Red Residence

[jaimeybug]

Thank you for that information. Seems to match the information given by Tony It is a very long time that they have been awaiting the DEWA certificate. Let us know how your visit to MED goes.

Jaimeybug

 

[mike.stewart]

sunday i ll pay a visit to MED office.

Thanks Sven for letting us know.
I hope you are not planning to go to MED office, un-prepared!
The office (Ioana Nica) is very well rehearsed, but also has nearly no power to make any decisions. I hope you meet with someone more significant, and bring back some real proper news.

Cheers and thanks

M

 

[jaimeybug]

Sophielsie

I notice that you have not posted since my last post specifically for you. It is important for us to know whether TLG have all your paperwork, the SPA and Rental Management Agreement which they have asked me to send. I currently have a problem with my scanner and it has gone in for repair. However if they already have yours ours will be worded the same and they could give us advice more quickly.
We asked their advice now before handover because of the registration requirements of the DLD.

We have had information from a reliable source that once the fee for registration is paid to DLD you will then be the legal owner of your unit regardless of whether it is an hotel apartment or a normal residential apartment leaving you no recourse in terms of refusing handover. It has also been said by MED that they will make a decision following handover in terms of the remainder of clients still in the Rental Programme whether to give the apartments to a third party agent to manage as normal residential apartments. The upshot is that the building is not going to be hotel apartments and as such MED are breaching our contracts.

Can you please let us know any progress from your side. Depending what advice comes back from TLG and if the advice is to do something now, then anyone contemplating legal action should join forces and we may get a better deal.

Jaimeybug

 

[peter petrou]

Below is an email I received today from MED replying to some questions I raised. Their response is in red:

1. What will happen if the joint owner pays his share of the registration fees and I cannot?
It can’t be registered, either both , either none. Both of you need to pay the governmental fee

2. I have heard that you are again breaking your contract regarding the guaranteed rental income upon completion. This was a major factor in our decision to invest with you, which has turned out to be the biggest mistake of my life. Please can you confirm if this is true.
It is not confirmed 100% however due to the law change of the rental and the 50% of the owners using as a residential , the hotel apartment might not happen, however there are other options like short term lease where the rental can still be there. For now, no decision has been taken as all the concentration is towards getting the completion certificate and approvals to handover

3. If I can get in touch with the other owner and he agrees would it be possible to sell our nightmare either with you or if you could assist us in some way with marketing?
Yes , however please note that for resale ,you and JV have to be here in person and the 4% fee to DLD has to be paid

4. What will happen with the service charges if you do not proceed with the guaranteed rental income?
The building has a pool, two gyms and a big reception area.Service charges for a hotel apartment are separate from the maintenance charges , so if the hotel apartment will not be there you will have only maintenance charges , around 15 AED per sq ft for both of you for one year.

Dear Mr Peter, I wouldn’t worry about renting your flat, to be honest the rent is quite high in Dubai as of now and Dubai sport city is requested as it is close to the new airport and the free zone area.


I would be interested on your thoughts. I am refusing to pay the registration fees as MED owe me more than 40,000AED as per our contract and they are refusing to pay me saying they don't have the funds.
If there is a joint legal action against MED I would like to have details please.

Peter

 

[Sophielsie]

Hi - sorry I am at my house in Spain at the moment and haven't been checking the forum - I have sent TLG all my documents some time ago - they wanted £1100 to review them - so I held off as MED had not said they wouldn't be fulfilling their obligations. Rgds Lawrence

Sophielsie

I notice that you have not posted since my last post specifically for you. It is important for us to know whether TLG have all your paperwork, the SPA and Rental Management Agreement which they have asked me to send. I currently have a problem with my scanner and it has gone in for repair. However if they already have yours ours will be worded the same and they could give us advice more quickly.
We asked their advice now before handover because of the registration requirements of the DLD.

We have had information from a reliable source that once the fee for registration is paid to DLD you will then be the legal owner of your unit regardless of whether it is an hotel apartment or a normal residential apartment leaving you no recourse in terms of refusing handover. It has also been said by MED that they will make a decision following handover in terms of the remainder of clients still in the Rental Programme whether to give the apartments to a third party agent to manage as normal residential apartments. The upshot is that the building is not going to be hotel apartments and as such MED are breaching our contracts.

Can you please let us know any progress from your side. Depending what advice comes back from TLG and if the advice is to do something now, then anyone contemplating legal action should join forces and we may get a better deal.

Jaimeybug

 

[Sophielsie]

TLG correspondance

Here is email trail

I am dealing with

Shadha Zawawi
Senior Associate
Arbitration Practice Group

and Amro Abashar

The Legal Group
T +971 4 447 7044
F +971 4 447 7088
[email protected]


E-313 Al Saha Offices B, Souk Al Bahar,
Burj Khalifa, Old Town,
Dubai, United Arab Emirates

Regards

Lawrence Clark
Vice President and Technology Industry Leader
Commercial, Retail, Media & Gaming Customers

Tel/Fax: +44(0) 118 924 7103

From: Lawrence Clark
Sent: 17 June 2015 10:09
To: [email protected]
Cc: Shadha Zawawi; Saif Alshamsi; TLG Internal
Subject: RE: Regarding matter against MED- Red Residence

Hello Amro,

I hope you are well.

We are still awaiting for MED to confirm if they are going to substantially and materially execute their obligations under the rental agreements we have signed with them, until we have that confirmation or otherwise – it is not appropriate for your review the documents in detail to provide us with a legal opinion.

You previously mentioned in this email that “having handled several matters in arbitration including matters against MED in which we have received successful outcome.”
Please can you be specific about which cases you have bought against MED and what you considered to be a successful outcome ?
For your further information MED have served all owners with a demand to pay a pre registration fee of 4% (attached email and relevant extract below) and if we don’t by the end of June there will be a penalty.

We are unsure as to if we don’t pay this our Sales and Purchase Agreement and Rental Agreement become invalid ?

The land registration fee was not applicable on our original handover date of 2008 – so we don’t think we should have to pay this ?

Please be informed as well that as per the latest rule of Dubai Land Department, the Real Estate Government Authority in Dubai, all the unit owners have to pay the pre registration fee and the registration fee until end of June 2015. Herein attached the article from the newspapers

Please note that the pre-registration fee should be paid in cash to MED, as MED pre registers the unit and 4% out of the original price plus the 20 AED knowledge fee should be a Manager’s cheque in the name of Dubai Land Department.

For your further information, we now have a number of purchases of Red Residence on a public blog (http://www.propertyforum.com/forum/dubai-property/26916-red-residence-10.html),and we may look to ask you to initiate a class action on behalf of a number of us.

We do have concerns that even if we try and sue MED it will take many years and they don’t appear to have any money – so we will end up with significant legal expense in addition to our investment being lost.

Some concerning commentary on the blog, as below

Originally Posted by zamalliance
I heard yesterday that DEWA is not giving them electricity and MED is faced with 35 million DHS fines also.
I also heard that the 5 star building finishing is not there, all inferior quality material has been used.

Regards

Lawrence Clark
Vice President and Technology Industry Leader
Commercial and Retail, Media & Gaming Customers

Tel/Fax: +44(0) 118 924 7103

From: Amro Abashar [mailto:[email protected]]
Sent: 16 June 2015 19:04
To: Lawrence Clark
Cc: Shadha Zawawi; Saif Alshamsi; TLG Internal
Subject: Re: Regarding matter against MED- Red Residence

Dear Lawrence,

Trust this email finds you well.

Please update us regarding the matter with MED.

Thanks & Regards,


Amro Abashar
Associate



Office E-313, Al Saaha Offices B, Palace Hotel, Old Town Island, Burj Khalifa, Dubai, UAE

T +971 4 447 7044
F +971 4 447 7088
[email protected]



Dispute Resolution and Litigation Law Firm of the Year in the UAE’ Winner - 2015 Corporate INTL Legal Awards.

Construction Law Firm of the Year in the UAE’ Winner - 2015 Corporate INTL Legal Awards

Intellectual Property & Enforcement Law Firm of the Year in the UAE’ Winner - 2015 Corporate INTL Legal Awards.













Abu Dhabi Office:Tel: 00971 2 694 8534 - Fax: 00971 2 694 8666


















On 7 December 2014 at 18:43, Lawrence Clark <[email protected]> wrote:
Thanks Shadha, I am still awaiting confirmation that MED will not honor their obligations under the agreement.

Once they do so – I will instruct you to proceed.


Regards

Lawrence Clark
Vice President and Technology Industry Leader
Retail, Media & Gaming Customers

Tel/Fax: +44(0) 118 924 7103

From: Shadha Zawawi [mailto:[email protected]]
Sent: 07 December 2014 05:36

To: Lawrence Clark
Cc: [email protected]; TLG Internal
Subject: Re: Regarding matter against MED- Red Residence

Dear Mr. Clark,

Thank you for your swift reply.

We need to review any correspondence you had with the developer in order to provide you with a comprehensive legal opinion. If you have been served with a notice of default by the developer, we need to assess its validity so that we can advice you on your rights and obligations under the agreement effectively.

I would be grateful if I can have your confirmation to provide you with the legal opinion for the quoted fee so that we can send you our invoice and commence work on your matter.

Looking forward to your reply.

Kind regards,






Shadha Zawawi
Senior Associate
Arbitration Practice Group

The Legal Group
T +971 4 447 7044
F +971 4 447 7088
[email protected]


E-313 Al Saha Offices B, Souk Al Bahar,
Burj Khalifa, Old Town,
Dubai, United Arab Emirates



On Fri, Dec 5, 2014 at 12:13 PM, Lawrence Clark <[email protected]> wrote:
Hi – I can confirm we have a signed Rental Agreement. Please can you confirm the relevance of MED serving a notice of Default upon us ?

And what would this be for ? The Payments are up to date and the remaining 50% is being paid by a MED Developer Mortgage – the fee of which is documented on the Statement.

Regards

Lawrence Clark
Vice President and Technology Industry Leader
Retail, Media & Gaming Customers

Tel/Fax: +44(0) 118 924 7103

From: Shadha Zawawi [mailto:[email protected]]
Sent: 04 December 2014 12:04
To: Lawrence Clark
Cc: [email protected]; TLG Internal
Subject: Re: Regarding matter against MED- Red Residence

Dear Mr. Clark,

Thank you for your swift response and forwarding us the relevant documentation.

In order to provide you with our legal opinion on your matter we shall charge you on hourly basis at our standard hourly rate of AED 2100 per hour. Upon cursory review of the documents forwarded by you, we anticipate a number of 3 hours to be expended in carrying of the review of your matter and providing you with our written legal opinion.

Therefore our Fee for providing you with our legal opinion on your matter shall be AED 6300.

Further, having gone through the Rental agreement attached in your email I note that it is not signed by either party. We therefore would like you to confirm if the Rental agreement was signed by yourself and MED. Also,please let us know if you have received any notice of default from MED till date. If yes, we would want to review these notices as well in order to provide you with a comprehensive opinion.

If you are agreement with our above quote then kindly revert to us with your confirmation upon which we shall send you our invoice and commence working on your matter.

Best wishes,








Shadha Zawawi
Senior Associate
Arbitration Practice Group

The Legal Group
T +971 4 447 7044
F +971 4 447 7088
[email protected]


E-313 Al Saha Offices B, Souk Al Bahar,
Burj Khalifa, Old Town,
Dubai, United Arab Emirates



On Thu, Dec 4, 2014 at 12:42 PM, Lawrence Clark <[email protected]> wrote:
Hi apologies for the spelling mistake in my email.

Enclosed documents for your consideration

Regards

Lawrence Clark
Vice President and Technology Industry Leader
Retail, Media & Gaming Customers

Tel/Fax: +44(0) 118 924 7103

From: Shadha Zawawi [mailto:[email protected]]
Sent: 04 December 2014 05:41
To: Lawrence Clark
Cc: [email protected]; TLG Internal
Subject: Regarding matter against MED- Red Residence

Dear Mr. Clark,

I refer to your email email dated 1 December 2014. Apologies for any delay in response as your email had landed in our junk folder due the spelling error in the surname of my email address. Please note my correct email address [email protected] for any future correspondence.

Fareya is no longer with TLG and I will be pleased to provide you with our opinion having handled several matters in arbitration including matters against MED in which we have received successful outcome.

In relation to your query, may I kindly ask you to send me the copy of your sale and purchase agreement along with the copy of the Rental Agreement signed with MED. I would also require you to send me the details of the payments you have made towards the property till date along with copies of receipts proving the same.

Upon review of the relevant documentation requested herein above, I shall be able to provide you with the details of our fee for providing you with the requested legal opinion.

Looking forward to hearing from you.

Kind regards




Shadha Zawawi
Senior Associate
Arbitration Practice Group

The Legal Group
T +971 4 447 7044
F +971 4 447 7088
[email protected]


E-313 Al Saha Offices B, Souk Al Bahar,
Burj Khalifa, Old Town,
Dubai, United Arab Emirates

 

[jaimeybug]

For Sophielsie

Thank you for posting. Maybe you could e mail your adviser at TLG and put the proposition that if there were at least two of us interested in a class action against MED is it possible that the charge could be lowered and could it be lowered further for each additional person with the same contracts. We are now in possession of other information which we do not want to post as it is better to keep our identities anonymous and the information may link to who we are. Perhaps if you could call me once you have had a chance to get an answer from TLG and are back in the UK.

We do not know what the consequences of not registering with the DLD will be but we think we need to do something soon. Almost certainly MED will now be trying to hang out until 31 October 2015 hoping for everyone to register and become the legal owner giving us few options.

Jaimeybug

 

[mike.stewart]

Hi - sorry I am at my house in Spain at the moment and haven't been checking the forum - I have sent TLG all my documents some time ago - they wanted £1100 to review them - so I held off as MED had not said they wouldn't be fulfilling their obligations. Rgds Lawrence

My two cents - hold off from paying any money to the law firms.
No one as yet has gotten refunds for clients.
You'll get the same response as everyone else, including myself, got -
"Pay more and we will get you an arbitration, and force MED pay you back". that is all.
This itself will take 2 years, and something like 70-80,000 AED.
By then you would have fallen out with MED. Any 'nice' way out would be off the table for you.

M

 

[mike.stewart]

For Sophielsie

We do not know what the consequences of not registering with the DLD will be but we think we need to do something soon. Almost certainly MED will now be trying to hang out until 31 October 2015 hoping for everyone to register and become the legal owner giving us few options.

Jaimeybug

You are correct, in my opinion, but here is what I think - having paid and signed a SPA originally (when MED sold us the unit),does not make us "illegal owners".
We are investors, in a property which is to be delivered with certain specs and run according to agreements as a hotel-apartment. Failure to deliver to specs and run as agreed, as breach of contract.

If you want to engage the services of a lawyer, do so when MED fails to deliver against the SPA. Get a 'no-win-no-fees' agreement with a law firm. If they are not willing to give you the guarantee of a win, then they are no good!

M

 

[mike.stewart]

In response to Sophielse's correspondence with TLG:

It is going to be very interesting to see what the response is going to be to the following key questions:


-"what you considered to be a successful outcome ?" - A very key question! Thanks
- "We are unsure as to if we don’t pay this our Sales and Purchase Agreement and Rental Agreement become invalid ?" - DLD is all confused and so are the lawyers, but we need to see the response to this question, if TLG is any good.
- We do have concerns that even if we try and sue MED it will take many years and they don’t appear to have any money – so we will end up with significant legal expense in addition to our investment being lost. - Can they do a "no-win-no-fees" deal?
- "DEWA is not giving MED electricity and MED is faced with 35 million DHS fines also". - Can TLG confirm Fact or fiction?
- "Not a 5-start finish, with inferior quality material". - Can TLG confirm Fact or fiction?

My two cents
M

 

[Sophielsie]

He hasn't responded since the last email of 17th June - I will prompt him again..

In response to Sophielse's correspondence with TLG:

It is going to be very interesting to see what the response is going to be to the following key questions:


-"what you considered to be a successful outcome ?" - A very key question! Thanks
- "We are unsure as to if we don’t pay this our Sales and Purchase Agreement and Rental Agreement become invalid ?" - DLD is all confused and so are the lawyers, but we need to see the response to this question, if TLG is any good.
- We do have concerns that even if we try and sue MED it will take many years and they don’t appear to have any money – so we will end up with significant legal expense in addition to our investment being lost. - Can they do a "no-win-no-fees" deal?
- "DEWA is not giving MED electricity and MED is faced with 35 million DHS fines also". - Can TLG confirm Fact or fiction?
- "Not a 5-start finish, with inferior quality material". - Can TLG confirm Fact or fiction?

My two cents
M

 

[mike.stewart]

He hasn't responded since the last email of 17th June - I will prompt him again..

Thanks but I won't be too disappointed if there is no response, or if the response is inadequate.

Regards
M

 

[Sophielsie]

Email from MELANIE MENDIKYAN, MANAGING DIRECTOR of alriyamiadvocates.com. She also attached the case ruling they won against MED. I sent them my SPA, statement of account and the rental agreement.


From: Melanie Mendikyan [mailto:[email protected]]
Sent: 05 August 2015 10:15
To: Lawrence Clark
Subject: RE: QUERY : Case Against MED
Importance: High

Dear Client

Thank you for contacting the law offices of Al Reyami Advocates and Legal Consultants.
We have received your inquiry and understand your concern.
We have already taken a judgment against MED for our client in the Arbitration Centre. We are now in the process of execution.
We have received the SPA and already read through it. If you would proceed in filing the case in DIAC you do not need to pay the 4% fees to DLD (Dubai Land Department)
The judgment we have been awarded for the MED Case is already in process of execution.
I have attached the award that we have received for our client against MED, which is self-explanatory . Please do review the final award.
All this fees will be refunded to you once the case is won. If you go through the final award you will notice that the arbitration center has awarded our client 6% interest from 2009, plus arbitration fees, plus legal fees and terminated the contract and refund of all the investment by done by our client.
I would suggest in filing the case in Arbitration Centre to avoid in paying the fees to DLD.
The upfront fees will include below course of action.

We need to prepare an "Arbitration Application" to be filed in Dubai International Arbitration Center (DIAC) with a filing fee amounting to AED 5,000. This application will state the general statement of facts, issues and claims embracing the dispute- the documents to be attached therein are as follow: contract, receipts (if applicable),POA. We maintain not to divulge everything at this stage and reserve our legal arguments and pieces of evidence during the case proper.

Once submitted, the Arbitration Center shall direct the respondent to answer the Arbitration Application. After answering the arbitration application, the Arbitration Executive Committee shall decide whether to transfer the case to an Arbitrator. Once concluded by the executive committee, it will direct the parties to pay the Advance cost. This advance cost may vary depending on the amount being claimed by the party/ claimant and this amount shall be paid equally by the parties (both claimant and respondent). However, in the event that the respondent failed to pay the advance cost, the Arbitration Center shall direct the claimant to pay the respondent's share. The payment tendered by the claimant in substitution to the respondent's share in the advance cost is recoverable as part of the cost against the losing party.

After all the fees are paid, the Arbitration Center shall transfer all the files and case to an Arbitrator- the arbitrator, unless otherwise specifically mentioned in the contract, shall be appointed by the Center- to constitute a tribunal.

Once the tribunal is duly constituted, the arbitrator shall direct the parties to hold a preliminary hearing in order to discuss the following:

1. order of the case,;
2. presentation of power of attorney;
3. house rules and regulation;
4. documents to be submitted; and
5. any other matter as may be raised by the parties.

After the preliminary meeting, the parties are required to present and submit the following documents:

1. Statement of claim;
2. Statement of Defense;
3. Reply;
4. Rejoinder; and
5. Sur- rejoinder (if allowed)

During this submission, an additional evidence may be submitted through the presentation of an expert. An expert is specialized individual who shall determine the issue embracing the matter. Aside from the expert report, we maintain to submit a witness statement to be presented in the hearing.

Once completed, the hearing scheduled shall be fixed by the arbitrator to present and cross examine all witnesses in the case. The final stage for the arbitration proceeding is for the parties to submit their respective closing statement- this statement summarized all pertinent issues of the case- until the arbitrator formally closes the proceeding and render his/ her final conclusion on the matter.


The legal fees will be 40,000AED upfront payment on the signing the retainer agreement
4% once we obtain the arbitration award in our favor
4% of the recovered or settled amount.

Arbitration Centre Fees
Amount in Dispute 383560
Number of Arbitrator 1
Arbitrator's Fees
Minimum 11253.40
Average 25510.20
Maximum 39767.00
Advance on costs (Without Arbitrator's expenses)
Average Fees multiplied by arbitrator's 25510.20
Administrative Fees 10000.00
________________________________________
Total 35510.20
________________________________________

Fixing the fees of the Tribunal

DIAC Arbitration Rules 2007
Appendix Costs of Arbitration

Article (3.3)

The Executive Committee may, at any time during the arbitration, fix the fees of the arbitrators at a figure higher or lower than that which would result from the application of the Table of Fees and Costs due to the circumstances of the case. For this purpose, the Centre should take into account fluctuation in the amount in dispute, changes in the amount of the estimated expenses of the Tribunal, or the evolving difficulty or complexity of arbitration proceedings. The Executive Committee shall determine how such increase shall be allocated between the parties. Any party may issue an unconditional bank guarantee to cover such increase in a method acceptable to the Executive Committee.



Thank you

MELANIE MENDIKYAN
MANAGING DIRECTOR

P.O. Box 215880, Dubai, U.A.E.
Mob : 00971 55 954 7308
Tel: 00971 4 4534188
Fax: 00971 4 4534189
Email: [email protected]
Hassan Al Reyami Advocates and Legal Consultants - Dubai

 

[jaimeybug]

For Sophielsie

Thank you for your post. It is most interesting but I wonder if you are able to post the attachment referred to about the case already won by this firm

Jaimeybug

 

[Sophielsie]

Hi - I don't think I can - private message me your email address and I will send it over...

 

[mike.stewart]

Hi - I don't think I can - private message me your email address and I will send it over...

Please could you send me a copy too at mike.stewart7575(at)y.a.h.o.o.com

Thanks
M

 

[mike.stewart]

The question is:
- Has any investor been paid back their investment?
- How long did it take?
- What were their circumstances? (project cancellation? 50% completion? change in SPA?)

If a class action can be won (and with money back guarantee),then 100's and 1000's of investors are going to queue up to go to court and get their investments back. Developers would be bankrupted overnight!. Law firms will offer "no-win-no-fees" deals, and make loads of cash.
The news would spread like wild fire.

But I don't see any signs of a frenzied legal sector in Dubai, cashing in on the situation.

M

 

[LostCanadians]

The question is:
- Has any investor been paid back their investment?
- How long did it take?
- What were their circumstances? (project cancellation? 50% completion? change in SPA?)

If a class action can be won (and with money back guarantee),then 100's and 1000's of investors are going to queue up to go to court and get their investments back. Developers would be bankrupted overnight!. Law firms will offer "no-win-no-fees" deals, and make loads of cash.
The news would spread like wild fire.

But I don't see any signs of a frenzied legal sector in Dubai, cashing in on the situation.

M

We would also love to be part of this class action suit. But to our understanding, the UAE law do not allow for class action lawsuits.

 

[LostCanadians]

*thinking out loud*

I am just wondering, if they had been so successful with these cases in settlement. I'm wondering why they don't just rally a bunch of investors and work under a 'contingent fee basis' on a fixed percentage amount for the recoverable monies accounting for their fees. Especially case law, should set precedence for all future cases.

Law firms in Canada & US work in this manner all the time for Accident & Injury lawsuits. :hmmmm2:

Email from MELANIE MENDIKYAN, MANAGING DIRECTOR. She also attached the case ruling they won against MED. I sent them my SPA, statement of account and the rental agreement.


From: Melanie Mendikyan
Sent: 05 August 2015 10:15
To: Lawrence Clark
Subject: RE: QUERY : Case Against MED
Importance: High

Dear Client

Thank you for contacting the law offices of Al Reyami Advocates and Legal Consultants.
We have received your inquiry and understand your concern.
We have already taken a judgment against MED for our client in the Arbitration Centre. We are now in the process of execution.
We have received the SPA and already read through it. If you would proceed in filing the case in DIAC you do not need to pay the 4% fees to DLD (Dubai Land Department)
The judgment we have been awarded for the MED Case is already in process of execution.
I have attached the award that we have received for our client against MED, which is self-explanatory . Please do review the final award.
All this fees will be refunded to you once the case is won. If you go through the final award you will notice that the arbitration center has awarded our client 6% interest from 2009, plus arbitration fees, plus legal fees and terminated the contract and refund of all the investment by done by our client.
I would suggest in filing the case in Arbitration Centre to avoid in paying the fees to DLD.
The upfront fees will include below course of action.

We need to prepare an "Arbitration Application" to be filed in Dubai International Arbitration Center (DIAC) with a filing fee amounting to AED 5,000. This application will state the general statement of facts, issues and claims embracing the dispute- the documents to be attached therein are as follow: contract, receipts (if applicable),POA. We maintain not to divulge everything at this stage and reserve our legal arguments and pieces of evidence during the case proper.

Once submitted, the Arbitration Center shall direct the respondent to answer the Arbitration Application. After answering the arbitration application, the Arbitration Executive Committee shall decide whether to transfer the case to an Arbitrator. Once concluded by the executive committee, it will direct the parties to pay the Advance cost. This advance cost may vary depending on the amount being claimed by the party/ claimant and this amount shall be paid equally by the parties (both claimant and respondent). However, in the event that the respondent failed to pay the advance cost, the Arbitration Center shall direct the claimant to pay the respondent's share. The payment tendered by the claimant in substitution to the respondent's share in the advance cost is recoverable as part of the cost against the losing party.

After all the fees are paid, the Arbitration Center shall transfer all the files and case to an Arbitrator- the arbitrator, unless otherwise specifically mentioned in the contract, shall be appointed by the Center- to constitute a tribunal.

Once the tribunal is duly constituted, the arbitrator shall direct the parties to hold a preliminary hearing in order to discuss the following:

1. order of the case,;
2. presentation of power of attorney;
3. house rules and regulation;
4. documents to be submitted; and
5. any other matter as may be raised by the parties.

After the preliminary meeting, the parties are required to present and submit the following documents:

1. Statement of claim;
2. Statement of Defense;
3. Reply;
4. Rejoinder; and
5. Sur- rejoinder (if allowed)

During this submission, an additional evidence may be submitted through the presentation of an expert. An expert is specialized individual who shall determine the issue embracing the matter. Aside from the expert report, we maintain to submit a witness statement to be presented in the hearing.

Once completed, the hearing scheduled shall be fixed by the arbitrator to present and cross examine all witnesses in the case. The final stage for the arbitration proceeding is for the parties to submit their respective closing statement- this statement summarized all pertinent issues of the case- until the arbitrator formally closes the proceeding and render his/ her final conclusion on the matter.


The legal fees will be 40,000AED upfront payment on the signing the retainer agreement
4% once we obtain the arbitration award in our favor
4% of the recovered or settled amount.

Arbitration Centre Fees
Amount in Dispute 383560
Number of Arbitrator 1
Arbitrator's Fees
Minimum 11253.40
Average 25510.20
Maximum 39767.00
Advance on costs (Without Arbitrator's expenses)
Average Fees multiplied by arbitrator's 25510.20
Administrative Fees 10000.00
________________________________________
Total 35510.20
________________________________________

Fixing the fees of the Tribunal

DIAC Arbitration Rules 2007
Appendix Costs of Arbitration

Article (3.3)

The Executive Committee may, at any time during the arbitration, fix the fees of the arbitrators at a figure higher or lower than that which would result from the application of the Table of Fees and Costs due to the circumstances of the case. For this purpose, the Centre should take into account fluctuation in the amount in dispute, changes in the amount of the estimated expenses of the Tribunal, or the evolving difficulty or complexity of arbitration proceedings. The Executive Committee shall determine how such increase shall be allocated between the parties. Any party may issue an unconditional bank guarantee to cover such increase in a method acceptable to the Executive Committee.



Thank you

MELANIE MENDIKYAN
MANAGING DIRECTOR

P.O. Box 215880, Dubai, U.A.E.
Mob : 00971 55 954 7308
Tel: 00971 4 4534188
Fax: 00971 4 4534189

 

[LostCanadians]

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