Murabaha Contracts

A commercial action was filed by an individual resident ("the Claimant") against a PSC company in Dubai ("the Defendant").

The Claimant requested the Court to:

• Order the Defendant to annul a Murabaha contract, concluded on 2 June 2009 and amounting to AED 17,209,775;
• Direct the Defendant to re-pay AED 651,775, representing the first installment of the purchase price stipulated in the Murabaha contract ;
• To direct the Defendant to return the original cheque (dated 14 May 2008) issued for the remaining balance (AED 16,588,000) (Balance) of the purchase price.

The Claimant expressed his willingness to assign to the Defendant all the shares that had previously been transferred by the Defendant into the Claimant's account with another company through a finance loan concluded previously on 20