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Moheb Hassan
Lawyer
الأسئلة المجابة 63652 | نسبة الرضا 98.2%
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Hi there,my question is regarding a security...
Hi there,my question is regarding a security cheque deposited by a party without notifying me the reason for it. I have given two security cheque to a real estate and paid all my rent and after I cancelled the contract the cheques are to be returned right? But the owner deposited the cheques and neither he or his staffs are answering my phone calls for enquiry. Is it permissible for him to deposit the cheque in this context without asking prior permission? Even if there is anything lacking from our side we should be notified before depositing the cheque right?
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إجابة الخبير: Moheb Hassan

Moheb Hassan
Lawyer
الأسئلة المجابة 63652 | نسبة الرضا 98.2%
If your inquiry is related to a check issue, here is the following information:
The law does not stipulate that the lessor be notified before submitting the check to the court, and if the lease contract includes
A clause obliges the landlord to notify the tenant before presenting the check to the court, in which case you can submit the lease to the court.
But if there is no clause in the lease contract related to notifying the tenant.
In that case, you must appear before the judge in order to pay the value of the checks in order to avoid imposing a penalty of imprisonment or a financial fine.
Here is the text of the UAE Penal Code, related to your inquiry:
Article (401)
Detention or a fine shall be imposed upon anyone who, in bad faith, gives a draft (check) without a sufficient and drawable balance or who, after giving a check, withdraws all or part of the balance, making the balance insufficient for settlement of the check, or if he orders a drawee not to cash a check or makes or signs the check in a manner that prevents it from being cashed.
The same penalty shall apply to any one who endorses a check in favor of another or gives him a draft bearer, knowing that there is no sufficient balance to honor the check or that it is not drawable.
If the court orders the withdrawal of the check book from the convicted person and prevents him from giving him/her new ones according to Article (643) of the Commercial Transactions Law, the Public Prosecution shall inform this case to the Central Bank to circulate it to all banks.
In case that any bank violates the aforementioned order, the bank shall be required to pay a fine of (100,000) one hundred thousand dirhams.
The law does not stipulate that the lessor be notified before submitting the check to the court, and if the lease contract includes
A clause obliges the landlord to notify the tenant before presenting the check to the court, in which case you can submit the lease to the court.
But if there is no clause in the lease contract related to notifying the tenant.
In that case, you must appear before the judge in order to pay the value of the checks in order to avoid imposing a penalty of imprisonment or a financial fine.
Here is the text of the UAE Penal Code, related to your inquiry:
Article (401)
Detention or a fine shall be imposed upon anyone who, in bad faith, gives a draft (check) without a sufficient and drawable balance or who, after giving a check, withdraws all or part of the balance, making the balance insufficient for settlement of the check, or if he orders a drawee not to cash a check or makes or signs the check in a manner that prevents it from being cashed.
The same penalty shall apply to any one who endorses a check in favor of another or gives him a draft bearer, knowing that there is no sufficient balance to honor the check or that it is not drawable.
If the court orders the withdrawal of the check book from the convicted person and prevents him from giving him/her new ones according to Article (643) of the Commercial Transactions Law, the Public Prosecution shall inform this case to the Central Bank to circulate it to all banks.
In case that any bank violates the aforementioned order, the bank shall be required to pay a fine of (100,000) one hundred thousand dirhams.
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Moheb Hassan
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الأسئلة المجابة 63652 | نسبة الرضا 98.2%
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