Sign in Register
Posted On: 22 January 2009 07:52 am
Updated On: 12 November 2020 02:09 pm

More financial disputes brought to courts

Paper Boy
Paper Boy
Discuss here!
Start a discussion
Courts here are inundated with cases where some of the courts hear at least 100 cases on a single day. Legal sources told this newspaper that many of the litigations involve financial disputes and road accidents. Bouncing cheques are a common phenomenon these days as fears of the global financial crisis hitting companies and individuals looms. “Yes, there has, of late, been an increase in the number of cases which involve financial dealings and disputes. Banks, especially are quick to report loan defaults to courts,” said prominent lawyer, Walid Abu Nida. He said: “As an indirect impact of the world financial crisis, more cases pertaining to financial disputes are coming to the courts.” Earlier, banks and financial institutions used to settle disputes related to loans and overdrafts with customers directly but now things have changed. As there are fears of the global crisis hitting the banking industry harder than any other sector, banks are quite cautious and sending loan default cases if there is even a slight doubt over repayment, he said. The problem of cheques not being honoured due to insufficient funds is also on the rise and more cases being filed in courts involve such disputes, Abu Nida said.