x Abu Dhabi, UAEFriday 21 July 2017

Abu Dhabi landowner told to repay Dh900,000

Land was rented out for construction for school but had been assigned by municipality for a nursery.

A landowner who rented out a plot of land so that a school could be built despite it being earmarked for a nursery, should repay almost Dh1million, a court has ruled.

Abu Dhabi Preliminary Civil Court ruled that the plot of land, assigned by the municipality for a nursery, could not be used for another purpose.

The school's representative filed a lawsuit requesting the annulment of the 15-year lease, which started at a rate of Dh600,000 for the first year rising to Dh1 million a year for the last five years.

She told the court that when she applied for a construction permit for an all-grade school, she was surprised to find the plot was licensed for the building of a nursery and that it would be impossible to amend the licence.

She also learned that the landowner was aware of this when signing the lease agreement.

She requested the defendant pay back Dh900,000, the sum of a cheque that had already been cashed, and return a second uncashed cheque for Dh500,000.

The landowner filed a countersuit for slander and Dh500,000, the amount of the second cheque he could not cash as the school's representative had closed her bank account. The countersuit was rejected.

In addition to annulling the lease, the court ordered the landowner to pay back all of the money and cheques he received.

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