Dubai: A Dubai court has rejected a Dh500,000 compensation claim by heirs who accused a lawyer of professional negligence in handling an insurance claim following their relative’s death in a road accident, ruling that they had failed to prove wrongdoing or establish that they had suffered compensable damage.
The Court of First Instance ordered the heirs to pay court costs and Dh500 in legal fees, finding that the enforceable compensation award was Dh100,000 and that the evidence did not establish that the lawyer’s actions had caused them financial loss.
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The heirs had sought Dh500,000 for material and moral damages, along with legal interest of 5 per cent a year until full payment. They alleged that the lawyer had failed to challenge an initial compensation decision to secure a higher award and had not handed over the full amount collected on their behalf.
Dispute over fatal road accident compensation
The case stemmed from a fatal road accident in December 2021 that claimed the life of the heirs’ relative. The person responsible for the crash was convicted under a final criminal judgment.
The heirs said they had appointed the lawyer to pursue an insurance compensation claim following the death. The lawyer filed an insurance dispute that resulted in a decision awarding them Dh100,000.
However, they alleged that the lawyer collected the money through enforcement proceedings without challenging the decision to seek a higher amount. They argued that this had deprived them of the opportunity to obtain greater compensation.
The heirs also claimed that they had not received the full amount collected in the original proceedings.
They subsequently appointed another lawyer, who filed a fresh insurance dispute. That case resulted in a decision awarding them Dh300,000, but the decision was later overturned because the matter had already been adjudicated.
The heirs also cited disciplinary proceedings against the first lawyer before the Professional Conduct Committee. The proceedings resulted in an earlier decision to strike the lawyer off the professional register being amended, with a one-month suspension from practising instead.
Lawyer denies allegations
The lawyer and the legal services office urged the court to dismiss the claim, arguing that the power of attorney authorised them to pursue the compensation claim and receive the award on the heirs’ behalf.
They maintained that the Dh100,000 had been collected and handed over to the heirs’ representative after deducting the agreed legal fees and expenses.
The defence also submitted a signed acknowledgement from the representative confirming receipt of the money and undertaking to deliver it to the heirs.
Court finds no evidence of liability
The court said civil liability requires proof of an error, actual damage and a causal link between the two.
It found that the heirs had failed to provide sufficient evidence that the lawyer and the legal services office had committed an error warranting compensation.
The court also rejected their argument that they had lost the opportunity to secure a higher award. It noted that the decision granting Dh300,000 had been overturned because the matter had already been adjudicated, leaving the Dh100,000 award as the enforceable decision.
As the amount had been collected on behalf of the heirs, the court concluded that the alleged material damage had not been established.
It dismissed the claim and ordered the heirs to pay the court costs and Dh500 in legal fees.