In the UAE, cheques are legally binding instruments, and their execution must comply with specific requirements as outlined in Article 627 of the Federal Decree-Law No. 50 of 2022 Issuing the Commercial Transactions Law. A cheque must contain essential elements, such as the word "cheque," an unconditional order to pay a specific amount, the drawee’s name, the payee, the place of payment, the date and location of issuance, and most critically, the signature of the drawer. A cheque with an incorrect signature can be considered invalid and, in some cases, criminal if the signature was intentionally altered.

The UAE takes a strict stance on individuals who deliberately issue cheques with incorrect signatures. Under Article 675 of the UAE Commercial Transactions Law, anyone who intentionally signs a cheque incorrectly can face imprisonment for a minimum of six months to a maximum of two years, alongside a hefty fine. This penalty reflects the seriousness with which UAE law views such actions, particularly when they are committed with malicious intent. Additionally, the fines can range from AED 5,000 to double the value of the cheque, adding a financial deterrent to such criminal behavior.

In cases where an individual issues a cheque with a wrong signature and the act is considered fraudulent, the law recognizes it as a breach of trust. This is detailed in Article 453 of the Federal Law by Decree No. (31) of 2021, which emphasizes penalties for embezzling or misusing written instruments, including cheques. When funds or instruments are entrusted to someone who then manipulates them with the intent to harm the rightful owner, this breach of trust can lead to criminal charges and significant penalties.

If you receive a cheque with an incorrect signature, your first course of action should be to communicate with the buyer and request a properly signed cheque. However, if you suspect that the incorrect signature was deliberate, you may file a legal complaint under the UAE's civil and criminal laws. The authorities will investigate the situation, and if intentional fraud is established, the buyer may face criminal charges. This legal recourse ensures that you can recover the amount owed and hold the buyer accountable for their misconduct.

In conclusion, UAE law provides robust protection against fraudulent cheque practices. If you find yourself in such a situation, it is advisable to consult with legal experts and pursue both civil and criminal remedies to ensure that justice is served, and your financial interests are protected.