Tarig H.A.G. Rahamtalla v Expresso Telecom Group Ltd [2021] DIFC CFI 069 (07 December 2021)

Tarig H.A.G. Rahamtalla v Expresso Telecom Group Ltd [2021] DIFC CFI 069 (07 December 2021)

Claimant breached fiduciary duty by retaining undisclosed secret profits of US$71,000 through a company he controlled, justifying termination for cause. However, claimant is entitled to statutory payments for gratuity and accrued leave, and a penalty for late payment, offset by defendant's successful counterclaims.

Source-derived case information.

Citation
[2021] DIFC CFI 069
Parties
Claimant: TARIG H. A. G. RAHAMTALLA; Defendant: EXPRESSO TELECOM GROUP LTD
Jurisdiction
United Arab Emirates
Judgment Date
07 December 2021
Procedural Posture
Employment Dispute / Judgment After Trial
Outcome
Claim partly allowed; counterclaim partly allowed
Legal Topics
Termination for Cause, Breach of Fiduciary Duty, Secret Profits, Penalty for Late Payment, Employment Contract, Set Off of Claims
Employment Law Termination for Cause Breach of Fiduciary Duty Secret Profits Penalty for Late Payment Employment Contract Set Off of Claims

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Parties

TARIG H. A. G. RAHAMTALLA

Claimant

EXPRESSO TELECOM GROUP LTD

Defendant

Procedural Posture

Employment Dispute / Judgment After Trial

Legal Issues

  1. 1 Whether the claimant was terminated for cause under DIFC Employment Law
  2. 2 Whether the claimant breached fiduciary duties by making secret profits
  3. 3 Entitlement to penalty for late payment of end of service gratuity and accrued annual leave

Ratio Decidendi

Claimant breached fiduciary duty by retaining undisclosed secret profits of US$71,000 through a company he controlled, justifying termination for cause. However, claimant is entitled to statutory payments for gratuity and accrued leave, and a penalty for late payment, offset by defendant's successful counterclaims.

Court Disposition

Claim partly allowed; counterclaim partly allowed

Orders

  • Defendant to pay claimant US$379,511.67 within 28 days of judgment
  • Claimant entitled to daily payment of US$1,052.30 from 18 May 2021 to date of judgment, to be paid within 28 days