Cassation No. 34 of 2019 - Commercial
Issued on 19/05/2020
Panel: President / Shihab Abdul Rahman Al Hammadi - Chief Judge of the Circuit - and counsellors / Abdullah Bu Bakr Al-Siri and Sabri Shams Al-Din Muhammad.
1- The prescription of the liability action arising from the harmful act in relation to the recurring harmful act starts to run only from the date of the end of the occurrence of this act and its impact on the injured party, without calculating the period from the date of its occurrence with recurring effect until the date of filing the lawsuit.
2- The three-year prescription prescribed for hearing the lawsuit filed by injured person shall be calculated on the date of stabilisation of the injuries in a manner that forecasts full recovery, and not - within the scope of the injured person’s right of recourse against the insurer for the liability arising from the harmful act - at the time of the occurrence of the injury, as long as its effect continues throughout the period preceding the filing of the lawsuit by the respondent.
3- The court competent to hear commercial matters according to the third paragraph of Article 31 of the Civil Procedure Law, is subject according to the law to the plaintiff’s desire without imposing on him to resort to a specific court, as a means to facilitate the litigation procedures for him.
4- The contested judgment, by refusing the plea of inadmissibility of the case for being filed against a person lacking capacity, because the respondent litigated the appellant and served a notice to this effect at its address and not at its branch, since it is the entity that approved the vehicle which caused the accident, and because its branch is foreign to the parent company and does not have a legal personality separate from the parent company, and the plaintiff may litigate any branch thereof, shall be deemed based on valid reasons supported in the documents.
5- The injured beneficiary of the insurance policy has a legal right to claim compensation from the company insuring the vehicle that caused the accident, for the damages he has sustained.
6- The person injured by the insured vehicles has a direct personal right against the insurer, deriving from the law to recover the damage caused to him, regardless of the basis of the responsibility on the part of the insured person.
7- The contested judgment, by considering that the injured person derives his right of recourse against the appellant insurer from the law, without the possibility to invoke against it the conditions applicable thereto according to the insurance policy or his violation thereof, that the transfer of ownership of the company located in its branch in Amman to others does not affect the respondent's right of recourse against the company in any of its branches, when the harmful act has been materialised and its elements are fulfilled, shall be deemed as having applied the correct rule of .
8- The trial court has the authority to understand the merits of the case and estimate its evidence, including the doctors’ reports, in order to determine the elements of the damage and estimate the remedying compensation in respect of which there are no specific criteria in the Sharia and the law to be followed, provided that it bases its judgment on valid reasons sufficient to support it.
9- The contested judgment, by imposing damages on the appellant for the injuries combined, based on the case documents and the estimation of the forensic doctor, and after specifying the description of each injury separately as a Diya calculated as per the percentage of loss of benefit of the injured organ and the resulting disability thereof, and as an estimated Arsh and non-estimated Arsh, in addition to a complementary compensation not covered by the Diya and the estimated Arsh, shall be deemed valid and supported in the documents.
10 - The contested judgment, by awarding a complementary compensation equal to one million dirhams for material damages not covered by the Diya and estimated Arsh, including the consequential loss and the loss of profit, with which it shall not be permissible to award another compensation for the same damages equal to two hundred thousand dirhams, shall be reversed as to the part.
11- The contested judgment, by imposing on the appellant to pay the attorney’s fees by increase, i.e., twenty thousand dirhams instead of ten thousand, shall be deemed as having violated the law, as it breached the rule of prohibition of reformatio in peius because the court of next instance, after reversing the judgment in favour of the appellant, shall be limit its review in the appeal filed by the appellant to two options only, either to cancel or reduce this amount or to keep it.
1) Action for liability “Effectiveness”. Prescription. Damage. Law “Application thereof”. Judgment “Valid reasoning”. Reversal “Unacceptable reasons”.
- Liability action arising from the harmful act. Shall be time-barred upon the expiry of three years from the date on which the injured person became aware of the occurrence of the damage and of the identity of the person responsible therefor. Basis thereof? Article 298/1 of the Civil Transactions Law. This period starts to run with regard to the continuing harmful act from the date of the end of the occurrence of this act and its impact on the injured person. It does not start to run from the date of its occurrence as long as it is a recurring act until the date of filing the lawsuit.
- An example of a valid reasoning by imposing on the appellant to pay an amount of money to the respondent who was injured as a result of the accident and convicting the driver thereof on 5/6/2012, since the injuries did not stabilise until after an artificial joint was implanted.
2) Law “Application thereof”. Jurisdiction. Competent court. Plaintiff. Company “Juristic person”. Insurer. Judgment “Valid reasoning”. Reversal “Unacceptable reasons”.
- Jurisdiction in commercial matters. The court in whose circuit the defendant is domiciled, or the court in whose circuit the agreement was made, or the court in whose circuit the agreement was executed in whole or in part. These courts are of equal status laid down by law to enable the plaintiff to choose the court he desires without imposing upon him to resort to a specific court. Basis and reason therefor? Article 31, third paragraph of the Civil Procedure Law.
- An example of a valid reasoning by imposing upon the appellant to pay an amount of money to the respondent after the latter filed a lawsuit against the appellant and served the same at its address, and not against its branch since it is the entity that approved the vehicle that caused the accident, and its branch is considered a foreign branch of the parent company and has no legal personality separate from the parent company.
3) Law “Application thereof”. Insurance policy. Injured party. Beneficiary. Insurance “company”. Compensation. Damage. Judgment “Valid reasoning”. Reversal “Unacceptable reasons”.
- The injured beneficiary of the insurance policy has a legal right before the insurance company of the vehicle that caused the accident, to claim compensation for the damages incurred by him. Basis and reason therefor? Article 1026 of the Civil Transactions Law.
- An example of a valid reasoning by imposing upon the appellant to pay to the injured person an amount of money on the grounds that the latter derived his right of recourse against the insurer from the clauses of the insurance policy.
4) “Material” “Moral” Damage. Diya - Estimated Arsh. Non-estimated Arsh. The trial court “Discretionary authority thereof”. Proof “Evidence” Doctors “Reports”. Compensation Judgment “Valid reasoning” Reversal “Unacceptable reasons.”
- Compensation for material and moral damages in the form of Diya, estimated Arsh and non-estimated Arsh.
- Understanding the merits of the case and estimating its evidence, including doctors’ reports, in order to determine the elements of the damage and to estimate the remedying compensation therefor. Within the authority of the trial court. Provided that it bases its ruling on valid reasons.
- An example of a valid reasoning by imposing on the appellant to pay an amount of money to the respondent on the grounds that the compensation is based on a final criminal judgment and a forensic report due to his injury as a result of an accident.
5) Law “Application thereof”. Appellant “Prohibition of reformatio in peius”. The Federal Supreme Court. Court of Appeal “Matters brought before it”. The court of next instance. Cassation “filed for the second time”.
- Prohibition of reformatio in peius is a fundamental rule established by the Federal Supreme Court. Basis thereof? Article 150 of the Federal Civil Procedure Law.
- Upon the appeal filed by the appellant, the ruling of the court of next instance, after reversing the judgment in favour of the appellant. Shall be limited to two options only, either to cancel or reduce this amount, or to keep it. Reason therefor. A person shall not be placed in a worse position as a result of filing an appeal. Violation thereof. Effect thereof. Shall be reversed.
- Filing a cassation for the second time. Valid for adjudication. Effect thereof. The court shall adjudicate it.
1- Whereas it is legally prescribed that the liability action arising from the harmful act shall be time-barred upon the expiry of three years from the date on which the injured party became aware of the occurrence of the damage and the identity of the person responsible therefor, in accordance with the provisions of Article 298/1 of the Civil Transactions Law, and that this period starts to run with regard to the continuing it shall not start to run from the date of its occurrence as long as it is a recurring act until the date of filing the lawsuit. Whereas it is proven from the documents that the respondent was injured as a result of the accident caused by the vehicle No. 8080 - Commercial in the Sultanate of Oman, and that its driver was convicted thereof on 5/6/2012, and since the condition of the respondent due to injuries did not stabilise until after an artificial joint was implanted in the left pelvis and re-formation of the area of ​​the acetabulum bone with metal components, and along the left pubic bone of the pelvis on 9/7/2015, then the re-lifting of this artificial joint with a medical surgery on 24/06/2015 and the placement of a substance that preserves the joint position, therefore, the prescription period shall start to run as of this date, i.e. the date on which the condition of the injured has completely stabilised and he fully recovered, since the injuries he sustained took a long time to be treated until recovery. Hence, the calculation of the triple year prescription period for hearing the case of the injured person is the date of stabilisation of the injuries, in a manner that forecasts full recovery, and not - within the scope of the injured person’s right of recourse against the insurer for the liability arising from the harmful act - at the time of the injury as long as its effect persists throughout the period preceding the filing of the lawsuit instituted by the respondent on 8/6/2017. Whereas the contested judgment adopted the foregoing and concluded in its reasons to dismiss the plea of inadmissibility of the case, it shall be deemed as having applied the correct rule of law, and therefore, the objection shall be deemed ungrounded.
2- Whereas it is prescribed - pursuant to the provisions of the third paragraph of Article 31 of the Civil Procedures Law - that jurisdiction in commercial matters rests with the court in whose circuit the defendant is domiciled, or the court in whose circuit the agreement was made, or the court in whose circuit the agreement was executed in whole or in part, and that these courts are of equal status laid down by law in order to enable the plaintiff to choose the court he desires without imposing upon him to resort to a specific court, in order to facilitate the litigation procedures therefor. Whereas the appealed judgment rejected the plea of inadmissibility of the case for being filed by a person lacking capacity, based on what it stated in its reasons as follows: “... Whereas it is apparent from the case file that the respondent - the plaintiff - has filed a lawsuit against the appellant - defendant - and served the latter with a notice to this effect on its branch located in Abu Dhabi - and not against the branch of the company situated in Abu Dhabi, as there was no mention of the said branch in the statement of claim, but only the address thereof was mentioned - being a company enjoying legal personality and the insurer of the vehicle that caused the accident, and since the company’s branch in Abu Dhabi according to its commercial licence is considered a foreign branch of the parent company in Lebanon and it does not enjoy a legal personality independent of the parent company, and therefore, the plea shall be deemed ungrounded, and therefore, it shall be dismissed. In addition, the main company may have several branches in the world, allowing the plaintiff to litigate any branch thereof according to the conditions set forth in Article 31 here-above mentioned, and since the conclusion reached by the judgment in the above-mentioned manner is valid and supported in the documents, the objection to the contested judgment on the basis of the foregoing shall be deemed ungrounded.
3- Whereas it is legally prescribed - as per the text of Article 1026 of the Civil Transactions Law - that the injured beneficiary of the insurance policy has a legal right of recourse against the insurance company of the vehicle that caused the accident to claim compensation for the damages he has incurred, and that the legislator granted the person injured by the insured vehicles a direct personal right against the insurer, deriving from the law, to recover the damage caused to him, regardless of the basis of the responsibility on the part of the insured person, whether it is a liability for a personal error or a liability for the damage caused by the vehicle while it is at his disposal in terms of damage to others. Whereas the contested judgment adhered to the foregoing and concluded that the injured person derives his right of recourse against the appellant insurer from the law, without the possibility to invoke against him the conditions applicable thereto according to the insurance policy or his violation thereof, and that the transfer of ownership of the company located in its branch in Amman to others does not affect the respondent's right of recourse against the company in any of its branches, when the harmful act has been materialised and its elements are fulfilled, as proven in the case, since the accident occurred in the territorial scope of the UAE in the Emirate of Ajman, and the lawsuit was filed against the appellant therein and was served to its existing branch in Abu Dhabi, then the ruling shall be deemed as having applied the correct rule of law, and therefore, the objection this regard shall be deemed ungrounded.
4- Whereas - with respect to the damages awarded by the appealed judgment and amounting to 1,526,660 dirhams for material and moral damages in the form of Diya, estimated Arsh, and non-estimated Arsh - it is prescribed that understanding the merits of the case and estimating its evidence, including doctors’ reports, in order to determine the elements of the damage and to estimate the remedying compensation in respect of which there are no specific criteria in the Sharia and the law to be followed, are matters within the sole authority of the trial court, provided that it bases its ruling on valid reasons sufficient to support it. Whereas the contested judgment by imposing on the appellant to pay the amount referred to in response to the objection to the aspect of the objection, on the grounds that it concluded from the case documents and the estimation of the forensic doctor, that - as a result of the accident caused by the vehicle insured by the appellant and whose driver was convicted thereof by a final judgment in Lawsuit No. 678 of 2012, Ajman Penal - the appellant sustained the following injuries: 1) Head injury resulting in a the left orbital bone fracture with a headache and 15% memory disorder; 2) Nasal fracture of resulting in a blockage of nasal passages in the left nose and a 10% disability. 3) Left femur fracture with a 60% disability of the femoral function. 4) Complete paralysis of the left foot necessitating leg surgeries and muscle transfer from the back of the leg to the front, resulting in a 25% disability of the leg function. 5) Comminuted fracture of the acetabulum bone and extending to the left pubic bone in the pelvis, with a 25% disability of the pelvis. Due to these injuries combined, the judgment awarded damages equal to 526,660 dirhams after specifying the description of each injury separately as a Diya calculated as per the percentage of loss of benefit of the injured organ and the resulting disability thereof, and as an estimated Arsh and non-estimated Arsh, in addition to a complementary compensation not covered by the Diya and the estimated Arsh based on the fact that the respondent needs medical rehabilitation or a companion to help him fulfil his needs and life affairs, after he has lost his job in the .......... as a result of the accident, and became unable to perform his job duties as a military officer with the rank of Warrant Officer and had been referred to retirement on November 8, 2015, since these injuries made him unable to work and he became medically unfit for military work as a result of the injury in his left side, which affected his full earnings in the future and requires compensation for his need for physical medical rehabilitation and a companion to help him fulfil his needs, as well as the loss of his earned income from his work as a result of his referral to retirement and the opportunity to earn full income, while he is still young in his 40s, and he used to receive a monthly salary that decreased after retirement to 23,300 dirhams. The judgment awarded in respect of these material damages, whether represented by the consequential loss or the loss of profit, and not covered by the Diya or the estimated Arsh, a compensation equal to one million dirhams. Whereas the judgment's conclusion in this regard is valid and based on documented facts, the objection thereto shall be deemed a merely substantive disagreement whose estimation falls within the authority of the trial court and may not be brought before the Federal Supreme Court.
5- Whereas it is legally prescribed - as per the text of the second paragraph of Article 150 of the Federal Civil Procedure Law - that the prohibition of reformatio in peius is an established fundamental rule, and that the Federal Supreme Court has adopted and followed this principle in all its rulings. Whereas the court of next instance, after reversing the judgment in favour of the appellant, should have limited its review to the appeal filed by the appellant only, taking into account that it challenged the first appealed judgment which imposed upon it to pay an amount of 1,828,660 dirhams in addition to the attorney’s fees equal to ten thousand dirhams, in which case the judgment had only two options left, either to cancel or reduce this amount, or to keep it as is, without placing the appellant in a worse position as a result of filing the appeal and imposing an additional amount. Whereas the contested judgment decided otherwise and ordered the payment of the attorney’s fees by increase, i.e., twenty thousand dirhams instead of ten thousand, it shall be deemed as having violated the law, and consequently, it shall be reversed as to this part with adjudication of the merits, since the cassation is filed for the second time and is valid for adjudication.
The Court,
Whereas, in the facts - as apparent in the contested judgment and all documents - the respondent has filed Lawsuit No. 1552 of 2017 - Ajman, Civil, Plenary - against the appellant, requesting the imposition upon it to pay to him an amount equal to five million dirhams in compensation for the damages he sustained as a result of the accident that caused to him by the vehicle No. ..... Commercial - Sultanate of Oman, and of which its driver was convicted by a final criminal judgment in Lawsuit No. 678 of 2012, Ajman Penal. After the Court of First Instance has assigned a forensic doctor and he filed his report, it imposed on the appellant to pay the respondent an amount equal to 751,666 dirhams. The appellant filed an appeal against this ruling under No. 192 of 2018, and the respondent also filed an appeal against it under No. 197 of 2018. The Court of Appeal ruled to modify the appealed judgment into imposing on the Appellant to pay to the respondent an amount equal to 1,828,660 dirhams. The appellant filed an appeal in cassation against this ruling under No. 513 of 2018 - Commercial.
The Federal Supreme Court ruled to reverse the contested ruling with referral based on the fact that the prescription period for hearing the case is three years pursuant to Article 298/1 of the Civil Transactions Law and not fifteen years (the long statute of limitations),which renders the ruling defective for violating the law, and this error prevented it from examining the three-year prescription period in terms of its effective date, suspension, or interruption in light of the penal judgment issued in the case that was instituted for the unlawful act ... Following the nullifying judgment, the court of next instance, ruled in the session dated 27/11/2018 to modify the appealed judgment into imposing on the appellant to pay to the respondent an amount equal to 1,828,660 dirhams. The appellant filed the present appeal in cassation against this ruling. After presentation of the cassation to this court held in a Council Chamber, it deemed it valid for hearing in a pleading session.
Whereas the cassation is based on eight grounds, wherein the appellant objects to the contested ruling in the first and sixth reasons stating that it violated the law and erred in its application, as it ruled the admissibility of the case despite the passage of more than three years since the occurrence of the harmful act learned by the respondent, because the incident occurred on 28/3/2012 and the above-mentioned penal judgment convicting the driver of the vehicle that caused the accident and insured with the Appellant was issued on 5/6/2012, while the respondent filed the present claim for compensation on 12/6/2017, i.e. more than three years after the issuance of the penal judgment, which requires the dismissal of the case pursuant to Article 298/1 of the Civil Transactions Law, however, the ruling decided otherwise, and therefore, it shall be deemed defective, and consequently, it shall be reversed.
Whereas this objection is inapposite, since it is legally prescribed that the liability action arising from the harmful act shall be time-barred upon the expiry of three years from the date on which the injured party became aware of the occurrence of the damage and the identity of the person responsible therefor, in accordance with the provisions of Article 298/1 of the Civil Transactions Law, and that this period starts to run with regard to the continuing it shall not start to run from the date of its occurrence as long as it is a recurring act until the date of filing the lawsuit.
Whereas it is proven from the documents that the respondent was injured as a result of the accident caused by the vehicle No. 8080 - Commercial in the Sultanate of Oman, and that its driver was convicted thereof on 5/6/2012, and since the condition of the respondent due to injuries did not stabilise until after an artificial joint was implanted in the left pelvis and re-formation of the area of the acetabulum bone with metal components, and along the left pubic bone of the pelvis on 9/7/2015, then the re-lifting of this artificial joint with a medical surgery on 24/06/2015 and the placement of a substance that preserves the joint position, therefore, the prescription period shall start to run as of this date, i.e. the date on which the condition of the injured has completely stabilised and he fully recovered, since the injuries he sustained took a long time to be treated until recovery. Hence, the calculation of the triple year prescription period for hearing the case of the injured person is the date of stabilisation of the injuries, in a manner that forecasts full recovery, and not - within the scope of the injured person’s right of recourse against the insurer for the liability arising from the harmful act - at the time of the injury as long as its effect persists throughout the period preceding the filing of the lawsuit instituted by the respondent on 8/6/2017. Whereas the contested judgment adopted the foregoing and concluded in its reasons to dismiss the plea of inadmissibility of the case, it shall be deemed as having applied the correct rule of law, and therefore, the objection shall be deemed ungrounded.
Whereas the appellant objects to the contested judgment in the third reason, stating that it violated the law and erred in its application, because the appellant was not litigated at its headquarters located in Abu Dhabi, and therefore, it shall be deemed defective, and consequently, it shall be reversed.
Whereas this objection is inapposite, since it is prescribed - pursuant to the provisions of the third paragraph of Article 31 of the Civil Procedures Law - that jurisdiction in commercial matters rests with the court in whose circuit the defendant is domiciled, or the court in whose circuit the agreement was made, or the court in whose circuit the agreement was executed in whole or in part, and that these courts are of equal status laid down by law in order to enable the plaintiff to choose the court he desires without imposing upon him to resort to a specific court, in order to facilitate the litigation procedures therefor.
Whereas the appealed judgment rejected the plea of inadmissibility of the case for being filed by a person lacking capacity, based on what it stated in its reasons as follows: “... Whereas it is apparent from the case file that the respondent - the plaintiff - has filed a lawsuit against the appellant - defendant - and served the latter with a notice to this effect on its branch located in Abu Dhabi - and not against the branch of the company situated in Abu Dhabi, as there was no mention of the said branch in the statement of claim, but only the address thereof was mentioned - being a company enjoying legal personality and the insurer of the vehicle that caused the accident, and since the company’s branch in Abu Dhabi according to its commercial licence is considered a foreign branch of the parent company in Lebanon and it does not enjoy a legal personality independent of the parent company, and therefore, the plea shall be deemed ungrounded, and therefore, it shall be dismissed. In addition, the main company may have several branches in the world, allowing the plaintiff to litigate any branch thereof according to the conditions set forth in Article 31 here-above mentioned, and since the conclusion reached by the judgment in the above-mentioned manner is valid and supported in the documents, the objection to the contested judgment on the basis of the foregoing shall be deemed ungrounded.
Whereas the Appellant objects to the contested judgment in the fourth, fifth and seventh reasons, stating that it violated the law, erred in its application, and breached the right of defence, on the grounds that the vehicle causing the accident is insured to travel within the UAE under the unified orange insurance card, and therefore, the unified regional office of the UAE is responsible for resolving claims related to car accidents resulting from the unified agreement, and thus, the lawsuit should not be accepted against the appellant, in addition to the fact that the ownership of the insurance company in Oman was transferred to a third party who replaced it in all its obligations, which was not regarded by the contested ruling, as it ruled its liability for compensation, which renders it defective and necessitates its reversal.
Whereas this objection is inapposite in whole, since it is legally prescribed - as per the text of Article 1026 of the Civil Transactions Law - that the injured beneficiary of the insurance policy has a legal right of recourse against the insurance company of the vehicle that caused the accident to claim compensation for the damages he has incurred,
and that the legislator granted the person injured by the insured vehicles a direct personal right against the insurer, deriving from the law, to recover the damage caused to him, regardless of the basis of the responsibility on the part of the insured person, whether it is a liability for a personal error or a liability for the damage caused by the vehicle while it is at his disposal in terms of damage to others.
Whereas the contested judgment adhered to the foregoing and concluded that the injured person derives his right of recourse against the appellant insurer from the law, without the possibility to invoke against him the conditions applicable thereto according to the insurance policy or his violation thereof, and that the transfer of ownership of the company located in its branch in Amman to others does not affect the respondent's right of recourse against the company in any of its branches, when the harmful act has been materialised and its elements are fulfilled, as proven in the case, since the accident occurred in the territorial scope of the UAE in the Emirate of Ajman, and the lawsuit was filed against the appellant therein and was served to its existing branch in Abu Dhabi, then the ruling shall be deemed as having applied the correct rule of law, and therefore, the objection this regard shall be deemed ungrounded.
Whereas the appellant objects to the contested judgment in the eighth and ninth reasons, stating that it violated the law, erred in its application, and contained deficiencies in reasoning and flaws in inference, when it awarded the respondent three compensation for the injuries he has sustained, describing them as diya, estimated arsh, and non- estimated arsh, according to the conditions prescribed therefor by Sharia, and then awarded him a moral compensation although it may not be adjudged along with the diya and estimated arsh, which renders it defective and necessitates its reversal.
Whereas this objection is inadmissible, since - with respect to the damages awarded by the appealed judgment and amounting to 1,526,660 dirhams for material and moral damages in the form of Diya, estimated Arsh, and non-estimated Arsh –it is prescribed that understanding the merits of the case and estimating its evidence, including doctors’ reports, in order to determine the elements of the damage and to estimate the remedying compensation therefor in respect of which there are no specific criteria in the Sharia and the law to be followed, are matters within the sole authority of the trial court, provided that it bases its ruling on valid reasons sufficient to support it.
Whereas the contested judgment by imposing on the appellant to pay the amount referred to in response to the objection to the aspect of the objection, on the grounds that it concluded from the case documents and the estimation of the forensic doctor, that - as a result of the accident caused by the vehicle insured by the appellant and whose driver was convicted thereof by a final judgment in Lawsuit No. 678 of 2012, Ajman Penal - the appellant sustained the following injuries: 1) Head injury resulting in a the left orbital bone fracture with a headache and 15% memory disorder; 2) Nasal fracture of resulting in a blockage of nasal passages in the left nose and a 10% disability. 3) Left femur fracture with a 60% disability of the femoral function. 4) Complete paralysis of the left foot necessitating leg surgeries and muscle transfer from the back of the leg to the front, resulting in a 25% disability of the leg function. 5) Comminuted fracture of the acetabulum bone and extending to the left pubic bone in the pelvis, with a 25% disability of the pelvis. Due to these injuries combined, the judgment awarded damages equal to 526,660 dirhams after specifying the description of each injury separately as a Diya calculated as per the percentage of loss of benefit of the injured organ and the resulting disability thereof, and as an estimated Arsh and non-estimated Arsh, in addition to a complementary compensation not covered by the Diya and the estimated Arsh, based on the fact that the respondent needs medical rehabilitation or a companion to help him fulfil his needs and life affairs, after he has lost his job in the .......... as a result of the accident, and became unable to perform his job duties as a military officer with the rank of Warrant Officer and had been referred to retirement on November 8, 2015, since these injuries made him unable to work and he became medically unfit for military work as a result of the injury in his left side, which affected his full earnings in the future and requires compensation for his need for physical medical rehabilitation and a companion to help him fulfil his needs, as well as the loss of his earned income from his work as a result of his referral to retirement and the opportunity to earn full income, while he is still young in his 40s, and he used to receive a monthly salary that decreased after retirement to 23,300 dirhams. The judgment awarded in respect of these material damages, whether represented by the consequential loss or the loss of profit, and not covered by the Diya or the estimated Arsh, a compensation equal to one million dirhams. Whereas the judgment's conclusion in this regard is valid and based on documented facts, the objection thereto shall be deemed a merely substantive disagreement whose estimation falls within the authority of the trial court and may not be brought before the Federal Supreme Court.
Whereas, with respect to the plea raised by appellant in terms of the compensation three times awarded, it is proven from the grounds of the ruling, as previously explained, that a complementary compensation equal to one million dirhams was awarded for material damages not covered by the Diya and estimated Arsh, including the consequential loss and the loss of profit, with which it shall not be permissible to award another compensation for the same damages equal to two hundred thousand dirhams, therefore, the judgment shall be reversed as to this part, in the manner indicated in its enacting terms.
Whereas the appellant objects to the contested judgment in the second reason, stating that it violated the law, when it imposed upon it to pay an amount equal to twenty thousand dirhams as attorney’s fees, which is prejudicial thereto, since the court of next instance before reversal of the judgment, adjudged the attorney’s fees at an amount equal to ten thousand dirhams, and therefore, the contested judgment shouldn’t have modified this amount by increase, which renders it defective and necessitates its reversal.
Whereas this objection is valid, since it is legally prescribed - as per the text of the second paragraph of Article 150 of the Federal Civil Procedure Law - that the prohibition of reformatio in peius is an established fundamental rule, and that the Federal Supreme Court has adopted and followed this principle in all its rulings. Whereas the court of next instance, after reversing the judgment in favour of the appellant, should have limited its review to the appeal filed by the appellant only, taking into account that it challenged the first appealed judgment which imposed upon it to pay an amount of 1,828,660 dirhams in addition to the attorney’s fees equal to ten thousand dirhams, in which case the judgment had only two options left, either to cancel or reduce this amount, or to keep it as is, without placing the appellant in a worse position as a result of filing the appeal and imposing an additional amount. Whereas the contested judgment decided otherwise and ordered the payment of the attorney’s fees by increase, i.e., twenty thousand dirhams instead of ten thousand, it shall be deemed as having violated the law, and consequently, it shall be reversed as to this part with adjudication of the merits, since the cassation is filed for the second time and is valid for adjudication.

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