Resolution No. 38 of 2020 establishes a streamlined and fast track small claims court for civil and commercial claims in the Emirate of Abu Dhabi. In accordance with Articles 7 and 8 of Resolution No. 38, once the execution writ has been issued by the ruling judge sitting in the Small Claims Court, the claimant has the right to execute the judgment and enforce it at the Court of First Instance pursuant to the execution procedures provided under the Civil Procedures Law No. 11 of 1992 (as amended in 2015). The recent Resolution is briefly discussed by Civil Lawyers of Dubai & Abu Dhabi, UAE in this article.
Jurisdiction of SCTs
Small Claim Tribunal, the SCT has jurisdiction to hear and determine “small” claims within the jurisdiction of small claims i.e. any claim the value of which does not exceed AED500,000 or in cases relating to employment for which all parties elected in writing that it would be heard by the SCT. There is no claim value limit for the SCT’s elective jurisdiction in the context of employment claims. Parties can also expressly agree, in writing, to give jurisdiction to the SCT for claims exceeding the aforementioned amount provided this does not exceed AED1,000,000. The SCT’s procedure is set out in Part 53 of the RDC which appears to have been modelled on Part 27 of the English Civil Procedure Rules.
Procedure
Basically, it is required for the claimant to ask for the appointment of an expert to pay the expert’s fees in advance at the registration stage of the claim before the SCT. As stated in article number five (5) of the Resolution, when the SCT is willing to appoint an expert, it has the authority to request from the expert to attend the hearing and present his opinion/views orally before the court. The expert’s opinion will be recorded within the hearing minutes. Furthermore, the SCT shall issue its decision on the same hearing date, which shall be considered a final decision. The SCT’s decision can be limited to a summary of the parties’ defence and claims and the reasoning behind its findings.
Filing fees
(A) Employment claims
(1) The fee for filing an employment claim shall be 2% of the value of the claim with a minimum fee of 367.30 AED.
(2) The fee for filing an appeal to the CFI following an employment claim in the SCT shall be 1% of the value of the claim with a minimum fee of 367.30 AED.
(B) All other claims
(1) The fee for filing all other claims shall be 5% of the value of the claim with a minimum fee of 367.30 AED.
(2) The fee for filing an appeal to the CFI following any other claim in the SCT shall be 2.5% of the value of the claim with a minimum fee of 367.30 AED.
(C) Applications
(1) Applications seeking a fee waiver or suspension shall be free of charge.
(2) The fee for all other applications shall be 183.65 AED.
End note
The resolution has been passed, but can’t be said when they’ll be up and running.
This is a major step which favors small and medium-sized businesses promoting business in the country. SCT’s will fast track process to collect debts.
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