Claim No: SCT 031/2023
THE DUBAI INTERNATIONAL FINANCIAL CENTRE COURTS
IN THE SMALL CLAIMS TRIBUNAL OF DIFC COURTS
JUDGMENT OF H.E. JUSTICE MAHA AL MHEIRI
UPON the Claimant filing a Claim Form dated 19 January 2023
AND UPON this Claim having been called on 13 March 2023 for a Hearing before H.E. Justice Maha Al Mheiri, with the Claimant and the Defendant’s representative in attendance
AND UPON reading the submissions and evidence filed and recorded on the Court file
IT IS HEREBY ORDERED THAT:
1. The Defendant shall pay the Claimant the sum of AED 81,198.47.
2. The Defendant shall pay the Claimant the Court fee in the sum of AED 1,625.09.
SCT Judge and Assistant Registrar
Date: 17 March 2023
SCHEDULE OF REASONS
1. The Claimant is Mubru (the “Claimant”), an individual filing a claim regarding her employment at the Defendant’s company.
2. The Defendant is Morud (the “Defendant”), a company registered in the DIFC located at District Precinct Building, DIFC, Dubai, UAE.
Background and the Preceding History
3. The underlying dispute arises over the employment of the Claimant by the Defendant pursuant to an employment contract dated 4 August 2021 (the “Employment Contract”). The Claimant was hired as a Chief Marketing Officer with a monthly salary of AED 32,000.
4. On 3 January 2023, the Claimant was informed by the Director of the company of her immediate termination from the company. The Director requested the HR Department (“HR”) to prepare the Claimant’s end of service employment entitlements for the Claimant to be paid.
5. On 10 January 2023, the Claimant received her end of service breakdown from HR. Thereafter, the Director of the Defendant postponed payment of the entitlements which resulted in the Claimant filing a Claim with the DIFC Courts.
6. On 19 January 2023, the Claimant filed a claim in the DIFC Courts’ Small Claims Tribunal (the “SCT”) claiming various sums set out as follows:
(a) Salary for the month of December 2022 in the amount of AED 32,000;
(b) 1-month notice period in the amount of AED 32,000;
(c) End of service gratuity in the amount of AED 16,328.46; and
(d) Expense claim in the amount of AED 870.
7. The parties met for a Consultation with SCT Judge Maitha Al Shehhi on 28 February 2023 but were unable to reach a settlement.
8. In line with the rules and procedures of the SCT, this matter was referred to me for determination, pursuant to a hearing held on 13 March 2023 with the Claimant and the Defendant’s representative in attendance (the “Hearing”).
9. This dispute is governed by the DIFC Law No. 4 of 2021 (Employment Law Amendment Law) (hereafter the “DIFC Employment Law”) in conjunction with the relevant Employment Contract.
10. At the Hearing the Claimant presented her Claim before the Court, with the breakdown of her final settlement (the “Final Settlement”). Mr. Mart, Shareholder of the Defendant was representing the Company at the Hearing held before me. Mr. Marthad no objections to the Final Settlement and explained that he was not involved with the day to day operation of the Company.
11. Mr. Mart also added that the Director of the Defendant drained the funds of the company resulting in the shortage of cash that has affected the company and its employees directly.
12. In light of my finding above and Mr. Mart’s non-objection to the Claimant’s claims, it is hereby ordered that the Defendant shall pay the Claimant the Final Settlement in the amount of AED 81,198.47. The Claimant is also entitled to the Court fee paid for the filing of this Claim in the amount of AED 1,625.09.