Contracts Before Claims: Managing Risk and Disputes in Construction Projects in the Gulf

Presentation

Gulf construction projects are high-value, fast-moving and increasingly exposed to change, yet international contractors, suppliers and major package providers, whether in JV structures, as main contractors or subcontractors, often have limited influence over upstream or employer-driven terms. This session focuses on what can realistically be done in practice: proposing targeted deviations, managing contractual risk early during delivery and using the governing law, together with relevant Shari’a principles, to mitigate harsh allocations, protect cashflow and preserve leverage long before a dispute crystallises.

Drawing on current project realities across the GCC, including recent KSA project re-scoping and downscaling dynamics on giga-project programmes such as NEOM, and the resulting termination and re-pricing pressure, the discussion will address recurring flashpoints in prolongation and delay claims, variations, payment issues and upstream and downstream risk transfer. Speakers will also highlight how the new UAE Civil Code framework (effective 1 June 2026), key comparators under the Saudi Civil Code, and the evolving Saudi arbitration landscape may affect entitlement, remedies and dispute strategy, with practical takeaways for parties operating across the UAE, Saudi Arabia, Qatar and Oman, from tender stage through project execution and, where necessary, arbitration.

The discussion will also briefly address recent geopolitical and regional developments across the Gulf and the wider Middle East and their potential impact on ongoing construction and energy projects, including how contractors may navigate suspension, disruption and prolongation scenarios using available contractual and legal mechanisms.