Questions & Answers
Questions & Answers
8 available 8 • View allThe possibility of lowering the outstanding bank loan upon settlement


2
Q: Hello,
I left the UAE more than a year ago after losing my job and leaving behind a pending amount of AED 400K from a personal loan at a bank (a police case and a ban is already in place), of course.
Now, the ACC is showing a higher amount due to fees. However, I was told that banks might consider settling the matter for lower amounts of the pending.
Therefore, I am wondering if someone has experience in negotiating these bank debts in the UAE, and if that information/possibility is true.
Thank you in advance for your time and support!



Sep 14, 2020
675
Decreasing the amount of a loan after filing a civil case by the bank?
1
Q: Hi,
I took a personal loan from a bank in 2018 for AED260000 then I left the country but continued to pay for a while. One month ago in Dec 2020, they have filed a civil case.
If I hire a lawyer for my case to clear, would that help to solve the issue or should I try contacting the bank to negotiate?
I am not sure if the bank will be willing to negotiate to close the outstanding as I was told by a friend, that banks have insurance on the debt that is lent and if there is a civil case they can claim insurance for the lost money rather than negotiating with the borrower, especially after a civil case is registered. Is that true?
I want to clear my name at the earliest but I don't have that much money (now it is AED 293000 with interest and late fee). In a civil case, what are the proceedings if I hire a lawyer?
Does it help to get the amount of payment lowered via court? If so, how much lower can the court order to close the case and how long would it take?
Thanks!

Feb 9, 2022
426
Proving the actual amount in a bank case for a personal loan 
3
Q: Dear Madam,
I took a personal loan from a bank for AED162,000/- and paid AED 139,000/-. Now, the balance is 84,000/- (with interest).
I received information that the bank has filed a case for AED 219,000/-. I did not pay the monthly EMI of AED 4,538/- for more than 6 months due to job loss.
How is the bank filing a case for 219,000/- instead of the actual amount?
What is the procedure to reply to the bank against this case?
Please advise.
Thanks and regards,
S.

Mar 26, 2019
1544
Facing full settlement demand for unpaid bank loan: Can I contest?




3
Q: Dear Sir/Madam,
I have a cheque bounce civil case in Dubai due to an unpaid loan from a bank. This same bank had filed a case two years ago, but the case was removed due to a new rule.
Now, they have filed a new case with a travel ban as well. I am required to pay the entire amount of 100,000 AED in one shot or installments to the bank to settle the case as per the court.
Can I file an objection or contest this judgment? If so, what will be the most likely outcome?





+6
Jan 23, 2024
712
I defaulted on a personal loan and the finance company filed a civil case with a much higher amount



0
Q: Hi,
I have received a message from a finance company legal team stating that my file has been sent to start filing a civil case for my personal loan for which I defaulted on its payments.
Total loan: AED 98,000
Tenure: 120 months
Interest rate: 39.99
Amount Paid: 36,740
No. of Months Pending: 109 pending
Amount Pending: 364,060
Principal Amount Pending: 94,547.65
During my settlement discussions, I requested to take into consideration the amount that has been paid towards my loan: 36,740 AED, however, this request has been rejected, and it has been proposed to pay AED 80,000 in one shot.
I also requested multiple times to receive the statement of all payments that I made. Requests have been rejected and I have submitted a complaint to the Central Bank which is still under investigation
How can I better negotiate a settlement that is more reasonable in order to avoid a civil case?
Moreover, what are the procedures of a civil case knowing that a travel ban will be imposed until the entire amount is cleared?




Feb 12, 2024
481
Can I request the court to change a cheque case payment plan from monthly to quarterly?
0
Q: The court has ordered me to pay a certain amount of money (3000 AED) on a monthly basis via the Amanat system (200 AED charges per transaction) until I fully paid the required total amount on my case (cheque settlement for 100K AED).
My question is, can I possibly request the court to change the mode of payment on a quarterly basis, and then I will make the payment? The triple equivalent amount of AED 9000 instead?
Please advise.

Feb 16, 2024
152
A civil case for a bounced cheque that I did not sign was filed against me by the bank. What to do?




0
Q: I require legal advice regarding a case related to a cheque bounce.
In 2023, a civil case was filed against me due to a bounced cheque. This morning, I submitted a request to the court to convert the case into easy installments, even though I did not have the case documents, as I owed a limit of AED 15,000 on my credit card.
When I logged into the MOJ website to check the judgment details, I discovered that the case involved two bounced cheques, each for AED 10,800, which I did not sign.
In 2014, when I applied for an auto loan, I received a credit card with a limit of AED 15,000, and I signed a guarantee cheque for that amount. However, I am confused as to how the two cheques for AED 10,800 each were issued.
The signatures on both cheques, which amount to AED 10,800 each, are completely different from my actual signature, with each having a different pattern. Who is responsible for this?
I would appreciate your guidance on this matter from a legal perspective.





+1
Dec 12, 2024
184
What can I do if my creditor used my blank cheque to put an amount more than my unpaid balance?




0
Q: Hi,
I have issued a blank cheque for my EMI, and now the company is using my blank cheque and putting any amount to deposit it.
My total unpaid balance is AED 19000, but they mentioned AED 42,030 on the cheque and another AED 10000. They told me they will deposit it to file a case.
What is my remedy on this matter?
Thank you.





Apr 10, 2025
89
Legal blog
1 available 1 • View allBounced Cheques in the UAE: What You Need to Know in 2024 292
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.
Oct 15, 2024
222851
Laws & Regulations
3 available 3 • 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
47964
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
148549
Federal Law No. (10) of 1992 On Evidence in Civil and Commercial Transactions 14
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.
Jan 15, 1992
19134

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Do I have to pay the value of training to the company in case of terminating the contract? 0
Salam,
My company has filed a complaint against me in MOHRE related to training fees.
This is the clause mentioned in my contract:
"The Second Party shall be obliged to pay back the value of the training (which is estimated at an amount of 10000 AED) when they terminate the employment contract based on their own free will (within One Year) from the date of commencement of their contract, without prejudice to the First Party's legal or contractual obligations. (the amount agreed on for the value of the training period must be commensurate with the employment period of the employee)"
My question is:
1. I served 11 months in the company. Can they demand the full 10,000 or it should be less due to 11 months (as per the last line of the clause)?
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Can I apply for Amnesty 2024 with a bounced cheque and credit card debt? 5
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Sep 2, 2024
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How can I resolve a travel ban with an expired passport and a bounced check case? 1
Hello,
I have a civil case for a bounced check and a travel ban. My passport has expired and can only be renewed in my home country.
Due to the travel ban, it is not possible to exit and renew the passport. With an expired passport, I can't work.
What are the options in this situation? Can my wife take this case and start paying in installments so that I can go to renew his passport and come back?
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I have an unpaid credit card in the UAE and I will be traveling to Qatar. Will I be arrested? 1
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I had a drug case against me and it has been closed. Can I get a new employment visa? 1
I have had a drug case against me recently and it has been closed. I have paid my fine and I am cleared from the travel ban.
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I sent the landlord a notice to renew the lease 90 days earlier as per the contract. Can I change my mind if he didn't respond? 0
I live in Dubai and I have a one-year rental contract with my landlord. According to the agreement, I must tell the landlord at least 90 days before the contract ends whether I want to renew it or leave.
I followed the rule and sent them an email before the 90-day deadline, saying that I want to renew. They replied and said okay, and they asked me to send the new contract so they could sign it.
I prepared the new contract (with the rent price fixed according to RERA rules) and sent it to them about two weeks ago. But since then, they haven’t replied or signed the contract.
I think maybe they are waiting to see if someone else will offer more money to rent the apartment, so they are delaying their response.
Now I am wondering: if they finally send back the signed contract after a long delay—let’s say in one more week—and by that time I’ve changed my mind (for example, I found a better apartment or I’m leaving the country), am I legally required to continue with this landlord?
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Can I delay cheque enforcement if I’m abroad after the 7-day notice period? 0
Hello,
After the 7-day notice period in a cheque execution case, how long do I have to file for enforcement?
Is it acceptable to wait and file after one month as I’m out of the country?
May 5, 2025
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I have a case running in court and I am afraid the debtor will flee the UAE. Will a travel ban be automatically placed? 0
I filed a money claim above AED 10,000 (but will probably be above AED 50,000 if capital + dividends are combined) against someone in Abu Dhabi.
The mediation time has elapsed, 2 court sessions have been done, and the defendant still hasn’t shown up or appeared in either of those. In the last/latest court session, the judge said that the defendant is still inside the UAE.
About the travel ban, is it automatically applied to him because of the case, or do I have to ask/request it to be applied to him through the Abu Dhabi court?
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How long does Dubai Court take to seize the amount and lift my travel ban? 0
Hello,
How much time does Dubai Court usually take to seize the amount from the bank to release my travel ban?
May 3, 2025
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Can the landlord send me an eviction notice for non-payment despite submitting an offer and deposit at RDC? 0
I’ve lived in my building for over 4 years, with the most recent rent being AED 50,000. Each year, the management collects cheques and extra AED 2,400–2,500 cash (no receipt) for management and Ejari fees.
My contract was due for renewal on 15 Feb 2025, but management delayed, demanding a 10% rent increase even though no formal 90-day notice and the RERA index did not allow it.
After a month of excuses, the manager called on 12 March, insisted increase to 55K, and threatened eviction if I refused. When I referenced RDC, he hung up. The next day, he again made unprofessional remarks, so I decided to go with RDC.
I submitted my offer and deposit on 13th March, but the management didn’t respond. The case went to the judge on 14 April he ruled in my favor.
On 30 April, I applied for the execution of the ruling, and RDC says I can renew Ejari only on 8th May at DLD with cheques given to them.
However, on 1st May 2025, I received a notarized eviction notice for non-payment of rent and communication.
My question is, what will happen at DLD now?
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I sent the landlord a notice to renew the lease 90 days earlier as per the contract. Can I change my mind if he didn't respond? 0
I live in Dubai and I have a one-year rental contract with my landlord. According to the agreement, I must tell the landlord at least 90 days before the contract ends whether I want to renew it or leave.
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I prepared the new contract (with the rent price fixed according to RERA rules) and sent it to them about two weeks ago. But since then, they haven’t replied or signed the contract.
I think maybe they are waiting to see if someone else will offer more money to rent the apartment, so they are delaying their response.
Now I am wondering: if they finally send back the signed contract after a long delay—let’s say in one more week—and by that time I’ve changed my mind (for example, I found a better apartment or I’m leaving the country), am I legally required to continue with this landlord?
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Can I delay cheque enforcement if I’m abroad after the 7-day notice period? 0
Hello,
After the 7-day notice period in a cheque execution case, how long do I have to file for enforcement?
Is it acceptable to wait and file after one month as I’m out of the country?
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How to claim compensation after receiving a court judgment in my favor for a car accident? 0
Good day,
I need help, please. I was involved in an accident. I was run over by a car and I was not the guilty party.
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If an employee is terminated due to cost-cutting, is it still possible for them to request leave? 0
Hello,
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I have an offer letter from a new company. How do I resign and get the cancellation papers? 0
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Hello,
My landlord vacated the property with 12 months' notice, stating he would live there himself.
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We won the case with the RDC to evict the tenant. What happens after waiting the cooling period? 0
We won the case with the RDC that the tenant has to evict the property. We are told there is a cooling period before they say the date he has to leave.
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Can a free zone visa holder work remotely across the UAE while visiting the company weekly? 1
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Can I renew my trade license and visa if I have multiple cheque execution cases filed against me? 0
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May 1, 2025
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How to file a case against my former company for unpaid salary I was not on their visa? 0
Dear Legal Advice Middle East,
I hope you are well.
I am seeking legal advice regarding an unpaid salary issue with my former employer, [-----]2 LLC. I was employed with them from December 4, 2024, to January 7, 2025, on a monthly salary of 5,000 AED.
However, I only received a partial payment of 2,473 AED on February 24, 2025. The remaining 2,527 AED is still unpaid.
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After closing the company, can an investor stay in the UAE until the residence visa expires? 0
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Can I return to Dubai after 12 years away on a new employment visa? 0
Hello,
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