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A debt collection agency is harassing me and my employer on behalf of the bank. Is this legal?

Hi,

I would like to ask if a finance company can file a civil case with the amount of less than AED 5000.

Does a third party have the right to collect the money under another finance company even though the company has been closed and harass anyone even if the employer has no responsibility to them?

Please advise because a lot of people are suffering mentally and psychologically due to their misbehavior and wrongdoings.

Thank you

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Midas Legal Consultants
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2 Sep 2022, 08:42

Dear Querist

To answer your question, yes third-party agencies are authorized to do collection practices in order to recover the pending amounts from the clients.

But also, they have certain limitations to do so as per the UAE law. We can certainly help you if such companies are trying to harass you to protect you.

Please reach me by phone for further help.

2 Sep 2022, 08:55

Thank you for your reply, Sir, well appreciated.

I will contact you at the soonest possible.

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Mohamed Bakheet Advocates & Legal Consultants
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2 Sep 2022, 09:13

Yes, it's legal, because there is a power of attorney between them.

2 Sep 2022, 09:28

Do they have the right to call the employer or the owner of the company and ask to pay the amount borrowed by the borrower?

How we can protect the company not to be involved with these kinds of issues?

2 Sep 2022, 09:31

Yes.

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