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The UAE Commercial Law and other useful Information

The UAE Commercial Law and other useful Information

The UAE Commercial Law and other useful Information: Based on the different articles written for Gulf News by Advocate Mr. Mohammad Ebrahim Hassan Al Shaiba, we share the legal knowledge for the readers so they could grab the best knowledge here. Lawyer Mr. Mohamamd Ebrahim Hassan Al Shaiba, is one of the best Advocates and Legal Consultants in Dubai, working throughout the United Arab Emirates. He is among the best Advocates and Legal Consultants and well-admired Lawyers in the business community. Best services are provided where discipline and professional ethics are also considered. Law Firm is Fully equipped, prepared, and ready for serving a common person to top businesses in the United Arab Emirates. 

UAE Commercial Law: UAE Commercial Law Article No.76 tells us that a Creditor is fully entitled to collect/receive the interest on a loan(commercial), based on the rate of interest mentioned/written in the contract. If the rate of interest is not mentioned in the loan contract then the ROI prevailed or implemented in the market will be considered as final, but if it is not greater than 12%. UAE Law Article 88 states that a commercial obligation is always a total of money but if the amount is known when this responsibility arises then the debtor is supposed to and restricted by the court to pay the delayed compensation, interest along with the principal amount. To request an expert is another option. Expert is also requested by either party or both parties for a better investigation, accounts checking, calculation of the loans, etc. There is another thing to be understood that the calculation of payments that are delayed are calculated as per the agreement if the contract does not throw light on the rate of interest. So whatever the interest rate will be in the market, will be applied to it. Law also tells us that there is no LAW that stops the banks from getting the accrued interest. If you need details then you can contact our Lawyers and Legal Consultants. The complete articles can be read Here.

Cheque Bounced Cases: Both Criminal and Civil Cases can be opened if a Cheque is bounded. For Criminal Cases, first police complaints are opened. These complaints have to be moved from the police department to public prosecution rather than to Court. For getting the amount back, along with a legal interest one has to file a civil case. We have mentioned the criteria in our other posts, within the same site. The amount of fine as per the law is paid to get bail in criminal cases, we know about it. But the civil cases are enough to get the amount back. Travel Ban requests can also be generated. 

New LLC Companies Rules: The latest and recent amendments came in June 2021, makes an expatriate entitled and allowed to get 100% ownership of a LLC company. LLC company is a mainland company. For a newly made company, it is possible without any special requirements. The existing companies can also get 100% ownership. Onc needs to check with the Lawyers, for the requirements in Dubai Economic Department and requirements to revise the MOU(Memorandum of Understanding).

What is expert advice: Expert Advice is a legal counselling which means it is a meeting with the expert to acquire the best solution. It means if you are seeking advice around UAE Labour Law then you need to consult the Labour and Employment Lawyers. Similarly if the matter is personal status then Family Lawyers need to be consulted. The difference between the respective advocates should be understood. It means, one should not be knocking the door of a Law Firm or Lawyer can’t help him or her. Law Firms or Lawyers will not share the truth with you. This is something you have to decide and figure it out. No blame on others! 

Useful Informations:

  • Article 120 is the right of an Employer, but he must consult the Legal Consultant, before applying or using. 
  • Calculation of Gratuity for the service more than 5 years, for limited and unlimited contracts must be done, through Labour and Employment Lawyers. 
  • Annual Leaves are offered for two years only, if not taken for more than one “contract time period” in total service.
  • Lawyers can be proved useful for serving the Legal Notices and negotiating with the employers, employees, debtors, banks, suppliers, buyers, sellers etc       

Post Dated Cheques:

The Post Dated Cheques are the important part of the economy. Especially in United Arab Emirates the use of these PDC cheques is a lot. When a PDC cheque is bounced then Law offers two options like Criminal Case and Civil Case. Criminal Case judgment can be obtained through the FAST TRACK JUDGEMENT system. Civil Cases are supported by the Criminal Court Judgements. As mentioned before that Labour or other Case proceedings can be stopped after a request to Court. PDCs is the part of economic cycle. It can not be put aside from the market. But punishments, penalties and fines are very much strict so nobody could dare to bounce the cheque intentionally. 

Importance of Legal Consultation: No Body can ignore or deny the importance of Legal Consultation. Especially when it has been decided that a Court Case is must and should be filed as soon as possible. Therefore, Legal Consultation is required and only with the top most and the best legal consultants/lawyers. 

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