ADCC 588/2024
This case involved a commercial dispute concerning a joint venture agreement in which the claimant sought the refund of a deposited amount and compensation, alleging breach of agreement following the defendant's withdrawal from project. Issues included the validity of the joinder and if suitable notification had been provided.
Background
A Respondent filed lawsuit No. 711/2024 against the Appellant, requesting a judgment obliging them to pay AED 500,000, and AED 200,000 in compensation for damages and lost profits, and legal interest at a rate of 9% from the date of the claim until payment. The Respondent claimed that it contracted with the Appellant to enter into a joint venture whereby the latter would contract with two non-litigant companies in the lawsuit to purchase surplus materials, machinery, and equipment from them in a project and paid them AED 500,000 that was deposited as insurance to be returned immediately upon signing the contract, but the latter left the project, which caused them damage, which prompted them to file this lawsuit.
Proceedings
Court of First Instance.