DCC 128/2014
Dubai Court of Cassation (6 January 2015): Competition Clause – Employment – Evidence – Compensation – Contract of Employment
Background
A company filed a case against an employee and requested the court order him to pay 10,000,000 AED. The company stated that the employee used to work as a sales manager, and he had resigned in order to return to his own country. The company stated that the employee had not returned to his country but had gone to work with a competitor and taken with him most of the company’s previous clients which resulted in financial loss.
The Court rejected the case. The company appealed the ruling before the Court of Appeal. The Court upheld the ruling.
Decision
The company appealed the ruling before the court of cassation and stated in its grounds of appeal the ruling had contradictory material documentary evidence because the court had established its ruling based on the argument that the contract of employment did not include a ‘competition clause’ and the employee had left UAE, although the company provided evidence that the employee was in UAE during the period.