Dubai Civil Court orders 3 men to pay woman Dhs2.1m over breach of trust

The Dubai Civil Court ordered three men to jointly pay a woman Dhs2.1 million, plus 5% annual interest from the date the lawsuit was filed until full payment, after they breached a settlement agreement which stipulated the payment of the amount in return for the plaintiff waiving a criminal complaint. The details date back to the time when a woman filed a lawsuit against a man regarding incidents of fraud, breach of trust, and forgery.

During the proceedings, negotiations took place which ended in the signing of a settlement agreement in April 2026, under which the appellee and two others jointly committed to paying Dhs2.1 million to the plaintiff via cheque in return for her waiving the complaint and the criminal case.

The plaintiff explained that she fulfilled her obligation and submitted her waiver to the Public Prosecution, which was attached to the case file, but the appellees did not hand over the cheque or its value to her despite her repeated demands.

It also became clear to the plaintiff, after consulting the Public Prosecution, that the amount deposited by the appellees was not deposited for her benefit, but rather as a financial guarantee related to procedures to lift a travel ban on one of them, which affirmed to the court that they failed to fulfill the obligation agreed upon in the settlement contract.

The court rejected the appellees' plea regarding the lack of jurisdiction of Dubai courts, clarifying that the dispute did not relate to a rental relationship or the execution of a lease contract, but rather to the fulfillment of an independent financial obligation arising from the settlement agreement.

The court also rejected their request to stay the lawsuit pending the resolution of the criminal case, emphasising that the entitlement to the amount was settled under the settlement agreement and did not depend on the outcome of the criminal proceedings.

The settlement was a binding contract which resolved the dispute between parties, and the plaintiff fulfilled her obligation to waive the complaint, while the appellees failed to prove fulfillment of their obligation to pay the amount or deliver the agreed-upon cheque, the court also affirmed.

Consequently, the court ordered the three appellees jointly to pay Dhs2.1 million to the plaintiff, with legal interest at 5% per annum from the date of the legal claim until full payment, in addition to fees, costs, and attorney fees.