Establishing effective debt recovery procedures is crucial for businesses in the UAE to ensure their continuity and financial stability. Companies can benefit from seeking amicable resolutions through constructive dialogue to recover outstanding amounts while preserving valuable business relationships.
In cases where amicable resolutions are not achievable, clients have the option to apply for payment orders – a legal mechanism designed to expedite the legal proceedings for recovery of established debts. By understanding the requirements and the process, companies can navigate the debt recovery process more efficiently and effectively, ensuring timely resolution of outstanding debts.
To obtain a payment order, the claim must be clearly defined and substantiated through written documentation containing the debtor’s acceptance/acknowledgment of the claim amount.
Initiating the process for a payment order involves a series of crucial steps that must be meticulously followed. In the event the debtor fails to settle the amount by amicable resolution, the claimant can then proceed to file a petition for the payment order.
Upon filing the petition, the Court undertakes the crucial task of evaluating its merits within a swift timeframe. Once a payment order is issued, we can then proceed to the stage of execution, including obtaining precautionary orders of travel ban and attachment of debtor’s assets (including bank accounts and vehicles).
When it comes to debt recovery, timely action and understanding legal recourse are key to achieving favorable results. In navigating the complexities of debt recovery and legal procedures, YMB stands ready to assist clients in recovering outstanding amounts efficiently and effectively. With our expertise and dedication, we can help clients navigate the intricacies of debt recovery processes and ensure successful outcomes.
