Dubai Court Rules Contractor Must Pay Dh4.7 Million to Subcontractor

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The ruling includes payment for completed work, scaffolding rental, and additional compensation.

Dubai: The Dubai Commercial Court has ordered a contracting company to pay Dh4.7 million to a subcontractor for completed works, outstanding rental dues, and scaffolding compensation, along with legal interest of 5% per annum.

The dispute arose from a subcontract signed in February 2024 for the supply, installation, and removal of formwork, scaffolding, and steel works at a project in Jumeirah Village Circle. The subcontractor stated that the works were completed and handed over in January 2025 according to the agreed specifications, but payments were not received.

An engineering expert appointed in earlier proceedings determined that the claimant was entitled to Dh1.554 million for completed works, including VAT, Dh1.146 million for scaffolding rental over the specified periods, and either the return of the remaining scaffolding and climbing system or their equivalent value of Dh2.055 million.

The court, ruling in the contractor’s absence after proper notification, adopted the expert’s report and ordered payment of Dh4.755 million, including compensation in lieu of returning the scaffolding. It also awarded 5% interest from the date the judgment becomes final until full settlement.

The court rejected any further rental claims after the judgment date, holding that compensation for the scaffolding’s value precluded additional rental charges, and apportioned costs and legal fees accordingly.

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