What separates mismanagement from a bad decision?
Process and reasonableness. A manager who took advice, followed procedure and decided in good faith is hard to attack. One who ignored authority limits, failed to keep books or let licences lapse is exposed.
What does the Commercial Companies Law add?
It provides for manager liability to the company and, in specified situations, to shareholders and third parties for fraud, abuse of authority or breach of law or the constitution. We check the exact provision for your company type.
What evidence is needed?
Decisions, approvals, losses and a causal link. A forensic accountant helps where the numbers are complex. Think carefully before suing someone you may need to negotiate with. See director removal.
Documents to have ready
- Appointment and authority documents
- Board and shareholder resolutions
- Accounts and audit reports
- Evidence of loss
- Correspondence on the decisions
Send us the documentsA short message and the key papers are enough for a first assessment.
WhatsApp usCommon questions
Is a loss alone enough to sue a manager?
No. You need to show a breach of duty or law and a link to the loss.
Can I sue former directors?
Yes, subject to time limits and the facts.
More on director & management disputes
This page is general information based on UAE and Dubai legislation as we understand it at the date of drafting. It is not legal advice. Laws are amended, and the right step depends on your documents and facts. Outcomes are never guaranteed.