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TARIG MOHAMED ABDELSALAM ABDELRAHMAN v EXEPRESSO TELECOM GROUP [2021] DIFC CFI 056 — Default judgment for USD 447,700 (01 September 2021)

The DIFC Court of First Instance confirms the procedural requirements for obtaining a default judgment where a defendant fails to acknowledge service or file a defence within the prescribed timeframe.

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What was the specific monetary claim brought by Tarig Mohamed Abdelsalam Abdelrahman against Exepresso Telecom Group in CFI 056/2021?

The dispute centers on a claim for a liquidated sum brought by Tarig Mohamed Abdelsalam Abdelrahman against Exepresso Telecom Group Ltd. Following the Defendant’s failure to engage with the proceedings, the Claimant sought a default judgment to recover the outstanding debt. The Court, satisfied that the procedural hurdles had been cleared, entered judgment in favor of the Claimant for the full amount requested.

The final order issued by the Court explicitly mandates the payment of the principal sum. As stated in the judgment:

The Defendant shall pay the Claimant within 14 days, from the date of this Order, the judgment sum of USD 447,700.

This amount represents the total liability established by the Claimant's filing, which remained uncontested by the Defendant throughout the period allowed for a response. The judgment serves as a final determination of the debt owed by Exepresso Telecom Group Ltd to the Claimant.

Which judge presided over the default judgment application in CFI 056/2021 and when was the order issued?

The application for default judgment was heard and determined by H.E. Justice Maha Al Mheiri, sitting in the DIFC Court of First Instance. The order was formally issued on 1 September 2021, following the Claimant’s request submitted on 30 August 2021.

How did the Claimant, Tarig Mohamed Abdelsalam Abdelrahman, satisfy the procedural requirements for service under RDC r.9.43?

The Claimant bore the burden of proving that the Defendant had been properly notified of the proceedings before the Court could entertain a request for default judgment. To satisfy the Court, the Claimant provided evidence that the claim form and particulars of claim had been served in accordance with the Rules of the DIFC Courts (RDC).

The Court confirmed the validity of this service in its findings:

The Claimant filed a Certificate of Service in respect of service on the Defendant pursuant to RDC r.9.43.

Service was formally effected on 10 August 2021. By filing the Certificate of Service, the Claimant established the necessary foundation to demonstrate that the Defendant had been afforded the requisite opportunity to respond, thereby justifying the subsequent move for a default judgment when no Acknowledgment of Service or Defence was forthcoming.

What specific jurisdictional and procedural criteria must a claimant satisfy under RDC 13.4 to obtain a default judgment in the DIFC?

The primary legal question before the Court was whether the Claimant had met the strict criteria set out in Part 13 of the RDC to warrant the entry of a default judgment. Under RDC 13.4, the Court must verify that the defendant has failed to take the necessary steps to defend the claim within the time limits prescribed by the rules.

The Court’s assessment of this requirement was clear:

The Request is one permitted by RDC 13.4 on the basis that the Defendant has failed to file an Acknowledgment of Service or a Defence to the claim (or any part of the claim), with the DIFC Courts, and the relevant time for so doing has expired.

This doctrinal requirement ensures that the Court does not prematurely deprive a defendant of the right to be heard. The Court must be satisfied that the defendant was served, that the time for filing a response has lapsed, and that no such response was filed, thereby triggering the Claimant's right to seek judgment without a trial.

How did H.E. Justice Maha Al Mheiri apply the procedural safeguards of RDC r.13.3 to the request for default judgment?

In evaluating the request, H.E. Justice Maha Al Mheiri conducted a review to ensure that the application did not fall into any category of prohibited requests. RDC r.13.3 provides specific safeguards to prevent the entry of default judgments in circumstances where the claim might be inappropriate for such a summary disposal, such as in certain types of complex litigation or where the claim is not for a specified sum.

The Court confirmed that the Claimant had adhered to all necessary procedural steps:

The Claimant has followed the required procedure for obtaining Default Judgment (pursuant to RDC rr.13.7 and 13.8).

By confirming that the request was not prohibited under RDC r.13.3 (1) or (2), the Court validated the Claimant's procedural compliance. This step is critical in DIFC practice, as it demonstrates that the Court has actively verified the legitimacy of the default request rather than merely rubber-stamping the application.

The Court’s authority to award costs is derived from the RDC, which allows for the recovery of legal costs and court fees upon the successful entry of a judgment. In this case, the Court exercised its discretion to order the Defendant to cover the Claimant's expenses incurred during the proceedings.

The order regarding costs is as follows:

The Defendant shall also pay the Claimant’s costs of these proceedings comprising: (1) the Claimant’s legal costs, until the date this request was fully pleaded, to be immediately assessed by the Registrar, if not agreed; and (2) costs of the Court filing fee.

This provision ensures that the Claimant is not out-of-pocket for the costs of enforcing their rights through the DIFC Court system. The reference to the Registrar for assessment provides a mechanism for resolving disputes over the quantum of legal fees if the parties cannot reach a mutual agreement.

What are the practical implications for DIFC practitioners regarding the 14-day payment window established in CFI 056/2021?

The judgment serves as a reminder of the strict timelines enforced by the DIFC Courts. Once a default judgment is entered, the Defendant is under a clear, time-bound obligation to satisfy the debt. The 14-day window for payment of the USD 447,700 sum is a standard enforcement timeline that practitioners must advise their clients to respect to avoid further enforcement actions, such as applications for execution or asset freezing orders.

For practitioners, this case underscores the importance of monitoring the Acknowledgment of Service deadlines. Failure to file a response within the prescribed time in the DIFC can lead to an immediate and significant financial liability, as demonstrated by the swift granting of the Claimant's request in this matter.

Where can I read the full judgment in Tarig Mohamed Abdelsalam Abdelrahman v Exepresso Telecom Group Ltd [2021] DIFC CFI 056?

The full judgment can be accessed via the official DIFC Courts website at the following link: https://www.difccourts.ae/rules-decisions/judgments-orders/court-first-instance/cfi-056-2021-tarig-mohamed-abdelsalam-abdelrahman-v-exepresso-telecom-group-ltd

A copy of the judgment is also available via the CDN link: https://littdb.sfo2.cdn.digitaloceanspaces.com/litt/AE/DIFC/judgments/court-first-instance/DIFC_CFI-056-2021_20210901.txt

Legislation referenced:

  • Rules of the DIFC Courts (RDC) Part 13
  • RDC r.9.43 (Service of Claim Form)
  • RDC r.13.3 (1) and (2) (Cases where default judgment may not be applied for)
  • RDC r.13.4 (Conditions to be satisfied)
  • RDC rr.13.7 and 13.8 (Procedure for obtaining default judgment)
Written by Sushant Shukla
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