DIFC 058/2024

Niya v Nell

This case involved an employer's ability to recoup training and visa costs as part of an early termination provision in an employment contract when an employee on probation resigned.

Background

This case involved a dispute between Niya (the Claimant), an individual, and Nell (the Defendant), a company registered in the DIFC, Dubai, UAE, on the Defendant's request for the Claimant to pay an early termination fee of AED 5,000 upon her resignation during the probationary period.

The Claimant was employed by the Defendant in line with an Employment Contract dated 1 November 2023. She started working on 6 November 2023 but faced health issues due to the nature of her job. The Defendant offered her an alternative role in the administration department, but she was later deemed unsuitable for the position. On 18 December 2023, while on probation , the Claimant served a one-week notice and resigned. The Defendant requested that she pay AED 5,000 as a refund of her joining fee, citing Clause 18.4 of the Employment Contract. The Claimant filed a claim with the SCT on 2 February 2024, seeking an order to dismiss the Defendant's request.