September 28, 2022 SCT - Judgments and Orders
Claim No. SCT 268/2022
THE DUBAI INTERNATIONAL FINANCIAL CENTRE COURTS
In the name of His Highness Sheikh Mohammed Bin Rashid Al Maktoum,
Ruler of Dubai
IN THE SMALL CLAIMS TRIBUNAL OF DIFC COURTS
BEFORE H.E JUSTICE NASSIR AL NASSER
BETWEEN
LAASYA
Claimant
and
LAHAAN
Defendant
| Hearing : | 16 September 2022 |
|---|---|
| Further submissions : | 21 September 2022 |
| Judgment : | 28 September 2022 |
JUDGMENT OF H.E. JUSTICE NASSIR AL NASSER
UPON this claim being filed on 5 July 2022
AND UPON a Hearing being held before H.E. Justice Nassir Al Nasser on 16 September 2022, with the Claimant’s representative and the Defendant’s representative in attendance
AND UPON reading the submissions and evidence filed and recorded on the Court file
IT IS HEREBY ORDERED THAT:
1. The Defendant shall pay the Claimant the sum of AED 9,417.19.
2. The Defendant shall pay the Claimant the Court fees in the sum of AED 471.17.
Issued by:
Hayley Norton
SCT Judge
Date of issue: 28 September 2022
At: 9am
THE REASONS
The Parties
1. The Claimant is Laasya (hereafter “the Claimant”), a company registered in Dubai, UAE.
2. The Defendant is Lahaan (hereafter “the Defendant”), a Company registered and located in Dubai, UAE.
Background and the Preceding History
3. The Claimant’s claim relates to payment of alleged outstanding agent fees to be paid by the Defendant to the Claimant pursuant to a lease brokerage agreement dated 28 February 2022 (the “Agreement”).
4. On 5 July 2022, the Claimant filed a claim against the Defendant in the DIFC Courts’ Small Claims Tribunal (the “SCT”) for payment of alleged outstanding agent fees in the sum of AED 9,417.19.
5. On 7 September 2022, the Defendant responded to the claim by filing its defence.
6. A Consultation was listed before SCT Judge SCT Judge Maitha Al Shehhi on 24 August 2022, with the Claimant’s and the Defendant’s representatives in attendance, however, the parties failed to reach a settlement.
7. A hearing was held before me on 16 September 2022, with the Claimant’s and the Defendant’s representatives in attendance.
Discussion
8. The Claimant relies on clause 2 of the terms and conditions of the Agreement which states as follows:
“the Broker will introduce the suitable properties to the Tenant via email. The Tenant does not need to have physically visited the properties to be deemed as introduced by the Broker. If the Tenant has already been introduced to the property/s, then an email must be sent to the broker within two (2) business days confirming that they have already been introduced to the property/s, these properties will then not be considered as introduced by the broker. If this email is not sent by the Tenant these properties will be deemed to have been introduced by the broker”.
9. The Claimant submits that on 23 February 2022, it received a call from an employee of the Defendant (the “Defendant’s Employee”) enquiring about potential offices to rent in Business Bay and along Sheikh Zayed Road. Thereafter, the Claimant put forward for the Defendant’s Employee’s consideration several building recommendations, one of which included Ladessa Tower. Subsequently, the Defendant provided the Claimant with its trade license to register the Defendant’s name with various properties.
10. On 24 February 2022, the Claimant met with Lali from the Defendant’s management and viewed various properties including units 1802B and 1803A. On the same day, the Claimant requested that the Defendant sign the Agreement and in addition sign an offer letter to lease the unit of interest.
11. On 28 February 2022, the Claimant and Mr. Lali signed the Agreement.
12. On 2 March 2022, the landlord of Ladessa Tower (the “Landlord”) informed the Claimant that the rent had increased and the Claimant updated the Defendant in this regard. Following the notification of the increase in rent, the Defendant requested other options to be provided for its consideration and also requested for the name of the Landlord which was duly provided by the Claimant.
13. On 8 March 2022, the Claimant was informed by the Landlord that the Defendant had contacted the Landlord directly in an attempt to finalise the lease of a unit that had been recommended by the Claimant.
14. On 9 March 2022, the Landlord informed the Claimant that it had signed a lease agreement with the Defendant.
15. In response, the Defendant submits that it did not sign the Agreement with the Claimant and that Mr. Lali signed the Agreement in his personal capacity.
16. The Defendant also argues that the Agreement is non-exclusive and therefore the Claimant was not the only exclusive broker to the Agreement.
17. The Defendant also submits that the leased property was introduced by a Company called Lits. As such, the Defendant submits that the Claimant is not entitled to claim the sum of AED 9,417.19 and the case should be dismissed.
Findings
18. In support of its claim, the Claimant submitted a letter of intent to lease a unit at Ladessa Tower signed by Mr. Lali who is stated as a manager of the Defendant as per its Commercial License (the “Letter of Intent”). The Letter of Intent states as follows:
“Further to our visit of the property above (“Ladessa Tower”) we would like to express our interest to lease 820 sqft at Ladessa Tower located in Shaikh Zayed Road, Dubai, UAE. We have been introduced to the Property by Laasya. Please find below the salient terms discussed with Core for the proposed Lease.”
19. As per the Letter of Intent, the name of the tenant is stated to be ‘Lamit’.
20. It is clear that both the Agreement and the Letter of Intent were signed by the manager of the Defendant, Mr. Lali, and that the purpose of the relationship was to find a unit for the Defendant to lease. In my view, the Defendant’s manager was not looking for a unit in his personal capacity but, to the contrary, as an authorized signatory, he was looking for a unit for the Defendant.
21. I find that the Letter of Intent is sufficient evidence to demonstrate that the unit in Ladessa Tower was introduced by the Claimant to the Defendant (and its Manager), and that the Letter of Intent also confirms that the tenant of the unit is the Defendant and not Mr. Lali in his personal capacity.
22. Therefore, I find that the Defendant is liable to pay the Claimant the sum of AED 9,417.19 pursuant to clause 2 of the terms and conditions of the Agreement.
23. The Defendant shall also pay the Claimant the Court fees in the sum of AED 471.17.
