Cheque and Period Preventing the Hearing of the Civil & Penal Lawsuits in UAE

A cheque is a commercial paper that includes an order by the drawer to the drawee to pay at sight a certain amount of money to a specific person or to his order, who is the beneficiary or holder of paper. According to this concept, the cheque cannot be considered a real cheque unless the paper has included specific conditions stipulated under Article 596 of the Commercial Procedures Law, issued as per the Federal Law No. (18) on 07/09/1993, specifically the following: The term “cheque” should be written in the language used on the cheque. The order should not depend on … Continue reading Cheque and Period Preventing the Hearing of the Civil & Penal Lawsuits in UAE

Issues with penalty for cheque bounce

Cheque bounce issues are very common in U.A.E just like anywhere else. Khairallah Advocates & Legal Consultants, Law firm in Dubai, have dealt with a lot of criminal cases due to bounced cheques. As mentioned in our other blogarticle related to Bounced cheques, the law surrounding penalizing individuals for issuing bounced cheques is very clear on the point that one will be sentenced to detention or to a fine, if he or she draws a cheque, in bad faith, without sufficient funds. In practice, this means that at the time of writing the cheque the drawee, namely the person writing … Continue reading Issues with penalty for cheque bounce

Cheque Bounce law in UAE & defending bounced cheque lawsuits

Bounced Cheque is a crime Bounced cheque is a crime of misdemeanour, that is to say that that the punishment for the bounced cheque may be imprisonment for a definite/fixed term depending on the facts and circumstances of each case. The imprisonment may be coupled with a fine anything between 1,000 – 30,000 Dhs. And here comes the obvious question, Is there a defense to the bounced cheque? Yes, there are defenses to the crime of bounced cheque. Before going to the defenses to the bounced cheque, let me shortly explain the general nature of the crime of a bounced … Continue reading Cheque Bounce law in UAE & defending bounced cheque lawsuits