According to the UAE Federal Law No-3 of 1987 promulgating the legal code, both criminal, also as civil proceedings, are often initiated against the perpetrator of bounced cheque writer.
CONSEQUENCES :
- Firstly, a Criminal case will be filed by the bank.
- While Penalty for the case will depend on the case amount.
- Besides After the criminal case, they might file a civil case to claim the amount of the Cheque.
SETTLEMENT :
Even though the issuer of the cheque is subject to penalties or imprisonment or both, the latter part of the said provision of law states that punishment may be avoided if the amount of the cheque is paid in full to the payee or if the payee of the cheque waives his right to collect the proceedings of the dishonoured cheque.
Moreover, If a criminal case was filed against you, Based on the provisions of the Dubai Criminal Order Law, the punishment may be by fine. While the fine may vary depending on the cheque amount.
Certainly, Our LEGAL ADVISORS can help you out.
CONTACT : 058-5323296
– Samira Al Zarooni Advocates & Legal consultants,
Sheikh Zayed Road, DUBAI
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Also Refer : https://www.khaleejtimes.com/legalview/uae-law-on-bounced-cheques-all-you-need-to-know
