Questions & Answers
My partner withholds profits and falsely claims ownership. What should I do?
Dear Sir/Madam,
I am currently facing a complex situation involving a business partnership gone sour. Two years ago, a friend and I embarked on a bed space business venture without obtaining a trade license.
While I covered the full investment, my friend took responsibility for managing the flat. We agreed to split the profits 50-50. However, over the past 8 months, he has been withholding profits and not contributing to utility payments, leaving me to bear the losses.
Despite my repeated requests for reimbursement, he consistently delays payment. Recently, he renewed the flat in his name and is claiming ownership.
Furthermore, he has replaced me with another partner and refuses to compensate me for my share of the goodwill amount, which amounts to approximately AED 30,000.
Additionally, he is spreading false accusations about me to mutual friends, tarnishing my reputation.
My question is, do I have any legal rights to claim from him? If so, what would be the appropriate legal procedure to pursue in this case?
Dear Questioner,
Yes, we can send him a legal notice and ask for compensation.
Please contact our senior legal consultant Mr. Muhammad Abdullah for further details.
Dear Inquirer,
We are pleased to serve you and address your inquiries.
Regarding your partnership and the amount it collects from you, you can request this if you have the evidence.
With regard to defamation of reputation, you can take criminal measures if you possess the document.
If anything else is required, don’t hesitate to contact us via email or call our offices in Dubai or Sharjah.
Jasim Al Haddad Law Firm
Legal Counsel and Consultations
Dear Questioner,
From a legal standpoint, you have every right to claim this amount.
You can claim reimbursement for the initial investment you made, unpaid utility bills you covered, and your share of the withheld profits (evidence of past profit-sharing can strengthen your case).
Additionally, you can claim compensation for your share of the business goodwill (AED 30,000).
First, we can send them a legal notice through the Dubai court to settle all claims. If they do not accept, we will proceed with filing a legal suit against them.
Kindly share your WhatsApp number to proceed further.
Dear Questioner,
First, you must know whether there is a partnership contract between you or not, or any evidence.
If there is something that proves the partnership between you, you have the right to return to it in accordance with the agreement concluded between you and to compensate you for the breach.
Regarding the accusations, whether verbal, written, or through publishing false information offensive to you on websites or social media, if this has occurred, then it constitutes a crime of insulting, defaming, and tarnishing your reputation.
We should review all the documents to clarify your legal position and take the necessary legal action by filing the required lawsuit.
