Banking and financial disputes can be challenging for both businesses and individuals. In the UAE, there are laws and rules designed to protect everyone involved and make sure disputes are settled fairly and quickly. However, in legal cases, judges may not always have the expertise needed to fully understand complex issues, so an expert may be called upon to help.
Financial experts are carefully selected and assigned to specific disputes based on their knowledge. These expert witnesses are particularly helpful when key issues in the case require specialized knowledge. In forensic accounting, this is often the case when calculating the amount of damages is difficult, such as in situations where a business claims lost profits due to a machine not working as expected under a contract.
Understanding the role of experts in these cases is crucial for both the parties involved and the courts, as they provide the necessary insight into the complexities of financial calculations.
In this blog, we will discuss the steps you can take to resolve banking and financial disputes in the UAE, with a particular focus on how expert advice plays a vital role in addressing these disputes, especially when complex financial matters are at stake.
Steps to resolve financial disputes in the UAE
Consult with banking and finance lawyers
The first step in resolving a financial dispute is to consult with a lawyer who specializes in banking and finance. That is because these experts understand UAE laws and can guide you through the dispute resolution process. They will explain your rights while helping you choose the best action to take.
However, it is important to choose a trusted law firm with experience in handling financial disputes. A reliable firm will have knowledgeable lawyers who understand the UAE legal system and can offer practical and effective solutions for your case.
Negotiate with other parties
After getting legal advice, the next step is to negotiate with the other party. This can be done directly or with the help of a mediator. The goal is to find a solution that both sides agree on to avoid the need for a court case. If the other party refuses to negotiate, legal action may be necessary to resolve the issue.
Explore alternative dispute resolution (ADR)
In the UAE, you can resolve disputes through methods like mediation and arbitration, which are often quicker and cheaper than going to court. In arbitration, a neutral person (the arbitrator) listens to both sides and makes a final decision.
Mediation, on the other hand, involves a neutral third party who helps both sides reach an agreement. Keep in mind that using these methods is voluntary and both parties must agree to try them.
Submit a complaint to the UAE Central Bank
If other methods do not resolve the issue, you can file a formal complaint with the UAE Central Bank. The bank has a department dedicated to handling complaints about banking and financial services.
You will need to fill out a form and provide any supporting documents to file a complaint. The Central Bank will review your case and give a decision within 30 days.
Take legal action
If all other options fail, businesses or individuals can file a lawsuit in the UAE courts. This involves presenting your case to a judge, who will review the evidence and make a final decision.
Before taking this step, it is important to consult with a banking and finance lawyer. They can assess your case, guide you on its strength and explain the possible outcomes.
How expert advice helps in financial disputes
Fraud cases, especially those involving scams, can be tough to understand and sometimes look just like real investments. In these cases, it is hard to gather enough evidence to meet even the basic proof requirements. Expert witnesses are crucial in such situations because they help correctly interpret the evidence.
Experts are also important when financial disputes involve complex calculations, such as determining losses. They provide an objective review of the facts and figures. However, experts must carefully question the information they receive, as simply accepting it can leave them open to criticism in court.
Can appointing an expert strengthen the claimant’s case?
In the UAE, courts often use experts to prepare reports based on Article 69 of the UAE Federal Evidence Law. This is a common practice, even when expert input is not clearly necessary.
The heavy reliance on experts is often due to one party lacking sufficient evidence, especially since the UAE does not have a discovery process like common-law countries. Typically, the court will appoint an expert either on its own or at a party’s request, once all submissions are completed.
Role of expert witnesses in financial disputes
Civil cases rely on written submissions and documented evidence in the UAE, with few oral hearings. Courts often appoint experts to assess facts in areas like banking, finance and accounting.
While expert reports are not legally binding, they carry significant weight. If a judge disagrees with an expert’s opinion, they must explain why. Oral evidence can be used in rare cases, but cross-examination is limited and requires court approval.
Final thoughts
Resolving banking and financial disputes in the UAE requires strong knowledge of financial laws, forensic accounting and the legal system. At Asad Abbas & Co., we support clients with all types of financial disputes and litigation. As court-appointed experts, we cover areas like accounting, banking and business valuation at every level of the UAE courts.
When cases involve complex financial issues that are hard for general lawyers to understand, our experts provide clear, reliable opinions based on years of industry experience. We specialize in forensic accounting, assessing financial losses, valuing businesses and providing expert testimony. Our team works closely with clients and legal teams across the UAE to ensure effective solutions.
So, whether you are a legal team needing expert help or a business dealing with a complex financial issue, our registered experts provide clear, unbiased and court-approved analysis. Get in touch with us today to see how our financial expertise can assist with your litigation or arbitration in the UAE.
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