Dubai Court Enforces Dh1.5 Million Personal Loan After Borrower Defaults
Civil ruling confirms signed acknowledgment of debt as binding, orders full repayment with five per cent interest and court costs despite defence challenge.
Staff WriterDec 22, 2025, 12:32 PMA Dubai Civil Court has ordered an Arab man to repay Dh1.5 million to another individual after ruling that the amount was a personal loan that remained unpaid, despite a signed acknowledgment of debt.
The court found that the defendant had received the money as an advance from the claimant and had formally committed to repaying it within an agreed period, but failed to honour that obligation.
The claimant filed the lawsuit seeking recovery of the Dh1.5 million, along with legal interest, court fees and litigation costs. He told the court that the defendant had signed a written acknowledgment confirming the debt and agreeing to repay the amount upon request.
The claimant added that multiple attempts were made to settle the matter amicably, but the defendant refused to repay the sum without any legal justification.
The defendant, through his lawyer, contested the claim and sought its dismissal, arguing that the alleged debt had no legal basis and that no financial obligation existed between the parties. He also requested the appointment of a court expert to examine the dispute.
In its judgment, the court reaffirmed the legal principle that a creditor must prove the existence of a debt, while the debtor is responsible for proving that it has been settled.
The court ruled that the claimant had met this burden by submitting a written acknowledgment of debt signed by the defendant and witnessed by two individuals. The defendant neither disputed the authenticity of the document nor challenged its validity through legal channels.
Based on the evidence, the court concluded that the debt was valid and enforceable, ordering the defendant to repay the full Dh1.5 million. It also ruled that legal interest of five per cent would apply from the date the judgment becomes final until full payment is made, in addition to court costs.
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