DIFC 511/2019

Kins v Krina Holdings Limited

This case involved penalty payments and compensation requested for a delay in paying end of service gratuities on termination. Attempts at a settlement were made. A key issue was it was not unreasonable for an employee to demand their end of service gratuity in full and not in instalments. There was no proof the employee had caused the resignation of others or other damage. Additional compensation was not due as damage was not proven and the penalty covered damage by delay.

Background

The Claimant was an individual filing a claim on his employment at the Defendant company. The Defendant was a company registered and located in the DIFC.

The dispute arose over the employment of the Claimant by the Defendant under an Employment Contract dated 1 July 2017. On 21 May 2019, the Claimant resigned and his last working day was on 31July 2019.

On 30October 2019, he filed a claim in the DIFC Courts' Small Claims Tribunal claiming penalties under Article 19 of DIFC Law No. 2/2019 and compensation in of 385,384.80 AED.

On 6 November 2019, the Defendant filed an Acknowledgment of Service intending to defend all of the claim.