It is imperative for every business to protect its assets as they are the building blocks of a growing organization. The Federal Law of 1992 along with the Cabinet decisions of 2018 & 2020 governs the Civil Procedure for asset recovery in UAE. The causes of action generally arise out of the following:
- contract, including fraudulent inducement and misrepresentation;
- acts causing harm like tort or delict liability, including fraud and deception;
- unjust enrichment or unjustified expropriation.
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- Court proceedings can be initiated by filing a statement of claim, stating the relevant details of the parties. The documents which are in non-Arabic language must be accompanied by translations into Arabic.
- When the hearing date is pronounced with the defendant, the defendant is required to submit a memorandum of defense or can challenge the jurisdiction of the court. The court may also impose fines on parties who fail to comply with the court orders.
- The court will adjudicate the matter and pronounce its reasoned judgment after the proceedings have been completed.
- The judgment creditor will initiate the execution proceedings. The set date of evacuation or delivery and amount of funds should be mentioned in the notice to the debtor. Take assistance from the top lawyer in UAE who has expertise in recovering assets.
If the judgment creditor has a reason to believe that debtor will flee, conceal, or smuggle his funds then he can request the court to seize assets or property provisionally. The debtor can also be imprisoned or placed under a travel ban. Nonetheless, Damages are the primary and usual remedy, based on the loss suffered and can include an award of loss of profit and interest.
The Courts also have jurisdiction over actions against a party that has no residence in the UAE in certain circumstances as stated in Article 21 of the Civil Procedure Law of the country, which includes disputes involving a contract executed or partly performed in the UAE.
Concurrent proceedings in the UAE Civil Courts will stay until a final judgment is rendered in criminal proceedings without causing prejudice to the right to seek provisional or interim remedies.
Conclusion
UAE is one of the most challenging places in the world for recovering debt, according to the global ranking on debt collection 2018. BSB legal consultants have the best lawyers in UAE who are experienced and proficient in civil asset recovery proceedings. Contact us at info@bsb.legal or call us at +97150 8014003.