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UAE Court Rejects Golden Visa Holder’s Dh100,000 Compensation Claim

Tue, Jul 28, 2026(45d ago)UAE

An Abu Dhabi court has dismissed a lawsuit filed by a Golden Visa holder who sought Dh100,000 in compensation from his former employer, citing alleged wrongful termination and subsequent financial losses. The dispute arose after the employee cancelled his existing work contract and residency visa to facilitate the transition to a Golden Visa. While the employee argued that there was a mutual agreement to sign a new employment contract once the visa was processed, he claimed that the company failed to do so. This resulted in the rejection of his Involuntary Loss of Employment (ILOE) insurance claim, as the system reflected his contract as officially ended, leaving him ineligible for benefits.

The court ultimately ruled in favor of the employer, noting that the claimant failed to provide any concrete evidence to support the existence of an agreement for a new contract or any proof of actual financial damages. The company successfully argued that the termination followed legal protocols and that the initial cancellation of the work permit was a mutually agreed-upon step to obtain the residency status. Furthermore, the judge dismissed the employee's claims regarding a missed job opportunity in Saudi Arabia and the loss of insurance benefits, citing a lack of documentation. Consequently, the court rejected the entire claim and ordered the employee to bear all legal costs associated with the case.

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