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Abu Dhabi court rejects Dh100,000 Golden Visa compensation claim

Abu Dhabi court rejects Dh100,000 Golden Visa compensation claim

An Abu Dhabi court dismissed a Dh100,000 Golden Visa compensation claim after an employee failed to prove that his employer promised a replacement contract. The court also found insufficient evidence tying the company to lost ILOE benefits or a Saudi job opportunity.

An Abu Dhabi court has dismissed an employee’s Dh100,000 compensation claim against his employer, finding that he did not prove a promised replacement contract, wrongful termination or documented financial loss.

Golden Visa process ended original contract

The employee signed a two-year employment contract on July 11, 2024. In August 2025, he obtained a UAE Golden Visa. As part of that process, his existing employment contract, residency visa and work permit were canceled under an arrangement involving both sides.

He told the court that the company had agreed to issue a new employment contract and work permit after the Golden Visa was approved. The court found that he had not provided evidence establishing that obligation.

ILOE insurance claim rejected

The employee later sought benefits through the UAE’s Involuntary Loss of Employment insurance program, known as ILOE. The insurer told him that his contract had ended on August 11, 2025, and that no replacement contract had been registered.

His application was denied because it was submitted more than one month after the recorded termination date. He argued that the employer’s failure to register a new contract caused him to lose the benefit.

Worker cites Saudi job loss

The employee also said he missed a job opportunity in Saudi Arabia that would have paid Dh45,975 a month. He sought damages for the lost opportunity, unemployment and the rejected insurance claim.

The employer denied wrongdoing. It said the employment relationship ended lawfully after written notice and completion of the required notice period, and argued that the worker had not proved the Saudi offer or any other financial loss.

Court finds no proven wrongdoing

The Abu Dhabi Family, Civil and Administrative Claims Court ruled that the employee failed to prove that the company was legally required to issue a new contract after his Golden Visa was granted. It also found insufficient evidence that the employer caused the loss of ILOE benefits or the alleged Saudi job.

The court dismissed the claim and ordered the employee to pay court fees. The ruling indicates that compensation claims tied to post-Golden Visa employment arrangements require clear evidence of the employer’s obligation, wrongful conduct and measurable loss.

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