Service · Lucent Legal

Bankruptcy and debt lawyer in Dubai

Missing loan payments in the UAE won't put you in jail: since 2020–2022 it has been a civil matter. The real risks are a travel ban, frozen accounts and a judgment in your absence. We help you pick a route: settle with the bank, restructure, or go through bankruptcy under the law.

When people come to us

You can't pay a loan or credit card, and the bank calls every day.
You got an SMS about a court case or a notice from the bank.
Your account is frozen or part of your salary is withheld.
You owe several banks, and the payments exceed your income.
Your company can't cover its debts, and the director fears personal liability.
You left the UAE, but the debt stayed.

What we do

We map the debt: which banks, how much, any court cases or travel bans.
We compare routes: a settlement, restructuring, personal bankruptcy under Law No. 19/2019 or corporate bankruptcy under Law No. 51/2023.
We negotiate with the banks. A bank must consider restructuring in good faith (UAE Central Bank Circular No. 8/2020).
If the route goes through court, a UAE-licensed advocate files and runs the case. The procedure stops new lawsuits against you.
After the settlement we get the clearance letter (banks issue it within 7 working days) and the restrictions lifted.

Timelines and what drives the cost

Timing depends on the route. A settlement under the personal bankruptcy law gives you a repayment plan of up to 3 years under court protection. No official fee schedule exists, and nobody can quote an honest price before the review: it depends on the number of creditors, the amount, court cases and assets.

The thresholds for personal bankruptcy are inconsistent. The law says AED 200,000 and 50 working days overdue; legal reviews say Cabinet Resolution No. 47/2021 raised them to AED 250,000 and 65 working days for a debtor's own filing. We check whether you qualify at the review.

Why Lucent Legal

An honest assessment first. If you have no case, you hear it at the review, before you pay anything.
UAE-licensed advocates. We handle the review, strategy, paperwork and negotiations; in court you are represented by an advocate licensed in the UAE whom we work with.
English and Russian. We explain your case in plain language.
Confidential. Your documents and messages stay with us.
Office in Dubai: Oxford Tower, Office 307, Business Bay. LUCENT LEGAL MANAGEMENT CONSULTANCIES CO. L.L.C, DET licence No. 1192929.

FAQ

Can I go to jail for an unpaid loan in the UAE?

No, if it is an ordinary default on a loan, card or cheque: since 2020–2022 that is a civil matter. Criminal charges are possible for fraud, forgery or a cheque drawn on an account you knew was closed.

Does UAE bankruptcy wipe out debt?

Not entirely. Law No. 19/2019 gives a repayment plan of up to 3 years or a liquidation of assets. Under Article 46 a creditor whose claim was not paid from the proceeds can still pursue the balance after the case closes.

What is the minimum debt for personal bankruptcy?

The law text says AED 200,000 and 50 working days overdue. According to legal reviews, Cabinet Resolution No. 47/2021 raised the threshold for a debtor's own filing to AED 250,000 and 65 working days.

Does the bank have to agree to restructuring?

Nobody can promise terms, but Central Bank Circular No. 8/2020 requires the bank to consider your request in good faith. After a settlement the bank issues a clearance letter within 7 working days.

Is a director liable for company debts?

Not by default: an LLC has limited liability. Personal exposure comes from a signed personal guarantee, a cheque you issued, or wrongful trading under Article 246 of the bankruptcy law.

Are you bankruptcy advocates?

We are a consultancy: the review, strategy, negotiations and documents are on us. In court, a UAE-licensed advocate we work with runs the procedure.

Related guides

This material is for information only and is not legal advice. UAE law changes — a lawyer will assess how it applies to your situation.