Q: We are purchasing some taxable material from the UAE, and our main contractor agrees to pay this material cost on behalf of us. So, in which name should the supplier issue the Invoice, the name of our main contractor or our name? And also please clarify Input Tax Claim method.

Q: I run an architectural firm in London, UK. One of our clients is a property broker based in Dubai who also has a UK based company that was set up specifically to pay our fees. He is the director of the UK company as well as the Dubai company. His company is refusing to pay us £12,000 that has been owed for work we completed over 12 months ago. Is it possible to lodge a claim against him personally in Dubai as I have a feeling he will just shut down his UK company if I pursue it through the UK courts? If so, what is the process and how much would the legal and court fees be? We have a contract signed by him, but on behalf of his UK company, and a lot of correspondences between us and his company trying to recover the money.

Q: How can we get our security cheques back given to our client against an advance for an order? Later, the LPO was cancelled after 170 days and we had already started the work for the job. We have offered to give a non-transferable credit note to the client but the client is asking us to deposit an advance given to us against the LPO in the bank account of the client and holding our undated security cheques too. The client has breached the contract by cancelling the LPO after 170 days while a part of the job drawings, structural calculations and other work were done. Please advise how can we get our cheques back.

In the UAE, cheque bounce is a very frequent problem faced by people during their span in the country. It is covered under the purview of Commercial Transactions Law, and legal implications/penalties can be financially severe and daunting for more “serious” offenses. Bounced cheque issues may arise in a variety of commercial transactions, including but not limited to, companies’ exchanges, bank loans, property rents or purchases, and individual transactions.

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.

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 provisions of this law On Evidence in Civil and Commercial Transactions (Law of Evidence) govern evidence in civil and commercial disputes in the UAE.