ADCC 304/2025

The dispute involved a sales contract where the buyer breached agreed payment terms after receiving goods, leading to claims of premature filing and disputed cheque dates. Issues involved the court's judicial discretion.

Background

The Respondent filed lawsuit No. 945/2024 Commercial Primary Abu Dhabi, seeking a judgment obliging the Appellant to pay AED 1,991,018.39, plus legal interest at 9% from the maturity date of 1 November 2023, until full payment. The claim asserted on 25 October 2023, under a sales contract, the Respondent sold goods to the Appellant for AED 1,991,018.39, delivered the goods, and sent invoices. However, the Appellant failed to pay without justification. After negotiation, the Appellant agreed to pay in instalments but subsequently sent, in bad faith, cheques with dates that did not align with the agreed-upon payment schedule. Furthermore, the Respondent offered the Appellant the option to return the goods for resale to other buyers, but the Appellant did not respond. Consequently, the Respondent filed suit. The Appellant countered that the lawsuit was inadmissible because it was filed prematurely.

Proceedings

Court of First Instance.