Difference between Commercial, Civil, and Cheque Execution Cases in the UAE

In the UAE, legal cases are categorized based on their nature and scope. Here’s a breakdown of the differences between commercial cases, civil cases, and cheque execution cases:

1. Commercial Cases

• Definition: Cases involving disputes related to business and commercial transactions.
• Examples:
  • Breach of contracts between companies.
  • Disputes over payment for goods or services.
  • Partnership disputes.
  • Disagreements over franchise agreements or intellectual property rights.
• Governing Law: Primarily governed by the UAE Commercial Transactions Law and related laws.
• Jurisdiction: Heard in commercial courts or specialized divisions within the UAE courts.
• Parties Involved: Typically involve businesses, traders, or entities engaged in commercial activities.

2. Civil Cases

• Definition: Cases involving non-commercial disputes related to personal or property rights.
• Examples:
  • Landlord-tenant disputes.
  • Breach of non-commercial contracts (e.g., employment disputes not under the Labour Law).
  • Personal loan defaults.
  • Compensation claims for damages.
• Governing Law: Regulated under the UAE Civil Transactions Law.
• Jurisdiction: Filed in the civil court system.
• Parties Involved: Can include individuals or entities, not necessarily involved in business or trade.

3. Cheque Execution Cases

• Definition: Cases specifically related to bounced cheques, where the drawer has issued a cheque without sufficient funds.
• Nature:
  • These are often classified under criminal law but have civil implications as well.
  • The criminal aspect involves penal action for issuing a dishonored cheque.
  • The civil aspect involves recovering the unpaid amount.
• Legal Framework:
  • Governed by the UAE Penal Code and amended Commercial Transactions Law.
  • Federal Decree-Law No. 14 of 2020 decriminalized some aspects of bounced cheques, focusing more on financial settlement.
• Process:
  • Affected parties can file a criminal complaint or a civil execution case.
  • In a civil execution case, the payee directly seeks to enforce the payment without the need for a full trial.
• Jurisdiction: May involve both civil and criminal courts.

Key Differences