Questions & Answers
Questions & Answers
8 available 8 • View allIs it a crime to stop payment of a cheque?
6
Q: Good day. My friend and his business partner agreed to put up a business. Then they agreed to have a share to pay. My friend share is to rent the place and give some amount of money. My friend issued bank checks in place of cash. When they get the business permit my friend's business partner did not include my friend's name in the business. So, what my friend did, he asked the bank to stop payment for the business.
My question: is my friend liable for the bouncing check because he stopped the bank for the payment?

Mar 22, 2017
11128
Claiming security cheque and gratuity held by employer upon resignation
1
Q: I joined a Dubai based company as GM in May 2016 and resigned with a one-month notice from 1-05-17 to 31-05-17.
My boss told me to prepare accounts and clear issues ‘AFTER MY RESIGNATION’ (Used these words specifically in a letter) and took a security cheque (Blank dated) with a letter signed to this effect.
Within 37 days I compiled that data with satisfaction on 7-06-2017, and in the presence of auditors, my boss processed my visa cancellation. My boss advised verbally to collect my gratuity and security cheque later on.
After one month of cancellation, my boss filed a complaint in the Labour Department that I joined his competitors whom I started working with them.
Four months after cancellation, he deposited my security cheque in the bank without my knowledge and it was dishonoured. I filed a complaint in Labour, but the matter was referred to the court.
My boss did not recruit a new GM for the last five months, and things got messed up. Now, he is putting all the blame on me for his mismanagement and I am working in a new company now.
I want my security cheque back with my Gratuity. Please advise.

Nov 1, 2017
1673
Liability of company partners for bounced cheques
1
Q: Hi Mr Naser,
I require help to sort out my father's legal issues pertaining to a company he had.
There are dues with a bank in the UAE and his partner who was also a signatory on the cheques has managed to remove his cases and has left my father to deal with the liabilities, albeit he was the one who misused the company funds.
I have two questions,
1) How can someone who was a partner of a company absolve themselves of al legal recourse albeit their signature is on all bounced cheques?
2) Would your law firm be able to help with getting the cases resolved and getting my father's business partner take the responsibility for his share of liabilities?
Thank you

Jul 26, 2018
1463
Holding company partners liable for their part of its debts
1
Q: Hi Mr Younis,
I require help to sort out my father's legal issues pertaining to a company he had.
There are dues with a bank in the UAE and his partner who was also a signatory on the cheques has managed to remove his cases and has left my father to deal with the liabilities albeit he was the one who misused the company funds.
I have two questions:
1) How can someone who was a partner of a company absolve themselves of al legal recourse albeit their signature is on all bounced cheques?
2) Would your law firm be able to help with getting the cases resolved and getting my father's business partner take the responsibility for his share of the liabilities?
Thank you

Aug 13, 2018
985
Filing civil case to recover security cheque for unjust enrichment
1
Q: I have signed a contract with a contractor to carry out AC works where the owner of the company has paid me cash with a payment voucher and he asked to provide a security deposit cheque.
My scope of work was supposed to be finished in 45 days but delayed due to civil works for more than 4 months, in the interim we have continued to work and finished the works and started the equipment.
Our final bill is linked with authority approvals which cannot be accomplished without civil works. I have asked the contractor to pay the VAT and amount for variation which he failed to do so.
After 4 months the contractor called to resume the works where I have rejected as he failed to fulfil the contractual obligations. I've written a letter to the owner that I will take legal action if he misuses the cheque.
The owner deposited my security cheque and filed a case. If I file a civil case against the owner, am I entitled to get losses incurred due to damaging my relation with the bank and other legal expenses?

Nov 10, 2018
614
Filling a blank cheque issued for a security purpose and get it bounced
3
Q: Hi,
I just want to know about the cheque bounce penalty. The cheque amount is 220,000/-.
I have given a blank cheque for a security purpose to someone but unfortunately, he filled 220,000 and presented it to my account and it bounced. Now, what should I do?
Please let me know!

Aug 11, 2020
2328
An employee issued a security cheque on behalf of the company, what to do?
1
Q: Hi,
I had given a security cheque of AED 5000 on behalf of a company I was working for as at that moment the owner was in the process of changing the bank account.
Therefore on goodwill, I had given my personal cheque. I left the company and now the company is not paying the service provider and therefore the service provider has deposited the cheque even though I clearly asked them not to, as I am not part of the company any longer.
I have now asked the service provider to return back my cheque and to send their collections team to the head office to get their payment sorted.
Is there any way I can take this matter to the police as the company is still running and the owner is still around?
All invoices were issued under the company.
I would much appreciate your assistance on this matter!

May 17, 2021
504
An Indian national took the money for investment and left to home country. What to do?
1
Q: Hello Sir,
A foreign national (party1) (Jordan) invested with an Indian national (party 2) in the UAE for business. Party 1 has a security cheque of 100,000 AED from party 2.
Party 2 sold the company to another man and left the country.
How party 1 can get money from party 2 who is currently in India (Andhra Pradesh)?

Dec 30, 2021
210
Legal blog
1 available 1 • View allWhat Can I Do If I Have a Dispute With My Joint Shareholder? 5
An interview-format article covering the topic of shareholder disputes in the UAE and pre-emptive measure to be considered. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
Mar 24, 2020
5937
Laws & Regulations
6 available 6 • View allFederal Law No. (3) of 1987 Promulgating the Penal Code 29
This Law promulgates the Federal Penal Code (Criminal Law) of the United Arab Emirates. Crimes and chastisement punishments shall be determined in accordance with the provisions of this Law and other penal codes.
Dec 8, 1987
47943
Federal Law No. (5) of 1985 On the Civil Transactions Law of the United Arab Emirates 96
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.
Dec 15, 1985
148514
Federal Law No. (11) of 1992 Concerning Issuance of the Civil Procedures Code 42
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.
Feb 24, 1992
75378
Federal Law No. (18) of 1993 Issuing the Commercial Transactions Law 19
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.
Sep 7, 1993
33056
Federal Decree Law No. (14) of 2020 Amending Certain Provisions of the Federal Law No. (18) of 1993 Concerning the Commercial Transactions Law 4
The provisions of this Decree by Law amend the Federal Law No. (18) of 1993 by replacing Clause (4) of Article (379) as well as Articles (600), (617), (641), (642), (643), (644), and adding new articles numbered (635) Bis, (641) Bis (1), (641) Bis (2), (641) Bis (3), (641) Bis (4), (643) Bis (1), (643) Bis (2), (644) Bis (1) and (644) Bis (2). The Decree-Law also repeals Articles (401), (402) and (403) of the Federal Law No. (3) of 1987.
Sep 27, 2020
3548
Federal Decree-Law No. (31) of 2021 Promulgating the Crimes and Penalties Law 0
The provisions of this Federal Decree-Law No. (31) of 2021 Promulgating the Crimes and Penalties Law, known as the "New UAE Penal Code", governs criminal actions in the United Arab Emirates. The New Penal Code repeals the previous UAE Penal Code (Federal Law No. (3) of 1987 Promulgating the Penal Code).
Sep 20, 2021
503

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Other answers by
How can we claim our money back if the cheque we received have bounced for insufficient funds? 0
We received a cheque which has now bounced. We have tried for over a month and a half now to get a new cheque from the person, and every day he says the next day.
We need the money now. We have been to the police station, and they said they can not do anything as the reason the cheque bounced is "Insufficient funds."
We have been to Al Barsha - Dubai Courts, and they said there is nothing they can do about it.
We are not sure what we can do. We need the money asap to pay our kids' school fees, let alone all the interest we have lost.
Apr 28, 2025
18
After 11 months of work, how many leave days is an employee entitled to? 0
Hello,
I want to inquire regarding my leave privileges. I am now 11 months in my company. How many leaves am I privileged to?
Based on Decree-Law No. 33 of 2021 regulating labour relations and its executive regulations, you are entitled to a paid weekly rest for not less than one day, as specified in the work contract or the work regulation.
The Council of Ministers may increase the weekly rest day stipulated in this article. The Decree-Law and its executive regulations also stipulate that you are entitled to an annual leave with full pay as follows:
- Thirty days for each year of your extended service.
- Two days per month in respect of any employee with more than six months and less than one year of service.
- Leave for parts of the last year of your service in case it is terminated before you use your annual leave balance.
Now my question is: do I have 22 days I can use? Can someone explain to me in detail?
Thank you!
Apr 28, 2025
14
What can I do if I got a judgment in absentia for selling medicine without a license? 0
I got an order of 6 months imprisonment and deportation for a judgment in absentia by the Sharjah court for selling medicine without a license. I was not involved in the case directly; my friend used my car, and he had my bank card.
They made a confession that they were working for me and made a false claim that they had transferred money to me. As I am outside the country, I came to the UAE to solve my case.
I got detained at the airport, and the CID asked me some questions. I mentioned they didn’t transfer me a single Dihram, so he let me go, as the case was already open for appeal.
In the first instance court, they gave me the same verdict, then I appealed and attached documents like bank statements and my company details, which were not mentioned before.
They gave a date for the judgment, but it was not issued, and they gave the next date. I have been suffering a lot for the last 3 months here in the UAE and for 6 months back home.
So my question is that what will happen next?
Will the case be open for retrial, and will the CID be convinced by my logic?
Can they drop charges, or now the court decide only?
Apr 25, 2025
36
Can I keep my daughter's physical Emirates ID if the custodian already has the digital copy? 0
Hello,
Can I keep my daughter's physical Emirates ID with me? I already provided the digital copy to the custodian, my ex-wife.
Or should I hand it over to her?
Apr 24, 2025
29
What legal action can a company take to recover an amount from a non-paying customer? 0
Hello,
We are a building materials trading company based in the UAE. We supplied materials worth AED 50,000 to a customer around 8 months ago, but despite repeated follow-ups and reminders, no payment has been made to date.
We would appreciate guidance on the following:
1. What legal action can we take to recover the amount?
2. What documents should we have ready (e.g., delivery notes, invoice, emails)?
3. How long does the legal process typically take in the UAE for such cases?
4. Is there a recommended timeline or deadline after which legal steps should be initiated?
Thank you in advance for your advice!
Apr 25, 2025
41
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