October 25, 2021 court of first instance - Orders
Claim No. CFI 034/2021
THE DUBAI INTERNATIONAL FINANCIAL CENTRE COURTS
IN THE COURT OF FIRST INSTANCE
BETWEEN
AL EATESAM MODERN MARKETING CO LTD (SECUTRONIC)
Claimant/Defendant in the counterclaim
and
SEED MENA BUSINESSMEN SERVICES LLC
Defendant/Claimant in the counterclaim
CASE MANAGEMENT CONFERENCE ORDER OF H.E. JUSTICE NASSIR AL NASSER
UPON reviewing the Court file
AND UPON reading the Case Management Bundle
AND UPON reviewing the Rules of the DIFC Courts (the “RDC”)
AND UPON hearing Counsel for the Claimant and Counsel for the Defendant at the Case Management Conference held before H.E Justice Nassir Al Nasser on 5 October 2021
IT IS HEREBY ORDERED THAT:
Agreed List of Issues
1. The following issues shall be considered during the trial:
a. Whether the Claimant has fulfilled its obligations prescribed by the Definitive Agreements, as required by Article 243(2) of the Federal Law No. 5 of 1985 on the Civil Transactions Law of the United Arab Emirates as amended by Federal Law No. (1) of 1987 (the “UAE Civil Transactions Law”)?
b. Whether the Memorandum of Understanding (the “MoU”) was discharged by performance as per Article 8 (3) of the Cooperation Agreement when the parties executed the Cooperation Agreement, the Revenue Sharing Agreement and the Side Shareholder Agreement?
c. Whether the MoU was novated/superseded once the Definitive Agreements were executed?
d. Whether the Defendant is in breach of its contractual obligations as per the signed agreements, in accordance with Article 243(2) of the UAE Civil Transactions Law?
e. Whether the Claimant is entitled to refund of an amount of AED 700 from the Defendant due to the reason that the Defendant is in breach of the agreements in accordance with Article 274 of the UAE Civil Transactions Law?
f. Whether the MoU is a binding Agreement between the parties?
g. Whether as per the MoU achieving the target of AED 30 million in the first year is the main purpose of the business relationship between the parties?
h. Whether the achieving of AED 30 million is a binding obligation upon both parties?
i. Whether the MoU cast a binding obligation upon the Defendant to ensure that Claimant achieved the target of AED 30 million in the very first year?
j. If not, whether the MoU imposed any penalties of the Defendant for breaching such a binding obligation?
k. Was the MoU discharged by performance when the parties executed Definitive Agreements?
l. Whether the contractual relationship between the Defendant and the Claimant was governed by MoU?
m. Was MoU novated/superseded by the Definitive Agreements?
n. Whether the contractual relationship between the Defendant and the Claimant was governed by the Definitive Agreements?
o. If not, what was the purpose of the Definitive Agreements?
p. Whether the Claimant is in breach of the Revenue Sharing Agreement, the Side Shareholder Agreement, and the Cooperation Agreement?
q. Whether the Defendant acted as a sponsor and provided the necessary services as contemplated in the Definitive Agreements?
r. Whether the provisions of the Definitive Agreements cast a binding obligation upon the Defendant to ensure that the Claimant achieved the target of AED 30 million in the very first year?
s. In the absence of any such binding provision, whether the Claimant sought for any express undertaking from the Defendant guaranteeing the target of AED 30 million in the first year?
t. Whether the Claimant was entitled to withhold its third instalment and seek refund of all the amount paid by it if the Claimant was unable to achieve the target of AED 30 million in the very first year?
u. Whether the Claimant has conceded that it was introduced by the Defendant to new business partners, thereby contradicting its entire case?
v. Whether the Defendant’s right to receive the Annual Fee was contingent upon meeting the Target?
w. Does the non-renewal of the Agreements amount to forfeiture of the Annual Fee for the period the Agreements were in subsistence?
x. Whether the Claimant has admitted its liability to pay a sum of AED 500,000 to the Defendant vide its email dated 2 September 2019?
y. Whether the Defendant is entitled to payment of a sum of AED 500,000 from the Claimant which is the third and final tranche of the Annual Fee as per the Cooperation Agreement, the Revenue Sharing Agreement and the Side Shareholder Agreement entered into between the parties, in addition to the interest on such amounts?
z. Whether the Defendant is entitled to payment of a sum of AED 700 from the Claimant, which is 5% of the revenue generated from the Kings School project, as per the Revenue Sharing Agreement and the Cooperation Agreement, in addition to the interest on such amount?
aa. Whether the Claimant has generated any other income from other projects based on introductions made by the Defendant in the UAE that will make it liable to contribute 5% percent of its income from such projects to the Defendant?
bb. Whether the Claimant can raise new contentions in its Reply that it had not raise earlier in its Claim Form and Particulars of Claim without amending its Claim Form and Particulars of Claim?
cc. Whether the Claimant can seek a remedy regarding specific performance of the MoU without having prayed so in the Claim Form or Particulars of the Claim?
Production of Documents (RDC Part 28)
2. Standard production of documents shall be made by each party by 4pm on 17 November 2021.
3. The parties shall file and serve a Request to Produce, if any, by 4pm on 17 October 2021.
4. Objections to Requests to Produce, if any, shall be filed and served within 7 days thereafter and in any event by 4pm on 24 October 2021.
5. Where objections to any Requests to produce have been made, the Court shall determine those objections and shall make any disclosure order within the following 7 days and in any event by 4pm on 31 October 2021.
6. The parties shall comply with the terms of any Disclosure Order and file a Document Production Statement within 7 days thereafter and in any event by 4pm on 7 November 2021.
7. Where there are no objections to a particular Request contained in a Request to Produce, documents responsive to that request shall be produced within 14 days from the date of the Request to Produce and in any event by 4pm on 31 October 2021.
Witness Statements (RDC Part 29)
8. Signed statements of witnesses in support of the Claimant’s and Defendant’s case shall be submitted by 4pm on 20 February 2022.
9. Any Witness Statement evidence in reply shall be filed and served within 2 weeks thereafter and in any case by 4pm on 7 March 2022.
10. Unless otherwise ordered, the statements shall stand as evidence in chief of the witnesses at trial.
Progress Monitoring Date (RDC Part 26)
11. The Progress Monitoring Date shall be listed at 11am on 28 March 2022.
12. The parties shall file and serve a Progress Monitoring Information Sheet at least three clear days before progress monitoring date and in any event by 4pm on 24 March 2022.
Trial Bundles (RDC Part 35)
13. Agreed trial bundles shall be filed and served 2 weeks before trial and, in any event, by 4pm on 3 April 2022.
Reading List and Trial Timetable (RDC Part 35)
14. An agreed reading list for trial along with an estimate of time required for reading and an estimate timetable for trial shall be filed with the Court by the Claimant/Claimant in the Counterclaim by 4pm on 13 April 2022.
Skeleton Argument and Chronology (RDC Part 35)
15. Skeleton Arguments and Written Opening Statements shall be filed and served before the start of trial for the Claimant and in any event by 4pm on 13 April 2022 and for the Defendant by 4pm on 14 April 2022.
16. The parties shall prepare an agreed Chronology of significant events cross-referenced to significant documents, pleadings and witness statements which shall be filed with the Court by the Claimant/Claimant in the Counterclaim by 4pm on 14 April 2022. In the event that there are areas of disagreement, the Chronology shall include an agreed Chronology and a Chronology of events which are disputed, with the parties’ respective positions outlined therein.
Trial (RDC Part 35)
17. The trial of this matter shall be listed at 10 am on 25 April 2022 with an estimated duration of 5 days.
18. Costs of the Case Management Conference shall be costs in the case.
19. The parties shall have liberty to apply.
Issued by:
Amna Al Owais
Chief Registrar
Date of Issue: 25 October 2021
At: 11am