Dear Messer;

                      Emirates Insurance Company

In referring to your email sent on June 13th of 2017  to our law firm, in concerning with the lawsuit no 1318/2017 Al Ain General Cont. Co. in subject matter of the road accident happened on 31/05/2017 involving 4 employees of the insured “ALGECO” while being transported from working camp. 1 died and 3 injured. And the criminal case judgment of two hundred thousand AED.  that was paid by your company under the insurance policy.

For your care, We, M&L Law Firm, have done our due diligence to dully handle this case and give you the final legal conclusion as per our best of knowledge dedicated for you. So we will display the scene of the accident and applied legal and contractual texts to show obligations and duties of each party as follows:

Brief description of the incidents with applied legal texts

<!--According to the attached report prepared by investigation dept. of the insured company, it stated that on the day of the accident, about 12:00  to 13:00 at working site, the surveyor leader allowed to his four employees to take the Toyota land cruiser- single cabin pick up- to abandon the site since there was no available vehicles on the site for them to transport since it was already a break time and all service vehicles left the site. The four employees ridded the one cabin vehicle, three inside the cabin (two + driver) even the high heat rate that caused the driver get nervous and the fourth victim was setting on the backside box of the truck, though the vehicle is allowed only to take one passenger with the driver and not allowed to carry any passengers on the backside. Then the vehicle was tumble down and rolled several times in a sandy area behind a military school. The report of investigation dept. of the insured entity clearly explained and proved those incidents as follows:

<!--the three employees whom were setting inside the cabin had been injured only, but;

<!-- the other victim who was setting on backside of the vehicle was thrown away to the middle of the road through the same direction of the vehicle that was rolled over several times.

<!--The police report no 956 recorded in the same time the accident occurred stated that:

<!--the deceased person was setting on the backside of the vehicle and when it was tumble down he was thrown away and then fall down the vehicle.  

<!--the vehicle was without any seat belts in its cabin.

<!--It is recorded in the vehicle license (allowed number of passengers are: ( 2 )

<!--Also stated in the related insurance policy no 02/4110/41/2015/12 (in the attached list of vehicles of the insured party) all data of the damaged vehicle as follows:

<!--vehicle’s code: A438    - type: Toyota Land Cruiser Pick up ,

<!--Seating capacity: 2     - color: yellow, chassis no 6002538.

<!--Whereas the Traffic Federal Law no 21 issued in 1995 stipulated in its article no (45) that: it’s not allowed to any shipping vehicle to carry any persons on the backside, except, those of the employer whom are necessary for downloading the shipment after prior consent of the competent authority.

<!--The executive regulation of the above said Traffic Law in its article no (74) stipulated that: it’s not allowed for passengers to be carried by any vehicles that have no designed places for setting down the passengers, and it’s not allowed for passengers to be carried by carrier vehicles, in case they weren’t designed and furnished for such purpose, unless consent of the competent authority was issued, and it’s prevented to allow any person to ride on the places designed for shipment in vehicles that carry things without license from the competent authority when it is necessary for accompanying the shipment ……..

<!--Also the articles no 11/1 , 46 , 75  of the Federal Traffic Law regulated the other provisions and arranged fines and sanctions in that concern. In addition to the articles no 160 , 185 , 186  of the executive regulation to the mentioned traffic law explained provisions of carrying passengers in detail. So it is legally proved that carrying any persons on un designed vehicles is absolutely banned by texts of the law.

<!--Whereas the insurance policy, related to the mentioned vehicle, stated in its clause no. (4) that: the insured shall take all reasonable precautions to prevent accidents and hall comply with all statutory regulations and remedy and/ or repair any defect in the ways, works, machinery with/ or used in the business. Also the policy stipulated that the vehicle capacity is to carry two persons only. that clearly means that the insured entity breached his obligation according to:

<!--The Federal Traffic Law no 21 of 1995

<!--The executive regulation of the same law.

<!--The insurance policy in concerning.

Since it didn’t take the reasonable precautions stipulated by traffic law and the executive regulation and insurance policy to prevent accidents as it allowed to carry four workmen on the backside of truck. 3 inside the cabin without seats or seat belts, even its capacity is two persons only (one with the driver) in addition the fourth victim on its backside. That led to three injuries and one died. The accident per se doesn’t lead to death, but may lead to injuries only, but carrying a person on the backside of truck, this position is the direct cause of the death. 

The legal advice

    Emirates Insurance Company is entitled to claim the insured entity “Al Ain General Cont. Co” for the paid sum to successors of the deceased person because it caused death of this person through breaching its obligations to take the reasonable and necessary precautions to prevent accidents according traffic law, executive regulation and the insurance policy.

Also, EIC have the right claim the insured entity for any compensations that may be paid or demanded by the third victim that was setting inside the vehicle’s cabin because its capacity is two persons only pursuant to the vehicle’s license and the insurance policy, that means that the insurer may be responsible only to compensate two victims (one with the driver), but no three persons.

In addition, the insurer have the option to claim the insured entity to pay all compensations that may be paid or demanded by the two other victims (the driver and the other person allowed legally to ride beside him inside the cabin) that is because of the causes of this accident doesn’t go back directly to faults of the driver, but also go back to the insured itself; since the insured didn’t provide a suitable vehicle supplied with seat belts and suitable air-conditioned in such high heat rate pursuant to the executive regulation of federal traffic law, also the insured entity has a contractual obligation to remedy and / or repair this road by clearing and paving that sandy area of the road in the way to working site where the accident happened since its all vehicles are forced to pass through this sandy area to and from working site and may get struck, stuck into sand  or try to jump however the vehicles become uncontrolled by drivers  every day. This is a precautionary process and contractual obligation came according to clause no (4) in the insurance policy   

The right legal way for  Emirates Insurance Co. is to file a lawsuit versus the insured entity demanding compensations for all sums the insurer incurred, but not litigating or joining damaged parties or the successors of deceased one to return or repay what they had received; since they have the true and original legal right initially to claim the insurer solely and directly provided the policy be valid according to the federal civil law and judicial proceedings, and then the insurer have the legal right to claim the insured entity for any unduly paid sums with breach or faults of the insured entity because the insurance policy doesn’t cover its faults or defaults. So the insurer can claim the insured entity directly without joining the damaged ones. And then the insured entity may have the right to claim its defaulting fellows whom were sentenced in prison, but without prejudice to the damaged ones unless they participated in the accident. This is the insured concern, but the insurer has one right legal way against the insured entity within three years of date of receiving such email including our legal advisory.

Also Emirates Insurance Company have the original legal right to seek settling its payments through arbitration pursuant to clause no (10) of the insurance policy in concerning any dispute arises out of the amount of compensation between the parties.

With best regards,

M&L Law Firm

Abu Dhabi on 30/06/2017.