DCC 254/2003

This case involved a bank loan which had been guaranteed by a company lawyer. A key issue was whether from the terms of the contract the lawyer had done this in their own personal capacity or as merely the company's lawyer.

Background

An Appellant bank filed the action No 227/2002 against the Respondents demanding they jointly pay 610,948/70 AED with the legal interest rate of 12% as of the date the action was filed until payment on the basis that the Second Defendant, the attorney of the First Defendant received a loan from the bank worth 310,000 AED on 22/04/2001 under the name of the institution he owned and which they sponsored.

The Second Defendant also got a personal loan for them from the same bank with banking facilities worth 250,000 AED and promised to pay them back by instalments as of 27/05/2001 but the Defendants did not pay back the total value of the loan which reached 339,845/20 AED and the Second Defendant didn't pay the personal loan which was 271,703/50 AED.

Proceedings:

Dubai Court of First Instance | Decision taken on 22/09/2002