«Government cases» win a judicial dispute by 405 million dirhams

The Abu Dhabi Judicial Department of Abu Dhabi Judicial Department has received a final verdict in favor of one of the government funds represented by the Department.The Abu Dhabi Court of Cassation upheld the Court of Appeal in its ruling to oblige a company to pay AED 405 million.

The Abu Dhabi Judicial Department clarified that the Department of Government Cases seeks to provide the best distinguished services to its government entities and is keen to represent them according to the highest level of relevant international standards, in order to preserve the rights and interests of the Government of the Emirate and its affiliates in cases. To which you are a party.

Details of the facts of the case date back to 2006, where the agency entered into an agreement whereby the company lent the company an amount of AED 290 million in the financing of an infrastructure project, but the company failed to meet its contractual obligations, which forced the resort to the management of government cases to demand payment of these Amounts.

For its part, the management has taken the procedures followed, where the company demanded the payment of the amounts outstanding and warned more than once, but the company insisted on non-payment, claiming that other parties not party to the loan agreement is obliged to pay these amounts. The administration of government cases resorted to the judiciary, where the company tried to introduce other parties as litigants in the lawsuit to replace them in repayment of the debt in order to evade its contractual responsibilities, which was rejected by the court, which ruled to reject all defenses and requests raised by the adversary company and obligate it to the full amount of indebtedness.

The competent authority

The Government Cases Department is the competent authority to represent the Government of Abu Dhabi or any of its departments, local public authorities or institutions in the Emirate, or companies owned by it or in which it owns at least 51% of its capital, in cases brought before it or by courts. The Judicial Department or any other courts within the State with the submission of applications, case papers and the presentation of the defense, and in general everything required by direct cases before the courts of various types and degrees. They shall also act on behalf of such bodies in cases or cases brought before them by the arbitral tribunals at home or any body which has granted jurisdiction or any judicial committees.