Al Ahmar v Radwan [2024] ADGMCFI 0011 (29 July 2024)
Mesab Limited breached the SPA by failing to deliver the Unit within the extended contractual and force majeure periods; Covid pandemic constituted a delay event but not sole cause; Claimants entitled to compensation for loss of rental opportunity, increased bank interest, loss of investment earnings, and moral damages; exemption clauses and disclaimer do not bar claims for delay or defects; monetary claims succeed in part; Mesab's counterclaim for connection fees partially succeeds; rectification of defects ordered.
- Citation
- [2024] ADGMCFI 0011
- Parties
- First Claimant: Sohir Hussein Al Ahmar; Second Claimant: Radwan Anas Radwan; First Defendant: Mesab Limited; Second Defendant: Mesab Limited (Local Branch Company)
- Jurisdiction
- United Arab Emirates
- Judgment Date
- 29 July 2024
- Procedural Posture
- Commercial and Civil / Final Judgment After Trial
- Outcome
- Claimants' claims partially allowed; Defendants' counterclaim partially allowed; net balance awarded to Claimants.
- Legal Topics
- Breach of Contract, Damages for Delay, Force Majeure, Construction Defects, Compensation, Jurisdiction
Case Brief
Summary, issues, holding and outcome
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Parties
Sohir Hussein Al Ahmar
First Claimant
Radwan Anas Radwan
Second Claimant
Mesab Limited
First Defendant
Mesab Limited (Local Branch Company)
Second Defendant
Procedural Posture
Commercial and Civil / Final Judgment After Trial
Legal Issues
- 1 Whether Mesab Limited breached the Sale and Purchase Agreement by delayed delivery of the Unit
- 2 Whether force majeure (Covid pandemic) excuses delay
- 3 Entitlement to damages for delay, defects, and moral harm
Ratio Decidendi
Mesab Limited breached the SPA by failing to deliver the Unit within the extended contractual and force majeure periods; Covid pandemic constituted a delay event but not sole cause; Claimants entitled to compensation for loss of rental opportunity, increased bank interest, loss of investment earnings, and moral damages; exemption clauses and disclaimer do not bar claims for delay or defects; monetary claims succeed in part; Mesab's counterclaim for connection fees partially succeeds; rectification of defects ordered.
Court Disposition
Claimants' claims partially allowed; Defendants' counterclaim partially allowed; net balance awarded to Claimants.
Orders
- Judgment for Claimants in sum of AED 346,800 for contractual damages.
- Judgment for Defendants in sum of AED 50,498 for counterclaim.
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