Commercial Law

The case of Aboualsaud v Aboukhater and Another [2007], concerned a credit repair professional arrangement when a Claimant contended entitlement to commission pursuant into a binding oral agreement. The claimant was the executive vice-president with the Kuwait Investment Office in London along with a financial adviser to both a petroleum corporation in Kuwait and also to the Minister of Energy. The first defendant was obviously a commercial director from the office in the government of one from the United Arab Emirates in London. The second defendant, the very first defendant’s father, was the beneficial owner of numerous large hotels.

In the 1990’s, the claimant and the very first defendant experienced a meeting in London. They subsequently became buddies. They would see one another every week and would speak about the telephone most days. Then, in late 2002, the claimant alleged that the 1st defendant had spoken to him concerning the sale of merely one of his father’s hotels. The specific hotel concerned was the ‘Monte Carlo Grand Hotel’ (“MGCH”).

The claimant further contended which a binding oral agreement was made with the 1st defendant. He claimed how the agreement arose away from various meetings and phone calls and the terms were that in case he introduced an event to the defendants, knowning that party continued to purchase the MCGH for the price that had been acceptable directly to them, yet be entitled to your commission of EUR 21.5million.

In December 2004, the MCGH was sold to Kingdom, a member on the joint venture FHR European Ventures LLP. The claimant argued that this sale ended up being facilitated through the introduction of HRH Prince Al Waleed bin Talal bin Abdulaziz al Saud, who had previously been the principal owner of Kingdom.

The defendants denied that there were any binding agreement with the payment of commission inside the terms how the claimant had alleged. The defendants felt that this case was simply one the place where a friend had sought the aid of another friend, understanding that if that help were being successful then payment in recognition of these help could possibly be expected.

The case proceeded to trial.

The issue which arose being decided from the courts was whether there was a credit repair professional agreement between your claimant and the primary defendant, aforementioned acting for himself with the exceptional father.

The court held that within the evidence, the very first defendant’s account was more convincing than that in the claimant. This was mainly in respect on the essential points in dispute, namely, the way the discussions between your friends arose, how a discussions progressed and exactly what the outcome of those discussions was.

The court felt that on that basis, there may not be any agency agreement on which a binding legal contract may very well be established. Therefore, judgment will be made in favour on the defendants.

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