Q: I am a contractor and my client has pending payments with him. I have received 5 out of 13 payments I sent him. All the 13 payments are late. All the payments have been signed and approved and he gave me a payment certificate to confirm due date of payment but until this date, it is not paid. Each certificate is delayed out of the 8 balance. They range in delay from 2 weeks to 6 months. What are my rights and the damages I can claim as per the UAE law? Please note that I had to close down my business because I can't afford to run it due to the late payments.

Q: Hi. I have tools and hardware small business. I supplied goods to one company in Dubai and the payment is pending since May 2017. The total amount is AED 59,652, and the company owner is not giving any reply nor picking up any calls. In this situation, what do I do? I don't have any PDC cheque, I have the company's LPO copy & Inv-do!

Q: Dear Sirs, I have a Reseller Contract which was signed between us and another party for the sale of 10000 units of Terminal Stations. The final supply was to be done to the India Telecom over a 5-year period at 2,200 units per year, based on a purchase contract signed between us and another company. Based on this agreement, we placed an order for 2200 units at a value of AED12,273,400 (Twelve million two hundred seventy-three thousand four hundred). Based on the purchase order, the other party made a payment of 15% as a deposit and we finalized and handed over, but they didn’t pay since one year. Kindly let us know if you can guide us how we can recover our funds legally. Looking forward to hearing from you at your earliest.

Q: Hello, We are a procurement company that sources furniture from abroad. Our payment terms with one of our clients are 50% advance, and 50% upon delivery. The goods have arrived in Dubai and have been in a warehouse for months. The Client is not ready to receive the goods and is refusing to pay the warehouse charges. What can we legally do?

This Law applies to merchants, as well as to all acts of commerce carried out in the UAE by any person even though he be not a trader. Commercial matters regarding which specific Federal laws are issued shall be subject to the provisions of such laws, and to the provisions hereof which do not contradict with said laws.

The law promulgates UAE Civil Procedures Code (Civil Procedure Law) which governs civil procedures in the United Arab Emirates, including the prosecution before the courts, litigation and execution.

The provisions of this law, promulgating UAE Civil Code, govern the civil transactions in the United Arab Emirates. The commercial transactions remain subject to the laws and regulations applicable in their regard.