Questions & Answers
The possibility to prove that a civil company is a commercial company
Dear sir/madam,
There is a civil company with a professional license that owes me 925,000 AED as per an existing execution lawsuit. The company has not paid me in the last 5 years despite one of the partners/managers being detained for one month.
I met the partner/manager of the company and he said he will start a lawsuit to declare that his civil company is a commercial LLC. Then he will only have to pay 50,000 AED (declared capital of his company as per his MOU of the civil company).
He showed me a precedent lawsuit wherein the cassation court stated that they are responsible to judge if a company is civil or commercial, irrespective of the license.
Question 1: Have many companies with civil licenses been deemed to be commercial companies recently? Is it easy to prove that a civil company is a commercial company?
Question 2: What type of evidence has the partner/manager to produce to prove that his company was a commercial company even though it has a 25-year-old civil license?