Advertisement

Abu Dhabi Court Orders Ex-Employee to Repay Dh310,000 to Former Employer Over Unsettled Dues

Advertisement

Court gavel on desk

In a significant employment dispute ruling, the Abu Dhabi Labour Court First Instance has ordered a former manager to compensate his ex-employer with approximately Dh310,000 for various financial obligations left unsettled after his resignation.

The legal battle began when the company filed a lawsuit alleging multiple breaches by their former employee. According to court documents obtained by Al Khaleej newspaper, the claims included compensation for failure to serve proper notice period, repayment of salary overpayments, outstanding loan balances, unreturned company property and unauthorized phone usage charges.

The breakdown of the financial claims reveals:

  • Dh180,000 as notice period compensation for abrupt resignation
  • Dh23,225 in salary overpayment during final month of employment
  • Dh105,325 remaining balance on a company loan
  • Dh3,883 for an unreturned company laptop
  • Dh423 in excess mobile phone charges beyond allocated limit

The company further demanded legal interest at 9% from claim date until full settlement plus coverage of all judicial expenses and attorney fees. Court records indicate the defendant held a senior management position with monthly earnings comprising Dh49,000 basic salary plus allowances totaling Dh90,000 per month package.

For breaking news updates across UAE businesses and courts. Follow our WhatsApp Channel today.

A forensic accounting expert appointed by the court conducted detailed financial audits that confirmed most claims while discovering additional amounts owed. The investigation verified:

  • The actual salary overpayment totaled Dh23,225 (matching company's claim)
  • The outstanding loan balance amounted to Dh121.825 (exceeding initial claim by Dh16.500)

The judicial panel provided important clarification regarding termination procedures under UAE labor law: "Both contracting parties maintain equal rights to terminate employment relationships with valid cause," stated court documents reviewed by our correspondent. "However,the terminating party must provide minimum thirty days' advance notice or equivalent compensation." This compensatory amount is legally termed "notice allowance."

The case highlights growing employer vigilance regarding contractual obligations amid increasing mobility in UAE's competitive job market.Legal experts note similar disputes often arise when high-earning professionals transition between roles without completing exit formalities.The judgment serves as cautionary precedent about financial liabilities attachedto premature resignations without proper settlements.

Advertisement

Top Stories
KT UniExpo 2026: Your Gateway to Global Education in the UAE
KT UniExpo 2026: Your Gateway to Global Education in the UAE
The most comprehensive higher education exhibition in the UAE, KT UniExpo, is set to welcome students and parents for its landmark 9th edition this September. Mark your calendars for September 24-25, when The H Dubai will transform into an educational hub connecting aspiring scholars with world-class universities, exciting career opportunities, and valuable financial support options.
# Main
# Main
Abu Dhabi Principal Champions Reading & Responsible AI Use After Prestigious ADEK Win
Abu Dhabi Principal Champions Reading & Responsible AI Use After Prestigious ADEK Win
Summit International School's visionary principal Lee Dabagia made waves at the ADEK Awards 2026, not just by winning the Best Principal honor but by launching a passionate appeal for parental involvement in literacy and ethical technology education.
# Main
# Main
UAE Families Unite in Joyous Eid Al Fitr Celebrations: Prayers, Feasts, and Heartwarming Traditions
UAE Families Unite in Joyous Eid Al Fitr Celebrations: Prayers, Feasts, and Heartwarming Traditions
The United Arab Emirates is buzzing with festive energy as families gather to celebrate Eid Al Fitr this Sunday, creating unforgettable moments of togetherness through cherished traditions.
# Main
# Main
UAE Pioneers AI Education: How Smart Parenting Can Prepare Kids for the Future
UAE Pioneers AI Education: How Smart Parenting Can Prepare Kids for the Future
The United Arab Emirates is making history by becoming one of the first nations to embed artificial intelligence into every level of education. Beginning in the 2026-2026 academic year, students from kindergarten through high school will explore AI fundamentals, ethical implications, and practical applications - preparing them to thrive in tomorrow's tech-driven world.
# Main
# Main
UAE Boosts Private Sector Role in Space Ambitions with Local Contracts Push
UAE Boosts Private Sector Role in Space Ambitions with Local Contracts Push
The United Arab Emirates is accelerating private sector participation in its ambitious space program through increased contracts to domestic companies, as revealed during the high-profile 'Make it in the Emirates' conference this week.
# Main
# Main
UAE Heatwave Alert: Temperatures Soar to Scorching 50.1ºC in Al Ain
UAE Heatwave Alert: Temperatures Soar to Scorching 50.1ºC in Al Ain
The United Arab Emirates is facing an intense heatwave, with temperatures skyrocketing to a blistering 50.1ºC this afternoon in Al Ain, according to the National Centre of Meteorology (NCM). The record-breaking temperature was recorded at 12:30 PM local time in Sweihan - the same location that previously saw temperatures climb to a staggering 50.8ºC earlier this month.
# Main
# Main
UAE Leaders Unite in Festive Eid Al Fitr Celebrations at Qasr Al Mushrif
UAE Leaders Unite in Festive Eid Al Fitr Celebrations at Qasr Al Mushrif
In a display of national unity and festive spirit, UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan hosted an illustrious gathering of the nation's leadership to celebrate Eid Al Fitr. The special occasion brought together Supreme Council Members, Rulers of the Emirates, Crown Princes, Deputy Rulers and distinguished Sheikhs at the majestic Qasr Al Mushrif in Abu Dhabi.
# Main
# Main
Ramadan Surprise: Kids Earn Eidiya Rewards for Attending Taraweeh Prayers
Ramadan Surprise: Kids Earn Eidiya Rewards for Attending Taraweeh Prayers
This Ramadan brought an unforgettable experience for brothers Omar, Ebrahim, and Abdullah as they joined their parents and cousins for nightly Taraweeh prayers. What made this year's spiritual journey even more memorable was an unexpected reward that added extra joy to their worship. Hundreds of children across the city received special Dh500 Eidiya gifts after participating in a unique Ramadan Passport program. The initiative encouraged young worshippers to attend Taraweeh prayers by collecting
# Main
# Main
Comment