DCC 355/1998
Type
Case
Court
Dubai Court of Cassation
Jurisdiction
Dubai, United Arab Emirates
Taxonomy
Islamic Finance, Sale of Goods, Remedies, General Commercial Law
Copyright
LexisNexis
Decision date
21 Nov 1998
Catchwords
Murabaha – Value of goods – Compensation – Damages – Capacity to sue – Resale – Guarantors – Interlocutory action
The case involved a machine which had been purchased via a murabaha and damages were sought after it proved to be faulty. The key issue was who the buyer had recourse against as the claimant had not bought the machine from the initial seller but from a bank under Murabaha. A buyer in the Murabaha resale may have recourse against the seller and any previous sellers deemed to be guarantors. It was also stated that there is no UAE law that compels a judge to follow a particular estimate or equation to decide damages. Damages should be based on the facts and evidence in the claim.
Background
This case involved a joint appeal in DCC 394/1998.