Dubai court orders company to pay Dh1.544 million for unpaid packaging supplies

A Dubai commercial court has ordered a company to pay Dh1.544 million in outstanding dues to a packaging supplier, along with a 5 per cent delay interest, legal fees and court costs.

The ruling was issued after the court found that the firm had failed to settle the value of packaging materials supplied under a series of confirmed commercial transactions.

According to the case file, the dispute arose from ongoing business dealings between the supplier and the defendant company, during which the supplier provided packaging materials used in the company’s operations, Al Khaleej Arabic daily reported.

The value of the materials accumulated over time, supported by account statements, purchase orders, official invoices and a written acknowledgment from the debtor company confirming the full amount owed.

Despite the clarity of the debt and the extensive documentation provided, the company did not proceed with payment. This prompted the supplier to pursue legal action to recover its financial rights. During the hearings, the court reviewed the submissions of both parties and appointed a financial expert to examine the evidence.

The expert’s report confirmed that the claimed amount represented the actual value of packaging materials used by the company in its glass manufacturing activity, and that the outstanding sum was accurate and remained unpaid.

The court also rejected the company’s argument that the case should not be heard, noting that the relationship between the two parties was a reciprocal commercial one to which the stated objection did not apply.

Based on the submitted documents and the expert’s findings, the court ruled that the company must pay the supplier Dh1.544 million with 5 per cent interest from the date of the claim until full settlement, as well as all fees, expenses and legal costs.