Dubai court orders Nissan Motor to pay $354m compensation to Al Dahana

Al Dahana, a Middle East automotive retailer, announced that a court in Dubai has ordered Nissan Motor and Nissan Middle East to pay it compensation of over AED 1.3 billion ($354 million).

Al Dahana, as per a suit filed by it in July 2019, sought to recover compensation for the damages incurred as a result of breach of contract made by Nissan Motor and its company subsidiary — Nissan Middle East as well as two appointed directors.

Nissan Motor and its subsidiary were alleged to have diverted profits from Al Dahana for a decade.

The Dubai Court of First Instance first issued its ruling directing Nissan to jointly pay the amount to Al Dahana.

Following the examination of presented evidence and the provisions of the law, on 4 October 2021, the Dubai Court of Urgent Matters issued a precautionary attachment order over goods, bank accounts, moveables, and balances of the two firms and assessed the amount of debt they owed at around AED 1.3 billion, which includes interest.

Nasser Watar – CEO for Al Dahana Group said: “Al Dahana is extremely happy with the court’s verdict and would like to thank Dubai Courts for their impartial and just ruling. We feel heard, and believe this will pave the way for other regional companies to seek justice as well.”