ADCC 288/2025
The dispute involved a Murabaha facility granted by a bank, where the Appellant claimed an outstanding amount with interest. The key issue was whether the contract was Sharia-compliant and if interest was payable.
Background
An Appellant filed lawsuit No. 3446/2024 Commercial (Simple) Abu Dhabi against a Respondent, seeking a judgment to compel the Respondent to pay AED 670,424.32 and oblige them to pay legal interest at 4.95% per annum from the date of filing the lawsuit until full payment. This was based on the claim that they had granted the Respondent a banking facility in the form of a Murabaha facility worth AED 573,615 and the Respondent had ceased paying the instalments due, resulting in the accumulated amount claimed. This prompted them to file this lawsuit.
Proceedings
Court of First Instance.
The Court of First Instance ruled the Respondent had to pay the Appellant AED 670,424.16 and rejected the remaining claims. The Appellant appealed this judgment with Appeal No. 153/2025.
Appeal Court – Appeal No. 153/2025 – Decision dated 19/02/2025.
On 19 February 2025, the court upheld the appealed judgment. The Appellant challenged this judgment by way of cassation.
Appeal before the Abu Dhabi Court of Cassation
Submissions