Answer:
Yes. If it is proven that the main contractor has received full payment from the project owner, the condition precedent is considered fulfilled. Therefore, the subcontractor is entitled to payment, including any wrongfully liquidated guarantees.
Legal Basis:
Article 250 of the UAE Civil Transactions Law (Federal Law No. 5 of 1985)
Relevant Case Law:
Case No.445 of 2025 / Dubai Court / Commercial
*A pay-when-paid clause in a construction contract stipulates that a contractor or subcontractor will only be paid after the party they are contracted to (e.g., the main contractor) receives payment from the project owner.