Dubai firms face Dh3.4m bill after 53-car deal defaults
Dubai: A Dubai court has ordered a car rental company and its guarantor to pay Dh3,427,917.80 in outstanding vehicle payments, plus 5 per cent annual interest from June 17, 2026, until full settlement. The two companies must also pay court fees and expenses, as well as Dh1,000 in lawyers’ fees, after the buyer defaulted on payments for 53 cars and 13 cheques bounced due to insufficient funds. The…
A Dubai court has ordered a car rental company and its guarantor to pay Dh3.4 million in outstanding vehicle payments, plus 5% annual interest from June 17, 2026, until full settlement. The dispute involves five vehicle sale agreements signed between August 2024 and February 2025, where a car trading company sold 53 vehicles to a luxury car rental firm for Dh5.016 million.
The buyer failed to make monthly payments through post-dated cheques, resulting in 13 cheques bouncing due to insufficient funds. The court found that the buyer had breached the contracts and that the guarantor was responsible for the buyer's financial commitments.
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