fidic in the middle east
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CIVIL PROCEDURE LAW
LABOUR LAW REFORMS
DFSA V QFCRA
NEW INSURANCE LAW
APRIL 2007 - ISSUE 193
FIDICIN THE MIDDLE EAST
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Litigation & Arbitration
The Law of civil procedure 2
Corporate Commercial
Corporate group structuring: considerations for owners and management 4
Recommendations on the proposed labour Law reforms 8
Banking & Finance
The Dubai financial services authorityVs.The Qatar financial centreregulatory authority 10
Intellectual Property & IT
UAE joins Information Technology agreement 13
Another step forward ... the Federal Electronic Transaction and Commerce Law is now out 14
The UAE Government and the private sector partner in an Intellectual Property awareness initiative 16
Events
Dutch students seminar 17
Al Tamimi legal majlis 18
Construction
FIDIC in the Middle East 20
Property
The potential of a community and
strata title Law in Dubai 24
Maritime, Aviation, & Insurance
A new insurance Law in the UAE 28
Legislative Update
Official Gazette 30
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Editor: Laura Cavanagh
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For further information on Law Update please contact: [email protected]
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Article 121- A Grace Period shall be added to the time periods specified in this Law whichis 10 days for persons residing outside the Court’s jurisdiction and 90 days for those residing outside the United Arab Emirates.
2- A Grace Period may, due to transport considerations or urgency, be shortened by order of the judge concerned or circuit chairman, as applicable, and such order shall be notified with the summons.
3- This time limit shall not apply to persons to whom notice is personally served whilst in the UAE, but the judge concerned or the circuit chairman, as applicable, may order, upon reviewing the case, an extension of the normal time limits or deem the same extended provided in either case that the time span shall not exceed the period of grace the said person would be entitled to had he been served notice at his place of residence overseas.
The Law of Civil Procedure By Hassan Arab, Partner, Litigation
An Overview of article 12 of the Civil procedure law (Federal Law 11 of 1992)Regarding Service of court’s documents
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Commentary:
1) The first paragraph of this Articlewas revised by Law No. 30 of 2005 such that the grace period for persons residing outside the UAE is now 90 days instead of 60 days (as required prior to the amendment.)
2) According to Articles 12 and 159 (see footnote 1) of the Civil Procedures Law a 10 day grace period shall be added to the original time limit for appeal for those who reside outside the jurisdiction of the Court of Appeal such that the new deadline supersedes the old one. When adding a grace period to the original time limit for appealing a decision of the Court of First Instance, it does not matter legally whether that decision was issued on the merits or on a summary matter. Either way, the purpose of the grace period is the same, namely to enable the judgment debtor to travel from his present location to the desired location either in person or by proxy to complete the appeal formalities within the time limit. Domicile on the basis of which the grace period is calculated is the place the party has established as his domicile for the period of litigation before the Court of First Instance, notwithstanding any other domicile he might have within the jurisdiction of the Court of First Instance or the Court of Appeal. Respondents
who resided in the Emirate of Ras Al Khaimah, which is outside the jurisdiction of the Dubai Courts, as indicated by their address in the Statement of Claim. Appealing the decision issued against them in the proceedings requires that they, or their lawyer, travel from their place of residence in Ras Al Khaimah to the Clerk’s Office of the Court ofAppeal in Dubai to carry out the appeal formalities. The Court of Appeal must, when calculating the time limit for appeal, add 10 days to the original time limit as required by said Articles 12 and 159. The lower Court took this approach and there is no basis for faulting it because it decided to admit the appeal from a procedural point of view. The second part of the argument is unacceptable. The Appellant’s legal defence is interspersed with fact never before raised in the Court of Appeal and which cannot therefore be raised for the first time before the Courtof Cassation. (Decision handed down by the Dubai Court of Cassation in Civil Appeals No.’s 367, 378 & 392-1997 on 17.01.98)
3) Article 12 (1) of the Civil Procedures Code states that a 60 day grace period be added to the periods specified in that Code for persons residing outside the United Arab Emirates. This is an express provision intended to enable the person to attend in order to carry out the necessary legal formalities,
regardless of whether or not his lawyer resides in the UAE. Express provisions are not subject to interpretation. The lower Court took this approach and held that a 60 day travel period should be given to Respondent to file his appealsince he resides in Kuwait and there is no indication in the documents that Respondent has domicile in the UAE. The lower Court got it right and there is no point in Appellant arguing that the grace period would apply only to a summons to appear on a specific date. The provisionis broadly worded in that the period shall be added to all time periods specified in the Law. Because the Law fixes a time limit for appeal, the Appellant was entitled to add the grace period thereto. Hence, the exception taken is without basis. (Decision handed down by the Dubai Court of Cassation in Civil Appeal No. 357-1999 on 22.01.00)
Footnote 1
“Article 159 provides that unless the Law stipulates otherwise the time limit for appeal is thirty days. In expedited matters, the time limit is ten days.”
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Taxation
In most jurisdictions around the world, taxation, with considerations of corporate revenue taxes, capital gains taxes, withholding tax, rolled-over accrued gains, the existence or lack of international double taxation treaties etc., bears heavily on how flexible one can be in attemptingto implement a group structure that might appear ideal in light of other determining factors. However, in the UAE (and to an extent in its neighbouring countries) questions of taxation will not necessarily be the determining factor in defining agroup structure. Nevertheless, where a corporate group has assets or operations
spanning a number of jurisdictions, then tax planning will certainly have implications for the structure of such a group.
Use of holding companies Where shares in operating companies within a group of companies are held by individuals, if those individuals seek or are forced by death or incapacity (physical or legal) to transfer their shares to third parties, the group risks becoming fragmented and the underlying businesses may also be adversely affected.
However, if companies within a corporate group are wholly owned directly or indirectly by an ultimate holding company, then there is greater likelihood that the integrity of the group’s structure will be preserved.
For example, where a group comprises of three operating companies and a shareholder dies or desires to transfer his shares to someone else, the disruption to the group’s ongoing affairs can be reduced and the transfer process will be simpler and less costly by utilising the structure at B below rather than that at A.
The purpose of this article is to consider some of the principal issues which major shareholders and senior management responsible for the direction and supervision of a group of businesses ought to take into account whenever that group is set to grow either organically or by the strategic acquisition of new businesses.
By James MacCallum
Corporate group structuring: considerations for owners and management
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Intermediate holdingcompanies
An intermediate holding company is a company within a group, which holds shares in two or more operating companies whose businesses together form a discrete business division. By way of example, there may be some companies within a group that specialise in operating hotels and catering, whereas others specialise in transportation. The hotel and catering companies could be owned by one intermediate holding company and the transportation companies could be owned by another intermediate holding company. Holding companies themselves are often dormant in that they do not carry on an active business of their own and merely function like a basket to hold shares in other operating companies.
The management of the group may decide at some point in the future that a
particular division of the group should be sold off, so that the group can focus all its efforts on other core businesses. If there is a rational ownership structure in place such that the relevant division can simply and easily be divorced from the remainder of the group, this will facilitate the sale and avoid the need for a possibly more complex pre-sale reorganisation at a later date.
Additionally, a business division (comprising of a number of companies engaged in related businesses and/or inter-dependent businesses) will be more attractive and more valuable to a potential purchaser if it already has a sensible and manageable structure in place. Otherwise, the purchaser may have to carry out the reorganisation following the sale and all the disruption and loss of management time involved, whilst possibly at the same time attempting to integrate the new division into its own group. The transaction costs
incurred in selling a business division will be significantly reduced if a businessdivision (comprising of a number of related companies) exists under a single intermediate holding company. Simply transferring the intermediate holding company to the purchaser will result in the entire division being transferred to the purchaser.
Accordingly, the shape of a corporate group should ideally resemble a pyramid.
A) Mr A Mr B Mr A Mr B Mr A Mr B
Company 1
B) Mr A Mr B
Company 2 Company 3
Holding company
Company 1 Company 2 Company 3
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Limited liability companies
It is generally prudent practice for business activities to be carried on within the framework of a limited liability company (insofar as possible). This is to protect the ultimate owners from claims that may be made by third parties in respect of the business. With a limited liability company, unless the shareholders have given personal guarantees to third parties, the shareholders will not generally be liable for commercial claims made against the company and stand only to lose the amount they have subscribed for their shares in that company. Accordingly, in a group structure claims by customers, suppliers or other third parties are contained within individual companies and cannot work their way up the chain of ownership to the owners of the group. This allows risks and liabilities to be ring-fenced and serves to preserve shareholders’ personal assets.
In certain countries, including the UAE, there are restrictions on particular types of businesses such that they cannot be carried on through the medium of a limited liability company. Professional services businesses, in particular, tend to fall into this category. However, with careful planning, it may nevertheless be possible to achieve a significant level ofprotection against creditors for individual participants in such businesses.
Appropriate level of shareholder control
Individual or corporate shareholders may initially feel that they have a greater level of control over the affairs of a business if they directly own a business or shares in a company that runs a business. However it is possible for them following a reorganisation to maintain efficientand effective control over operating companies within a structured group by imposing particular checks and controls. For example, shareholders can procure:
(i) that provisions are included in the memoranda and articles of association of operating companies stipulating that such companies and their subsidiaries shall not undertake particular actions without the consent of all or a prescribed majority of the shareholders, (ii) that particular business operating policies are imposed on management throughout the group, (iii) that reporting requirements are imposed on key management personnel throughout the group, and so on. Examples of the sort of matters over which the ultimate shareholders may wish to retain control may include any of the following:
• approval of appointment of general managers
• appointment of bankers and auditors
• bank borrowings (no borrowing beyond prescribed limits)
• other bank facilities (including guarantees)
• increase/decrease of share or loan capital
• change of company names• change of core business, opening
new business streams, abandoning any business stream
• appointment / dismissal of senior personnel
• award of commercial contracts of certain types or to particular organisations
• appointment of agents and representatives in particular circumstances
• purchase / sale of certain assets (defined by value or type e.g. any realestate)
• approval of accounts or business plans and budgets
• declaration of dividends (and allocations to reserves)
• opening of new branches or formation of further subsidiaries
• institution / settlement of legal proceedings
Additionally, a corporate structure organised with different divisions under an ultimate holding company will enable the more senior management to devote their time to higher level issues and so to formulate policy that will then apply group-
Mr A Mr B
Ultimate Holding company
Hotel and catering holding company
Transport holding company
Hotel and catering operating
company 1
Hotel and catering operating
company 2
Hotel and catering operating
company 3
Transport operating
company 2
Transport operating
company 1
Transport operating
company 3
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wide, rather than sitting on the board of each and every operating company. Also, where a group is divided into different divisions, particular managers can be assigned responsibility for their own divisions whilst at the same time falling under the authority and direction of the holding company’s board. In general, it is considered simpler and more effective to allocate management responsibilities within an organisation with a divisional, multi-tiered structure. This allocation is reinforced by the fact that companies within the higher tiers of a group own and ultimately control those in the lower tiers.
Asset protection
A corporate group should aim to ensure that the assets of the group are protected where possible and practicable. For example, it would be prudent for expensive or unique assets to be owned by different companies. By these means, if a claim is brought by a third party against any one of the asset holding companies, then only the assets of that particular company are likely to be susceptible to attachment if court proceedings brought by the third party are successful. But those assets held by other companies in the same group can be protected from attachment.
Shipping companies in particular avail of this structure by ensuring that each individual vessel is owned by a separate owning company. If accidents occur, ships can give rise to huge liabilities for their immediate owners if damage is caused to other vessels, ports, coastlines etc. Accordingly, to safeguard other ships within the same commercial fleet from potential creditor claims, eachship will be owned by a separate owning company.
Similarly, it is generally prudent for companies carrying on a trade, which exposes them to a greater degree of risk from third party claims, not to have a significant asset base. Wherea business necessarily involves the provision of services or trading activities and the use of significant assets (e.g.real estate, plant and equipment or intellectual property rights), then that business may be carried on by two or more companies working together within a contractual relationship. One holds the assets (thereby shielding them from creditor claims behind the corporate veil) and the other trading or service company deals with third parties and can make
use of the relevant assets by way of a lease, licence or similar arrangement with its sister concern.
Exits and listing on a securities exchange
As previously mentioned, there are advantages in having a rational, pyramidal structure when selling business divisions. The same considerations are applicable when the ultimate owners of a group comprising a number of divisions elect to exit and realise their investment.
Equally, a corporate group may at some point require additional funding. Other than debt funding or capital injections from exiting shareholders, a means of raising funds is to list the share capital of a company (or more usually a holding company of a group of companies) on an appropriate stock exchange. By these means, the shares in the ultimate holding company are made available for public subscription (by way of an initial public offering, commonly termed an ‘IPO’). The more sizable and profitablea group of companies intending to list on a stock exchange is, the greater the likelihood of it attracting significantoutside funding from new institutional and retail shareholders. Having shares listed on a stock exchange also creates a new market for the group’s founders’ shares so that they have a new means of realising some of the value of their stake in the group or ultimately disposing of it entirely.
Counter-considerations
Naturally, there will be legal and accounting costs to be borne in carrying out any form of reorganisation. Management will need to devote some of their time to planning and implementing the changes. This may involve talking to employees, customers, suppliers and bankers to assure them that the changes are to be implemented for the benefitof the group and are not indicative of insolvency or otherwise likely adversely to affect employees, customers and suppliers.
However, most successful corporate groups will go through one or more reorganisations from time to time and once a rational structure has bedded down, it should serve to boost the morale of management and other employees within the group as they are more likely to consider themselves as part of a cohesive commercial enterprise.
Final comments
Whenever a business is considered likely to expand or to be the subject of a sale, partial sale or IPO, the management of the group should consider the points raised above.
In essence, the key projects of focus of a corporate group reorganisation are likely to be: simplicity, consolidating business streams into saleable modules, ring-fencing key assets and ensuring overall tax efficiency. The issues highlightedabove are merely a foretaste of what is a complex set of considerations. Managers of groups of companies will need to consult carefully with their legal and accounting advisers to best protect and develop value within their groups.
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In February this year, the Ministry of Labour released proposed changes to the Federal Labour Code, Federal Law No. 8 of 1980. Essentially, the proposals focus
on pro-emiratisation to take further the initiatives that were established in 1980. The Ministry of Labour engaged in a consultation process, whereby it sought public comment on the proposed reforms over a period of two months. Without providing an extensive analysis of the proposed reforms, we have identifiedseveral key topical areas below.
Confiscation of Expatriate Passports
Of significance, is that the proposedreform did not incorporate a provision prohibiting the confiscation of expatriateemployee’s passports. Although the Court of Cassation previously ruled that such activity is prohibited, it appears to be a common occurrence in certain industries. Therefore, we recommend including it in the legislation to give effect to the court’s ruling and ensure it is a practice that is not continued.
Recommendations on the Proposed Labour Law Reforms
By Kirsty Marshall
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Employee Records
Currently the proposed reform suggests that employers with fifteen or moreworkers should maintain records and documentation of those workers. We recommend that all employers regardless of the number of employees should be required to keep such records.
Reporting of Workplace Accidents
Part Five of the current Code provides for the safety and protection of employees as well as their medical and social care. We recommend including a provision making it mandatory for all employers to report all workplace accidents to the Ministry of Labour. Taking this initiative further, we also recommend the Ministry keep a register of such accidents and in particular the number and percent in each workplace and be proactive in following up with individual employers where the numbers of workplace accidents are high or above normal (for the industry).
The proposed reform suggests that where workers are exposed to the hazards of occupational injury and disease, a health and safety officer should be appointed.We recommend this be extended to cover every establishment, regardless of the degree of exposure to occupational injury and disease.
Imposing Fines on Employees
Currently the legislation provides that the maximum amount that may be deducted from an employee in any one month (for any reason) is a total of 5 days wage. The proposed reform is looking at doubling this maximum from 5 days to 10 days. However, for an employer to have the right to deduct 10 days of any month from an employee is essentially giving the employer the right to deduct approximately 30% of the worker’s wage. This is inordinately high and there are no clear parameters setting out the circumstances in which an employee may be fined. We recommendthat Article 104 remain at five days andthat clear parameters are established. Without some form of generic benchmark justifying the imposition of the fines, thetype of behaviour attracting such finesmay vary significantly from employer toemployer.
Termination
Currently the labour code does not provide clear grounds for termination on notice. Article 117 of the current code provides for termination of an unlimited contract by provision of 30 days and a “legitimate reason”. However, there is no description of what constitutes a “legitimate reason”.
Without such guidance, employers wishing to terminate an employee are facing significant difficulty. For example,whether or not poor performance will be deemed a “legitimate reason” by the courts or whether it will be viewed as arbitrary dismissal is unclear.
Furthermore, Article 122(10) of the proposed reform states a worker may be terminated without notice for deliberately refraining from doing his work or inciting others to do so, or take part in any such activities. As currently drafted, the clause is broad and again does not provide any boundaries. Merely “inciting others to refrain from working” constituting grounds for termination without notice, may give employers the ability to terminate on a whim for any type of behaviour.
International Labour Organisation “ILO”Conventions
The UAE currently has ratified 9 ILOconventions, specifically:
• C1 Hours of Work (Industry) Convention, 1919
• C29 Forced Labour Convention, 1930
• C81 Labour Inspection Convention, 1947
• C89 Night Work (Women) Convention (Revised), 1948
• C100 Equal Remuneration Convention, 1951
• C105 Abolition of Forced Labour Convention, 1957
• C111 Discrimination (Employment and Occupation) Convention, 1958
• C138 Minimum Age Convention, 1973
• C182 Worst Forms of Child Labour Convention, 1999
However, there are several conventions which we recommend the UAE should also seek to ratify, to move closer towards achieving international standards. The first and most important, being:
C87 Freedom of Association and Protection of the Right to Organise Convention, 1948.
Freedom of association is a basic human right and a factor in the achievement of social justice.
Essentially, ratifying the convention would mean workers and employers, without distinction, would have the right to establish and (subject only to the rules of the organization concerned), to join organizations of their own choosing without previous authorization. Workers’ and employers’ organizations shall have the right to draw up their constitutions and rules, to elect their representatives
in full freedom, to organize their administrative activities and to formulate their programmes.
In order for the UAE to match other jurisdictions internationally, freedom of association as a fundamental basic right is an important aspect of the labour environment and should be addressed.
C158 Termination of Employment Convention, 1982
This convention at Article 4 addresses the justification for termination. Theemployment of a worker shall not be terminated unless there is a valid reason for such termination connected with the capacity or conduct of the worker or based on the operational requirements of the undertaking, establishment or service. Ratifying this convention would provide some much needed clarity.
C155 Occupational Safety and Health Convention, 1981
This Convention provides for the periodic review of a coherent national policy on occupational safety, occupational health and the working environment. The aim of the policy is to prevent accidents and injury to health arising out of, or linked with or occurring in the course of work, by minimizing, so far as is reasonably practicable, the causes of hazards inherent in the working environment. The Convention goes on to describe the main spheres of action, in so far as they affect occupational safety and health in the working environment.
C167 Safety and Health in Construction Convention, 1988
This Convention applies to all construction activities, namely building, civil engineering and erection and dismantling work, including any process, operation or transport on a construction site, from the preparation of the site to the completion of the project.
Given the level and quantity of construction work in the UAE, we believe ratifying this convention would be a positive step towards reaching international standards in the construction industry.
Summary
The Ministry of Labour has closed the timeframe for public comment on the proposed reforms. However, we believe several organizations have submitted their comments and recommendations moving forward, therefore it will be interesting to see which areas are amended further before the reforms are adopted as law.
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Dubai Financial Services Authority (the “DFSA”)
The DFSA is the independent regulatory authority for the Dubai International Financial Centre (the “DIFC”), created persuant to DIFC Law No.9 of 2004. The DFSA plays a key role within the DIFC. In order for a financial service of a firm to be conducted inor from the DIFC, approval must be sought from the DFSA.To ensure that DIFC activities are conducted to the highest international standards, the DFSA has built a robust, risk- based framework in which only the best practices from financialcentres world wide have been adopted.
The Dubai FinancialServices Authority
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The Qatar Financial Centre Regulatory Authority
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By Husam Hourani, Partner, Banking & Finance
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The Qatar Financial Centre Regulatory Authority (THE “QFCRA”)
The QFCRA is the independent regulatory body of the Qatar Financial Centre (“QFC”). It has been established to regulate firms that conduct financial services in or from the QFC. It has a broad range of regulatory powers to authorise, supervise and, when necessary, discipline firms and individuals. The QFCRA regulates firms using principle-based legislation of international standard, modelled closely on the laws used in other major financial centres.
QFCRA approach to granting License
The QFCRA adopts a risk based approach to the Licensing and Supervision of Authorised Firms in the course of applying the ‘Principles of Good Regulation’ which are set out in Article 13 of the Financial Services Regulations. This enables the Regulatory Authority to focus its resources on the mitigation of risks to its objectives. These objectives are set out in Article 12 of the Financial Services Regulations.
Objectives of the DFSA & QFCRA
• To foster and maintain fairness, transparency and efficiency in the financial services industry in the DIFC/QFC.
• To foster and maintain confidence in the financial services industry in the DIFC/QFC.
• To foster and maintain the financial stability of the financial services
industry in the DIFC/QFC (reduction of RISK).
• To prevent, detect and restrain conduct that causes or may cause damage to the reputation of the financial centre or the financial industry in the financial centre, through appropriate means including the imposition of sanctions.
• To protect direct and indirect users and prospective users of the financial services industry in the financial centre.
• To promote public understanding of the regulation of the financial services industry in the financial centre.
Financial Activities in the DIFC
The financial services in the DIFC are categorised by the DFSA into 5 categories each containing financial services for which an authorised firm will be licensed to conduct.
Category 1: Accepting Deposits & Providing Credit. Category 2: Dealing in Investments as Principal. Category 3: Dealing in Investments as Agent, Operating a Collective I n ves tment Fund, Managing Assets, Providing Custody, Providing Trust Services.
Category 4: Arranging Credit or Deals in Investments, advising on financial products or credit, arranging custody, insurance intermediation, insurance management, operating an alternative trading system and providing fund administration.
Category 5:Islamic Financial Institution.
Financial Activities in the QFC
Unlike the DIFC, Financial Activities in the QFC are not categorised by the QFCRA and consist of the following Licensed Financial Activities:
• Deposit Taking;• Providing Credit Facilities;• Providing Custody Services;• Dealing in Investments;• Managing Investments;• Advising on Investments;• Arranging Deals in Investments;• Arranging Credit Facilities;• Arranging the Provision of Custody
Services;• Operating a Collective Investment
Fund;• Carrying out a Contract of Insurance
and• Effecting a Contract of Insurance.
Prohibitions in the DIFC
The Federal Decree, Federal Law No. 8 of 2004 Concerning the Financial Free Zones, the General Module and the Conduct of Business Module of the Dubai Financial Services Authority Rulebook describe all prohibited financial activities, examples include:
• Deposit taking from the UAE Markets;
• Dealing in UAE Dirham;• Dealing in Dirhams by Banks;• Dealing with individual client with less
than US$1 Million in liquid assets;• Dealing with an institutional clients
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with called up share capital, or net assets less than US$ 5 Million;
• Insurance business with individuals; and
• Direct insurance of risks located in the UAE.
Prohibitions from the QFC
At the present time, there are no legislative prohibitions placed on the type of regulated activities a firm may conduct in or from the QFC. This means that a firm may be authorised to conduct onshore and offshore activities subject to the firm obtaining relevant approvals both from the QFC, and if applicable in the offshore jurisdiction.
There are no banking specific prohibitions such as any restrictions on deposit taking or dealing in any specific currencies (including Qatari Riyal). However, whilstthe drafting of the QFC Law is broad relative to the scope of Permitted Activities, as a matter of policy madeby the QFC Authority, Banking Business (Deposit Taking & Providing Credit Facilities) with or for retail customers resident in Qatar is currently prohibited.
Capital Requirements DIFC
Category 1: USD10 MillionCategory 2: USD2 MillionCategory 3: USD500,000Categories 2 & 3 that are depositaries of mutual funds/OEICs or provide custodial services to other collective investment schemes – USD10 MillionCategory 4: USD10,000Category 5: USD10 Million
Capital Requirements of the QFC
Banks: USD10 MillionIslamic Financial Institutions: $USD10 Million
Principal Trading Firms: USD2 MillionAgency Broker: USD500,000Certain Fund Managers: USD500,000Arrangers or Advisers: USD250,000Reinsurers: USD20 MillionInsurers (Direct) USD10 MillionCaptive Insurers: USD150,000, USD1 Million, USD10 Million.
Mandatory Individual Positions for Authorised Firms in the DIFC & QFC
1. Senior Executive Officer An individual who has the ultimate
responsibility for the day to day management, supervision, and control of an Authorised Firm’s financial services.
2. Compliance Officer An individual who is responsible for
compliance matters of an Authorised Firm.
3. Finance Officer An individual who is responsible for
financial affairs of an Authorised Firm.
4. Money Laundering Reporting Officer
Responsible for compliance with anti money laundering rules of the DFSA, and any relevant anti-money laundering legislation applicable in the UAE.
Cost of Set up in the DIFC vs QFC
DIFC
Category 1 – USD50,000 License application fee, Annual Renewal Fee USD50,000.Category 2 – USD30,000 License
Application Fee, Annual Renewal Fee USD30,000.Category 3 – USD10,000 License Application Fee, Annual Renewal Fee USD10,000.Category 4 – USD10,000 License Application Fee, Annual Renewal Fee USD10,000.Category 5 – USD10,000 License Application Fee, Annual Renewal Fee USD10,000.
QFC
• Deposit Taking, Providing Credit Facilities, Carrying/Effecting out Contracts of Insurance = USD 40,000.
• Dealing in Investments (as Principal) = USD25,000.
• Dealing in Investments (as Agents), Providing Custody Services, Managing Investments, Advising on Investments, Arranging Deals In Investments, Arranging Credit Facilities, Arranging the Provision of Custody Services, Operating a Collective Investment Fund = USD10,000
Annual Renewal Fees in the QFC are as above
NOTE:
For every Licensed Individual in the DIFC the Fee is USD1,000 with the same annual renewal fee.
For every Licensed Individual in the QFC the Fee is USD 500 with the same annual renewal fee.
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UAE Joins Information Technology Agreement
The UAE will reduce the listing fees of IT products to zero by 2009 as it has become the 70th member of the Information Technology Agreement (ITA). The decision came after the World Trade Organi-sation participants of the Committee of Expanding Trading in IT Commodities gave approval to the UAE’s application submitted
in June 2006. The ITA covers four main categories of commodities includ-ing computers, telecom products, semiconductors and equipment to produce semiconductors and software. This Agreement is not a mandatory agree-ment under any WTO obligations but its adoption by the UAE will add value to the attractive investment climate of the country and will be specifically wel-comed by traders of IT commodities by lifting cost barriers to their trade and increasing their competitive strength vis a vis traders in the region.
By Omar Obeidat
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The UAE Government has committed itself to facilitate E-commerce conducted from the State, at both the local and federal levels. The
federal and the local governments have been very positive and have been bold in taking the initiative in this area as they realised that their future business growth lies through the Internet and the media (which will eventually also end up being transmitted electronically through the Internet).
As part of the Federal Government’s efforts to regulate electronic transactions and boost users confidence, His HighnessSheikh Khalifa Bin Zayed Al Nahyan, President of the UAE, has, in February 2006, issued Federal Law No. 1 of 2006 concerning Electronic Transactions and Commerce Law (“the Law”).
The law is divided into ten chapters as follows:
Chapter One contains definitions of theterms and expressions used in the Law.
Chapter Two addresses the exempted transactions from the scope of the Law and outlines the objectives which the Law is meant to achieve. The Law shall not be applicable to personal status transactions such as marriages, divorces and wills, deeds of title of immovable property, negotiable instruments, transactions related to the sale, purchase, lease (for a term more than 10 years) and other deposition of immovable property, any documents which require attestation by the Notary Public and any documents or transactions exempted by
Another step forward ... the Federal Electronic Transaction and Commerce Law is now out !By Samer Qudah
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special provision of law. The Cabinet may add any transactions or matters to the exempted transactions under Article 2, or make any deletions or amendments with respect to the same.
Chapter Three deals with electronic messages, electronic registers and electronic signatures. Under the Law, electronic messages shall not be denied legal effect, validity or enforceability solely on the ground that it is in electronic format. Provided that the requirements of access and storage set out in chapter three are satisfied, an electronicdocument or file shall be regardedas equivalent to a written document required by any law. Further, the Law has recognized electronic signatures and outlined the criteria according to which an electronic signature shall be regarded as equivalent to a handwritten signature. In addition, electronic information shall have evidential value and its evidential value shall be assessed in accordance with certain considerations set out in Article 10 of the Law.
Chapter Four deals with electronic transactions and regulates the formation and validity of on-line contracts. Under Chapter Four, a contract will not loose its
validity or enforceability for the simple fact that it was formed by one or more electronic messages. Further, an on-line contract may be concluded between two or more Automated Electronic Systems; without personal intervention, and such contract shall be valid by virtue of Article 12 of the Law. The Law contains provisions that govern when an addressee is entitled to regard an electronic message as being that of the originator and to act on that assumption. It also sets out the guidelines as to when the dispatch of an electronic message occurs and outlines the decisive factors in terms of the time and place of dispatch and receipt of electronic message. The Law also deals with the acknowledgement of receipt of electronic messages, under Article 14 of the Law.
Chapter Five deals with secured electronic records and signatures. Article 16 states that where secure authentication procedures are applied which are prescribed or commercially reasonable to an electronic register to verify that it has not been changed over certain period of time agreed to by the parties, the record shall be treated as a Secured Electronic Record from that date up to the date of verification. Further, signatures shall be treated under Article 17 of the Law as Secured Electronic Signatures if it is possible to ascertain through secure authentication procedures that it is the signature of the person to whom it correlates and that it was affixed by that person withthe intention of signing or approving the electronic message in question.
Chapter Six sets out provisions relating to electronic attestation of certificates and authentication services. The Law provides for the appointment of a controller of authentication services. The controller’s main duties are to license, approve and to monitor and oversee the activities of Authentication Service Providers. Article 21 outlines the duties of the Authentication Services Provider and contains the regulatory elements of their business.
Chapter Seven sets out the criteria according to which the foreign electronic certificates and signatures shall berecognised.
Chapter Eight deals with the government use of electronic records and signatures. According to Chapter Eight, government departments may approve the deposit or submission of documents or their creation or storage in form of electronic records, issue any permit, licence, decision or approval in the form
of electronic registers, accept fees or any other payment in electronic form and put out tenders and receive bids in relation to government purchases electronically. The Law contains enabling provisions allowing the government to specify the manner and process for performing the above functions.
Chapter Nine deals with penalties. It contains a range of crimes, provides for the confiscation of the tools used incommitting the crime and the deportation of a foreign national who has been charged of such crimes.
Lastly, Chapter Ten contains closing provisions. Article 35 of the Law authorizes the Minister of Economy to issue regulations and decisions necessary to implement this Law Further, Article 36 repeals all provisions that contradicts with the provisions of this Law.
History proves that most successful nation states had well-defined, developedand modern laws. Bearing this fact in mind, the UAE government at both the federal and local levels has taken the initiative to ensure that legal protection is given to investors and that the legal system meets the challenges that lie ahead and adequately addresses the new issues associated with today’s new digital economy. Recent practice proved that growth and expansion run parallel to the development of local and federal laws and regulations. Although the Law does not address other aspects of E-commerce and electronic transactions such as privacy, jurisdiction, data protection, domain names, decency, etc., it certainly provides, together with the Federal Cyber Crime Law No. 2 of 2006, which was issued around the same time, a sound foundation and a sound platform on which to build. Yet, the UAE Government needs to promulgate more cyber laws in order to fill in the gaps in the existing UAElegislation and meet the needs of the evolving digital economy.
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On the 22nd of April 2007, the Ministry of Economy and the Brand Owners Protection Group (BPG) of the Gulf & Yemen co-hosted a seminar on Intellectual Property Rights to announce the joint initiative between the two parties on awareness
and education of intellectual property rights.
The seminar was also in celebration of the World Intellectual Property Day which takes place yearly on the 26th of April and was held this year under the slogan of “Supporting Innovation”.
Ms. Fatima Al Hossani, Head of the Trademark Section at the Ministry of Economy, delivered the speech of His Excellency, the Under Secretary of Planning in the Ministry of Economy, Mr. Mohammad Ahmad Bin Abdul Aziz, where the UAE Government confirmed adherence to its obligations under the WorldIntellectual Property Organization (WIPO) and other agreements as well as its whole hearted support for Intellectual Property protection and enforcement. The speech went on to announce
the real partnership between the public and private sectors which is proven by events such as the seminar. Bin Abdul Aziz commended the decisions of His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, especially the decision No.12/45 of 2006 (immediately upon assuming the post of Prime Minister) to unite all Intellectual Property Departments under the Ministry of Economy supported by administrative and technical manpower to meet the needs of the future.
Mr. Omar Shteiwi, Chairman of the BPG, which represents a number of multinational companies such as Beiersdorf Middle East, British American Tobacco, General Motors, Johnson & Johnson, Nestle Middle East, Philips International, Procter & Gamble, Unilever, etc. and service providers such as Al Tamimi & Company, also confirmed the real joint initiatives that aretaking place between the private sector and the public sector through the Ministry of Economy, the Customs and others.
This will be the first of many events and initiatives.
The UAE Government and the Private Sector partner in an Intellectual Property Awareness InitiativeBy Hoda Barakat, Managing Partner, IP/IT
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With over 3000 members, JFAS is the largest study union of the University of Amsterdam. JFAS stands for Juridische Faculteit der Amster-damse Studenten which translates as the Law Faculty of Amsterdam Students. JFAS regularly
organises lectures for students covering a diversity of legal issues. These lectures often include visits to law firms andcompanies, both local and international. An international study trip is organised for the students each year and this year the chosen destination was Dubai.
The focus for the Dubai study trip concentrated primarily on all the various aspects of real estate law and litigation in the UAE. Al Tamimi & Company were delighted to host a half day seminar and a lunch for the students as well as a tour around the newly opened DIFC Courts. Lisa Dale, Head of Al Tamimi’s Property Practice presented to the students on the issues and major developments surrounding property law in the UAE, while Hasan Arab, Head of Litigation and Dispute Resolution gave an overview of Litigation in the UAE.
“It’s wonderful to meet with a group of dedicated students with such a passion for the law” commented Lisa Dale. “It was a pleasure to speak with them about our experience in The UAE and we really hope that they were able to take with them some useful and interesting information to assist them with their studies.”
JFAS Seminar DIFC 11th April 07
Al Tamimi & Company were proud sponsors of the recent ICC and FIDIC conference on International Construction Contracts and the Resolution of Disputes. The conference took place at the Dubai Chamber of Commerce on 22nd and 23rd April. The objective of the event was to review the procedure for claims and disputes under FIDIC contracts and ex-plain the legal entitlements of the contractor and employer. The conference also focused on the specific features of dispute resolution in international construction contracts andexplored the practical implications and current developments, particularly in the Gulf. It attracted over 150 delegates with representatives ranging from engineers, contractors, government officials, financial institutions, arbitrators and legal advisors.
Both Essam Al Tamimi, Senior Partner and Philip Punwar of the Arbitration Group at Al Tamimi & Company, presented at the conference and spoke on topics concerning the drafting and operation of multi-tier arbitration agreements and typical problems arising in the arbitration of construction disputes. A Desert Dinner, hosted by Al Tamimi & Company, held on the first day of the conference, provided the ideal opportunity for delegates tonetwork and exchange views on topical issues raised over the course of the conference.
Al Tamimi & Company sponsor ICC/ FIDIC conference
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As part of Al Tamimi & Company’s ongoing service to clients and the Dubai International Financial Centre (DIFC) we will be hosting regular Majlis style information seminars for our DIFC colleagues.
There have been several Al Tamimi Legal Majlis so far covering topical issues relevant to the DIFC such as IT Law, Labour Law, Brand Protection and more recently the opening of the DIFC Courts.
The Legal Majlis events have proved to be a great success and it is our intention to keep the momentum going by continuing efforts to cover the topics and issues of interest to those companies registered within The DIFC. The format for the Al Tamimi Majlis events is quite unique in that guests can recline under Bedouin tents and are served traditional Arabic dishes as Al Tamimi representatives and relevant speakers field questions on local and international laws, including the regulations of the DIFC.
‘We are delighted to host the Al Tamimi Majlis events’ said Essam Al Tamimi, Al Tamimi’s Senior Partner and Founder. “There are elements of traditional Arabic culture in the setting and in the style of the night, but it’s also about providing important information to people who need to understand the complexities of the laws that govern the Dubai International Financial Centre.”
For information on upcoming Al Tamimi events or to provide suggestions on topics you would like to see addressed please contact [email protected]
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For further information please
contact
Sami Houerbi,Director for Middle East and Africa, ICC Dispute Resolution
Services
Telephone:00 216 71 840 297
Fax: 00 216 71 286 917
Mobile: 00 216 20 216 216
Email:[email protected]
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FIDIC IN THE MIDDLE EAST
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By Edward Sunna – Head of Construction and Engineering Department &
Omar Al Saadoon – Senior lawyer of Construction and Engineering Department
There is an expression which goes “the road to success is always under construction”. This expression appropriately captures the current and foreseeable surge in the construction industries of Arab countries (particularly in the Gulf) and the prevailing attitude of public, private and foreign stakeholders.
This article will provide a brief overview of the emergence and applicability of FIDIC contracts in the Gulf given their historic and widespread use internationally, particularly in the public sector.
FIDIC forms of contract have been in use in the Middle East since the 1970s. It is paradoxical that although the FIDIC conditions of contract have been drafted on the basis of English common law principles, the public and private sectors in Gulf countries who source their law from a mixture of civil law and shariah law such as the UAE, The Kingdom of Saudi Arabia, Kuwait and Oman, have based their conditions of contract on the FIDIC form. Historically, the public sector in those countries have led the way for FIDIC to be adopted or used in response to the national tendering laws and the corresponding requirements of various government ministries. It is worth noting from our previous articles on FIDIC that although the Emirate of Abu Dhabi has recently and officially adopted the FIDICform, the Emirate of Dubai (particualrly the Dubai Municipality) has yet to follow the same lead.
Lawyers who have trained in civil law jurisdictions in the Middle East often do not appreciate the English legal concepts underpinning those conditions. Conversely the same could be said of lawyers who have trained in common law jurisdictions but are unfamiliar with
the applicability of governing civil code articles in Middle Eastern jurisdictions, which will have the practical effect of overriding the FIDIC conditions of contract. Parties to a contract and their advisers should therefore be aware of trying to reconcile the conditions with civil code provisions when negotiating FIDIC contracts.
The issue of language to be adopted in a FIDIC contract is critical and not to be underestimated. The FIDIC forms of contract give parties the option to choose the governing language to be used in the contract and the primary language in the event of an issue of interpretation or construction (particularly with reference to proceedings or arbitration). Whilst there has been a historic trend in countries such as Saudi Arabia and Iraq to adopt Arabic as both the governing and interpretative language, the increasing involvement of foreign contractors and consultants in construction projects in Arab countries, particularly since the 1980s, has led to English being the preferred language.
Whilst this trend may be understood in the context of arbitration proceedings, it
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is difficult to establish the extent to whichthis contractual arrangement makes practical sense in the local courts of Arab countries.
The 1987 FIDIC conditions of contract have been adopted and modified to someextent by the public sectors in countries including Iraq, Oman, Saudi Arabia, and Kuwait. Furthermore, international institutions such as the World Bank have adopted the FIDIC conditions of contract when entering into contracts with Arabic governments to fund engineering or infrastructure projects.
The cost of the works under the FIDIC conditions of contract is generally treated on the basis of a remeasurement contract i.e. the price of the works are recalculated on the work that is actually carried out rather than the price originally estimated at the time the contract was entered into. An Employer, in theory, therefore carries the risk of changes to the quantities of material used in the works and accordingly the cost of the works.
Public sector employers in the Middle East, similar to those internationally, tend to prefer lump sum fixed price contracts.The Ministry of Public Works in Kuwait, for example, has historically issued its own set of contractual conditions based on FIDIC conditions. But where such conditions have been heavily amended to reflect a lump sum fixedprice requirement primarily driven by local public tender laws.
It is interesting that the Public Housing Authority of Kuwait stipulate in their standard conditions of contract (based on the FIDIC conditions) that any discrepancy between items or materials or work in the document which refers to the same (Bills of Quantities) is dealt with in favour of the Employer. However, it is worth noting that
a Kuwaiti government ministry or public body must obtain governmental consent before it decides to award a variation which affects the contract price by more or less than 5 %.
It is important for anyone advising Employers to be aware of the distinction between a lump sum contract, where there is greater scope for cost variations, and a lump sum contract fixed pricecontract which presupposes lesser scope.
According to Law 6 of 1997, the Dubai government departments are entitled to increase the stated quantities in the contract by up to 30% of the original contract price without allowing for any increase in the original contract price. In other words, an increase of up to 30% will be deemed to be within the contract price and will supersede any corresponding conditions of the FIDIC contract. Essentially, the Contractor bears the risk of the discrepancy, so that it may not be likely to succeed in a claim for additional payment.
In considering the role of the Engineer under the FIDIC contract conditions, it is important to appreciate the inherent dichotomy in its role. The Engineer is supposed to be independent in that they generally administer the contract between the parties, certify works in accordance with the contract and act as the adjudicator in the event of a dispute. Furthermore the Engineer acts as the Employer’s agent so that in receiving payment for his services to the Employer, he owes the Employer a duty of care. This dichotomy which may have been unintended by the FIDIC drafting committee at the time, has been addressed to the extent that public authorities in Arab countries such as the Emirate of Abu Dhabi, and Kuwait, give themselves sole discretion in ordering
variations including the costs associated with risks which are not attributable to the Contractor or the Employer.
The standard conditions of contract issued by the Dubai Municipality (the main public body in Dubai involved in procuring public sector projects) departs from the FIDIC standard conditions in that the Engineer is obliged to seek the prior approval of the Employer on matters including the contractor’s programme and expenditure of monies pursuant to the contract sum and the issuing of certificates for completion or noncompletion of the works.
It may be viewed as a relief to Employers in Arab countries, who are uncertain as to whether to adopt the 1999 FIDIC “Red” and “Yellow” contracts, that this dichotomy has apparently been resolved by the FIDIC drafting committee. These conditions do not require the Engineer to be impartial and he shall be deemed to act for the Employer except where fair determinations are required, or unless the contract conditions express otherwise. This may perhaps encourage the wider use of the 1999 FIDIC contracts which is increasingly being used in Arab countries, particularly given the increase in project finance and BOT type transactions.
The Contractor’s overall liability for the works under the FIDIC contract are based on English common law principles e.g. contractor to carry out works using reasonable skill and care. The Contractor’s liability is considered satisfied under the FIDIC conditions whena certificate (defects liability certificate) isissued by the Engineer confirming that alldefects in the works, which are apparent after the works have been substantially completed, are remedied. However the civil codes of countries such as Bahrain, Kuwait, Iraq, Jordan, Egypt
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and Lebanon contain articles extending the contractual liability of the Contractor, under FIDIC contract conditions, beyond the issue of the defects liability certificate. Basically, these provisionsimpose what amounts to strict liability on a Contractor in favour of an Employer for any defects affecting the integrity of a structure or a collapse of any part of it. Such liability is co-extensive with an Architect or a consultant beyond the defects liability period specified in thecontract (10 years in the case of the UAE) whereby the Architect or consultant is responsible for the design of the structure.
It is important to note that this provision, imposing strict liablity, is an implied term in the contract which cannot be modifiedor excluded by the parties. However, Contractors should note when defending a claim under this provision, they are entitled to raise arguments (if applicable) based on force majeure provisions and or default by or on behalf of the Employer e.g. Engineer failing to perform his obligations under the Contract.
Similarly under Omani law, the Contractor can show a separate contributing factor for the collapse of a structure which it has built as a defence to a claim under this type of provision.
In Bahrain, the law stipulates that a Contractor and a consultant are jointly liable for the construction of a structure and for the structure’s safety for a period of 5 years.
In respect of design, the FIDIC conditions generally oblige the Contractor to be responsible for design in carrying out the Works. The FIDIC conditions go further in that the Contractor is obliged to notify the Employer (via the Engineer) of any defect or mistake in the design at the time of tender or when carrying out the Works (post contract). Whilst
there is no corresponding obligation under the civil codes of countries in the Middle East, such as the UAE, for the Contractor to notify the Employer of defects, it is submitted, Contractors do owe a general duty of care to notify under the civil law doctrine of good faith. This would make practical sense in respect of the application of the strict liability provision (referred to above), even if the negligence in design was not, in real terms, the Contractor’s fault.
Notwithstanding the points made in the preceding paragraph, the conditions of contract currently issued by the Dubai Municipality unusually do not appear in effect to impose strict liability on the Contractors under this strict liability provision preferring instead to rely on the concept of negligence.
The FIDIC conditions allow the parties to agree fixed damages for theContractor’s delay in completing the Works. In assessing the nature and level of damages under common law, an Employer should be mindful of agreeing to a sum which represents a genuine pre-estimate of its losses at the time the contract was entered into as a result of the contractor’s delay and not a penalty or a sum of money that is disproportionate to the Employer’s actual loss.
In the UAE however, there is a local practice of imposing a limit of ten percent of the contract value for any delays on the part of the Contractor in failing to complete the Works by an express completion date (subject to extensions of time) notwithstanding any fixeddamages which may have been agreed to by the parties and inserted in the FIDIC contract. This local practice was ignored by the local Court of Cassation in a local case which held that local courts had the authority to fix a level of damages (inorder to balance the equities between the contracting parties) should it become
evident the damages actually suffered were either higher or lower than the contractual amount originally envisaged and agreed upon.
Despite the complexities and barriers associated with applying an international standard form contract to the construction market in the Middle East, it is fair to conclude that FIDIC has demonstrated a level of flexibility beyond arguably anyother form of contract across the Middle East. The need to adapt to changes in legal systems, language or construction types has not inhibited the emergence and continued growth of FIDIC in the Middle East.
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The potential of a Community and Strata Title Law in DubaiBy Louise Vun
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As the Emirate of Dubai and the Dubai International Financial Centre await the introduction of their respective strata title law, we thought it might be useful to share with our readers some of the potential benefits of havingcommunity and strata title law, from the perspective of New South Wales, Australia.
This paper aims to discuss only the concepts of community and strata schemes and not other more complicated schemes that exist in Australia’s property market.
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Community and Strata Schemes
In Australia, a community scheme generally means a development that comprises of a combination of the following:
(a) “villa home”, “town house”, “duplex” and “terrace house” (where lots are not superimposed);(b) mixed-used multi-storied development which includes blocks, flats, commercialpremises, shopping complexes in the same building; and(c) holiday resort type accommodation.
In Australia, a strata scheme generally means a development that comprises of lots that are superimposed on one another such as that described in (b) above.
Estate
In Australia, it is now a common trend for property developers to develop a “residential estate” concept which is similar to the mixed-use communities in Dubai. Such estates generally encompass the following features:
(a) single houses;(b) a few mixed-used multi-storied
buildings (where the ground floor’slots are designated for commercial and retail use and the higher floors’lots are for residential use);
(c) outdoor swimming pool, outdoor tennis courts, outdoor barbeque area and a community hall for use by all the residents within the estate;
(d) a gym within each multi-storied buildings for use by the residents living within such building only.
Such estate concept means the residents do not have to travel a great distance to access recreational facilities and shops such as hairdresser, laundromat, video/DVD store, convenient store, supermarket and so forth.In such estate, the strata scheme is within the community scheme and where such strata scheme is concerned, a two tiered management system will be in place. The strata scheme will have its own owners corporation and the strata scheme will also come under the management of the community association. Whereas the owners of the single houses within the community scheme will only come under the management of the community association.
It is possible for a strata scheme to exist by itself, eg, where a single multi-storied building is constructed on a plot of land.
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Distinction between Community Scheme and Master Community
A community scheme concept in Australia is not the same as the concept of a “master community” (as generally referred to in Dubai). Where a master community exists in Dubai, the master developer generally remains the owner of the community property within the master community and manages and administers the community property through a “Master Community Declaration”. In a community scheme, the community association (made up of all owners within the community scheme) is the owner of the community property.
In Australia, the Community and Strata Title Law is comprehensive and covers issues such as those below.
1. How do the Community Association and Owners Corporation commence?
Once the Department of Lands registers the:
(a) community plan together with other documents prescribed by law, the community association commences.(b) strata plan together with other documents prescribed by law, the owners corporation commences.
If a strata scheme is to be created within a community scheme, the law provides that the community plan and its associated documents must be registered firstbefore the strata plan and its associated documents can be registered.
2. What is the role of the Lands Department in regards to registration of documents?
The law provides comprehensive instructions to developers regarding documents that must be lodged at the Department of Lands before the department will review and register the development.
Documents that are generally required for a community scheme are:
(a) community plan showing the location (and exact measurements) of each lot within the community scheme including the community property;(b) a unit entitlement schedule of each community lot (excluding the community property) within the community scheme;(c) the community management agreement; and
(d) the easement instrument.
Documents that are generally required for a strata scheme are:
(e) strata plan showing the location (and exact measurements) of each lot within the strata scheme including the common property;(f) a unit entitlement schedule of each strata lot (excluding the common property) within the strata scheme;(g) the by-law agreement for the strata scheme; and(h) the easement instrument.
Once the development is registered by the Department of Lands, these documents will be scanned into the department’s computer records and are available to the public for a fee and new certificates of title for the communitylots and strata lots will be issued to the developer. A certificate of title for thecommunity property will also be issued to the community association and the certificate of title for the common propertyissued to the owners corporation.
3. What are the responsibilities of the community association and the owners corporation?
As the legal requirements for the community association and the owners corporation are similar, from here on, the community association and the owners corporation will be referred to simply as the “association”.
The law sets out the basic responsibilities of an association and these responsibilities include:(a) arranging an annual general meeting; (b) recording all details of notices and orders served on the association and these records must be kept for at least 7 years;(c) keeping a record of minutes of meetings including details of motions passed for at least 7 years;(d) keeping accounting records and financial statements of the associationfor at least 7 years;(e) keeping a roll of the owners including contact details, when a person became owner or ceased to become an owner within the scheme;
A managing agent (licensed by law) may carry out some of the functions, duties or powers of the association. For a large estate, it is common for the association to appoint a managing agent to carry out its functions, duties or powers. However the law prohibits certain power to be given
to a managing agent, which includes:
(a) delegating the managing agent’s functions to others; and(b) setting levies.
4. How are services charges dealt with?
The law prescribes that the association must levy its members in the scheme to raise enough funds to carry out its duties. All levies must be worked out in proportion to the unit entitlement of the lots.
An “administrative fund” and a “sinking fund” must be set up. An administrative fund is a fund for day-to-day recurrent expenses and a sinking fund is a fund to cover future capital needs.
The amount in an administrative fund must be enough for the community association to pay its expenses for cost of maintaining the association’s property (including personal property), for payment of insurance premiums and for any other recurrent expenses.
The amount in a sinking fund must be enough to cover the association’s expenses for painting/re-painting structures that are part of the community association’s property, for obtaining personal property (eg, mowers), for replacing personal property, for renewing or replacing any fixtures or fittings that
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are part of the association’s property and for other capital expenses.
The association must prepare financialstatements and present them at the annual general meeting. The statements must include income and expenditure for the administrative fund and sinking fund. At this annual general meeting, the following year’s levies must also be decided by a majority vote. When the levies are to be decided at a meeting, a budget must be presented showing the exiting financial situation and an estimateof next year’s receipts and payments. After the decision is made on the following year’s levies, the association must write to the members to advise them the amount to pay and the date to pay. The association may decide to allow payments by installments.
If the association has to pay other expenses that were not budgeted for in the administrative or sinking fund estimates, a special levy must be set at a general meeting and the amount collected paid to a fund to meet those extra expenses.
The law prescribes that unpaid levies will attract a penalty at the rate of 10% per annum if not paid within a month after it is due. Unpaid levies, including the penalty, can be recovered by the association as a debt in Court.
5. Who insures what?
Building Insurance
The law provides that the community association must insure buildings/structures on the community association’s property under a damage policy with an approved insurer. A damage policy must cover building/structure if damaged or destroyed by fire, lightning, explosion orany other thing in the policy:
(a) for the costs of rebuilding (where destroyed) or the replacement (where damaged but not destroyed) of the building/structure back to the same condition it was in when new;(b) for the payment of removal of debris and others whose services are need for the replacement or reinstatement (eg architects and project managers); and(c) for estimated increases in the above costs during the period of 18 months from the date of the policy.
The law further provides that the community association must arrange for the building/structures to be valued at least once every 5 years and insurance taken out for at least the valued amount.
Similar law applies to the owner’s corporation. The owner’s corporation must insure the building. The building includes the owner’s fixtures and fittingssuch as carpets in the common areas, hot water systems, light fittings, toiletbowls, sinks and cupboards.
Public Liability Insurance
The association must insure against damage to property, death or injury for which the association may become responsible and the minimum amount of cover must be AUD$10million.
Workers Compensation Insurance
If required by law, the association must take out workers compensation insurance.
Voluntary Workers Insurance
The association must insure against any damage that it may become responsible for because of work done by a voluntary worker for the association and for accidental injury or accidental death of a voluntary worker.
6. What restrictions are placed on the developer?
In most cases, on registration of the community scheme or strata scheme by the Department of Lands, the developer will be the only member of the community association or owners corporation. As lots are sold, the membership increases.
For the protection of the consumer, the law prescribes that during the “initial period” the developer must not:
(a) incur a debt for more than is set aside in the administrative and sinking funds to repay it;(b) borrow money or give securities;(c) change or cancel the by-laws.
The initial period is generally the period which commences on the registration of the scheme and ends when one-third of the total unit entitlements have been sold.
If these restrictions are not obeyed, the developer is liable for any debt or loss of an association. Also the developer is liable for any loss suffered by a member of an association.
Further, the appointment of a licensed managing agent by the association during the initial period is limited to 2 years. An association can enter into a contract with a person for services or recreational facilities. If the contract is made in the
initial period, it will end at the first annualgeneral meeting unless it is disclosed in the community management statement or the by-law agreement, before any lots are sold, or the contract is ratified at thefirst annual general meeting.
7. How to solve a dispute between owners of a community scheme or strata scheme?
The law sets out a process for resolving dispute. This includes for example, where an owner is satisfied an owner/occupierhas breached a by-law, it can issue a notice requiring that person to comply with the by-law. If it is not complied with, the association may, within 12 months of serving a notice, ask the Tribunal to impose a monetary penalty.
Conclusion
In Dubai, developers have relied on Article 1188 of the Federal Civil Code for the development of mixed-used communities. This Article provides in simple terms that if there are several owners of storeys in a building or of different apartments, these owners will be deemed to be co-owners of the land and of the parts of the building intended for common use by all of them.
The Australian concept of the community scheme is not legislated in the Federal Civil Code or anywhere else. Accordingly, in Dubai, where a master community exists, the master developer remains the owner of the community property. Once the development of the master community is completed, the master developer may wish to withdraw from the on-going management and administration of the community property and hand such duties to the owners within the master community. At this stage, the transfer of such duties from the master developer to the owners within the master development is not possible in Dubai. Hopefully, the soon to be introduced strata title law in the Emirate of Dubai will make provisions similar to the Australian concept of the community scheme which will permit the formation of the community association to manage and administer the community property.
Further, for the sake of consistency in Dubai’s property development, it would be useful for the strata title law to legislate on the issues of service charges and insurances or alternatively legislate that the Master Community Declaration and the Constitution of the Co-Owners Association must include prescribed information such as service charges and insurances.
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On February 15, 2007 the Federal Law no (6) of 2007 In Respect of Forming an Insurance Association and Organizing Its Activities (the “new Law”) has been passed in the UAE, in which the current operating insurance companies have to re-organize its activities in line with its provisions and regulations.
The new Law which will be applied within 6 months from its date of publication in the official gazette (i.e. February 15,2007) applies on all local insurance companies in the UAE, foreign insurance companies and agents licensed to carry out insurance activities in the UAE. However, Article (2) of the mentioned Law states that the new Law will not apply to insurance companies incorporated in free zones.
The new Law consists of many new articles and revised old articles stipulated in the Insurance Companies and Agents Law. Some of these articles are as follows:
I- Types of Insurance:
A new division for insurance types has been introduced by Article (4) of the new Law which divides insurance activities into three types:
1- Individuals and Assets Insurance.
2- Property Insurance.
3- Liabilities Insurance.
An Implementing Regulation for the new Law will be issued at a later stage to determine the types of insurance which falls under each type above.
II- An Insurance Association:
An independent Insurance Association (the “Association”) will be created according to the new Law. The Association aims to organize and monitor the insurance activities in the UAE. To achieve its aims, the Association, among other duties, aims to protect the rights of the insured
through monitoring the financial positionof UAE Insurance Companies, to develop the practice of Insurance Companies, to receive applications for licensing new insurance companies, to set types of compulsory insurance and its premiums.
The Association will be formed by the following parties:
1- The Board, that is formed according to Article (9) and contains two members from the Ministry of Economy & Trade, one member from the Ministry of Finance, one member from the UAE Central Bank, one member form the Federal Chamber of Commerce and Trade, five insurance experts’members appointed by the Minster of Economy & Trade.
2- The General Manager of the Association who will be appointed by a Federal Decree according to Article (14).
3- The Executive Body.
A New Insurance Law in the UAEBy Yaman Hawamdeh
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Article (21) of the new Law provides that the assets of the Association shall be considered as Public Assets and that such Association shall enjoy all privileges which are granted to Ministries and other Governmental Departments.
III- Insurance Companies:
Pursuant to Article (25) of the new Law, Insurance Companies are not allowed to undertake at the same time activities related to both (Individuals & Assets Insurance activities) and (Properties & Liabilities Insurance activities). Current insurance companies authorized to carry out both kinds of operations will be granted a grace period of 5 years to re-organize its operations in line with this prohibition.
Furthermore, a new clear provision allowing insurers to re-insure liabilities outside the UAE has been implemented in the new Law. Paragraph (2) of Article (26) of the new Law reads as follows:
“2- The insurer is permitted to reinsure inside or outside the state”
However, such permission is limited to reinsurance activities and thus it is still prohibited to insure any properties or liabilities outside the UAE as per Article (26) of the new Law. Any Contract of Insurance violating such prohibition shall be considered void according to paragraph (4) of Article (24).
Moreover, Article (28) of the new Law provides that all Insurance Contracts shall be drafted in the Arabic language. A translation may be attached to the contract and in case of contradiction between languages, the Arabic language shall prevail. In addition, the mentioned Article further provides that the policy Exclusions Clause must be drafted in bold and different color letters, and the insured must sign next to such exclusions.
IV- Introducing what is so called “AL IKTEWARI”
Article (1) defines “Al IKTEWARI” asthe person who estimates the value of insurance contracts, documents and accounts related thereto.
Article (35) of the new Law provides that all insurance companies licensed to perform Individuals & Assets Insurance activities must within six months appoint a licensed “IKTEWARI”.
The new Law governs many new issues and matters related to insurance companies operating in the UAE which we will address in future editions of Law Update.
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Emirate of Abu DhabiSecretariat-General of the Executive Council35th Year Issue No. 12December 2006
OFFICIAL GAZETTE
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21 of 2006 Regarding construction contracts and agreements related to civil contracting
24 of 2006Amending Law No. 3 of 2004 establishing the Higher Corporation for Specialised Economic Zones in the Emirate of Abu Dhabi
Emiri Decrees
19 of 2006 Convening the National Consultative Council’s 2nd Ordinary Session of the 16th Legislative Term
20 of 2006 Reorganising the Office of the Ruler’s Representative in the Eastern and Western Regions
22 of 2006 Appointing the Chairman of the Executive Council of the Emirate of Abu Dhabi
23 of 2006 Reappointing the Executive Council of the Emirate of Abu Dhabi
Decisions of the Crown Prince – Chairman of the Executive Council
44 of 2006Decision of the Crown Prince, Chairman of the Executive Council reappointing the Committee for the Allocation of Community Land and Housing to UAE Citizens
45 of 2006Decision of the Chairman of the Executive Council introducing the Government of Abu Dhabi Distinguished Service Award
46 of 2006Decision of the Chairman of the Executive Council regarding the Chairman of the Board of Directors of the Khalifa Fund for Support and Development of Small and Medium Scale Projects
47 of 2006 Decision of the Crown Prince establishing the Organ Transplant Centre
48 of 2006 Decision of the Chairman of the Executive Council assigning the duties of the Public Projects Committee to the Secretariat General of the Executive Council
50 of 2006Decision of the Chairman of the Executive Council appointing the Board of Directors of the Organ Transplant Centre
51 of 2006Decision of the Chairman of the Executive Council appointing the Public Projects Committee at the Secretariat General of the Executive Council
52 of 2006 Decision of the Chairman of the Executive Council appointing the Committee for the Development and Management of Housing and Public Utilities in the Emirate of Abu Dhabi
53 of 2006Decision of the Chairman of the Executive Council appointing an executive committee to decide project related issues
54 of 2006Decision of the Chairman of the Executive Council appointing the Members of the Board of Directors of the Khalifa Fund for the Support and Development of Small and Medium Scale Projects
55 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
56 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
57 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
58 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
59 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
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60 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
61 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
62 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
63 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
64 of 2006 Decision of the Crown Prince, Chairman of the Executive Council awarding the Order of Abu Dhabi
65 of 2006 Decision of the Crown Prince establishing the Worldwide Fund for Protection of the Houbara Bustard
66 of 2006Decision of the Chairman of the Executive Council appointing the Board of Directors of the Higher Corporation for Specialised Economic Zones in the Emirate of Abu Dhabi
67 of 2006 Decision of the Crown Prince appointing the Members of the Abu Dhabi Education Council
68 of 2006 Decision of the Chairman of the Executive Council appointing a Member of the Board of Directors of the National Rehabilitation Centre
69 of 2006 Decision of the Chairman of the Executive Council amending Decision No. 25 of 2005 regarding the National Rehabilitation Centre
70 of 2006 Decision of the Crown Prince reappointing the Board of Trustees of the Zayed Teacher Award
Resolutions
1 of 2006Resolution of the Board of Directors of the Abu Dhabi Council for Economic Development appointing the General Manager and Deputy General Manager
Decisions of the Contractors Classification Committee
8/2006
GOVERNMENT OF DUBAI41st Year Issue No. 31915th February 2007
OFFICIAL GAZETTELaws
28 of 2006 Establishing the Executive Office 5
29 of 2006Attaching Dar Al Buhooth for Islamic Studies & Heritage Revival to the Department of Islamic Affairs & Charity Work
8
1 of 2007 Regarding the salaries of expatriate judges in Dubai 10
2 of 2007 Regarding the salaries of expatriate judicial inspectors in Dubai 12
3 of 2007 Setting up the Financial Audit Department 14
4 of 2007 Amending Law No. 5 of 1995 establishing the Finance Department 25
Decrees
39 of 2006 On cancelling the Dubai Education Corporation 29
43 of 2006 Appointing and replacing members of the Dubai Council for Economic Affairs 31
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1 of 2007 Promoting judges in the Court of First Instance 32
2 of 2007Regarding increment on the basic salary schedule for employees of the Government of Dubai
34
Orders
- Regarding the authority to fix, revise and pay the salaries and benefits ofDirectors General of the Departments of the Government of Dubai, set standards and indicators for their performance and monitor their work and achievement
36
Decisions
1 of 2007Appointing an Executive Director of the Mohammed bin Rashid Housing Establishment
37
3 of 2007Fixing the salary of regular students enrolled at the Institute of Advanced Legal and Judicial Studies
38
CARLA SALIBACorporate [email protected]
The Lawyers at Al Tamimi & CompanyESSAM AL TAMIMI, Senior PartnerArbitration, Banking, Corporate Commercial [email protected]
HODA BARAKAT, Managing PartnerIntellectual Property, [email protected]
HUSAM HOURANI, PartnerBanking & [email protected]
LISA DALE, [email protected]
MOHAMMED AK BIK, Honourary [email protected]
JASSIM M. ABDULLAH, [email protected]
HASAN ARAB, PartnerLitigation & Dispute [email protected]
YAZAN AL SAOUDI, PartnerMaritime, Aviation & Insurance/[email protected]
ANDRE HUMANIntellectual Property, [email protected]
GARY WATTSHead of Corporate [email protected]
IZAFANIZ KAMIR Banking & [email protected]
JASON MAJIDCorporate [email protected]
AHMED [email protected]
ANDREW SLEIMANBanking & [email protected]
AZLIN AHMADBanking & [email protected]
DIVYA ABROL GAMBHIRBanking & [email protected]
HAZEM KAKISH Intellectual Property, [email protected]
JABER AL-ANSARILitigation/ [email protected]
AIDA KELLALCorporate [email protected]
CLAIRE LAZARDIntellectual Property, [email protected]
DUANE [email protected]
HISHAM IBRAHIM MARWAH [email protected]
JAMES MACCALLUMCorporate [email protected]
ALISON MAGRATHBanking & [email protected]
DUBAI INTERNATIONAL FINANCIAL CENTRE OFFICE
ANJA BOLZFamily Business [email protected]
EDWARD SUNNAHead of [email protected]
IZABELLA SZADKOWSKABanking & [email protected]
IAIN [email protected]
REEM ABDULLAHMaritime, Aviation & [email protected]
SYDENE HELWICK [email protected]
MOHAMMED KAWASMI [email protected]
RAKAN AL SHIYABBanking & [email protected]
MOHAMMED J [email protected]
REBECCA KELLYCorporate [email protected]
SILVIA TESTA Maritime, Trade & [email protected]
MOHAMED KHODEIRCorporate [email protected]
SAIF ALROUSANCorporate [email protected]
BASSEM ZEIN EL DINECorporate [email protected]
DUBAI WORLD TRADE CENTRE OFFICE
RUTA GOTHOSKARCorporate [email protected]
FAKHRY ELMASRYCorporate [email protected]
SAMIR KANTARIACorporate [email protected]
PHILIP PUNWARArbitration/ [email protected]
PETER STANSFIELDCorporate [email protected]
OMAR Al [email protected]
LYNETTE BROWN Banking & [email protected]
MAMOON AHMAD KHANBanking & [email protected]
MARCUS WALLMAN Corporate [email protected]
WALDO STEYNIntellectual Property, [email protected]
TAIBA SAEEDCorporate [email protected]
LARA ABABNEHIntellectual Property, [email protected]
WALID S. CHINIARACorporate [email protected]
YAMAN AL HAWAMDEHMaritime, Aviation & [email protected]
NICHOLAS O’CONNELLIntellectual Property, ITn.o’[email protected]
OMAR OBEIDATIntellectual Property, [email protected]
MOHAMMAD TARIQ Corporate [email protected]
KIRSTY MARSHALLCorporate [email protected]
ZAFER SHEIKH [email protected]
ZANE ANANICorporate [email protected]
LOUISE VUN [email protected]
KATE SYMONSCorporate [email protected]
JODY GLENN WAUGHBanking & [email protected]
RAFIQ JAFFERBanking & [email protected]
NAWAL ABDEL HADICorporate [email protected]
JOUMANA AZZAMCorporate [email protected]
SAMER QUDAHCorporate Commercial, [email protected]
DUBAI INTERNET CITY OFFICE
ALA TAMNEHIntellectual Property, [email protected]
GLENN O’BRIENCorporate [email protected]
KATRINA WILSONCorporate [email protected]
MOHAMMED AL [email protected]
HAIDER SELMAN AL [email protected]
TARIQ AHMED AL [email protected]
QATAR - ASSOCIATE OFFICE: ADV. MOHAMMED AL-MARRI in association with Al Tamimi & Co.
BAGHDAD OFFICE
FAREED AL ZU’[email protected]
HUSSAIN A. [email protected]
WAFA ALISEYEDBanking & [email protected]
AKRAM AHMED [email protected]
HAZEM ABU HANTASHIntellectual Property, [email protected]
EL-AMEIR NOOR [email protected]
GAVIN BATCHELERCorporate [email protected]
MAHMOUD ALI [email protected]
DONOVAN [email protected]
JADE J AYOUBCorporate [email protected]
ABU DHABI OFFICE
MOHAMMED [email protected]
MUSTAFA EL [email protected]
MARIE GRACE SEIFCorporate [email protected]
MOHAMED ALI ABOU [email protected]
AYOUB [email protected]
SHARJAH OFFICE
NATASHA AGILCorporate [email protected]
SAIFEDIN M. NAGARLitigation, Corporate [email protected]
MARWA AL KHODEIRYCorporate [email protected]
AHMAD AL [email protected]
FADI [email protected]
Iain McGillivray
Iain is a British National. Iain is a qualified lawyer in both Scots Law and English & Welsh Lawhaving obtained a Bachelor of Laws (2002) and a Diploma in Legal Practice (2003), both from the University of Aberdeen, Scotland and also having completed a course of study to become qualifiedin the English & Welsh jurisdiction (2006).
Iain also holds a Masters of Arts Degree from the University of Glasgow, Scotland and a Postgraduate Diploma in Publishing Studies from Robert Gordon’s University, Aberdeen, Scotland.
Before joining Al Tamimi & Company Iain worked for Edinburgh firm Warners where he specializedin all areas of commercial property law. Iain has acted on behalf of clients completing acquisitions, disposals, leasing, financing and development of both commercial and residential property. Iainalso has experience in the transfer of existing businesses and related license transfers.
Rafiq Jaffer
Rafiq Jaffer is an Indian National. Rafiq obtained his LLB (Hons.) in 1997 and LLM (Internationaland Commercial law) in 1998 both from the University of Buckingham. Rafiq was enrolled as anAdvocate in India in 1999 and was admitted as a Solicitor by the Law Society of England and Wales in 2007. From 1999 to 2002 Rafiq practiced law in India. In 2002 Rafiq joined as an associate atAbdullah Kh. Al Ayoub & Associates, the largest law firm in Kuwait. His areas of practice includedInternational Business Transactions, Mergers and Acquisition and Arbitration. Rafiq’s most significantwork in Kuwait included registering a foreign investment fund with the Central Bank of Kuwait, participating in arbitration proceedings held at the London Court of International Arbitration and the ICC International Court of Arbitration and advising on government defence contracts. Rafiq alsoparticipated in the Corporate Governance and Shareholder Rights Project prepared in cooperation with Lex Mundi, the International Institute of Corporate Governance at Yale University, Harvard University, and The World Bank.
Joumana Azzam
Joumana Azzam, a Lebanese National lawyer.
I hold an LL.B from the faculty of Law Le Political science at the Lebanese University in Beirut (1990), as well as a Bachelor degree of Arts majoring in political science from the Lebanese American University (formerly) Beirut University College (1992).
Licensed as a practicing attorney at Law advocating before all courts in Lebanon since 1994, in addition to advising for business firms & setting up Commercial Companies.
Prior to joining Al Tamimi, I was an active Lawyer at Jaber Law firm in Beirut since 1991, knowledgeablein the civil and commercial Law through study & long practice.
Areas of practice include litigation, contracts, employment, family, commercial and corporate laws.
Member of the Beirut Bar, Association (Lebanon)Member of the Legal Woman Committee at the Bar Association dealing and advising on legal women rights.
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ProfilesAl Tamimi & Company firm profile
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Qatar- Gateway of Growth
The Family Business Practice
From our “Setting up” seriesJAFZA- Establishing Offshore Companies in the Jebel Ali Free Zone
Setting up in Dubai International Financial Centre
Setting up in Dubai Internet City
Setting up in Dubai Media City
Setting up In Knowledge Village
Arbitration & LitigationArbitration: Theory and Practice in the UAE
Dubai Court Fees (in English and Arabic)
Framework for Litigation in the United Arab Emirates
Law of Tort in the UAE
Banking & FinanceBanking & Security Law in the UAE
Islamic Finance: A UAE Legal Perspective
Taxation Law in the UAE
Corporate CommercialCompanies under the UAE Commercial Companies Law
Inheritance Law in the UAE
Joint Ventures: Theory and Practice in the UAE
Labour Law in the UAE
Standardisation and Classification in the UAE
The GCC Economic Agreement & Customs Law UAE Immigration Law
Technology, Media & TelecomsCopyright Law
Patents, Designs & Models
Registration of Trademarks
Telecommunications
IT Query- IT Law in the UAE
Maritime, Aviation & InsuranceUAE Shipping Law: Cargo Claims and Other Related Issues
Laws Regulating Insurance in the United Arab Emirates
Property, Construction & Engineering Construction Law
Property Law in the UAE and Qatar
Law UpdateThe full back catalogue of Law Update since April 1991
(available online only)
PUBLICATIONS Available online at: www.tamimi.com
The informative brochures listed below are all available free of charge on our website. Selected brochures are also avail-able from the reception of our offices in the UAE. Alternatively we would be happy to send them to you by post. Pleaseemail: [email protected] to order copies.
International Agreements, Conventions & Protocols signed by the Government of the UAE
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www.tamimi.com
Setting Up in the Dubai International Financial Centre is a guide for companies and individuals wishing to set up an entity in the Dubai International Financial Centre. The guide looks to answer some of the most important ques-tions which often arise in the context of setting up in the DIFC. The guide has been composed in a clear and concise manner and divided into topical chapters to offer a greater understanding of both the business and legal aspects of operating within the DIFC.
Setting Up in the Dubai International Financial Centre
The Comprehensive guide to establishing Companies in the new Financial nexus.