Plane lessor ordered to pay Dh6m to aviation firm

Court in Abu Dhabi orders aircraft leasing company to pay over Dhs6 million to aviation company

The Abu Dhabi Commercial Court of First Instance has issued a ruling ordering the Aircraft Leasing Company to pay Dh6. 212 million to an aviation company.

The court also upheld the seizure of properties of the aircraft leasing company up to the amount awarded by the ruling (Dh6.212 million) against operation of an aircraft owned by the plaintiff (the aviation company), besides plane maintenance expenditures and return of the plane to the country's airport.

Earlier, the plaintiff requested the defendant (the aircraft leasing company) to pay Dh21.683 million on the grounds that it had signed a five year contract, whereby the defendant would operate the plane for its account against $206, 631 monthly. However, the defendant violated the contract.

The court had referred the case to an expert to examine the documents of both sides. The expert stated in his report that the defendant has violated the contract, indicating that he could not establish the agreed hours of operation or damages that ensued from the grounding of plane. Then the court referred the case to an expert in aviation engineering, who stated that the defendant should pay $951, 155 to the plaintiff against the damages.