Allegations of procrastination and negligence pulled a trading company to court. When the company could not pay the value of the deals it signed with one of the dealers, the latter filed a complaint against the company, ...

By Mohsen Rashid

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Published: Thu 15 Dec 2005, 12:51 PM

Last updated: Thu 2 Apr 2015, 2:50 PM

asking it to pay him Dh322,000, plus the interest on the amount.

The plaintiff Khalil A.S.A. made some deals totalling Dh877,000 with Al Badiaa Establishment for Public Trading owned by Ali K.A.S. The company paid only Dh515,000, as it could not pay the rest of the amount. As a result, Khalil was forced to move the Dubai Court of First Instance and open a file against the company. The court issued its judgement obliging Ali to pay Dh322,000, plus five per cent interest on the amount. Meanwhile, the company objected to the verdict and appealed against it at the Court of Appeal, which rejected the plea on the ground that it did not file the plaint on time and crossed the deadline.

Ali, then, went to the Court of Cassation and said that he did not personally receive the court announcement, which led to the delay in his filing an appeal. But the Court of Cassation felt otherwise when it said that the announcement could be delivered to anyone living with him or those running his establishment. Thus, it rejected the appeal and upheld the verdict of the Court of First Instance.

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