UAE court orders a company to pay DH200,000 in employee compensation case

A corporation was recently ordered by the Civil Court of First Instance in Dubai to compensate a worker who had been wrongly accused of contract forgery by the business's owners for 200,000 dirhams.

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The employee's prior acquittal by the Criminal Court demonstrated the malicious nature of the charges brought against him.

The case originated when the plaintiff, an employee, filed a lawsuit with the Center for Friendly Settlement of Disputes, seeking 500,000 dirhams in damages from the company's owners. He alleged that they had pressured him to relinquish his employment benefits and filed a baseless police report against him. This report resulted in a travel ban, preventing him from attending to his sick mother and arranging her burial in his home country.

The plaintiff, who had initiated a labor lawsuit against the company to claim his rightful dues, was blindsided when the company accused him of forging his employment contract to inflate his salary. They further alleged that he unlawfully used the employer's electronic signature. However, the Criminal Court ultimately acquitted the employee, recognizing the spurious nature of the accusations, which were seemingly intended to coerce him into waiving his labor rights.

The plaintiff was severely harmed both financially and psychologically by the company's actions. He was prohibited from traveling for nine months, which made it difficult for him to care for his ailing mother and eventually miss her funeral. Following a thorough analysis of the case, the court found that the firm had abused its rights and granted the plaintiff 200,000 dirhams in damages in addition to 5% legal interest.

This ruling underscores the importance of upholding justice and protecting individuals from baseless accusations. The court emphasized the malicious intent behind the company's actions, which had caused tangible and psychological harm to the plaintiff. As a result, the company was also ordered to cover all legal expenses and attorney fees incurred during the proceedings. This case serves as a reminder of the need for fair and equitable treatment in the workplace and the importance of holding companies accountable for their actions. It also highlights the role of the judiciary in safeguarding the rights of individuals and ensuring that justice prevails.

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