UAE Subscription Cancellation Rules: When Companies Must Stop Charging and Consumers Can Claim Refunds

A cancelled subscription followed by another card debit raises questions about its legality. In the UAE, the answer depends on when the cancellation became effective and whether any valid payment obligation remained, rather than simply when the cancellation request was submitted.

Federal Decree-Law No. 25 of 2025, promulgating the Civil Transactions Law, took effect on June 1, 2026. It provides the general framework for contractual obligations and termination. Agreements concluded before that date may require assessment under the previous law, subject to applicable exceptions.

Consumers should follow the cancellation procedure agreed with the provider. Notice periods, minimum commitments and renewal conditions can affect when a subscription ends and which payments remain due. However, contractual terms must comply with applicable consumer protection rules; being written into an agreement does not automatically make every condition enforceable.

Article 237 provides for restoring contracting parties to their position before the contract following rescission or termination, with compensation where restoration is impossible. In a subscription dispute, this supports seeking repayment where money has been collected without a continuing contractual basis. It does not automatically entitle consumers to recover every payment made for services properly provided.

The law does not establish a universal period allowing providers to keep charging after cancellation. A later debit could settle an outstanding amount for an earlier service period or an enforceable cancellation fee. Consumers should therefore distinguish an unauthorised renewal from a legitimate final bill. An earlier agreement to automatic renewal does not, by itself, justify further renewals after that arrangement has been validly cancelled.

Anyone disputing a charge should contact the provider in writing, identify the effective cancellation date and request an explanation and refund. Cancellation confirmations, emails, account screenshots, invoices and card statements can help establish what happened. The request should specify the disputed transactions and ask the provider to confirm that future recurring billing has stopped.

If unresolved, a debit or credit card holder can raise a transaction dispute with the issuing bank under its procedures and deadlines. Acting promptly preserves the opportunity for review, although submitting a dispute does not guarantee reimbursement. The outcome depends on the cancellation evidence, contractual obligations and applicable payment rules.

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