Hadef & Partners Highlight the Importance of Diligence and Duty of Care of Professionals
Type
E-journal
Date
19 Jul 2012
Jurisdiction
Abu Dhabi, United Arab Emirates
Taxonomy
Legal, Professional Negligence, Finance & Accounting, Auditing
Copyright
LexisNexis
Relevant company
Hadef & Partners
Analysis
The Hadef and Partners team were recently involved in two litigious matters which highlighted the importance of the obligation on lawyers and auditors to exercise duty of care, skill, and diligence in undertaking their professional duties. Lawyers and auditors acting for clients, or submitting evidence in a juridical case, risk exposing both their client to a myriad of legal complications, and themselves to professional liability.
Case 1
Hadef and Partners represented a predominant land developer in Abu Dhabi (the “Developer”) in a case that was filed by an investor who had executed a Musataha (usufruct) agreement with the Developer.
The parties had agreed in the Musataha agreement that all disputes arising from, or in connection with, the agreement would be resolved through arbitration.
The Musatih was delinquent in making payments as per the payment schedule agreed to in the Musataha agreement, therefore the Developer terminated the agreement with the Musatih and confiscated the amounts paid.