Abu Dhabi Labour Court Compels Firm to Pay Dh96,000 After Aappeal Dismissed Over Failure to Deposit Dh500 Fee
Employer’s procedural lapse in missing mandatory security deposit and appeal deadline leaves original judgment in favour of worker intact.
Staff WriterSep 6, 2025, 6:27 AMAn Abu Dhabi labour court has ruled against a company after it failed to deposit a Dh500 court fee, leaving it liable to pay an employee more than Dh96,000 in dues.
The case began when an employee filed a claim seeking Dh99,250 in unpaid entitlements after failed attempts at an amicable settlement with his employer. He argued that he had worked under a fixed-term contract since May 21, 2021, on a basic salary of Dh10,000 (Dh20,000 gross) and sought:
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Unpaid wages from December 1, 2024, to February 21, 2025 (Dh54,000)
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Compensation for unused leave (Dh19,000)
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End-of-service gratuity (Dh26,250)
The employee said he resigned on January 21, 2025, citing non-payment of wages, and served his notice until February 21, 2025.
On April 17, the Court of First Instance partially upheld the employee’s claim, ordering the company to pay him Dh96,333. The employee attended the hearing, but no representative appeared for the employer.
The employer appealed, claiming the initial lawsuit notice was sent to the wrong number and arguing that the employee was under an investment/management agreement, not a labour contract, with a base salary of Dh4,000 plus a profit share. It also accused the employee of altering contract terms to inflate his salary.
However, after reviewing evidence, including telecom records, the Court of Appeal ruled that the appeal was lodged after the 30-day deadline. It dismissed the case and upheld the original judgment.
Reconsideration Plea Dismissed
The company later sought reconsideration of the appellate ruling, but the request was rejected because it failed to deposit the Dh500 security fee required under Articles 171–173 of the Civil Procedure Law. Article 173(4) specifically bars appeals not accompanied by the mandatory deposit.
As a result, the employer remains obliged to pay the Dh96,333 awarded to the employee, in addition to court costs and legal fees.
The case reinforces the importance of adhering to procedural requirements in UAE litigation, including strict deadlines and timely payment of mandatory court deposits.
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