DCC 3/2007
Type
Case
Court
Dubai Court of Cassation
Jurisdiction
Dubai, United Arab Emirates
Taxonomy
Financial Institutions, Lending & Security, Guarantees, Financial & Business Offences, Payment & Payment Systems
Copyright
LexisNexis
Decision date
14 May 2007
Catchwords
Bank – Debt – Guarantee – Interest – Current Account Closure – Expert – Evidence – Bounced Cheque
This case involved an amount owed for guaranteed bank facilities. Key issues included whether bounced cheques used to settle the debt should be added to the amount owed and the calculation of interest after the account closure.
Background
An Appellant bank filed suit No 393 of 2005 (Commercial) before the Dubai court of first instance against an Institution (Second Respondent) an individual in his personal capacity and in the capacity as owner of the institution, a company and the (Second Respondent) requesting a judgment against the First and second Defendants and fourth Defendant jointly and severally to oblige them to pay 1,550,698/12 AED and late payment interest of 12% a year, from the date of filing the request until full settlement.