How can a bank account and assets frozen over a bounced cheque be unfrozen?

Hello,

A new agreement between the plaintiff and defendant is not strictly necessary to lift the bank account freeze. However, it can be a strategic move to resolve the dispute amicably and expedite the process.

The agreement can outline a flexible payment plan to ease the financial burden on the defendant. The execution procedures are taken from the court, so in order to remove this, a certain request must be submitted to the court. We will provide you with the details.

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Welcome,

If your account or assets are frozen due to a bounced cheque, you can request the court to lift the freeze by submitting an official request.

If a settlement is reached between you and the plaintiff, a new agreement can be signed and presented to the court to remove the freeze. If no settlement is reached, you will need to follow the appropriate legal procedures.

It is advisable to consult with a specialized lawyer for accurate guidance and assistance in these matters.

Our office specializes in these types of cases. Feel free to contact us for a consultation.

Dear Questioner,

The creditor (plaintiff) who received a bounced cheque can file a criminal case for the bounced cheque under UAE Penal Code or a civil case to recover the owed amount.

If the court finds the accused (the person who issued the cheque) guilty or liable for the bounced cheque, it can issue a judgment, which could include a penalty, as well as freezing the accused’s bank account and other assets until the debt is settled.

The court can order the freezing of the accused's bank accounts and assets as a precautionary measure to ensure the creditor can recover the owed amount.

This typically happens after the creditor files a request for freezing assets to prevent the debtor from dissipating assets before the debt is settled.

A new agreement (such as a payment settlement agreement) may be made between the creditor and debtor to outline a payment plan or settlement.

This may also include the condition that the freeze on the bank accounts and assets will be lifted once the payment is made or an arrangement is in place.

For further assistance, kindly share your WhatsApp number.

Dear Questioner,

The Process of Removing a Blocked/Frozen Bank Account and Assets Due to Bounced Cheque:

1. Understanding Bounced Cheques:

A bounced cheque occurs when there aren’t sufficient funds in an account. This can lead to legal issues, including lawsuits and potential criminal charges.

2. Initiating Legal Action:

- Filing a Complaint: The payee files a lawsuit detailing the bounced cheque circumstances.

- Serving Notice: The accused receives formal notice of the lawsuit.

3. Court Proceedings:

A hearing is held where both parties present evidence. If the court rules in favor of the plaintiff, a judgment is issued for the owed amount.

4. Freezing Assets:

Asset Freeze Request: The plaintiff can request the court to freeze the accused’s assets to prevent evasion of payment.

5. Removing the Asset Freeze:

- Satisfaction of Judgment: The simplest method is for the accused to pay the judgment amount in full.

- Negotiated Settlement: If an out-of-court agreement is reached, it can be submitted for court approval.

- Motion for Release: The accused may file a motion to unfreeze assets based on new developments.

6. Conclusion:

Legal guidance is essential in these cases due to jurisdictional differences. Consulting a lawyer experienced in financial disputes is advisable to navigate the process effectively.

Please contact us via phone or email for further assistance.

Dear questioner,

A settlement agreement might be helpful and can be submitted; however, it would be better to file an objection in court if the cheque is a security cheque.

Through the proper procedures, we can remove the case.

If you need our assistance, kindly share your WhatsApp number.