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IRAQ TELECOM v RAYMOND SAMIR ZINA RAHMEH [2022] DIFC CFI 019 — Dispensing with service of notice of change of legal representative (01 June 2022)

The litigation, registered under case number CFI 019/2018, involves complex claims brought by Iraq Telecom Limited against Raymond Samir Zina Rahmeh and International Holdings Limited. As the proceedings progressed, the Claimant sought to transition its legal representation.

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The DIFC Court of First Instance issued a procedural order in the ongoing litigation between Iraq Telecom Limited and the defendants, Raymond Samir Zina Rahmeh and International Holdings Limited, concerning the formal requirements for notifying opposing parties of a change in legal representation.

The litigation, registered under case number CFI 019/2018, involves complex claims brought by Iraq Telecom Limited against Raymond Samir Zina Rahmeh and International Holdings Limited. As the proceedings progressed, the Claimant sought to transition its legal representation. Under standard DIFC Court procedure, a party changing its legal representative is typically required to serve formal notice of this change upon all other parties to the litigation to ensure transparency and the orderly conduct of the proceedings.

However, the Claimant encountered difficulties in fulfilling this service requirement, necessitating an application to the Court to bypass the standard notification protocol. The Claimant filed Application Notice No. CFI-019-2018/7 on 31 May 2022, requesting that the Court exercise its discretion to waive the requirement for service. The Court’s decision to grant this relief is summarized as follows:

Service on the Defendant of the Claimants’ Notice of Change of Legal Representative dated 25 May 2022 is dispensed with.

This order effectively allowed the Claimant to proceed with its new legal counsel without the procedural delay or potential obstruction associated with the formal service of the notice upon the Defendants. The full text of the order can be accessed at: https://www.difccourts.ae/rules-decisions/judgments-orders/court-first-instance/cfi-019-2018-iraq-telecom-limited-v-1-raymond-samir-zina-rahmeh-2-international-holdings-limited-2

Which judge presided over the application to dispense with service in the Iraq Telecom v Rahmeh matter?

The application was heard and determined by H.E. Justice Nassir Al Nasser, sitting in the Court of First Instance of the Dubai International Financial Centre Courts. The order was issued on 1 June 2022, following the filing of the application on 31 May 2022.

The Claimant, Iraq Telecom Limited, moved the Court to dispense with the service of the Notice of Change of Legal Representative dated 25 May 2022. The Claimant’s position was predicated on the necessity of ensuring that the change of counsel did not impede the momentum of the ongoing litigation. By filing Application Notice No. CFI-019-2018/7, the Claimant signaled to the Court that the standard service requirements were either impractical or unnecessary in the specific context of the current procedural posture of the case.

The Defendants, Raymond Samir Zina Rahmeh and International Holdings Limited, were the subjects of the application. While the order does not detail specific objections raised by the Defendants, the Court’s decision to grant the application without a hearing or further contest suggests that the Claimant successfully demonstrated that the interests of justice were best served by permitting the change of representation to take effect immediately, notwithstanding the lack of formal service upon the opposing parties.

The core legal question before the Court was whether it possessed the inherent power and procedural discretion under the Rules of the DIFC Courts (RDC) to waive the requirement for a party to serve a Notice of Change of Legal Representative on the opposing party. The Court had to determine if the procedural rules governing the change of legal representatives are absolute or if they are subject to the Court’s overarching authority to manage its own process and dispense with service where circumstances warrant.

This issue touches upon the balance between the procedural rights of the Defendants to be kept informed of the identity of the Claimant’s counsel and the Court’s duty to ensure that litigation proceeds efficiently. The Court had to evaluate whether the specific facts of CFI 019/2018 justified a departure from the standard RDC notification protocols.

In reaching the decision to dispense with service, H.E. Justice Nassir Al Nasser exercised the Court’s broad case management powers. The reasoning focused on the practical necessity of the order to ensure that the Claimant’s legal representation was not hindered by procedural technicalities. By granting the application, the Court prioritized the efficiency of the proceedings over the strict adherence to the service requirements typically mandated by the RDC.

The Court’s reasoning is encapsulated in the following directive:

Service on the Defendant of the Claimants’ Notice of Change of Legal Representative dated 25 May 2022 is dispensed with.

This decision reflects the Court’s pragmatic approach to procedural matters, where the primary objective is to facilitate the resolution of the substantive dispute rather than allowing procedural formalities to become a source of delay or tactical maneuvering between the parties.

The procedural framework for changing legal representatives in the DIFC Courts is primarily governed by the Rules of the DIFC Courts (RDC). Specifically, Part 35 of the RDC outlines the requirements for legal representatives, including the procedures for a party to change their legal representative or to act in person. While the RDC generally mandates that notice of such changes must be served on all other parties to ensure that the record is accurate and that all parties are aware of the identity of their opponents' counsel, the Court retains the discretion to modify these requirements under its general case management powers.

How does the Court’s decision in Iraq Telecom v Rahmeh align with the broader application of the RDC in DIFC litigation?

The decision in this case aligns with the Court’s consistent application of the RDC as a tool for effective case management rather than a rigid set of obstacles. The Court frequently relies on its inherent jurisdiction to waive or vary procedural requirements when such actions promote the overriding objective of the RDC: to deal with cases justly and at a proportionate cost. By dispensing with the service requirement, the Court demonstrated that it will not permit procedural rules to obstruct the fundamental right of a party to choose and change its legal representation.

What was the final disposition and the order regarding costs in the Iraq Telecom v Rahmeh procedural application?

The Court granted the application in its entirety. The order, issued on 1 June 2022, explicitly stated that service of the Notice of Change of Legal Representative dated 25 May 2022 on the Defendants was dispensed with. Regarding the costs of the application, the Court made no order, meaning that each party is responsible for its own legal costs incurred in relation to this specific procedural motion.

Litigants should note that while the RDC provides a standard path for changing legal representatives, the DIFC Court remains willing to exercise its discretion to dispense with service where the circumstances justify such a departure. Future litigants should be prepared to provide a clear justification for why service is impractical or unnecessary if they intend to seek a similar waiver. This case serves as a reminder that the Court prioritizes the efficient progression of litigation and will support procedural adjustments that prevent unnecessary delays in the representation of parties.

Where can I read the full judgment in Iraq Telecom Limited v (1) Raymond Samir Zina Rahmeh (2) International Holdings Limited [2022] DIFC CFI 019?

The full text of the order can be accessed via the DIFC Courts website at: https://www.difccourts.ae/rules-decisions/judgments-orders/court-first-instance/cfi-019-2018-iraq-telecom-limited-v-1-raymond-samir-zina-rahmeh-2-international-holdings-limited-2

Cases referred to in this judgment:

Case Citation How used
N/A N/A No specific precedents were cited in this procedural order.

Legislation referenced:

  • Rules of the DIFC Courts (RDC)
Written by Sushant Shukla
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