UAE’s highest court has reopened a legal dispute over ownership of a Dh500,000 family business.
Abu Dhabi: A businesswoman has filed legal action against her uncle, alleging that he took control of a company she claims she founded and financed entirely with her own funds, in a case that has now reached the UAE’s highest court.
The UAE Federal Supreme Court has upheld her appeal against a previous ruling that dismissed her claim, thereby reopening the dispute over ownership and financial rights related to the company.
According to Emarat Al Youm, the claimant stated that she had a verbal agreement with her uncle to establish the company on an equal basis, with a third party named as a nominal owner.
She told the court that she transferred Dh500,000 to cover the company’s government guarantee, after which the business was established and began operating under her management. She claimed that the registered owner held the company in name only and submitted written documents and electronic correspondence as evidence.
She further stated that she bore all expenses related to licensing, rent, and capital, and suffered financial and moral harm after being excluded from the business. The defendants denied the allegations, challenging the authenticity of the documents and arguing that no contractual relationship existed between the parties.
They pointed to official company records listing ownership under their name. An earlier ruling had ordered the uncle to pay more than Dh638,000, a decision that was upheld on appeal, before a later judgment overturned it and dismissed the claim entirely.
However, the UAE Federal Supreme Court found that the previous ruling had not properly examined key evidence, including financial transfers and correspondence suggesting the claimant’s involvement in funding the business.
The court said the judgment failed to address essential arguments and was based on insufficient reasoning. As a result, it overturned the decision and sent the case back to the appellate court for reconsideration.
