“[About] 78 percent of the complaints received last year involved non-compliance with agreement / contract terms,” a spokesperson told Zawya.
A small portion, about 10 percent, alerted authorities about alleged commercial fraud, such as counterfeiting, while 4 percent involved non-adherence to declared business activity.
The good news, however, is that there is a declining trend of businesses involved in disputes. All in all, complaints related to commercial disputes in Dubai reached 770 in 2019, down by 54 percent from the 1,667 cases recorded in 2018.
According to the Dubai Economy, the incidence of disputes dropped because of its sustained campaign to reach out to traders and resolve complaints amicably.
“[The decline] indicates the success of our awareness campaigns rolled out on conventional as well as digital platforms,” said Mohammed Ali Rashed Lootah, CEO of CCCP.
The Dubai Economy deals with disputes from businesses against their partners, suppliers, dealers, agents or other businesses in Dubai. The complaints received range from non-compliance with agreements, price list and security requirements, as well as fraud and faulty products.
Businesses in the services sector appeared to be the most prolific in filing complaints, accounting for 39 percent of the disputes, followed by companies in the food sector (16 percent) and decoration and buildings (12 percent).
Most popular complaints in 2018
In 2018, the majority of the issues raised by entrepreneurs were also related to non-compliance with the terms of the agreement, representing 79 percent of the complaints.
Some firms complained about fraud (5.1 percent), while others expressed dissatisfaction about after-sales service (2.1 percent) and non-compliance with specifications and standards (1.5 percent).
Businesses in the non-oil sector in Dubai, Abu Dhabi and the rest of the UAE are a major driver of the local economy, with their combined economic contribution reaching 70 percent of the gross domestic product (GDP).
(Reporting by Cleofe Maceda; Editing by Seban Scaria)
Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.
© ZAWYA 2020