| Date: |
03/08/2026 |
| Name of listed company |
Al Mazaya Holding Co. K.S.C.P |
Automated Lawsuit number
Lawsuit Number |
................................
(Previous case No.) 42/2023/1530 Commercial
(Currant case No.) 517/2023 Rea Estate
831&849&850&858 of 2023 Real Estate Appeal
1070&1088/2026 Real Estate Cassation |
| Subject of the Lawsuit |
Two subsidiaries of Al Mazaya Holding Company in the Emirate of Dubai (the defendants in this case) previously filed a lawsuit against the plaintiffs in this lawsuit claiming sums in exchange for developing real estate projects for them in the Emirate of Dubai, and the subsidiaries obtained a final judgment against them for a total amount of AED 19,780,852 (the subject of the disclosure dated 19/10/ 2021) under which the execution is under process, and as a result, the plaintiffs filed this lawsuit by claiming the following amounts against Al Mazaya Holding Company, the two subsidiaries and others, as follows:
1- Claiming that the defendants and those required to be included jointly, to pay to the plaintiffs an amount of AED 261,026,454 with legal interest at the rate of 5% from the date of the judicial claim until full settlement, with the inclusion of the judgment of expedited exhaustion free from the bail bond.
2- Claiming that the defendants and those required to be included jointly, to pay to the plaintiffs an amount of AED 50,000,000 as compensation for lost profits.
3- Obligating the defendants and those required to be included to pay the fees, expenses, and attorney’s fees |
| The Court Judgement / Verdict date |
03/08/2026 |
| The name of the Court/ Court circuit that issued the Judgement / Verdict |
Court of Cassation |
| Parties of the Lawsuit |
Al Mazaya Emirates Real Estate Development Company L.L.C, Al Mazaya Real Estate Company FZ L.L.C. (subsidiaries), Al Mazaya Holding Company K.S.C.P., and others. (Appellants in Appeal No. 1070 of 2026 and Respondents in Appeal No. 1088 of 2026)
against
Atheer Development Limited and others (Respondents in Appeal No. 1070 of 2026 and Appellants in Appeal No. 1088 of 2026) |
| The Judgment / Verdict in favor of |
The Court ruled in favor of the Appellants and the Respondents therein, Atheer Development Limited and Others, and partially in favor of Mazaya Holding Company, being the Appellant and the Respondent as detailed in the judgment. |
| Court of First Instance Judgment / Verdict |
The court ruled in:
First: Accepting the inclusion of (1- Dynasty Al-Zarouni Inc., 2- Kabir Molchandani, and 3- Hilal Muhammad Abdul Karim Abu Al-Hassan Al-Zarouni) as defendants in the lawsuit in form.
Second: Did not accept he case as its subject was already resolved by the court through case No. 297/2020 Plenary Real Estate, and the plaintiffs were obligated to pay the deferred fees according to what was stated as part of reasons and expenses, in addition to one thousand dirhams for attorney’s fees. |
| Court of Appeal Judgment / Verdict |
The Court ruled in:
First: To dismiss Appeals Nos. 849, 850, and 858 of 2023 (Real Estate) on the merits. Second: With regard to Appeal No. 831 of 2023 (Real Estate), to revoke the appealed judgment insofar as it held that the case was inadmissible due to prior adjudication in Case No. 297/2020 (Real Estate), and to re-adjudicate the matter by ordering the first three Respondents (Appellees) to jointly and severally pay to the Appellants an amount of AED 15,804,562 (Fifteen Million Eight Hundred Four Thousand Five Hundred Sixty-Two UAE Dirhams), together with delay interest at the rate of 5% per annum from the date of judicial claim until full payment.
Furthermore, to order them, jointly and severally, to pay the Appellants an amount of AED 3,000,000 (Three Million UAE Dirhams) as compensation for the damages sustained by them.
The Court also ordered each Appellant in Appeals Nos. 849, 850, and 858 of 2023 (Real Estate) to bear the fees and costs of their respective appeals.
It further ordered the first three Respondents in Joined Appeal No. 831 of 2023 (Real Estate) to bear an appropriate portion of the court fees and costs for both levels of litigation.
The Court ordered that legal fees be set off between the parties and forfeited the security deposits related to the four appeals. |
| Court of Cassation Judgment / Verdict |
The Court ruled as follows:
In Appeal No. 1088 of 2026 (Real Estate), the appeal was dismissed, and the appellants were ordered to bear the costs of the appeal.
In Appeal No. 1070 of 2026, the Court partially quashed the challenged judgment insofar as it upheld, under Appeal No. 831 of 2023 (Real Estate), the liability of the third appellant, Mazaya Holding Company K.S.C.P., for the amounts awarded and the related interest. The appeal was dismissed in all other respects. The first and second appellants were ordered to bear the costs of the appeal, while the Court ordered that legal fees be set off between the parties and that the appeal security deposits in both appeals be confiscated.
The Court further ruled, with respect to the part of the judgment that was quashed, on the merits of Appeal No. 831 of 2023 (Real Estate), by upholding the Court of First Instance judgment in relation to the third respondent to the appeal. |
| The expected financial impact on the company as a result of the Judgment / Verdict |
There is currently no financial impact on the Group, as the Group had previously recognized a provision for the total amounts awarded by the Court of Appeal, together with the compensation amount and delay interest accrued from the date of the claim up to 30 June 2026. Such interest will continue to be updated as of the date of each set of financial statements issued by the Group. |