Liability And Safety Regulations For Physical Damage And Personal Injury in UAE Construction Law

Physical damage and personal injury under UAE construction law are governed by a comprehensive framework of civil, criminal and local regulatory regimes that operate cumulatively. Contractors, consultants and employers face overlapping exposure under delict, presumed contractual liability, decennial liability, the Penal Code, and specific Abu Dhabi and Dubai utility protection statutes.

Delictual liability

Under Article 282 of the UAE Civil Code, any harm caused to another obliges the actor to compensate the victim, regardless of contractual privity or the actor’s legal capacity. Liability in delict requires an act, harm and a causal link, but the Court determines the standard of care and may impose liability even in the absence of conventional negligence, while refusing to recognise contractual exclusions of delictual liability. Crucially, the delict framework distinguishes between direct harm, which requires immediate compensation, and indirect or consequential harm, which requires proof of wrongdoing or a deliberate act.

In construction disputes, delict commonly applies to third-party property damage and personal injury where no contractual relationship exists. The Dubai Court of Cassation confirmed in judgment No. 402 of 2020 that three elements must be established to found delictual liability: fault, damage and a causal link between them, and that liability must be based on certainty rather than conjecture or speculation. Attempts in standard form contracts, including FIDIC-style clauses, to exclude or severely limit liability for physical damage or personal injury are restricted by the mandatory nature of these delict provisions.

Third parties without contractual privity face evidential hurdles. In Dubai Cassation No. 150 of 2007, an insurer seeking recovery for water damage to insured property failed to establish a claim against the contractor because liability under Article 878 is contractual in nature. The Court held that while the contractor’s liability to the employer remains even if defects arise from faulty ground or employer consent, such contractual liability cannot be relied upon by parties lacking a contractual relationship with the contractor or engineer.

Criminal damage

Federal Decree Law No. 31 of 2021 criminalises destroying or damaging another person’s property so as to render it unfit for use, with penalties of up to one year’s imprisonment and/or a fine of up to Dh10,000 in ordinary cases. Where the damage affects a public utility or facility, or endangers life, safety or health, imprisonment becomes mandatory and may extend to five years, particularly where the offence is committed by a group of three or more persons.

In construction projects, incidents such as collapses, falling objects or trench cave-ins that cause injury or death routinely trigger criminal investigation and prosecution alongside civil compensation claims. Tampering with or damaging public utilities, including electricity, water or gas networks, may attract specific offences under sector-specific provisions linked to Federal Decree Law No. 31 of 2021 and its implementing regulations, with potential sentences of up to ten years’ imprisonment for wilful destruction of utility infrastructure.

Abu Dhabi Courts have consistently upheld criminal convictions alongside civil liability awards in construction-related incidents. In a 2022 case involving a warehouse roof collapse, the Abu Dhabi Criminal Court of First Instance fined the construction company and its owner for negligence and failure to comply with site safety measures, resulting in a worker’s death and severe injuries to another. In a separate 2019 case, the Abu Dhabi Court of Cassation upheld an award of Dh200,000 in compensation to the family of an electrician who died on a construction site, together with an additional fine of Dh35,000 for violations of health and safety obligations.

Presumed liability for property damage

Article 878 of the UAE Civil Code provides that a contractor is liable for any loss or damage resulting from its act or work, whether by wrongful act or default or otherwise, unless the loss arises from an event that could not have been prevented. The Courts treat this as a strict, contractual form of liability similar to decennial liability, placing the burden on the contractor to prove an unavoidable event, such as genuine force majeure or a foreign cause, including subsequent misuse by the owner or a third party.

In Dubai Cassation No. 22 of 1999, the Court of Cassation held a contractor liable for damage to building lifts caused by a burst cooling pipe in an air-conditioning system shortly after installation. The Court rejected the lower Courts’ requirement that breach of contract or negligence be proven, holding instead that the contractor guarantees damage generated by his work whether arising from transgression or negligence or not, unless the damage results from an unavoidable accident. The Court clarified that defences such as a foreign cause negate the causal relationship rather than merely the existence of fault.

In practice, UAE Courts have applied Article 878 to hold contractors liable for consequential property damage, including losses caused by burst pipes or defective systems, without requiring proof of negligence, provided no intervening event is established. As the provision is contractual in character, third parties without contractual privity cannot rely on it and must instead pursue delictual claims, subject to the higher evidentiary burden of proving fault, damage and causation.

The Federal Supreme Court has further clarified that contractors and engineers jointly liable under Articles 880 and 881 cannot escape liability even where the employer consents to defective construction, the land itself is defective, or the building appears acceptable at handover, provided the defect threatens durability or safety within the ten-year period. Where both contractor and engineer contribute to damage through independent or common errors, liability is apportioned according to the gravity of each error.

Inherent danger liability

Inherent danger liability under UAE law is a strict liability regime applicable to damage arising from buildings, mechanical equipment and hazardous installations. Unlike delictual liability, it is presumptive, with damage itself triggering liability unless specific statutory defences are established. In construction, contractors and consultants share responsibility for labourers, third parties, neighbouring properties and utilities. Developed through Civil Code provisions and early cassation judgments, this regime has been reinforced by Dubai Law No. 7 of 2025 and corresponding Abu Dhabi regulations, forming a core element of modern construction risk management.

Articles 315 and 316 of the UAE Civil Code provide the legal foundation. Article 315 addresses building collapses, holding the owner or controller liable for harm caused by total or partial collapse unless it is proven that no wrongdoing occurred or that preventive measures were impossible. Article 316 extends strict liability to things requiring special care, such as mechanical equipment or hazardous installations, imposing liability upon the occurrence of damage unless the person in control proves that the damage could not have been prevented or resulted from a foreign cause.

Judicial interpretation has consistently reinforced these provisions. In Dubai Cassation No. 243 of 1994, the Court distinguished delictual liability from inherent danger liability, holding that liability arises immediately upon damage without proof of negligence. Dubai Cassation No. 334 of 1995 confirmed that the burden of proof in such cases rests squarely on the defendant.

Contractor responsibilities in government projects are grounded in this inherent danger regime and implemented through emirate-specific regulations. In Abu Dhabi, Law No. 6 of 2008 imposes explicit obligations on contractors to protect labourers, third parties and public property, as reflected in the Abu Dhabi Occupational Safety and Health System Framework. Code of Practice 53.0, issued on 15 July 2024, places responsibility on main contractors for planning, coordination, supervision and monitoring of subcontractors, as well as for managing risks to adjacent buildings, public facilities and utilities.

Dubai government contracts adopt a similar approach. Dubai Law No. 12 of 2020 requires contractors to maintain order on site and accept liability for damage to public or private property while complying with worker safety requirements. Earlier provisions under Dubai Local Order No. 3 of 1999 imposed joint liability on contractors and engineers for damage to neighbouring properties and utilities. These principles have been consolidated and modernised under Dubai Law No. 7 of 2025, which applies to all contracting activities, including construction, demolition, roads, bridges and utilities, and extends to free zones such as the DIFC.

Dubai Law No. 7 of 2025, effective from January 2026, modernises contractor obligations by consolidating prior legislation, strengthening safety and compliance requirements, empowering inspections, establishing a unified contractor register and requiring technical personnel to hold competency certificates. Penalties for non-compliance range from Dh1,000 to Dh200,000, with repeat violations potentially resulting in licence suspension, classification downgrading, deregistration or revocation of staff competency certificates. Subcontracting is tightly regulated, with the principal contractor remaining accountable for supervision and performance, and records required to be retained for ten years.

Service lines and public utilities

Service lines and public utilities receive specialised regulatory treatment due to the frequency and severity of incidents involving electricity, water, gas, oil and telecommunications infrastructure. In Dubai, Law No. 6 of 2015 establishes the governing framework for construction activities near utilities. It prohibits any work that may adversely affect the public network without prior authorisation, except in emergencies requiring notification within twenty-four hours, and imposes detailed pre-construction obligations, including trial holes, cable detection, signage and coordination with relevant authorities.

In Abu Dhabi, parallel requirements apply under the Occupational Safety and Health System Framework, particularly Codes of Practice 29.0 and 39.0, which mandate comprehensive services searches, validation risk assessments, restrictions on mechanical excavation near known services and the use of hand-digging techniques when working in close proximity to utilities. Information on service line locations must be obtained from the Department of Municipalities and Transport before works commence.

The liability framework for damage to service lines and resulting personal injury encompasses both administrative penalties and compensation obligations with significant financial consequences. Under Dubai Law No. 6 of 2015, causing damage to the public network attracts a fine of Dh10,000, together with mandatory compensation payable to DEWA for the cost of repairs, plus an additional ten per cent administrative charge. DEWA’s assessment of compensation is final. Theft of electricity, water or network assets carries criminal liability, including imprisonment in serious cases.

In Abu Dhabi, enforcement is exercised under Law No. 11 of 2018 establishing the Department of Energy, which authorises administrative fines for breaches of energy sector regulations. The Schedule of Violations and Administrative Fines prescribes penalties ranging from Dh2,000 to Dh10,000,000, with violation No. 30, covering personal injury or property damage caused by regulatory breaches, carrying a fine of Dh1,000,000. Where service lines are damaged, the relevant Code of Practice requires the service to be treated as live, immediate evacuation of the area and prompt notification of the utility provider.

Conclusion

UAE construction law imposes a layered and interlocking liability regime for physical damage and personal injury, combining strict civil responsibility, presumed contractual liability, criminal sanctions and detailed local regulatory obligations. Contractors, consultants and employers must therefore adopt robust safety systems, effective supervision and strict compliance with emirate-level requirements to manage risk and limit exposure across all fronts of liability.

 

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