgments. The only way to know is to check the dates precisely.
“Does acknowledgment help me?”
Yes. A written admission interrupts the period and starts a fresh one of equal length.
“What if I only just discovered the default?”
The period runs from the due date, not the discovery date. Treat it as urgent.
“Can the debtor raise limitation even if they owe the money?”
Yes. Limitation is a procedural defence. Filing in time is what protects your claim.
Frequently Asked Questions
How long do I have to file a debt claim?
Commercial: 5 years (Article 92). Civil: 15 years. Cheques: shorter periods under Article 670.
What is the statute of limitations for commercial debt?
Five years from maturity under Article 92, unless a shorter period applies.
What is the cheque limitation period?
Two years against the drawer from expiry of the presentment period. Article 670(4) preserves claims where funds were not provided.
Does acknowledgment interrupt limitation?
Yes. A fresh period of equal length begins. A demand letter does not interrupt.
Can a debtor refuse to pay because the debt is old?
The debtor must raise the defence. The court will not apply it on its own initiative.
How long to enforce a judgment?
A final judgment carries a fresh 15-year period (Article 441(2), FDL 25/2025). Pursue enforcement actively.
Time limit on an earnout or buyout payment?
Depends on characterisation: commercial (5 years) or civil (15 years). Each instalment runs from its own due date.
Where to go from here
Limitation rewards creditors who act on accurate dates and punishes those who wait. Fix the due date, identify any acknowledgment, and work out the deadline before it passes. Contact us through paymentdisputes.ae.
If you are worried a commercial debt is approaching or past the limitation deadline, accuracy on dates is everything.
- Which limitation regime applies
- Whether any acknowledgment has interrupted the period
- How much time you have left
- What your realistic recovery options are
Contact us through paymentdisputes.ae.
All statutory references drawn from FDL 50/2022 (Commercial Transactions Law), Federal Law 5/1985 (Civil Code, until 31 May 2026), and FDL 25/2025 (new Civil Transactions Law, from 1 June 2026). Arabic prevails. The five-year period replaced ten years under FDL 18/1993 (repealed 2 January 2023). Article numbering under the new Code should be confirmed against the Official Gazette text. Worked examples use illustrative figures.
This article is for general information only. It does not constitute legal advice and does not create a lawyer-client relationship. Limitation periods are fact-sensitive. Obtain advice from a UAE-qualified legal consultant before acting on anything in this guide.
