Dubai court orders contractor to pay Dh4.7 million to subcontractor

Dubai: The Dubai Commercial Court has ordered a contracting company to pay Dh4.7 million to a subcontractor for completed works, outstanding rental dues and compensation for scaffolding, together with legal interest of 5 per cent per annum.

The case stems from a subcontract signed in February 2024 for supply, installation and removal of formwork, scaffolding and steel works at a project in Jumeirah Village Circle. The subcontractor said the works were completed and handed over in January 2025 in line with agreed specifications, but payments were not made.

An engineering expert appointed in earlier proceedings found the claimant was entitled to Dh1.554 million for completed works including VAT, Dh1.146 million in rental dues for scaffolding over specified periods, and either the return of remaining scaffolding and a climbing system or their value of Dh2.055 million, Al Khaleej Arabic daily reported.

The court, ruling in the contractor’s absence after proper notification, adopted the expert report and ordered payment of Dh4.755 million, including compensation in lieu of returning the scaffolding. It awarded 5 per cent interest from the date the judgment becomes final until full settlement.

The court rejected further rental claims after the judgment date, holding that compensation for the scaffolding’s value precluded additional rental, and apportioned costs and legal fees accordingly.