I live in Dubai. A month ago, I was involved in a traffic accident where I collided with a truck. My car that I had bought with a bank loan was completely damaged and written off by the insurance company. I have now been informed that my car had an issue with the brake system (a manufacturing defect). When I contacted the car dealer, they refused to accept this fact. Do I have the right to give my statement to the police and insurance company? I could have died due to this manufacturing defect, but the company is still not willing to accept the truth.

 

The questioner can send a notice through the court to the car dealer claiming a new vehicle as well as compensation that he deems fit. In case the dealer fails to respond, or no amicable settlement can be reached, the questioner should file a case in court requesting it to assign an expert specialised in cars to provide a detailed report of the car’s defects. If the report is in the questioner’s favour, he can ask for proper compensation.

 

Gratuity calculation

I live in Dubai. How is end-of service gratuity calculated? Is it calculated on basic salary plus commission? I used to get commission every three months apart from overtime pay. Is the basic salary considered to be the one stated in the employment contract, or is it the current salary. My basic salary was increased two years ago.

 

Article 134 of the Federal Labour Law 8 of 1980 states: “Without prejudice to what is provided for by some laws on the granting of pensions or retirement benefits to employees in some establishments, severance pay shall be calculated on the basis of the remuneration last due to the worker for those who are paid on a monthly, weekly or daily basis, and on the average basis of the daily remuneration referred to in Article 57 of this law for those who are paid at piece rate basis. The remuneration used as a basis for the purpose of calculating severance pay shall not include what is given to the worker in kind, and housing allowance and transport and travelling allowances, overtime pay representation allowances, cashier’s allowances, children education allowances, allowances for recreational and social facilities, and any other allowances or increments.”

As per the article mentioned, the current basic salary will be considered for gratuity.

 

Questions answered by advocate Mohammad Ebrahim Al Shaiba of Al Shaiba Advocates and Legal Consultants.