Abu Dhabi: An Abu Dhabi court has ruled in favour of a man who filed a civil lawsuit against a friend over unpaid funds, ordering the defendant to repay Dh150,000 and an additional Dh20,000 in damages for breach of trust.
According to court documents, the plaintiff had transferred the money to the defendant based on a personal relationship and mutual trust, with the understanding that the funds would be returned within an agreed period. However, despite repeated requests, the defendant failed to repay the amount, prompting the plaintiff to seek legal action.
The court found that the plaintiff had provided sufficient evidence to prove the transfer of funds, including bank statements and written communications showing the purpose of the payment. Judges concluded that the defendant had no legal justification for withholding the money and had breached the trust placed in him.
In its ruling, the court ordered the defendant to repay the full Dh150,000, confirming it as a recoverable debt. In addition, the court awarded Dh20,000 in compensation to cover moral and material damages suffered by the plaintiff as a result of the prolonged dispute and financial harm.
The judgment noted that breach of trust in personal financial dealings can result in serious legal consequences, even when agreements are made informally between friends or acquaintances. The court stressed that individuals must honour financial commitments regardless of personal relationships.
Legal experts said the ruling highlights the importance of documenting financial transactions, even among close associates. Written agreements, bank transfers, and clear communication can play a critical role in protecting rights if disputes arise.
The defendant was also ordered to pay court fees and legal expenses, adding to the total financial liability. The ruling is subject to appeal within the legally specified timeframe.
Cases involving personal loans and breach of trust are among the most common civil disputes handled by UAE courts. Authorities continue to urge residents to exercise caution when lending money and to formalise agreements to avoid misunderstandings or legal conflicts.
The decision reinforces the UAE judiciary’s stance on upholding financial accountability and protecting individuals from misuse of trust in private transactions.
