DIFC 349/2018
Jacinta v Jack Event Management LLC [2018]
This case involved an amount lent by an employee to their employer company but not paid. A key issue was a settlement agreement which obligated the employer company even though individuals were cited in the original claim to pay if more than three agreed instalments were outstanding.
Background
The Claimant was an individual working with the Defendant company.
On 28 August 2012, the Claimant signed an employment contract to work as a manager with a monthly salary of 25,000 AED. During his employment period, the company faced financial problems and failed to pay his salary for a couple of months. In March 2013, the Claimant provided a personal loan to the company of 500,000 AED (and was promised by the company that this would be returned within a few weeks. On 19 May 2013, the Claimant was informed that he would no longer be required as a full-time employee and the Defendant refused to return the personal loan or to settle the outstanding salary payments by the deadline date of 30 September 2013, set by the company. The employment period had lasted approximately a year and a half.