DIFC 061/2024

Nanette v Neema

This case involved the hire of equipment where an email had been sent stating rental fees were being increased and the equipment should be returned by a set date if this was not agreed to.

Background

The claimant, Nanette, a company registered in Dubai, UAE, filed a claim against the defendant, Neema, a company registered in Abu Dhabi, UAE, seeking payment for unpaid invoices arising from a hire agreement between the parties. The total claim amount was AED 646,220, comprising unpaid invoices, damages for equipment breakdown, late payment fines, and legal interest.

The claimant argued that the defendant had failed to pay invoices after the claimant increased the hire rent from AED 7,600 plus 5% VAT to AED 31,500 inclusive of 5% VAT, effective from 1 November 2023. The claimant contended that the defendant's continued use of the equipment after 31 October 2023 constituted acceptance of the new rental rate.