INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(86735, 4721, 'content', 'May 2013\r\n\r\n<hr />\r\n<p class=\"MsoNormal\"><strong>Background</strong></p>\r\n<p class=\"MsoNormal\">The Appellant (an individual) filed an action to cancel an administrative decision approving his resignation and terminating his employment on the basis that he did not tender his resignation (he claimed he was forced to resign).  The Appellant’s employer was a governmental entity (the Respondent). The Appellant argued that the decision was issued in contravention of the law since he was not notified of the approval of his resignation within the time limit prescribed by law. The Appellant thus filed his action before the Abu Dhabi Court of First Instance in order to have the administrative decision cancelled and compensation to be awarded to him in the amount of AED 10 million.</p>\r\n<p class=\"MsoNormal\">The Court of First Instance held that it did not have  subject-matter jurisdiction to hear the application to cancel the termination decision, referring the matter to the Court of Appeal in order to be heard as a grievance in accordance with Article 81 of the Abu Dhabi Civil Service Law while staying proceedings in respect of the compensation claim pending a decision on the application.</p>\r\n<p class=\"MsoNormal\">The matter proceeded before the Court of Appeal as a grievance. The Respondent pleaded that the application to cancel the termination decision should not be entertained for being time barred pursuant to Article 81 of the Abu Dhabi Civil Service Law No. 1 of 2006 which states that an employee has 30 days from the date of receiving notice of the decision terminating his employment to file a grievance before the Court of Appeal whose decision on the matter will be final.</p>\r\n<p class=\"MsoNormal\">The Court of Appeal refused to entertain the Appellant’s grievance filed against the termination decision on the basis that the application [for cancellation] was not filed within the period prescribed under Article 81 of the Abu Dhabi Civil Service Law.</p>\r\n<p class=\"MsoNormal\">The Appellant appealed to Cassation Court of Abu Dhabi, seeking to overturn the Court of Appeal’s decision and for the case to be reconsidered by a different panel of the Court of Appeal.</p>\r\n<p class=\"MsoNormal\">The Appellant highlighted three points, arguing that the Court of Appeal erred in its reasoning and evaluation of the evidence. Filing a grievance against an administrative decision before the Court of Appeal under Article 81 of the Abu Dhabi Civil Service Law is optional. By failing to pursue such option, the employee does not forfeit his right to approach the Court of First Instance having general jurisdiction over administrative disputes. There is no general provision of law specifying a time frame for filing an administrative claim, including an action for canceling an administrative decision. The Appellant’s assertions were incorrect as explained below.</p>\r\n<p class=\"MsoNormal\">In the Respondent’s counterclaim, he argued that the appeal should not be entertained on the basis of Article 81 of the Abu Dhabi Civil Service Law which states that the Court of Appeal’s decision on the grievance filed against the termination decision is final. This was also held to be incorrect. However, the Respondent won the case on the basis that the Appellant did not file the grievance within the 30 day time limit.</p>\r\n<p class=\"MsoNormal\"><strong>The Cassation Court of Abu Dhabi dismissed the Appellant’s Appeal 149 of 2012:</strong></p>\r\n<p class=\"MsoNormal\">Responding to the Appellant’s grounds for appeal, the Supreme Court explained that the expression filing “a grievance before the Court of Appeal” under Articles 76 and 81 of the Abu Dhabi Civil Service Law is synonymous with “filing an appeal before the Court of Appeal”, not a grievance in the administrative sense which is filed before the administrative body that issued the decision as the first step of any potential court action (in order to work out a settlement). The Cassation Court thus held that a grievance under Articles 76 and 81 refers to a court appeal. Such grievance leads to a judicial rather than an administrative resolution of the dispute.</p>\r\n<p class=\"MsoNormal\">Therefore, contrary to the Appellant’s assertion, the Court of Appeal had jurisdiction to decide on the validity of the appealed decision as long as it falls within the scope of Article 81. This is not affected by the Appellant’s contention that the Employer approving resignation does not equate to a termination decision that effectively terminates his employment. As such, the appealed decision falls under the provisions of that article and can only be appealed if a grievance is brought before the Court of Appeal within the 30 day time limit of that article.</p>\r\n<p class=\"MsoNormal\">By law, the time limit for appealing administrative decisions starts to run from the date when the decision is notified to the party concerned or he is made aware of it. Once the party against whom the decision was rendered receives absolute knowledge of its terms and is able to assess his legal position, the statute of limitations period for appealing the decision would start to run. Absolute knowledge can be deduced from any relevant fact or presumption without having to follow any particular method of proof. It is for the court to evaluate the significance of such presumptions and facts in judging the sufficiency of knowledge. Notice or service through publication in the press is not an end, per se, but a means of achieving knowledge. Absolute knowledge of the decision, by whatever means, amounts to service and triggers the statute of limitations for appeal.</p>\r\n<p class=\"MsoNormal\">As correctly held by the lower Court, the decision to terminate was issued on 15.12.11. The Appellant acknowledges in his Statement of Claim that he entrusted a security guard to write his letter of resignation which he then signed. The Appellant was notified that his resignation had been approved the same day. Thus, the Appellant, by his own admission, became aware of the decision approving his resignation on 15.12.11. The Grievant cannot retract a judicial admission and he should have filed a grievance against the decision with the Court of Appeal within the time limit prescribed by Article 81 but he did not as the action he filed in Court of First Instance on 09.02.12 was out of time.</p>\r\n<p class=\"MsoNormal\">As a result the Appellant’s resignation effectively terminated his employment when it was accepted on 15.12.11.</p>\r\n<p class=\"MsoNormal\"><strong>Comments on the Decision: </strong></p>\r\n<p class=\"MsoNormal\">As mentioned above with regards to the Cassation Court’s dismissal of the Respondent’s plea that the appeal should not be entertained pursuant to Article 81 of the Abu Dhabi Civil Service Law which provides that a decision of the Court of Appeal on a grievance arising from a termination decision is final, the Court clarified which decisions are subject to appeal to the Supreme Court by stating that a final decision of the Court of Appeal is capable of being appealed to the Supreme Court.</p>\r\n<p class=\"MsoNormal\">On this matter, Dr. Ahmed Abu Al Wafa, states in his book “Usool Al Muhakamat Al Madaniya”, that two forms of review are available for judicial decisions:</p>\r\n\r\n<ul type=\"disc\">\r\n 	<li class=\"MsoNormal\">Ordinary means: Objection, appeal etc.</li>\r\n 	<li class=\"MsoNormal\">Extraordinary means: Supreme Court appeal, request for re-examination etc.</li>\r\n</ul>\r\n<p class=\"MsoNormal\">While Appeal Court decisions are of course final they can still be appealed to the Supreme Court provided they satisfy all of the requirements for such appeal.</p>\r\n<p class=\"MsoNormal\">A grievance within the meaning of Articles 76 and 81 of the Civil Service Law (grievance before the Court of Appeal) is an appeal, not a grievance in the administrative sense. A grievance, as conventionally understood in the context of jurisprudence and law, is filed before the administrative body that issued the decision.</p>\r\n<p class=\"MsoNormal\">The Supreme Court held that the option available under Article 81 of the Civil Service Law is not the option of  bringing an appeal before the Court of Appeal or bringing an action before the Court of First Instance having jurisdiction over appeals from administrative decisions. The option expressed here is simply the option of contesting a termination decision as opposed to choice of forum. The option to contest can only be pursued in the court possessing jurisdiction which is the Court of Appeal according to Article 81 of the Abu Dhabi Civil Service Law.</p>\r\n<p class=\"MsoNormal\"><strong>The Cassation Court cited other Federal Supreme Court judgments which provide:</strong></p>\r\n<p class=\"MsoNormal\">“After enumerating grounds for termination, Article (81) of Law No. 1 of 2006 concerning civil service in Abu Dhabi states, that the public officer has 30 days from the date of receiving notice of the termination decision to file a grievance before the competent Court of Appeal. The decision on the grievance shall be final.” – Administrative Appeal No. 306-22</p>\r\n<p class=\"MsoNormal\">“The law has made the filing of a grievance against a termination decision before the Court of Appeal optional, not mandatory and should he pursue the option he must file his grievance within said time limit. Indeed, an employee can leap- frog the grievance stage and approach the competent court directly to seek judicial protection against the termination decision given that grievance is not a pre-condition to legal action.”</p>\r\n<p class=\"MsoNormal\">It is therefore recommended that the Cassation Court’s approach is followed as explicit provisions leave no room for interpretation. A terminated employee clearly has the option under Article 81 of the Abu Dhabi Civil Service Law to file a grievance against the termination decision before the competent Court of Appeal and if he chooses the option of going to court to request that the termination decision be cancelled, he must proceed to the court possessing jurisdiction which is the Court of Appeal within the time limit specified in the law.</p>'),
(187029, 4721, 'core_values', ''),
(187030, 4721, '_core_values', 'field_59b64ab071de4'),
(187031, 4721, 'file', ''),
(187032, 4721, '_file', 'field_59b64c10f6600'),
(187033, 4721, 'orderValue4', '4'),
(187034, 4721, '_orderValue4', 'field_59d2096a8ff34'),
(187035, 4721, 'related_pages_header', ''),
(187036, 4721, '_related_pages_header', 'field_59b6441e3cc94'),
(187037, 4721, 'related_pages', ''),
(86736, 4721, '_content', 'field_59b649b5c8b2b'),
(86737, 4721, 'lawUpdateArticleMonth', '4701'),
(86738, 4721, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86739, 4721, 'content_description', 'The Appellant (an individual) filed an action to cancel an administrative decision approving his resignation and terminating his employment on the basis that he did not tender his resignation (he claimed he was forced to resign).'),
(86740, 4721, '_content_description', 'field_59b641c07f473'),
(86741, 4721, 'pageSummary', 'The Appellant (an individual) filed an action to cancel an administrative decision approving his resignation and terminating his employment on the basis that he did not tender his resignation (he claimed he was forced to resign).'),
(86742, 4721, '_pageSummary', 'field_59e59b307dec8'),
(86743, 4721, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/may-5/abu-dhabi-supreme-court-judgment-grievance-filed-by-an-employee-against-an-employers-termination-dec.html'),
(86744, 4721, '_currentURL', 'field_59d35123ab1e7'),
(86745, 4721, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '561'),
(86746, 4721, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86747, 4721, 'lawUpdateArticleWriters', '1'),
(86748, 4721, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86749, 4721, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86750, 4721, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86751, 4721, 'lawUpdateArticlePractices', '1'),
(86752, 4721, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86753, 4721, '_yoast_wpseo_metadesc', 'The Appellant (an individual) filed an action to cancel an administrative decision approving his resignation and terminating his employment on the basis that he did not tender his resignation (he claimed he was forced to resign).'),
(86754, 4723, '_wp_attached_file', 'uploads2/media-4722.jpg'),
(86755, 4723, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:23:\"uploads2/media-4722.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(86756, 4722, 'lawUpdateImageURL', '5905'),
(86757, 4722, '_lawUpdateImageURL', 'field_59c8deca117cd'),
(86758, 4722, 'lawUpdateDesc', ''),
(86759, 4722, '_lawUpdateDesc', 'field_59da24cd91f17'),
(86760, 4722, 'lawUpdateYear', '2013'),
(86761, 4722, '_lawUpdateYear', 'field_59da245091f13'),
(86762, 4722, 'pageSummary', ''),
(86763, 4722, '_pageSummary', 'field_59e59b307dec8'),
(86764, 4722, 'lawUpdateStartMonth', 'June'),
(86765, 4722, '_lawUpdateStartMonth', 'field_59da247791f14'),
(86766, 4722, 'currentURL', 'http://www.tamimi.com/en/section/law-update/section-5/june-issue'),
(86767, 4722, '_currentURL', 'field_59d35123ab1e7'),
(86768, 4724, 'content', '<p><strong>Facts of the case:</strong></p>\r\n<ul>\r\n<li>The First Claimant and the Second Claimant are commercial companies registered in accordance with Jordanian Law as limited liability companies.</li>\r\n<li>The Second Claimant was also registered as a commercial agent with the Agents and Mediators Registrar in Jordan.</li>\r\n<li>The First Claimant and the Defendant signed an agency agreement by which the First Claimant was appointed as the official and only agent in charge of the importation, storage and sale of the Defendant&rsquo;s products in Jordan. Further, this agency agreement was registered with the Agents and Mediators Registrar in Jordan in accordance with Jordanian Law.</li>\r\n<li>In one of its General Assembly meetings, the General Assembly of First Claimant decided to assign all of its registered commercial agencies to the benefit of the shareholders of the company, or any party the shareholders believed to be competent to handle such agencies. As such, the agency agreement signed with the Defendant was transferred to the Second Claimant along with all of its relevant powers, authorities, and liabilities.</li>\r\n<li>The Second Claimant proceeded to act as the Defendant&rsquo;s agent in Jordan and abiding by all the tasks, responsibilities, and liabilities assigned by virtue of the Agency Agreement.</li>\r\n<li>After a number of years, the Defendant unlawfully terminated the Agency Agreement with the Second Claimant.</li>\r\n<li>By unlawfully terminating the Agency Agreement, and in the absence of a legitimate and legal reason, the termination of the said Agency Agreement caused the Second Claimant substantial damages including actual damages and other losses such as loss of profit.</li>\r\n<li>The Second Claimant gave notice to the Defendant requesting for compensation as a result of the termination of the Agency Agreement. The Defendant did not respond to the legal notice.</li>\r\n</ul>\r\n<p><strong>The Jordanian Courts&rsquo; decisions:</strong></p>\r\n<ul>\r\n<li>The Court Of First Instance ruled in favour of the Defendant and issued a decision dismissing the case in accordance with Article 16(b) of the Commercial Agents and Mediators Law No 28 for 2001 which provides that &ldquo;no case shall be heard in court if it relates to a dispute arising from an agency or agency contract three years after termination&rdquo;.</li>\r\n<li>When the Second Claimant appealed the decision, the Court of Appeal upheld the decision issued by the Court of First Instance and decided to dismiss the case in favour of the Defendant.</li>\r\n<li>The Second Defendant further appealed the Court of Appeal&rsquo;s decision and took the case to the Court of Cassation.</li>\r\n<li>When the Court of Cassation looked into the aforementioned, it decided that the Court of Appeal&rsquo;s decision to dismiss the case in accordance with the aforementioned Article 16(b) of the Commercial Agents and Mediators Law was incorrect for the following reasons:</li>\r\n</ul>\r\n<ol>\r\n<li>The contract (the subject of the case) was signed between the First Claimant and the Defendant and was registered with the Agents and Mediators Registrar in accordance with Article 5 of the Commercial Agents and Mediators Law; and that when the same contract was assigned to the benefit of the Second Claimant, the same was not re-registered with the Registrar under its name.</li>\r\n<li>In accordance with Article 10(a) of the Commercial Agents and Mediators Law, the parties to an unregistered agency or agency agreement shall not benefit from the advantages granted&nbsp; to&nbsp; parties of registered agreements;</li>\r\n<li>Article 17(b) of the Commercial Agents and Mediators Law provides that the commercial agent who signs an agency agreement the Commercial Agents and Mediators Law before the Law was published, shall register the said agreement within 6 months of the law coming into force;</li>\r\n<li>In accordance with Article 18 of the Commercial Agents and Mediators Law, the non-registration of an agency agreement shall be deemed as an offence punishable by law;</li>\r\n<li>As such, and further to the above , the provisions of the Commercial Agents and Mediators Law applies to agency agreements registered with the Registrar in accordance with its provisions;</li>\r\n<li>Accordingly, Article 16(b) of the Commercial Agents and Mediators Law does not apply to the agreement subject of the case as it was not properly registered with the Registrar.</li>\r\n</ol>\r\n<p><strong>Significance of the Decision:</strong></p>\r\n<p>Prior to the issuance of this decision, the applicability of the Commercial Agents and Mediators Law to unregistered agency agreements was unclear. However, the Court of Cassation&rsquo;s General Panel&rsquo;s decision resolved this uncertainty by issuing a binding judgment stating that the aforementioned Law shall not be applicable to unregistered agency agreements.</p>'),
(86769, 4724, '_content', 'field_59b649b5c8b2b'),
(86770, 4724, 'lawUpdateArticleMonth', '4722'),
(86771, 4724, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86772, 4724, 'content_description', 'The First Claimant and the Second Claimant are commercial companies registered in accordance with Jordanian Law as limited liability companies.'),
(86773, 4724, '_content_description', 'field_59b641c07f473'),
(86774, 4724, 'pageSummary', 'The First Claimant and the Second Claimant are commercial companies registered in accordance with Jordanian Law as limited liability companies.'),
(86775, 4724, '_pageSummary', 'field_59e59b307dec8'),
(86776, 4724, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/unregistered-agency-agreements-in-jordan.html'),
(86777, 4724, '_currentURL', 'field_59d35123ab1e7'),
(86778, 4724, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '680'),
(86779, 4724, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86780, 4724, 'lawUpdateArticleWriters', '1'),
(86781, 4724, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86782, 4724, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86783, 4724, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86784, 4724, 'lawUpdateArticlePractices', '1'),
(86785, 4724, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86786, 4724, '_yoast_wpseo_metadesc', 'The First Claimant and the Second Claimant are commercial companies registered in accordance with Jordanian Law as limited liability companies.'),
(86787, 4725, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nUnless the parties mutually agree to terminate the sale agreement, only courts can issue final decisions to terminate agreements between real estate developers and purchasers.\r\n\r\n<strong>Facts of the case</strong>\r\n\r\nThe First Respondent in this case, a real estate investment company, initiated legal action before the Dubai Court of First Instance seeking a court order against a Real Esate Agent (the “Third Respondent”) to refund the sum paid to the latter as installments of the purchase price for two real estate units located in the Water Front living project. The legal action was filed on the ground that the Third Respondent failed to register the unit as required by the law.\r\n\r\nThe Third Respondent pleaded that in this transaction, it was acting as an agent for the Second Respondent and requested the action to be dismissed for having been brought against a party who has no capacity within the substantive matter of the dispute and therefore sought to join the Second Respondent to the case.\r\n\r\n<strong>Procedural History</strong>\r\n\r\nThe First Respondent (Claimant) filed its amended statement of claim to include the name of the Second Respondent. The Land Department confirmed that the units (the subject of the dispute) are registered in the Interim Real Estate Register. In light of this, the First Respondent sought to annul the Sale agreement or alternatively to cancel/terminate the agreement as the Second Respondent failed to commence any construction on the units to date, nor did it secure the required building permits which the First Respondent sought to establish by way of first hand inspection by a court appointed expert.\r\n\r\nThe Court of First Instance rendered its ruling by dismissing the case. As a consequence, the First Respondent appealed before the Court of Appeal which overturned the lower court’s decision and further rejected the case as a result of the administrative decision (issued in the same case) by the Dubai Land Department.\r\n\r\nThe First Respondent challenged the Court of Appeal’s decision before the Dubai Court of Cassation which dismissed the case on the ground that the action is time barred.\r\n\r\nThe Attorney General challenged the same Court of Appeal ruling pursuant to Article 174 of the UAE Civil Procedure Law which entitled the Attorney General to challengefinal decisions of any court provided that the court’s judgment contradicts the law or its application.\r\n\r\n<strong>The Court of Cassation</strong>\r\n\r\nThe Attorney General argued that the appealed judgment was wrong to consider the administrative decision (rendered by the Land Department) as a conclusive and binding judicial ruling which had the effect of res judicata, in other words, the lower court rendered the Land Department’s decision as equivalent to a Court judgment, which was incorrect.  The Attorney General further pleaded that the appealed decision contradicted both Article 11 of the Interim Real Estate Register Law No. 13 of 2008 and Article 15 of the Executive Council Decision no. 6.\r\n\r\nThe Cassation Court, in its ruling, stated that articles from the UAE Civil Transactions Law as well as the aforementioned articles the Interim Real Estate Register Law No. 13 of 2008 and the Executive Council Decision No. 6 of 2010 provide that contracts may be terminated either by parties’ agreement or a court order. Furthermore, the role of the Land Department in settling a developer-purchaser dispute is to endeavor and conciliate suitable solutions for the parties in order to reach an amicable settlement and does not extend to the termination of contracts. The court further stated that the Land Department’s decision is not conclusive so as to preclude bringing an action for breach of contract to determine entitlement to recover damages under the law.\r\n\r\nThe lower court failed to examine the merits of the dispute when it decided to dismiss the action on the basis that the Land Department had previously issued a decision authorizing termination of the units sale agreement, and that this administrative body, which was not a party to the proceedings, had exercised its powers and rights in accordance with the law. Therefore, the Cassation Court overturned the appeal judgment and referred the case back to the Court of Appeal.\r\n\r\n<strong>Practice note:  </strong>\r\n\r\nThe above Cassation decision confirms that the Land Department’s role in disputes is limited to conciliation and is subject to judicial review, it further highlighted that there is judicial control over administrative decisions and that it is the Courts that ultimately terminate real estate agreements.'),
(186275, 4725, 'core_values', ''),
(186276, 4725, '_core_values', 'field_59b64ab071de4'),
(186277, 4725, 'file', ''),
(86788, 4725, '_content', 'field_59b649b5c8b2b'),
(86789, 4725, 'lawUpdateArticleMonth', '4722'),
(86790, 4725, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86791, 4725, 'content_description', 'In a recent Dubai Court Judgment, the Court ruled in the appeal filed by the Attorney General that, in the event of a claim from the land developer against the purchaser, the role of the Land Department is merely conciliatory to propose suitable solutions for the parties in order to reach an amicable settlement. '),
(86792, 4725, '_content_description', 'field_59b641c07f473'),
(86793, 4725, 'pageSummary', 'In a recent Dubai Court Judgment, the Court ruled in the appeal filed by the Attorney General that, in the event of a claim from the land developer against the purchaser, the role of the Land Department is merely conciliatory to propose suitable solutions for the parties in order to reach an amicable settlement.'),
(86794, 4725, '_pageSummary', 'field_59e59b307dec8'),
(86795, 4725, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/dubai-land-departments-administrative-decisions-and-judicial-review.html'),
(86796, 4725, '_currentURL', 'field_59d35123ab1e7'),
(86797, 4725, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Marwa El Mahdy'),
(86798, 4725, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86799, 4725, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.elmahdy@tamimi.com'),
(86800, 4725, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86801, 4725, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86802, 4725, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(186294, 4726, 'lawUpdateArticleWriters', '1'),
(186295, 4726, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(186293, 4726, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(186292, 4726, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '524'),
(186290, 4726, 'lawUpdateArticleSectors', ''),
(186291, 4726, '_lawUpdateArticleSectors', 'field_59ec462a1e203'),
(86809, 4725, 'lawUpdateArticleNoWriters', '1'),
(86810, 4725, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86811, 4725, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86812, 4725, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86813, 4725, 'lawUpdateArticlePractices', '1'),
(86814, 4725, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86815, 4725, '_yoast_wpseo_metadesc', 'In a recent Dubai Court Judgment, the Court ruled in the appeal filed by the Attorney General that, in the event of a claim from the land developer against the purchaser, the role of the Land Department is merely conciliatory to propose suitable solutions for the parties in order to reach an amicable settlement.'),
(86816, 4726, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nIn a dispute between a UAE investor and a foreign investor, the parties disputed over whether a side agreement or the official Memorandum of Association (MOA) governed their relationship. The UAE investor insisted that the official MOA is the valid document whereas the foreign investor argued that the side agreement states that the foreign investor has a greater percentage in shares and that the side agreement is the valid/ applicable agreement to govern the relationship between the two parties.\r\n\r\nAs outlined in the previous article, the matter had been decided in favour of the UAE investor at the first instance and appeal levels, however the foreign investor appealed further to the Supreme Court.\r\n\r\nIn its judgment, the Supreme Court held that the side agreement can be established by any means of evidence and allowed the parties to hear testimony of witnesses.\r\n\r\nWhen the Court of Appeal heard witnesses brought in by the foreign investor and rejected the claim, the parties appealed again to the Supreme Court.  The Supreme Court considered the evidence and decided that there was enough evidence to prove the existence of the side agreement and subsequently directed the Court of Appeal to look into this. Upon review of the evidence, the Court of Appeal issued its judgment confirming the existence of the side agreement.\r\n\r\nThe UAE investor appealed for the third time to the Supreme Court contesting the validity of the side agreement and it is this appeal which is the subject matter of this update.\r\n\r\n<strong>LATEST SUPREME COURT JUDGMENT</strong>\r\n\r\nThe Supreme Court ruled on this matter for the third time and in this latest judgment, the Supreme Court decided very differently to the last decision and declared that the offical MOA as registered with the authorities is the valid agreement that governs the relationship between the parties and not the side agreement.\r\n\r\nThe Supreme Court relied on Articles 8, 10 and 11 of the Commercial Companies Law (CCL) and held that it is imperative for all agreements relating to commercial companies to be in writing, notarised and registered in the Companies Commercial Register so as to comply with the requirements of the CCL and that all amendments to the company documents (i.e. Memorandum of Association) must also be duly notarised and registered in the same manner as the MOA.\r\n\r\nIn this case, the Supreme Court concluded that as the side agreement was not notarised or registered in the Companies Commmercial Register, it is therefore null and void.\r\n\r\n<strong>BACKGROUND</strong>\r\n\r\nA dispute arose in relation to a limited liability company in Abu Dhabi between a UAE shareholder and a foreign shareholder over the ownership of the actual shareholding in a limited liability company.  Legal action was commenced by the UAE shareholder requesting confirmation of its entitlement to 51% of the shares, assets and profits of the company according to the official memorandum of association (MOA) of the company as officially registered and declared with the competent authorities. The foreign shareholder, however, claimed that it owned more than it’s registered shares (as reflected in the side agreement).\r\n\r\n<strong>COMMENTS ON THE JUDGMENT</strong>\r\n<ol>\r\n 	<li>It is apparent that this Union Supreme Court judgment contrasts with the previous two judgments by the same court (in the same dispute) which previously decided that side agreements are not null and void if they were not notarised or registered pursuant to Articles 8,10 and 11 of the CCL.  The court in the former two rulings held that the parties can even hear witnesses to prove this matter.  The court also held that the side agreement can be concluded from various documents and not necessarily from a single written agreement and that such agreement is valid even without notarisation.</li>\r\n 	<li>The new ruling is therefore a material change from the Supreme court’s former rulings on the issue of side agreements. As side agreements are not official agreements, they can not be notarised or registered in the Commercial Register.</li>\r\n 	<li>The main purpose of the side agreement is that it is binding between the two parties only and concealed from the Commercial Register. This purpose would not be achieved if there was a requirement to notarise it or file it with the Commercial Register. This has been confirmed by the Supreme Court itself in former rulings. The side agreement also includes provisions that can not be notarised or accepted by the official authorities such as the shareholding percentage which is usually different from the official documents.</li>\r\n 	<li>It is to be noted that this latest judgment did not address the effect of Article 395 of the Civil Code.  Article 395 provides that:  <em>“If the contracting parties conceal a true contract with an apparent contract, the true contract will be the effective one as between the contracting parties and a special successor.” </em>If Article 395 had been addressed by the Supreme Court, it is possible that the court would have produced a different result.</li>\r\n 	<li>It should also be highlighted here that although this judgment addressed the issue of the validity of the nominee agreement with regard to the offical MOA, it has not however, adressed the issue of whether the rights of the parties under the MOA should be liquidated as a result of the invalid nominee agreement.</li>\r\n 	<li>The judgment also did not address the issue of the date the invalidity occurs i.e. whether it is from the inception of the company or from the date of the judgment.</li>\r\n 	<li>In view of the above judgment and the previous Supreme Court decisions on the same matter, it should be noted that the courts in future cases, will not necessarily decide that all side agreements are null and void. Each case will be decided on a case by case basis and the  arguments raised above (in paragraphs 3, 4, 5 and 6) may also appear in separate matters in the future.</li>\r\n</ol>'),
(186310, 4726, 'core_values', ''),
(186311, 4726, '_core_values', 'field_59b64ab071de4'),
(86817, 4726, '_content', 'field_59b649b5c8b2b'),
(86818, 4726, 'lawUpdateArticleMonth', '4722'),
(86819, 4726, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86820, 4726, 'content_description', 'This important case was mentioned in a previous Law Update article (July/August 2012 issue) which provided a unique position on the issue of side (nominee) agreements.'),
(86821, 4726, '_content_description', 'field_59b641c07f473'),
(86822, 4726, 'pageSummary', 'This important case was mentioned in a previous Law Update article (July/August 2012 issue) which provided a unique position on the issue of side (nominee) agreements.'),
(86823, 4726, '_pageSummary', 'field_59e59b307dec8'),
(86824, 4726, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/supreme-court-judgment-new-approach-on-the-issue-of-side-agreements.html'),
(86825, 4726, '_currentURL', 'field_59d35123ab1e7'),
(86826, 4726, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Zane Anani'),
(86827, 4726, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86828, 4726, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'z.anani@tamimi.com'),
(86829, 4726, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86830, 4726, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86831, 4726, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(186303, 4726, '_timeline_header', 'field_59b63de5b74bf'),
(186302, 4726, 'timeline_header', ''),
(186300, 4726, 'orderValue2', '2'),
(186301, 4726, '_orderValue2', 'field_59d0c6f6175b8'),
(186299, 4726, '_stats_list', 'field_59b6372466bcc'),
(186298, 4726, 'stats_list', ''),
(186296, 4726, 'orderValue1', '1'),
(186297, 4726, '_orderValue1', 'field_59d0c6e5175b5'),
(86838, 4726, 'lawUpdateArticleNoWriters', '1'),
(86839, 4726, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86840, 4726, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86841, 4726, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86842, 4726, 'lawUpdateArticlePractices', '1'),
(86843, 4726, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86844, 4726, '_yoast_wpseo_metadesc', 'This important case was mentioned in a previous Law Update article (July/August 2012 issue) which provided a unique position on the issue of side (nominee) agreements.'),
(86845, 4727, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nThe draft law is intended to replace the Income Tax Law No. 28 of 2009 (‘the 2009 Law’).\r\n\r\nOne of the key features in the draft law is that it introduces gradual tax on incomes in a detailed manner. This is further explained below.\r\n\r\nThe draft law does not amend the taxable incomes in Jordan, nor does it change the exemptions laid out in the 2009 Law, but rather it proposes a new set of ratios for taxes and exemptions.\r\n\r\nThe taxable incomes still include: Income from professional services or activities; Interest; commissions; discounts; currency differences; deposit profits and profits from banks and other legal resident persons; royalties; income from selling goods; income from the selling or leasing of movable and immovable properties or intangible assets in Jordan; income from re-exporting; and income from transportation of goods between Jordan and a foreign country.\r\n\r\nEven though the taxable incomes have not been amended, minor changes were made to some aspects relating to exemptions granted on the income of pensioners. For example, in accordance with the 2009 Law, an exemption is applicable to the first JD 4,000 of monthly pension salaries paid to a resident person. However, the draft law provides that the same exemption be applicable only to the first JD 3,500 of the same monthly pension salary.\r\n\r\nAdditionally, the draft law intends to place an exemption on the first JD 100,000 of any agricultural activity generated inside Jordan<sup>1</sup>.\r\n\r\nFurther to the above, it is important to note that the draft law states that the income paid (as a return for services provided)  by a judicial person (i.e. an entity created by law such as a company or institution) to a resident of Jordan who is a doctor, lawyer, engineer, auditor, expert, agent, or broker shall be subject to a withholding tax at the amount of 5% of the paid amounts.\r\n\r\nOther minor amendments in the draft law include changes made in relation to the income deductions applicable to tax payers. The draft law has added the option of deducting the Murabaha (which is an Islamic financing structure, where an intermediary buys a property with free and clear title to it then  agrees upon a sale price with the prospective buyer, including an agreed upon profit for the intermediary) and interest amounts paid by any judicial person. This, however, does not apply to the Murabaha and interest amounts paid by banks, financial institutions, or financial companies and individuals who perform financial lending activities. Furthermore, this deduction shall not be applied to amounts that exceed the total debt paid-in-capital ratio.\r\n\r\nAs regards amendments made to the income tax ratios applicable to companies and people, the draft law provides that they should be as follows:\r\n\r\n<strong>1. Natural Persons<sup>2</sup>:   </strong>\r\n<ul>\r\n 	<li>5% on each Dinar for the first JD 10,000;</li>\r\n 	<li>10% on each Dinar for the second JD 10,000;</li>\r\n 	<li>15% on each Dinar for the third JD 10,000;</li>\r\n 	<li>20% on each Dinar for the fourth JD 10,000;</li>\r\n 	<li>25% on each Dinar for the fifth JD 10,000.</li>\r\n 	<li>30% on any additional Dinar.</li>\r\n</ul>\r\nThe draft law further proposes the following exemptions:\r\n<ul>\r\n 	<li>9,000 Dinars for the taxable natural person.</li>\r\n 	<li>9,000 Dinars for his dependents, regardless of their number.</li>\r\n 	<li>However, please note that the draft law does not allow the exemption to exceed JD 18,000 per family.</li>\r\n</ul>\r\n<strong>2. Judicial Persons: </strong>\r\n\r\nThe draft law proposes that the following ratios apply to the income of both Banks<sup>3</sup>  and Financial Institutions<sup>4</sup>:\r\n<ul>\r\n 	<li>30% on each Dinar of the first JD 250,000.</li>\r\n 	<li>35% on each Dinar after the first JD 250,000, up to JD 2,000,000.</li>\r\n 	<li>40% on each Dinar for any amount more.</li>\r\n</ul>\r\nHowever, in regards to communications companies, basic substance-mining companies, insurance companies, reinsurance companies and financial intermediation companies, the Draft Law suggests that the following income tax rates apply:\r\n<ul>\r\n 	<li>125% on each Dinar of the first JD 250,000</li>\r\n 	<li>30% on each Dinar after the first JD 250,000, up to JD 1,000,000.</li>\r\n 	<li>40% on any additional Dinar.</li>\r\n</ul>\r\nAs for other judicial persons not addressed in the above mentioned mechanism, the following rates shall apply<sup>5</sup>:\r\n<ul>\r\n 	<li>15% on each Dinar of the first JD 250,000.</li>\r\n 	<li>20% on each Dinar for the next JD 250,000.</li>\r\n 	<li>25% on any additional Dinar.</li>\r\n</ul>\r\n<strong>Conclusion</strong>\r\n\r\nThere are mixed views with regards to the Draft Law, subject of this article. While some commend the effort of revitalizing the stagnant Jordanian economy, there are views which suggest that the increased number of taxes imposed on different factions of the public, including pensioners for example, could have a negative effect, and may also be contrary to the principles of the Jordanian constitution which provide for progressive taxation, in accordance with principles of social equality and justice.\r\n\r\n<address><em>Footnotes:</em></address>\r\n<ol>\r\n 	<li><em>In comparison to the 2009 Law, where agricultural activities enjoyed exemption for the first JD 750,000 of their income. </em></li>\r\n 	<li><em>In comparison to the 2009 Law, which applied 7% on the first JD 12,000 and 14% to any amount more. </em></li>\r\n 	<li><em>In comparison to the 2009 Law, where banks are only subject to 30% for their overall income, without any gradual tax obligations. </em></li>\r\n 	<li><em>Under the 2009 Law financial institutions are only subject to 24% for their overall income, without any gradual tax obligations. </em></li>\r\n 	<li><em>Under the 2009 Law judicial persons are subject to 14% of their overall income, without any gradual tax obligations. </em></li>\r\n</ol>'),
(186343, 4727, 'core_values', ''),
(186344, 4727, '_core_values', 'field_59b64ab071de4'),
(186345, 4727, 'file', ''),
(86846, 4727, '_content', 'field_59b649b5c8b2b'),
(86847, 4727, 'lawUpdateArticleMonth', '4722'),
(86848, 4727, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86849, 4727, 'content_description', 'A new draft of the proposed Income Tax Law has been submitted for review to the Legislation and Opinion Bureau in Jordan. At a later stage this draft law will be submitted to the Parliament for discussion and ratification. '),
(86850, 4727, '_content_description', 'field_59b641c07f473'),
(86851, 4727, 'pageSummary', 'A new draft of the proposed Income Tax Law has been submitted for review to the Legislation and Opinion Bureau in Jordan. At a later stage this draft law will be submitted to the Parliament for discussion and ratification.'),
(86852, 4727, '_pageSummary', 'field_59e59b307dec8'),
(86853, 4727, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/draft-jordanian-income-tax-law-of-2013.html'),
(86854, 4727, '_currentURL', 'field_59d35123ab1e7'),
(86855, 4727, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Saba Gheshan'),
(86856, 4727, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86857, 4727, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 's.gheshan@tamimi.com'),
(86858, 4727, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86859, 4727, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86860, 4727, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86861, 4727, 'lawUpdateArticleNoWriters', '1'),
(86862, 4727, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86863, 4727, '_yoast_wpseo_metadesc', 'A new draft of the proposed Income Tax Law has been submitted for review to the Legislation and Opinion Bureau in Jordan. At a later stage this draft law will be submitted to the Parliament for discussion and ratification.'),
(86864, 4728, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nThese changes relate to (i) the nationality of partners and capital requirements; and (ii) the ease of procedures to transfer parts (i.e. shares) in a limited liability company.\r\n\r\n<strong>The Companies Law 2012 </strong>\r\n\r\nOn 29 November 2012 the Kuwait Government published the new Companies Law No. 25 of 2012 (‘the New Companies Law’). Amendments to the law were presented to the National Assembly and published in the Official Gazette on the 27 of March 2013. The new law superseded the old Commercial Companies Law of 1960 (‘the 1960 Law’). The New Companies Law is also dependent on the release by the Ministry of Commerce and Industry of executive regulations to the new law, which are known as ‘Executive By-Laws’.\r\n\r\n<strong>Nationality of partners and capital requirements</strong>\r\n\r\nUnder the 1960 Law a company with limited liability was required to have a Kuwaiti partner holding at least 51% of the parts. The position under the New Companies Law however is unclear in relation to this and the minimum capital requirements, because they are to be determined by the Executive By-Laws, which have yet to be issued. Typically, the minimum capital for a company with limited liability is based on the company objectives.\r\n\r\n<strong>Ease of Procedures to Transfer Parts in a WLL </strong>\r\n\r\nLimited liability companies in Kuwait are identified by have the initials ‘WLL’ after their name (‘With Limited Liability). The transfer of parts in a WLL was an arduous process under the 1960 Law and required the following:\r\n<ul>\r\n 	<li>A signed deed of amendment before the Notary Public of the Ministry of Justice.</li>\r\n 	<li>The company then filing the signed deed of amendment by all partners at the Ministry of Commerce and Industry in order to amend the memorandum and articles of association.</li>\r\n</ul>\r\nArticle 99 of the New Companies Law however has eased these requirements by only requiring the use of a written instrument in order to allow for the transfer of parts in a WLL. Furthermore, the new law introduces a new procedure to enable investors to more easily transfer their legal ownership interests in a WLL. The procedure is as follows:\r\n<ul>\r\n 	<li>The consent of the existing partners must be obtained in order to sell parts to third parties.</li>\r\n 	<li>In the event unanimous consent from the partners is not obtained, the conditions of the transfer offer shall be published in the Official Gazette.</li>\r\n 	<li>If the existing partners do not exercise their right of redemption within fifteen days of publication, then the partner is free to transfer any parts.</li>\r\n 	<li>The request to transfer parts must be attached with a certified cheque for the full value of the assigned parts in the assignor’s name.</li>\r\n 	<li>When amending the memorandum of association, only the signatures of the transferring partner and the transferee are required, thereby eliminating the need to obtain the signatures of all the partners on the amendment of the memorandum of association (Article 100).</li>\r\n</ul>\r\nBased on the above overview, it can be seen that the New Companies Law has introduced new provisions and amended previous provisions to generally allow more flexibility in the establishment and operations of limited liability companies, including the transfer of parts by investors. It is hoped that these changes will better support Kuwait’s growing economy.'),
(186376, 4728, 'core_values', ''),
(186377, 4728, '_core_values', 'field_59b64ab071de4'),
(86865, 4728, '_content', 'field_59b649b5c8b2b'),
(86866, 4728, 'lawUpdateArticleMonth', '4722'),
(86867, 4728, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86868, 4728, 'content_description', 'Companies with limited liability are perhaps one of the most common in Kuwait. This article briefly discusses some of the noteworthy changes recently made to the Companies Law No. 25 of 2012.'),
(86869, 4728, '_content_description', 'field_59b641c07f473'),
(86870, 4728, 'pageSummary', 'Companies with limited liability are perhaps one of the most common in Kuwait. This article briefly discusses some of the noteworthy changes recently made to the Companies Law No. 25 of 2012.'),
(86871, 4728, '_pageSummary', 'field_59e59b307dec8'),
(86872, 4728, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/companies-with-limited-liability-under-the-new-kuwait-companies-law.html'),
(86873, 4728, '_currentURL', 'field_59d35123ab1e7'),
(86874, 4728, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', ''),
(86875, 4728, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86876, 4728, 'lawUpdateArticleWriters', '1'),
(86877, 4728, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86878, 4728, '_yoast_wpseo_metadesc', 'Companies with limited liability are perhaps one of the most common in Kuwait. This article briefly discusses some of the noteworthy changes recently made to the Companies Law No. 25 of 2012.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(86879, 4729, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nThis states that “a foreign judgment is the judgment issued by a court situated outside Iraq”.\r\n\r\nBefore 1928 foreign judgments were not enforced or recognized because this was seen as an infringement on the sovereignty of the state, an attitude shared by most countries at that time. Views however began to change and other considerations became important, such as the preservation of rights regulated under foreign judgments and the importance of not harming people’s commercial interests. As a response to this many countries, including Iraq, began to permit the adoption and enforcement of foreign judgments issued by non-national courts either by virtue of enacted legislation or through many multinational conventions which were entered into for this purpose.\r\n\r\n<strong>Enforcement under the Foreign Enforcement Law</strong>\r\n\r\nArticle 16 of the Iraqi Civil Code 1951 states that “foreign judgments issued by foreign courts are not subject to enforcement in Iraq unless it was deemed otherwise by a specific Law”. In order to understand how foreign judgments are enforced we therefore need to look at the Foreign Enforcement Law which is the main law addressing the issue.\r\n\r\nArticle 6 of Foreign Enforcement Law details the conditions to be met by a foreign judgment for it to be enforceable in Iraq, and as follows:\r\n<ol>\r\n 	<li>The judgment is issued by a competent foreign court, which pursuant to article 7 of the Foreign Enforcement Law, the foreign court is competent to decide a lawsuit if:</li>\r\n</ol>\r\n<ul>\r\n 	<li>The lawsuit is related to movable or immovable property situated in the foreign country;</li>\r\n 	<li>The lawsuit related to a contract signed in the foreign country or to be executed in the foreign country (in whole or in part);</li>\r\n 	<li>The lawsuit related to works carried out, in full or in part, outside Iraq;</li>\r\n 	<li>The defendant is normally resident in that foreign country or conducts his business mainly from the foreign country at the time the case was filed before the foreign courts; or,</li>\r\n</ul>\r\n<ol>\r\n 	<li>The defendant attended the hearing willingly and did not object to the jurisdiction of the foreign court.</li>\r\n 	<li>The defendant is adequately notified;</li>\r\n 	<li>The judgment must relate to a debt or defined amount of money, or civil compensation if the judgment was issued on a criminal claim;</li>\r\n 	<li>The cause of the claim must not be in violation of Iraqi public order;</li>\r\n 	<li>The foreign judgment must attain execution in the foreign country; and,</li>\r\n 	<li>Pursuant to Article 11 of Foreign Enforcement Law, the foreign courts must conform to the principle of reciprocity of treatment (i.e. the foreign court will recognise Iraqi court judgments).</li>\r\n</ol>\r\nIn the light of the above definition of the foreign judgment and conditions of the enforcibility, there are also other conditions which, if met, render the relevant judgment unenforceable inside Iraq. These include:\r\n<ul>\r\n 	<li>That the judgment was issued by virtue of a summary procedure;</li>\r\n 	<li>That the judgment was a preliminary decisions issued by the court during their consideration of the claim; or,</li>\r\n 	<li>The award was issued by Arbitration Board of a non-signatory in Riyadh Convention for judicial Cooperation of 1983.</li>\r\n</ul>\r\n<strong>Process for Enforcing Foreign Judgments</strong>\r\n\r\nIn accordance with Article 3 of the Foreign Enforcement Law, any person wishing to enforce a foreign judgment in Iraq must submit a request to the Court of First Instance. The court to be used should be the competent court closest to the residence of the defendant, or that which is closest to the asset which was the subject to the claim.\r\n\r\nThe Court of First Instance has the jurisdiction to issue a decision enforcing a foreign judgment. The court can also refuse to enforce a foreign award if to the defendant can prove that the judgment was concluded through deceit or if the foreign court did not abide by the rules of justice.\r\n\r\n<strong>Arbitral Awards</strong>\r\n\r\nIraq is not a signatory to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards 1958. Foreign arbitral awards are only enforceable in Iraq if:\r\n<ol>\r\n 	<li>They were issued in a country that is a signatory to the Riyadh Convention for judicial Cooperation of 1983; or</li>\r\n 	<li>They were issued in a country that has a specific treaty on judicial cooperation with Iraq, such as Egypt and Jordan.</li>\r\n</ol>\r\n<strong>Conclusion</strong>\r\n\r\nAs shown above, judgments issued by foreign courts are not enforceable in Iraq until a claim has been submitted to Iraqi courts requesting the enforcement of the judgment, and the criteria for enforcement has been met. It is the responsibility of the court to check the fulfillment of the applicable conditions, and if they are met the foreign judgment will be enforced.'),
(186244, 4729, 'core_values', ''),
(186245, 4729, '_core_values', 'field_59b64ab071de4'),
(86880, 4729, '_content', 'field_59b649b5c8b2b'),
(86881, 4729, 'lawUpdateArticleMonth', '4722'),
(86882, 4729, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86883, 4729, 'content_description', 'Whether a judgment is foreign can be determined by numerous criterias, among which, is the geographical crietion which is adopted by the Iraqi law in 1928 when it was explicitly detailed in Article 1 of the Enforcement of Foreign Judgments Law (number 30 of 1928) (the “Foreign Enforcement Law”). '),
(86884, 4729, '_content_description', 'field_59b641c07f473'),
(86885, 4729, 'pageSummary', 'Whether a judgment is foreign can be determined by numerous criterias, among which, is the geographical crietion which is adopted by the Iraqi law in 1928 when it was explicitly detailed in Article 1 of the Enforcement of Foreign Judgments Law (number 30 of 1928) (the “Foreign Enforcement Law”).'),
(86886, 4729, '_pageSummary', 'field_59e59b307dec8'),
(86887, 4729, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/june-issue/a-legal-insight-into-the-enforcement-of-foreign-judgments-in-iraq.html'),
(86888, 4729, '_currentURL', 'field_59d35123ab1e7'),
(86889, 4729, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '617'),
(86890, 4729, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86891, 4729, 'lawUpdateArticleWriters', '1'),
(86892, 4729, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86893, 4729, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86894, 4729, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86895, 4729, 'lawUpdateArticlePractices', '1'),
(86896, 4729, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86897, 4729, '_yoast_wpseo_metadesc', 'Whether a judgment is foreign can be determined by numerous criterias, among which, is the geographical crietion which is adopted by the Iraqi law in 1928 when it was explicitly detailed in Article 1 of the Enforcement of Foreign Judgments Law (number 30 of 1928) (the “Foreign Enforcement Law”).'),
(86898, 4730, 'content', 'June 2013\r\n\r\n<hr />\r\n\r\nThis is usually seen as a significant advantage of arbitration. Parties are permitted to propose candidates to act as a sole arbitrator or, in the case of a three-member tribunal, each party is permitted to nominate one arbitrator and the two party-appointed arbitrators appoint the chairman.\r\n\r\nSelecting an arbitrator may be one of the most crucial decisions a party will take. There is little recourse against an arbitral award and no right of appeal, so getting a Tribunal capable of understanding the issues is important. Furthermore, arbitrations are conducted without strict rules of procedure so an arbitrator’s role is not only to render an enforceable award, but to ensure that the process is expeditious, fair and cost-effective. An arbitration may very well turn on the quality of the arbitrator and for this reason choosing arbitrators is a critical phase of the process.\r\n\r\nMost institutional rules do not provide much guidance with respect to the qualifications or skills needed to be an effective arbitrator, other than to say an arbitrator must be independent and impartial. Expanding on the institutions’ guidelines, we have detailed an additional four factors to consider when selecting a candidate:\r\n\r\n<strong>1. Choose an Arbitrator with  a Manageable Caseload </strong>\r\n\r\nWhen vetting candidates inquire into their caseloads. Ask whether the arbitrator can devote sufficient time and attention to the parties’ dispute, and nominate the arbitrator whose schedule permits taking on the case.\r\n\r\nIt is no secret that well-known arbitrators are highly sought after and their caseloads can be considerable. Indeed, they may have months in their diary booked up far in advance. Choosing an arbitrator with a heavy caseload can lead to scheduling conflicts which may delay the proceedings and affect the parties’ right to a speedy resolution. It is therefore recommended that the ability of the arbitrator to take on the case be a top consideration.\r\n\r\nThis however is not an unbreakable rule. In some circumstances busy schedules are not a concern. When specific legal or professional expertise are required and time permits, it may be sensible to appoint the arbitrator best suited to the case, rather than one who could resolve the dispute faster.\r\n\r\n<strong>2. Choose an Arbitrator with  the Requisite Legal and Professional Expertise  </strong>\r\n\r\nA significant advantage of participating in the selection process is the ability to choose a decision maker with expertise that mirrors the nature of the dispute. For example, in certain disputes an engineering background or experience in the oil and gas industry may be essential to achieve a satisfactory result and avoid the need to waste time explaining basic industry concepts and norms.\r\n\r\nThere is often a tendency to choose an arbitrator with a formal legal education, but this need not always be the case. A formal legal education and legal experience can increase the likelihood of receiving a well-reasoned and legally sound award, and an experienced lawyer will likely have the appropriate judicial demeanor and familiarity with international commercial matters to resolve complex factual or legal issues. However in certain circumstances, particularly where the dispute involves a niche industry, it may be more sensible to appoint an arbitrator with a particular professional expertise.\r\n\r\nTo this end, parties should thoroughly investigate candidates. In particular, review  CVs, conduct online research and consult with colleagues.\r\n\r\n<strong>3. Take into Consideration the Arbitrator’s Nationality </strong>\r\n\r\nIn arbitrations where the parties are of different nationalities, arbitral institutions (such as the  Dubai International Arbitration Centre or the DIFC-LCIA) often direct that a sole arbitrator or chairman of the tribunal cannot have the same nationality as one of the parties. The parties are of course permitted to agree otherwise in writing. The rationale behind this rule is to prevent a real or perceived bias in the proceedings.\r\n\r\nIn a three-member tribunal, party appointed arbitrators may have the same nationality as a party. Choosing an arbitrator of the same nationality is often sensible because then at least one member of the tribunal will have a good understanding of the culture, business practices and customs of the country where the party is from.\r\n\r\n<strong>4. Choose an Arbitrator with Strong Management Skills</strong>\r\n\r\nThe absence of strict procedural rules can lead to a prompt, efficient arbitral process tailor-made to the dispute at hand. This flexibility in the process is a primary advantage of arbitration.  If not managed properly however, the absence of procedural rules can lead to protracted disagreements between the parties, thereby causing delay and the incurrence of unnecessary costs.\r\n\r\nTo ensure the arbitral process is administered in an efficient, cost-effective manner, the parties should choose a strong arbitrator capable of managing people as well as the process.\r\n\r\nWhen vetting a candidate in respect of their management skills, the practical considerations include whether the candidate has a good judicial demeanor, is familiar with the arbitration process and is comfortable dealing with different cultures, legal systems, and the tensions which inevitably run high during disputes.\r\n\r\n<strong>Practical Tip</strong>\r\n\r\nTo identify a suitable arbitrator ask for recommendations from colleagues. Word of mouth still reigns supreme when compiling a list of candidates. Also ask legal counsel for their recommendations, most firms will keep a list of arbitrators they have used in the past or who have a good reputation. Arbitral institutions also have lists of arbitrators, although these lists may not be made public unless you are using the institution. Another excellent resource is professional networks for dispute resolution practitioners, such as the Chartered Institute of Arbitrators, which has a searchable database of arbitrators (www.ciarb.org).'),
(186408, 4730, 'core_values', ''),
(186409, 4730, '_core_values', 'field_59b64ab071de4'),
(186410, 4730, 'file', ''),
(186411, 4730, '_file', 'field_59b64c10f6600'),
(86899, 4730, '_content', 'field_59b649b5c8b2b'),
(86900, 4730, 'lawUpdateArticleMonth', '4722'),
(86901, 4730, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86902, 4730, 'content_description', 'One major difference between arbitration and litigation is that parties to an arbitration participate in the selection of the Tribunal. '),
(86903, 4730, '_content_description', 'field_59b641c07f473'),
(86904, 4730, 'pageSummary', 'One major difference between arbitration and litigation is that parties to an arbitration participate in the selection of the Tribunal.'),
(86905, 4730, '_pageSummary', 'field_59e59b307dec8'),
(55679, 3315, '_wp_attached_file', 'uploads/media-3314.jpg'),
(55680, 3315, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:22:\"uploads/media-3314.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(85890, 4677, '_content', 'field_59b649b5c8b2b'),
(85891, 4677, 'lawUpdateArticleMonth', '4661'),
(85892, 4677, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85893, 4677, 'content_description', 'Lenders providing financing for the construction or purchase of assets such as a power plant, ship or building often stipulate that the receivables arising from the asset should be assigned to the lenders.'),
(85894, 4677, '_content_description', 'field_59b641c07f473'),
(85895, 4677, 'pageSummary', 'Lenders providing financing for the construction or purchase of assets such as a power plant, ship or building often stipulate that the receivables arising from the asset should be assigned to the lenders.'),
(85896, 4677, '_pageSummary', 'field_59e59b307dec8'),
(85897, 4677, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/qatar-assignment-of-rights-and-obligations-under-the-qatari-civil-code.html'),
(85898, 4677, '_currentURL', 'field_59d35123ab1e7'),
(85899, 4677, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Sarah El Serafy'),
(85900, 4677, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85901, 4677, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 's.elserafy@tamimi.com'),
(85902, 4677, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85903, 4677, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85904, 4677, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85905, 4677, 'lawUpdateArticleNoWriters', '1'),
(85906, 4677, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85907, 4677, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '411'),
(85908, 4677, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85909, 4677, 'lawUpdateArticlePractices', '1'),
(85910, 4677, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85911, 4677, '_yoast_wpseo_metadesc', 'Lenders providing financing for the construction or purchase of assets such as a power plant, ship or building often stipulate that the receivables arising from the asset should be assigned to the lenders.'),
(85912, 4678, 'content', '<p>We are privileged to have been involved in the consultation phase  (which was launched in December 2011) where the various amendments were  discussed and also in the drafting of the amendments on behalf of the  DIFC Authority, which are the most significant amendments that have been  made to the DIFC Employment Law since it was first introduced.</p>\r\n<p>By way of background, DIFC Employment Law No. 4 of 2005 (&ldquo;DIFC  Employment Law&rdquo;) sets out all of the obligations and requirements on  employers and employees operating within the DIFC.&nbsp; The amendments to  the DIFC Employment Law were introduced pursuant to the implementation  of the Employment Amendment Law, DIFC Law No. 3 of 2012 and were  effective from 23 December 2012.</p>\r\n<p>The amendments to the DIFC Employment Law tackled a variety of areas  in respect of the relationship between employers and employees.&nbsp; As well  as clarifying some of the rules and making them generally more  user-friendly, the amendments have also sought to develop some important  employee rights.&nbsp; In particular, the provisions regarding  discrimination were significantly amended and the concepts of  harassment, direct discrimination and indirect discrimination are now  more consistent with the same concepts as defined in the UK Equality Act  2010.</p>\r\n<p>The key amendments to the DIFC Employment Law are:&nbsp;</p>\r\n<ul>\r\n<li>Provision of a written contract of employment: The Law now requires  all employers to provide employees with a written contract of employment  which is in accordance with the Law, as opposed to the requirement to  previously provide a statement of employment particulars.&nbsp; This is  consistent with the obligation on employers to provide a signed contract  of employment when submitting new visa applications and renewals to the  DIFC Authority, an obligation which was introduced earlier in 2012. &nbsp;</li>\r\n<li>Leave carry forward: Employees now have a right to carry forward up  to 20 working days of accrued and untaken annual leave from one holiday  year to the next.&nbsp; The entitlement to the carried forward annual leave  will expire after a period of 12 months following the end of the holiday  year in which it was accrued.</li>\r\n<li>Sick leave: This entitlement has now been amended to 60 working days (as opposed to 90 calendar days).&nbsp;</li>\r\n<li>Maternity leave: This entitlement has now been amended to 65 working  days (as opposed to three calendar months). In addition, the maternity  leave period will be extended by the number of national holidays which  fall on working days during the maternity leave period.</li>\r\n<li>Compensation for Accidents:&nbsp; There is now a minimum level of  compensation that is payable to employees or their named dependents  where they die or sustain an injury arising out of or during the course  of their employment.&nbsp; Where the employee dies, the compensation payable  to his/her named dependent is 24 months remuneration.&nbsp; Where the  employee sustains an injury, the level of compensation will be a  percentage of the 24 months remuneration, which varies depending on the  seriousness of the injury suffered.&nbsp;</li>\r\n<li>Health insurance: Employers are now only obliged to obtain heath  insurance cover for its employees (as opposed to insurance cover for  health and disability income, which was previously required).</li>\r\n<li>Discrimination: Provisions relating to non-discrimination have been  significantly amended.&nbsp; In particular, the following key amendments have  been made:</li>\r\n</ul>\r\n<p>- there is a clear distinction between the provisions prohibiting indirect and direct discrimination;&nbsp;</p>\r\n<p>- there is now protection for employees against harassment on the grounds of a protected characteristic;<br />- the definition of a disability is set out in greater detail;<br />- the provisions specifically state that they protect employees only; and<br />- employers may now justify indirect discrimination where their actions are a proportionate means of achieving a legitimate aim.</p>\r\n<ul>\r\n<li>Termination for cause: Entitles the employer or employee to  terminate the employment relationship for &ldquo;cause&rdquo; where the conduct of  the other party warrants termination and a reasonable employer or  employee would have terminated the relationship.&nbsp; The word &ldquo;cause&rdquo;  replaces the previous term &ldquo;misbehaviour&rdquo; although it is unlikely to  have a significant impact on the legal justification required when  summarily terminating employees.</li>\r\n<li>Pension for UAE and GCC nationals: Obliges employers to enrol an  employee to their relevant state scheme and confirms that the pension is  in lieu of end of service gratuity.</li>\r\n<li>End of service gratuity: The previous ambiguous wording has been  clarified so that for the purposes of the end of service gratuity  calculation, one day&rsquo;s basic wage shall be a calendar day&rsquo;s pay.&nbsp;</li>\r\n<li>Parts 11 to 14: These have been repealed in their entirety.&nbsp; The  provisions previously set out the process for raising complaints with,  and the decision making powers of, the Director of Employment Standards.  The removal of these provisions is unlikely have any impact on the  existing DIFC complaints procedure for employees and employers.&nbsp;</li>\r\n</ul>\r\n<ul>\r\n<li>Other amendments: &nbsp;</li>\r\n</ul>\r\n<p>- Employers are permitted to provide the written itemised pay  statement and retention of payroll records in an electronic format.<br />-  Employers are required to pay departing employees all wages and any  other outstanding amount within 14 days of the termination of  employment.&nbsp; If an employer fails to comply with this requirement, a  penalty will be payable to the employee which is equivalent to his/her  daily wage for each day the employer is in arrears.<br />- Reduced Ramadan hours are now applied for fasting Muslim employees only.<br />- Employees are entitled to national holidays which fall on working days only.<br />- All Muslim employees are entitled 30 days unpaid leave to go on a Haj pilgrimage after one year of employment.<br />- There were additions and amendments to the defined terms set out within Schedule 1 to the DIFC Employment Law.</p>\r\n<p>Please contact any member of the employment team directly for further  information or assistance, or contact the head of the team, Samir  Kantaria (s.kantaria@tamimi.com).</p>'),
(85913, 4678, '_content', 'field_59b649b5c8b2b'),
(85914, 4678, 'lawUpdateArticleMonth', '4661'),
(85915, 4678, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85916, 4678, 'content_description', 'The DIFC Authority has recently introduced some key amendments to the rules regarding employment relationships for organisations operating within the DIFC.'),
(85917, 4678, '_content_description', 'field_59b641c07f473'),
(85918, 4678, 'pageSummary', 'The DIFC Authority has recently introduced some key amendments to the rules regarding employment relationships for organisations operating within the DIFC.'),
(85919, 4678, '_pageSummary', 'field_59e59b307dec8'),
(85920, 4678, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/amendments-to-employment-law-in-the-difc.html'),
(85921, 4678, '_currentURL', 'field_59d35123ab1e7'),
(85922, 4678, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '917'),
(85923, 4678, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85924, 4678, 'lawUpdateArticleWriters', '1'),
(85925, 4678, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85926, 4678, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Luke Tapp'),
(85927, 4678, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85928, 4678, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'l.tapp@tamimi.com'),
(85929, 4678, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85930, 4678, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85931, 4678, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85932, 4678, 'lawUpdateArticleNoWriters', '1'),
(85933, 4678, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85934, 4678, '_yoast_wpseo_metadesc', 'The DIFC Authority has recently introduced some key amendments to the rules regarding employment relationships for organisations operating within the DIFC.'),
(85935, 4679, 'content', '<p>Depending on the role that we are fulfilling at the time, our use of  Social Media can have different effects and repercussions. In this  article, Part 1 of two-part series, we look at some general risks  associated with the use of Social Media. Some of these are of broad  relevance to all users of Social Media. Some are of particular relevance  in a corporate environment, including use of Social Media on behalf of a  company and use and misuse of Social Media by employees inside and  outside company time.&nbsp;</p>\r\n<p>In next month&rsquo;s Law Update, Gordon Barr, a Senior Associate in our  Employment team, will outline some of the employment-related issues  arising in respect of Social Media. The increasing accessibility of  consumer electronics and the internet has meant that Social Media is  becoming as common place as emails. According to the Arab Media Outlook  report prepared by Deloitte in 2012, 86% of internet users in the Middle  East use Social Media to access news, information advice, and 70% of  users voice their opinions on Social Media sites.&nbsp;</p>\r\n<p>Businesses are increasingly using Social Media as a business tool for  internal communications, marketing and public relations. The rapid  proliferation of Social Media in a corporate environment brings with it a  variety of issues. News stories about Social Media blunders abound.  These range from reports about Social Media misconduct by employees,  errors in the way in which companies try to engage with their customers  via Social Media, mismanagement of employees&rsquo; use of Social Media, and a  range of other problematic scenarios.&nbsp;&nbsp;</p>\r\n<p>Broadly speaking, the key legal issues arising out of use of Social  Media relate to offensive content and privacy and confidentiality.&nbsp;</p>\r\n<p><strong>OFFENSIVE CONTENT</strong></p>\r\n<p>The UAE Penal Code prohibits:</p>\r\n<ul>\r\n<li>making, through any means of publicity, a false accusation which  dishonours or discredits a man in the estimate of the public, without  imputing any specific incident to him; and&nbsp;</li>\r\n<li>charging, through any means of publicity, another person with an  incident susceptible of making him subject to punishment or exposing him  to public hatred or contempt.&nbsp;</li>\r\n</ul>\r\n<p>The publication of such statements is considered to be an aggravating  factor. The Cyber Crimes Law 2012, which replaced the Cyber Crimes Law  2006, contains a provision that basically mirrors this provision,  confirming that defamatory statements published via Social Media are no  less subject to sanction.</p>\r\n<p>The Publications and Publishing Law 1980 is also relevant. Coming  into force well before the rise of Social Media, it is no surprise that  much of the language of the law is focussed on printing presses and  newspaper distribution. Despite this, the language relating to  materials, the publication of which is prohibited, is broader &ndash; and  likely to extend to publication in the context of Social Media. Examples  of prohibited publications include:&nbsp;</p>\r\n<ul>\r\n<li>Any work instigating against Islam or the values of society, the  system of ruling, or that harms the interest of the state; news that  harms the national economy or currency; and opinions that violate public  order or that circulate subversive ideas; and</li>\r\n<li>News, pictures, comments about an individual&rsquo;s private life meant to  disgrace such individual, or any secret that may cause harm to the  reputation of someone, his property, or his commercial name.</li>\r\n</ul>\r\n<p>The Cyber Crimes Law also identifies a range of content, the on-line  publication of which is prohibited. This includes content that  blackmails or threatens a person, content that offends religious  sanctities and encourages sins, content that insults others or makes  them the subject of contempt, and content that criticizes the State or  that calls for donations or demonstrations without a licence.</p>\r\n<p>There are a number of examples in the UAE of instances that appear to  fall within prohibitions set out in one or more of these laws.&nbsp;&nbsp;</p>\r\n<ul>\r\n<li>In February 2012 the Dubai Police chief pursued a defamation case  against a 42-year-old Emirati, alleging the man had defamed him on  Twitter with unfounded accusations of corruption and injustice.&nbsp;</li>\r\n<li>In May 2012, a man who posted images insulting Islam on Facebook was  prosecuted after members of the public complained about the posts.&nbsp;</li>\r\n<li>In June 2012, a gymnasium caused controversy with its Social Media  based advertising campaign, which included an image of an obese woman  making offensive gestures at a fast food restaurant.</li>\r\n</ul>\r\n<p>With regard to the latter example, we are not aware of any  prosecution arising. Despite this, a local newspaper reported that the  so called &lsquo;Middle Finger Campaign&rsquo;, which offered a week of free  training to tackle the &ldquo;obesity epidemic&rdquo; in Dubai, caused outrage on  Social Media websites. Noting anecdotally that this type of gesture  often forms the basis for a prosecution in the UAE in the context of  altercations between drivers, there is scope to conclude that the use of  such a photograph may breach the prohibition in the Publications and  Publishing Law on advertisements that include expressions or pictures  that are inconsistent with public conduct.&nbsp;&nbsp;</p>\r\n<p>The point with all these examples is essentially that the fact that  the abusive or defamatory conduct has occurred on Social Media does not  make the conduct any less offensive or defamatory - or any less  vulnerable to prosecution under UAE law.&nbsp;</p>\r\n<p><strong>PRIVACY AND CONFIDENTIALITY</strong></p>\r\n<p>The Penal Code provides a punishment of confinement and fine shall be  inflicted on any person who attacks the sanctity of individuals&rsquo;  private or family life by publishing, through any means of publicity,  news, pictures or comments pertaining to the secrets of people&rsquo;s private  or familial lives even if the same is true. The Cyber Crimes Law  contains a provision that mirrors this Penal Code provision, confirming  that infringing privacy by way of Social Media is no less subject to  sanction.</p>\r\n<p>In the UAE, there have been a number of cases involving the  disclosure of secret information via Social Media. Articles telling of  jilted lovers circulating compromising photographs via Social Media seem  to be a regular feature in local newspapers.</p>\r\n<p>In a commercial context, the example of a bank using Facebook to  approach a UAE-based customer regarding outstanding loans is an example  of what not to do.&nbsp; A local newspaper reported that the customer learned  of the bank&rsquo;s approach when his daughter emailed him to ask why the  bank had posted details of his outstanding loans on his Facebook wall,  threatening to lodge a case against him for non-payment. While the  newspaper&rsquo;s discussion was focussed on the threatening conduct of the  bank&rsquo;s debt collection agency, our view is that there is a high  possibility that communicating with a customer, via a non-private Social  Media forum, about something as sensitive as bad debts, runs a high  risk of breaching the Penal Code prohibition on the disclosure of  secrets.</p>\r\n<p>Besides the issue of privacy outlined above, the use of Social Media  in a corporate environment raises a number of other  confidentiality-related issues. From an operational perspective, an  employee&rsquo;s use of Social Media &ndash; either for work or in a personal  capacity - could result in the disclosure of information that would be  best kept confidential to the company.&nbsp;</p>\r\n<p><strong>USER GENERATED CONTENT</strong></p>\r\n<p>Many companies have adopted Social Media as a way of engaging with  customers, allowing people to post comments directly onto corporate  websites or Social Media sites. A simple example in a Social Media  context would be comments made by customers on the Facebook page of a  company. While allowing such User Generated Content may be an effective  way of engaging with customers, it is not without risk.&nbsp;</p>\r\n<p>In the UAE, there is some likelihood that User Generated Content that  was offensive or breached privacy could attract liability both for the  individual posting it and for the company that failed to act promptly in  taking it down. For this reason, we recommend that any company that  wishes to engage with customers via Social Media in this manner moderate  User Generated Content &ndash; or, at least, act promptly the moment  offending User Generated Content comes to the company&rsquo;s attention. Our  view in this regard is supported by a new provision in the Cyber Crimes  Law, which - broadly speaking - provides for the site operator&rsquo;s  liability for offending content. Provisions of the Publications and  Publishing Law also support this view.&nbsp;&nbsp;</p>\r\n<p><strong>USE OF THIRD PARTY SOCIAL MEDIA SERVICE PROVIDERS</strong></p>\r\n<p>The use of third party service providers for the management of Social  Media content is another area of risk. Many of the points identified  earlier will be applicable, including making sure that offending content  is not posted &ndash; or not permitted to remain.&nbsp;</p>\r\n<p>A key consideration when it comes to engaging a Social Media  consultant is to appreciate that the industry is at a very early stage  of development, so there will be varying expectations and varying  degrees of professionalism. In this context, we recommend ensuring that  arrangements with service providers are clearly set out in a suitable  services agreement, specifying the scope of work, the service level  expectations, and &ndash; ideally &ndash; some mechanism for addressing  non-compliance with service levels.&nbsp;</p>\r\n<p>Having said that, it is important to appreciate the limitations of  service level credit type mechanisms when working with Social Media. If  the end result of a Social Media &lsquo;fail&rsquo; is that your reputation is  damaged, then service level credits may be of little consolation.</p>\r\n<p>Al Tamimi &amp; Company&rsquo;s Technology, Media &amp; Telecommunications  team regularly advises on Social Media related issues. For any queries  regarding this article, or Social Media issues in general, please  contact Nick O&rsquo;Connell &ndash; n.oconnell@tamimi.com</p>'),
(85936, 4679, '_content', 'field_59b649b5c8b2b'),
(85937, 4679, 'lawUpdateArticleMonth', '4661'),
(85938, 4679, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85939, 4679, 'content_description', 'Some of us are employers, many of us are employees, and all of us are customers. Some of us are fans, pundits, critics and activists.'),
(85940, 4679, '_content_description', 'field_59b641c07f473'),
(85941, 4679, 'pageSummary', 'Some of us are employers, many of us are employees, and all of us are customers. Some of us are fans, pundits, critics and activists.'),
(85942, 4679, '_pageSummary', 'field_59e59b307dec8'),
(85943, 4679, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/social-media-legal-issues-part-i.html'),
(85944, 4679, '_currentURL', 'field_59d35123ab1e7'),
(85945, 4679, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Nick O\'Connell'),
(85946, 4679, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85947, 4679, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'n.oconnell@tamimi.com'),
(85948, 4679, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85949, 4679, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85950, 4679, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85951, 4679, 'lawUpdateArticleNoWriters', '1'),
(85952, 4679, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85953, 4679, '_yoast_wpseo_metadesc', 'Some of us are employers, many of us are employees, and all of us are customers. Some of us are fans, pundits, critics and activists.'),
(85954, 4680, 'content', '<p>Upon publication in the Federal Gazette<sup>1</sup>, the new  Advertising Standards will serve to consolidate the various principles  governing content in relation to advertisements in the UAE, reinforcing a  number of fundamental edicts.&nbsp;</p>\r\n<p><strong>1. Objectives.</strong></p>\r\n<p>With a view to ensuring the advertising industry&rsquo;s conformity with  the laws and regulations of the UAE, the new Advertising Standards are  intended to:</p>\r\n<ul>\r\n<li>instill respect for the local religious, cultural and social values which prevail in the UAE;</li>\r\n<li>strengthen the freedom of expression of the media;</li>\r\n<li>establish the advertisement sector as one which contributes to the  advancement of economic development in the UAE; and&nbsp;ensure that all  advertisement content is:&nbsp;</li>\r\n</ul>\r\n<p>- impartial;<br />- truthful;<br />- respects the privacy of individuals; and&nbsp;<br />- protects society from harmful influences.</p>\r\n<p><strong>2. Standards in relation to advertisements</strong>.</p>\r\n<p>The Advertising Standards set out principles in relation to all  digital and traditional advertisements broadcast or published through  any media corporation and outlet in the UAE. Although, the Advertising  Standards do not define the meaning of these terms, they may be  interpreted broadly to include advertisements issued by shops, for  example.&nbsp;</p>\r\n<p>Many of the standards set out in the Advertising Standards reiterate  principles already established under various existing legislations and  regulations, while others introduce new rules governing advertisements  and advertising content in the region. We summarize the main standards  below:</p>\r\n<ul>\r\n<li>Respect for religion and political institutions:</li>\r\n</ul>\r\n<p>Advertising content must be respectful of all divine religions and  not offend Islamic beliefs. It must not disrespect the regime in the UAE  and/or the symbols and political institutions thereof. Further, no  content broadcast or published by a media corporation or outlet may  disrespect the local and international policies of the UAE or disrespect  the cultural heritage of the UAE.</p>\r\n<ul>\r\n<li>Prohibited products/services: &nbsp;</li>\r\n</ul>\r\n<p>The Advertising Standards explicitly prohibit advertising alcoholic  beverages, tobacco, smoking and all banned products or services  including banned narcotics. &nbsp;&nbsp;</p>\r\n<ul>\r\n<li>Prohibited content:</li>\r\n</ul>\r\n<p>The Advertising Standards prohibit the publication of words and  pictures that breach public morals. They further prohibit the spread and  dissemination of information that may prejudice children, women or any  other members of society. The Advertising Standards also prohibit the  provocation of violence, hatred and sectarianism via advertising  content.</p>\r\n<ul>\r\n<li>Privacy:</li>\r\n</ul>\r\n<p>With a view to protecting the privacy of individuals, the Advertising  Standards explicitly prohibit the broadcast and publication of  misleading news and rumors.&nbsp;</p>\r\n<ul>\r\n<li>Consumer Protection:&nbsp;</li>\r\n</ul>\r\n<p>The Advertising Standards mandate compliance with the laws governing  consumer protection and commercial activities particularly in relation  to anti-competitive practices and illegal monopolies. &nbsp;</p>\r\n<ul>\r\n<li>Health regulations</li>\r\n</ul>\r\n<p>Advertising content relating to medicines or pharmaceutical products  must comply with the rules set out by Cabinet Resolution No. 7 of 2007  Regarding Health Advertisements Regulation.&nbsp;</p>\r\n<p><strong>3. Requirements of advertising content.</strong>&nbsp;</p>\r\n<p>The most notable requirement under these new Advertising Standards is  that advertisements are now required to be in standard Arabic or the  local Emirati dialect. Prior to the issuance of these Advertising  Standards, there was no such requirement.</p>\r\n<p>We summarize additional requirements in respect of advertisements below:&nbsp;</p>\r\n<ul>\r\n<li>All advertisements broadcast or published in the UAE must be clear  and must not contain incorrect information. Advertisements must not  create confusion between products. Misleading claims of a comparative  nature that have a tendency to mislead consumers are prohibited.  Additionally, statements relating to uniqueness that have a tendency to  deceive consumers are also prohibited.</li>\r\n<li>The Advertising Standards prohibit the unlawful use of trademarks in  advertisements. Advertisements must not contain fraudulent or imitated  trademarks. The use of labels or pictures that are unrightfully used is  also prohibited.&nbsp;</li>\r\n<li>Broadcast or publication of specialized advertisements, i.e.  advertisements about medicines or pharmaceutical products, food products  and promotions require special permission of the relevant authority  prior to issuance. Similarly, advertisements relating to properties,  universities and kindergartens must be approved by the relevant  authority.&nbsp;</li>\r\n</ul>\r\n<p><strong>4. Enforcement.</strong></p>\r\n<p>The National Media Council is authorized, under the Advertising  Standards, to apply various penalties for non-compliant advertisements.  Such penalties may not be in isolation of any other penalties that may  perhaps be imposed upon an entity under Federal Law No. 15 of 1980  Regarding Printed Matters and Publications.&nbsp; Enforcement of such  penalties can occur against any or all of the &ldquo;advertiser&rdquo;, &ldquo;producer&rdquo;  and &ldquo;publication means&rdquo; (the Advertising Standards do not define the  meaning of these terms)&nbsp; where each of these can be liable for  advertising content that does not comply with standards as set forth in  these Advertising Standards.</p>\r\n<p>&nbsp;Al&nbsp; Tamimi &amp; Company&rsquo;s Technology, Media &amp;  Telecommunications team regularly handles issues related to advertising  and promotions. For further information please contact Sana Saleem at  s.saleem@tamimi.com or Anita Siassios at a.siassios@tamimi.com.&nbsp;</p>\r\n<address><em>1 -&nbsp; At the time of publication of this article, the  Advertising Standards had not been published in the Federal Gazette. We  expect this will happen in due course.</em></address>'),
(85955, 4680, '_content', 'field_59b649b5c8b2b'),
(85956, 4680, 'lawUpdateArticleMonth', '4661'),
(85957, 4680, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85958, 4680, 'content_description', 'Prior to the issuance of the Advertising Standards, content in relation to advertisements in the UAE was governed and regulated by a combination of legislative and regulatory measures.'),
(85959, 4680, '_content_description', 'field_59b641c07f473'),
(85960, 4680, 'pageSummary', 'Prior to the issuance of the Advertising Standards, content in relation to advertisements in the UAE was governed and regulated by a combination of legislative and regulatory measures.'),
(85961, 4680, '_pageSummary', 'field_59e59b307dec8'),
(85962, 4680, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/advertising-standards-for-the-uae.html'),
(85963, 4680, '_currentURL', 'field_59d35123ab1e7'),
(85964, 4680, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '918'),
(85965, 4680, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85966, 4680, 'lawUpdateArticleWriters', '1'),
(85967, 4680, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85968, 4680, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Anita Siassios'),
(85969, 4680, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85970, 4680, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'a.siassios@tamimi.com'),
(85971, 4680, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85972, 4680, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85973, 4680, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85974, 4680, 'lawUpdateArticleNoWriters', '1'),
(85975, 4680, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85976, 4680, '_yoast_wpseo_metadesc', 'Prior to the issuance of the Advertising Standards, content in relation to advertisements in the UAE was governed and regulated by a combination of legislative and regulatory measures.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(85977, 4681, 'content', '<p>The Defendants they are suing in such proceedings will, however,  often be located in the DIFC and have assets there or elsewhere in the  UAE, making them susceptible to enforcement proceedings brought by  successful Claimants.&nbsp; Although it is usually only worth suing  Defendants who are solvent, there is less to stop a financially fragile  Claimant with no assets in the DIFC (or anywhere else in the UAE) from  filing a claim in the DIFC Courts. &nbsp;</p>\r\n<p>When it comes to parties&rsquo; legal costs, the DIFC Courts follow the  common law principle that the successful party at trial is usually  entitled to recover a significant share, sometimes the entire share, of  its costs from the losing party following the trial.&nbsp; If a losing  Claimant does not have the funds to satisfy a resulting costs order or  simply refuses to comply with it and the winning Defendant is unable to  enforce the costs order in another jurisdiction (where the losing  Claimant has assets), the Defendant&rsquo;s trial victory may be pyrrhic if  the considerable financial cost of achieving it cannot be recovered from  the Claimant in practice.&nbsp; The enforceability of Court judgments and  orders in other jurisdictions is, even if possible, often complicated  and slow.&nbsp; This is particularly relevant to proceedings before the DIFC  Courts, given the relatively transient nature of Dubai and the ease with  which assets can be moved out of the jurisdiction at short notice if a  party feels its assets are vulnerable to a Court judgment or order. &nbsp;&nbsp;</p>\r\n<p>From a Defendant&rsquo;s perspective, the scenario outlined above gives  rise to the possibility of relatively risk-free litigation on the part  of a Claimant with a weak claim and who may have few if any assets.&nbsp; One  option available to a Defendant in the DIFC Courts to lessen the risk  of being left to bear significant costs even if it wins a trial is to  make a security for costs application against the Claimant pursuant to  Part 25 of the Rules of the DIFC Courts (RDC).&nbsp; Such an application, if  successful, involves the Respondent (Claimant) paying specified funds  into the Court&rsquo;s account to ensure that its costs liabilities can and  will be met should the Court order it to pay a portion of the  Applicant&rsquo;s (Defendant&rsquo;s) costs following a trial.&nbsp; Apart from providing  Defendants with the intended costs security, such applications also  help to weed out weak claims at a relatively early stage because  Claimants will need to think long and hard before parting with  significant funds relatively soon after filing a claim they may  themselves not have full confidence in.&nbsp;</p>\r\n<p>The DIFC Courts will consider a number of factors when determining a  security for costs application and will order security for costs to be  provided if they are satisfied, having regard to all the circumstances  of the case, that it is just to make such an order and if one or more of  the conditions set out in Rule 25.102 of the RDC are met.&nbsp; The key  conditions are that the Respondent: (1) is resident outside the UAE; (2)  is a company or other body and there is reason to believe it will be  unable to pay the Applicant&rsquo;s costs if ordered to do so; (3) the  Respondent has changed addresses since the claim was filed in order to  evade the consequences of litigation; (4) the Respondent did not include  its (correct) address in the claim form; or (5) the Respondent has  taken steps in relation to its assets that would make it difficult to  enforce a costs order against it.</p>\r\n<p>It is clear that these conditions give the DIFC Courts a wide  discretion to grant security for costs, but this discretion must be  exercised in accordance with established principles and with regard to  the underlying purpose of such orders.&nbsp; This was stated by the DIFC  Court of Appeal in Rafed Abden Mohsen Bader Al Khorafi, Mrs Amrah Ali  Abdel Latif Al Hamad and Mrs Alia Mohamed Sulaiman Al Rifa v Bank  Sarasin-Alpen Limited (CA 001/2010 and CA 002/2010), where the following  passage of the judgment in the English case of De Bry v Fitzgerald  ([1990] 1 WLR 352) was cited with approval:&nbsp;</p>\r\n<p><em>&ldquo;a defendant should be entitled to security if there is reason to  believe that, in the event of his succeeding and being awarded the  costs of the action, he will &nbsp; &nbsp; have real difficulty in enforcing that  order&hellip;..If this difficulty [in enforcing the order] would arise from the  impecuniosity of the plaintiff, the court will of course have to take  an account of the likelihood of his succeeding in his claim, for it  would be a total denial of justice that poverty should bar him from  putting forward what is prima facie a good claim&hellip;..If, on the other  hand, the problem is not that the plaintiff is impecunious but that, by  reason of the way in which he orders his affairs, including where he  chooses to live and where he chooses to keep his assets, an order for  costs against him is likely to be unenforceable, or enforceable only by  significant expenditure of time and money, the defendant should be  entitled to security.&rdquo;</em></p>\r\n<p>In overturning the order of DIFC Court of First Instance requiring  security for costs from the Claimants, the DIFC Court of Appeal stated  that the burden of establishing facts sufficient to justify such an  order rests on the applicant and that the difficulty of enforcing a  costs order (in another jurisdiction) is a material consideration.&nbsp; The  Claimants in Al Khorafi are Kuwaiti nationals and the applicant  Defendant had not met the burden of proving that a costs order could not  be enforced against the Claimants in Kuwait, according to the DIFC  Court of Appeal.&nbsp; The &ldquo;conflicting evidence&rdquo; on this particular question  included the Riyadh Arab Agreement for Judicial Cooperation (commonly  known as the Riyadh Convention), pursuant to which a costs order of the  DIFC Courts should be enforceable by the Kuwaiti Courts, although the  DIFC Court of Appeal itself was not able to reach any conclusion as to  the risk that such enforcement would not in fact be possible.&nbsp; In Al  Khorafi, the DIFC Court of Appeal also stated that applicants for  security for costs are required to provide a detailed schedule showing  the breakdown of their total figure for the requested security.</p>\r\n<p>In summary, while few parties have a desire to be sued, the DIFC  Courts do at least provide a Defendant with the useful tool of a  security for costs application to: (a) help protect its costs position  should it choose to see a claim through to trial; and (b) make a  Claimant consider the costs and merits of its claim more thoroughly than  it may have otherwise done.&nbsp; However, the prospects of succeeding with  such an application will depend, in particular, on the location of the  Claimant and its assets, its financial standing and the legal and  practical difficulties faced by the Defendant in enforcing any eventual  costs order against the Claimant.</p>'),
(85978, 4681, '_content', 'field_59b649b5c8b2b'),
(85979, 4681, 'lawUpdateArticleMonth', '4661'),
(85980, 4681, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85981, 4681, 'content_description', 'Most jurisdictions are familiar with ambitious Claimants represented by law firms with unconventional billing practices.  Claimants in the Courts of the Dubai International Financial Centre (DIFC Courts) do not need to be based in the DIFC (or indeed anywhere in the UAE), nor do they need to set out their financial position when they file a claim.  '),
(85982, 4681, '_content_description', 'field_59b641c07f473'),
(85983, 4681, 'pageSummary', 'Most jurisdictions are familiar with ambitious Claimants represented by law firms with unconventional billing practices.  Claimants in the Courts of the Dubai International Financial Centre (DIFC Courts) do not need to be based in the DIFC (or indeed anywhere in the UAE), nor do they need to set out their financial position when they file a claim.  '),
(85984, 4681, '_pageSummary', 'field_59e59b307dec8'),
(85985, 4681, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/security-for-costs-in-the-difc-courts.html'),
(85986, 4681, '_currentURL', 'field_59d35123ab1e7'),
(85987, 4681, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '933'),
(85988, 4681, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85989, 4681, 'lawUpdateArticleWriters', '1'),
(85990, 4681, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85991, 4681, '_yoast_wpseo_metadesc', 'Most jurisdictions are familiar with ambitious Claimants represented by law firms with unconventional billing practices. Claimants in the Courts of the Dubai International Financial Centre (DIFC Courts) do not need to be based in the DIFC (or indeed anywhere in the UAE), nor do they need to set out their financial position when they file a claim.'),
(85992, 4683, '_wp_attached_file', 'uploads2/media-4682.jpg'),
(85993, 4683, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:23:\"uploads2/media-4682.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(85994, 4682, 'lawUpdateImageURL', '5901'),
(85995, 4682, '_lawUpdateImageURL', 'field_59c8deca117cd'),
(85996, 4682, 'lawUpdateDesc', ''),
(85997, 4682, '_lawUpdateDesc', 'field_59da24cd91f17'),
(85998, 4682, 'lawUpdateYear', '2013'),
(85999, 4682, '_lawUpdateYear', 'field_59da245091f13'),
(86000, 4682, 'pageSummary', ''),
(86001, 4682, '_pageSummary', 'field_59e59b307dec8'),
(86002, 4682, 'lawUpdateStartMonth', 'April'),
(86003, 4682, '_lawUpdateStartMonth', 'field_59da247791f14'),
(86004, 4682, 'currentURL', 'http://www.tamimi.com/en/section/law-update/section-5/april-5'),
(86005, 4682, '_currentURL', 'field_59d35123ab1e7'),
(86006, 4684, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nParty A requested the Court to ratify an arbitral award issued on 18 June 2008 in which the Defendant Parties were ordered to jointly and severally pay AED 843,912 plus 9% legal interest from 12 July 2003 until full payment. Party A was also awarded its legal costs in the amount of AED 30,000.\r\n\r\nParty A submitted that it had entered into a Sub Contracting Agreement (“The Agreement”) with the Defendant Parties and that the Agreement contained an arbitration clause. Party A’s obligations under the Agreement were to execute carpentry work, being the supply and installation of wooden doors and cupboards in a residential complex in Sharjah. Party A pleaded that it had carried out all the works as stipulated in the Agreement but that the Defendant Parties refused to make the final installment payment, amounting to AED 843,912. Parties B and C requested the court to dismiss the case for the existence of an arbitration clause. Accordingly, Party A amended its plea and requested the court to appoint an arbitrator. As stated above, Party A received an arbitral award to this effect in its favor.\r\n\r\nConsequently, a representative of the Defendant Parties filed an interlocutory application before the Court, requesting that the Court set aside the arbitral award. A number of grounds were put forward in support of the application:\r\n<ol>\r\n 	<li>The award was issued without terms of reference and/or based upon invalid terms of reference. The basis for this argument was the suggestion that the minutes of arbitration hearings neglected to state that parties neither prepared nor signed terms of reference.</li>\r\n 	<li>The arbitrator exceeded the time prescribed in the terms of reference (being 18 January 2008) to issue the award, and further, that the invalid terms of reference did not empower the arbitrator to extend the prescribed time. The Defendant Parties noted that both participants to the proceedings had refused to extend the time within which the proceedings were to be conducted. The Defendant Parties submitted that any such extensions should have been requested by the arbitrator prior to the expiration of the prescribed time (in this case the Defendant Parties alleged it was requested following the expiration of the time).</li>\r\n 	<li>The legal representative of the Defendant Parties during the arbitral hearings had not been properly authorized by the Defendant Parties to attend and make submissions at arbitral hearings. The Defendant Parties further argued that their legal representative had not been duly authorised to sign the terms of reference or to extend the deadline as prescribed in the terms of reference;</li>\r\n 	<li>The arbitrator did not ensure that the Defendant Parties had been adequately served.</li>\r\n 	<li>The arbitrator received his terms of reference from the execution judge and not from the Court which had appointed him. The Defendant Parties argued that the Article 216(b) of the UAE Civil Procedure Law precluded the execution judge from addressing the arbitrator.</li>\r\n 	<li>The arbitrator had directed the Defendant Parties to pay the arbitration fees before commencing the arbitration proceedings and then again before identifying the loosing party, which the Defendant Parties argued was in contravention of Article 218 of the Civil Procedure Law.</li>\r\n 	<li>The arbitrator did not deposit his award as prescribed in Article 213 of the Civil Procedure Law but deposited it with the execution judge without providing a copy to all parties within the stipulated time limit.</li>\r\n</ol>\r\n<strong>Court of First Instance</strong>\r\n\r\n&nbsp;\r\n\r\nThe Court of First Instance dismissed Party A’s plea that the award be enforced and ruled in favor of the Defendant Parties. Consequently Party A appealed to the Court of Appeal. Although the award was set aside, the Defendant Parties also appealed on the basis the Court of First Instance had failed to adequately address the Defendant Parties’ reasons for arguing that the award be set aside.\r\n\r\n<strong>\r\nCourt of Appeal</strong>\r\n\r\n&nbsp;\r\n\r\nThe Court of Appeal overturned the Court of First Instance’s decision and ratified the arbitral award. Furthermore, the Court of Appeal dismissed the Defendant Parties’ interlocutory claim. Subsequently, the Defendant Parties appealed to the Court of Cassation.\r\n\r\n<strong>Court of Cassation</strong>\r\n\r\n&nbsp;\r\n\r\nThe Defendant Parties argued that the Court of Appeal had erred in reversing the decision of the Court of First Instance. The Defendant Parties put forward a number of propositions in support of this plea:\r\n<ol>\r\n 	<li>The Defendant Parties relied on to Article 212 (5) of the Civil Procedure Law in arguing that one of the essential requirements of an arbitration award is the signature of the arbitrator who has issued the award. The Defendant Parties noted that the arbitrator only signed the last page of the arbitral award (which contained the decision) whereas all the other pages containing the grounds for the ultimate decision were not signed;</li>\r\n 	<li>The proceedings were not governed by valid terms of reference (or indeed any terms of reference). The Defendant Parties argued that the terms of reference had only been signed by Party A and not the Defendant Parties’ representatives.</li>\r\n 	<li>The Defendant Parties again put forward the arguments that the proceedings had expired, and the proposition that their legal representative had not been properly authorised to represent them.</li>\r\n</ol>\r\nWith respect to the Defendant Parties’ first argument, the Court of Cassation repeated a long established principle that a most essential element of an arbitration award is the signature, on the award, of the arbitrators who have issued the award. The Court further explained that from a legal point of view; the signature is the only evidence of the existence of the award, and must refer to both the ultimate decision and the grounds reached in support of that ultimate decision. Essentially, a failure by the arbitrator to sign each page of the award would render that award invalid.\r\n\r\nThe Court of Cassation found one exception to this crucial and important rule. Where the grounds or reasoning for the ultimate decision are continued on the same page as the relief ultimately ordered, and the page containing the ultimate relief is signed, that signature shall be deemed to cover the reasoning for the granting of the relief.\r\n\r\nIf the reasoning and grounds for the ultimate decision and the ultimate decision itself appear on separate pages, then all pages of the award should be signed by all arbitrators. Failing this, such award shall be invalid.\r\n\r\nIn this case, the final page of the award, which contained the ultimate decision, also contained part of the reasoning for the ultimate decision. The final page was signed; therefore the signature was deemed to cover both the grounds for the ultimate decision and the ultimate decision itself. Importantly, the Court of Cassation ruled that the format of the award complied with Article 212.\r\n\r\nThe Defendant Parties’ second argument was dismissed.  The Court of Cassation determined that an arbitration agreement is capable of either being incorporated as a clause (“arbitration clause”) in the contract between parties or as a separate independent agreement in the course of a dispute between both parties (this is not to be confused, however, with the doctrine of separability which prescribes that an arbitration clause in a contract is to be treated as separate from that main contract). Importantly, the Court of Cassation held that when the arbitration agreement is incorporated as a clause in the contract it exempts the participants from drafting a separate independent agreement or terms of reference in order to validate the procedure.\r\n\r\nIn this case, the Court of Cassation found that because the Court of First Instance had appointed the arbitrator on the basis that the Agreement contained an arbitration clause, there was no need to enter into separate terms of reference.\r\n\r\nFrom a further procedural standpoint, the Court of Cassation held that there was no provision in the law requiring the arbitrator to document, in the minutes of the arbitration hearings, that he had submitted terms of reference to the parties for their signature.\r\n\r\nThe Defendant Parties’ third and final argument was also dismissed. The Court of Cassation, with reference to Article 210 of the Civil Procedure Code, held as follows:\r\n<ul>\r\n 	<li>An agreement on a specific timeframe for the arbitrator to render his award would not prevent a later agreement explicitly or implicitly, extending that timeframe for one or more additional periods, or to authorise the arbitrator to determine the extension.</li>\r\n 	<li>The court may, at the request of the arbitrator or any of the parties, extend that date for the duration of time it deems appropriate for the settlement of the dispute.</li>\r\n 	<li>As such an extension of the time for arbitration, whether pursuant to the agreement of the parties or authorisation of the arbitrators or order of the court, begins to run after completion of the previous period and not separately.</li>\r\n 	<li>The arbitration proceedings shall be deemed to continue (i.e. without expiration) if the parties continue to appear, and neither party expressly pleads that the arbitration proceedings have lapsed, or if the arbitrator requests an extension from the Court before the expiry of the time limit for arbitration (the proceedings will not be held to have expired even if the Court agrees to the extension only after the arbitration time limit has expired – the crucial date is the date the request is made).</li>\r\n</ul>\r\nThe Court found that the arbitrator had requested an extension from the Court within the 6 month period of the proceedings. In this regard, the Defendant Parties’ time bar argument was dismissed.'),
(187571, 4684, 'core_values', ''),
(187572, 4684, '_core_values', 'field_59b64ab071de4'),
(187573, 4684, 'file', ''),
(187574, 4684, '_file', 'field_59b64c10f6600'),
(187575, 4684, 'orderValue4', '4'),
(187576, 4684, '_orderValue4', 'field_59d2096a8ff34'),
(86007, 4684, '_content', 'field_59b649b5c8b2b'),
(86008, 4684, 'lawUpdateArticleMonth', '4682'),
(86009, 4684, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86010, 4684, 'content_description', 'The Facts of the Case: A Commercial Action was filed before the Dubai Court by a Subcontractor (“Party A”) against (“Parties B and C” together the “Defendant Parties”).\r\n'),
(86011, 4684, '_content_description', 'field_59b641c07f473'),
(86012, 4684, 'pageSummary', 'The Facts of the Case: A Commercial Action was filed before the Dubai Court by a Subcontractor (“Party A”) against (“Parties B and C” together the “Defendant Parties”).'),
(86013, 4684, '_pageSummary', 'field_59e59b307dec8'),
(86014, 4684, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/grounds-for-setting-aside-arbitration-awards.html'),
(86015, 4684, '_currentURL', 'field_59d35123ab1e7'),
(86016, 4684, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '929'),
(86017, 4684, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86018, 4684, 'lawUpdateArticleWriters', '1'),
(86019, 4684, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86020, 4684, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86021, 4684, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86022, 4684, 'lawUpdateArticlePractices', '1'),
(86023, 4684, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86024, 4684, '_yoast_wpseo_metadesc', 'The Facts of the Case: A Commercial Action was filed before the Dubai Court by a Subcontractor (“Party A”) against (“Parties B and C” together the “Defendant Parties”).'),
(86025, 4685, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\n<strong>Background</strong>\r\n\r\nAn award issued by a Qatari Arbitration Centre obliged the Plaintiff to pay to the Defendant more than QAR 8m.  (Note that the Arabic text of the law makes no distinction between the words \"award\" and \"judgment\").\r\n\r\nThe Case at First Instance\r\n\r\nIn 2010, the Plaintiff filed a civil case with the Court of First Instance in Qatar, seeking to nullify the validity of the impugned award.\r\n\r\nIn 2011, the Court of First Instance rejected the Plaintiff’s case.\r\n\r\n&nbsp;\r\n\r\nRuling of the Court of Appeal\r\n\r\n&nbsp;\r\n\r\nLater in 2011, the Plaintiff brought the decision of the Court of First Instance before the Court of Appeal.  But nonetheless, in a Judgment delivered in January 2012, the Court of Appeal affirmed the finding of the Court of First Instance.\r\n\r\n<strong>Judgment of the Court of Cassation</strong>\r\n\r\n&nbsp;\r\n\r\nIn March 2012, the Plaintiff lodged a further appeal with the Court of Cassation, seeking to nullify the validity of the impugned award.\r\n\r\n<strong>The Court of Cassation’s Decision</strong>\r\n\r\n&nbsp;\r\n\r\nIn justifying the necessity of rendering any arbitral award in the name of H.H. the Emir of Qatar, the Supreme Court reasoned as follows:\r\n<ul>\r\n 	<li>Whereas, the Permanent Constitution of Qatar - Article 63 - states that \"Judicial Authority shall be vested in the Courts in the manner prescribed in this Constitution and Judgments shall be issued in the name of the Emir\".</li>\r\n 	<li>Whereas, the Qatari Civil Procedure Code - Article 69 - provides that \"Judgments are issued and executed in the name of H.H. the Emir of the State of Qatar\"; Article 198 stipulates that \"Arbitrators render their judgment … provided they do not violate the rules of public order and morality\"; Article 202 states that \"the judgment of the arbitrator is rendered after deliberations…\"; Article 203 specifies that \"The original text of arbitrators\' judgments, even if made for investigation proceedings, must be filed with the clerk of the Court originally having jurisdiction over the dispute…\"; and Article 204 provides that \"Arbitrators’ judgments are not enforceable unless an order of execution is granted by the President of the Court with whose clerk the original judgment was registered, upon request of any of the concerned parties.</li>\r\n 	<li>This execution order is granted after consideration of the judgment and the arbitration agreement and after confirmation that there is no obstacle against its enforcement. The execution order shall be endorsed on the original judgment. The enforcing judge has jurisdiction over all questions relating to enforcement.\"</li>\r\n 	<li>Finally, Article 207 provides that \"Parties may request the setting aside of arbitrators\' judgments in the following cases: if the award was made without there being an arbitration agreement… or if it breaches one of the rules of public order or morality\".</li>\r\n 	<li>In the light of the above-mentioned articles, the legislator qualified the decision of an arbitrator as a \"judgment\", in light of its binding effect on the parties and the power of the Court to issue an execution order to implement and enforce its terms. Therefore, by virtue of Article 204 of the Civil Procedure Code, the arbitrator’s judgment (Award) should be issued in the name of H.H. the Emir of Qatar. If this condition is not fulfilled, the arbitrator’s decision shall not be recognised as a \"judgment\", being contrary to both the Constitution and the Law. Furthermore, rendering the \"judgment\" in the name of H.H. the Emir confirms that it is supported by Public Force and is enforceable as such in accordance with the public order. Any decision or judgment of the arbitral tribunal should be rendered in the name of H.H. the Emir; otherwise, it shall be considered null and void, contrary to public order and the Court may sua sponte declare it as such.</li>\r\n</ul>\r\nIn the light of the foregoing, The Court of Cassation overturned the judgment of the Court of Appeal.\r\n\r\n<strong>\r\nComment</strong>\r\n\r\n&nbsp;\r\n\r\nThis Judgment is only related to awards issued in Qatar. Since the said Judgment is issued by the highest court (Court Cassation), all the lower courts will probably follow same although in theory they are not obliged to do so.\r\n\r\nThis Judgment is extremely controversial, therefore, we will shortly issue an article to analyse and comment on the legal reasons and effects.\r\n\r\n<strong>Please note:</strong>\r\n\r\n&nbsp;\r\n\r\nAl Tamimi &amp; Co. did not provide legal representation to any of the parties in the course of this litigation.'),
(150301, 4685, 'core_values', ''),
(150302, 4685, '_core_values', 'field_59b64ab071de4'),
(150303, 4685, 'file', ''),
(150304, 4685, '_file', 'field_59b64c10f6600'),
(150305, 4685, 'orderValue4', '4'),
(86026, 4685, '_content', 'field_59b649b5c8b2b'),
(86027, 4685, 'lawUpdateArticleMonth', '4682'),
(86028, 4685, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86029, 4685, 'content_description', 'The Qatari Court of Cassation rules on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar\r\nA recent controversial decision by Qatar’s Court of Cassation has ruled on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar.'),
(86030, 4685, '_content_description', 'field_59b641c07f473'),
(86031, 4685, 'pageSummary', 'The Qatari Court of Cassation rules on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar\r\nA recent controversial decision by Qatar’s Court of Cassation has ruled on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar.'),
(86032, 4685, '_pageSummary', 'field_59e59b307dec8'),
(86033, 4685, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/the-qatari-court-of-cassation-rules-on-the-necessity-for-arbitral-awards-to-be-rendered-in-the-name.html'),
(86034, 4685, '_currentURL', 'field_59d35123ab1e7'),
(150289, 4685, 'stats_list', ''),
(150287, 4685, 'orderValue1', '1'),
(150288, 4685, '_orderValue1', 'field_59d0c6e5175b5'),
(86037, 4685, 'lawUpdateArticleWriters', ''),
(86038, 4685, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86039, 4685, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Mohammed Al Marri'),
(86040, 4685, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86041, 4685, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.almarri@tamimi.com'),
(86042, 4685, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86043, 4685, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86044, 4685, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86045, 4685, 'lawUpdateArticleNoWriters', '1'),
(86046, 4685, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86047, 4685, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86048, 4685, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86049, 4685, 'lawUpdateArticlePractices', '1'),
(86050, 4685, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86051, 4685, '_yoast_wpseo_metadesc', 'The Qatari Court of Cassation rules on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar A recent controversial decision by Qatar’s Court of Cassation has ruled on the necessity for arbitral awards to be rendered in the name of H.H. the Emir of Qatar.'),
(86052, 4686, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThis amount represented an outstanding due to the client in addition to damages for breach of contract.\r\n\r\nThe below article is based on the judgment rendered by the Dubai Court of Cassation in r elation to the ratification of the arbitral award.\r\n\r\n<strong>Facts of the Case:\r\n</strong>\r\n\r\nThe Claimant, a general contractor for engineering construction, entered into an agreement with the Respondent in which they agreed to settle their disputes in accordance with the International Federation of Consulting engineering Contracts (FIDIC) and in accordance with the procedures of arbitration in the UAE.\r\n\r\nAs the Respondent failed to perform his contractual obligations the Claimant initiated arbitration proceedings before the Dubai International Arbitration Centre which awarded the Claimant the amount of AED 52 Million.\r\n\r\nIn order to enforce the award, the Claimant initiated proceedings before the Dubai Court of First Instance requesting the ratification of the award rendered by DIAC arbitrator. The Respondent filed a counter claim requesting the court to annul the award on the basis of lack of consent, alleging that he did not sign the agreement with the Claimant and that he never agreed to the arbitration clause. Further, he alleged that the agreement was signed by the consulting engineer of the project who was not granted a specific power of attorney from the Respondent to agree to arbitrate.\r\n\r\n<strong>Procedural History:</strong>\r\n\r\nThe First Instance Court annulled the arbitral award relying on article 58(2) of Civil Procedures Law. According to the Court of First Instance an agreement to arbitrate shall not be valid unless made by persons having the legal capacity to make a disposition over the subject matter of the dispute or by special authorization from the latter. Therefore, the court concluded that the Respondent did not sign the agreement, or agree personally to arbitrate nor did he authorize his consultant to agree to arbitrate, therefore the arbitration clause as well as the arbitration award shall be considered null and void\r\nThe Claimant appealed the above judgment on the grounds accepted by Court of Appeal which overturned the lower court’s decision and ratified the arbitration award. Consequently, the Respondent challenged the Appeal Court’s decision before the Court of Cassation on the following grounds:\r\n\r\n1- The main contract, the subject of the award was signed by the project’s consultant who was appointed by the Respondent (the employer) and was not signed by the Respondent himself.\r\n\r\n2- The documents did not include a specific Power of Attorney from the Respondent to the consultant to agree to arbitrate on his behalf. The applicable law as set out in previous judicial precedents, requires  an arbitration clause or deed to be signed either by the contracting party or an agent who holds a specific power of attorney to agree to arbitrate on behalf of the contracting party.\r\n\r\n3- The award did not include a copy of the arbitration agreement nor was the subject matter of the dispute defined in an arbitration agreement or specified during the course of the arbitration proceedings.\r\n\r\n<strong>\r\nThe Court of Cassation\r\n</strong>\r\n\r\nResponding to the Respondent’s above arguments, the Cassation Court rejected all his arguments on the following grounds:\r\n\r\n1- Pursuant to Article 203 of the UAE Civil procedures Law (CPL) an arbitration may be agreed between contracting parties and included in an arbitration clause where they would agree to refer any future disputes arising from their contract to arbitration or they may later agree to refer their current dispute to arbitration and conclude it in an arbitration deed. Once the contracting parties include an arbitration clause in their agreement, there is no requirement to enter into a separate arbitration deed. In this case, the tender documents included the tender terms and conditions which referred to FIDIC general terms and conditions specifically clause 67(1) that deals with arbitration in accordance with Dubai Chamber of Commerce rules and FIDIC.\r\n\r\n2- In addition, a letter was signed by the Respondent and submitted to the arbitration tribunal acknowledging that he signed the contract which is derived from the tender general terms and conditions. This letter established that the Respondent was aware of the arbitration clause when he entered into the agreement as well as his knowledge of the tender’s general terms and conditions that referred to the FIDIC terms and conditions (which contain an arbitration clause).\r\n\r\nThe fact that the consultant signed the agreement on behalf of the Respondent does not change the fact that the latter was aware of the arbitration clause as indicated in the tender’s general terms and conditions to which he agreed and accepted when he submitted his tender.  As evidenced in correspondence with the Claimant. The fact that the Respondent terminated the agreement pursuant to Article 63 of the Tender’s general terms and conditions proves that he was aware of the arbitration clause explicitly mentioned therein.\r\n\r\nTherefore the Cassation Court upheld the Appealed judgment which ratified the arbitration award.\r\n\r\n<strong>Practice Note:\r\n</strong>\r\n\r\nThe court established a new precedent by deciding to ratify the arbitral award concerning an arbitration agreement which was not specifically signed by one of the contracting parties nor was it signed by a holder of a specific power of attorney to agree to arbitrate on behalf of one of the contracting parties. . The Court held that because the tender documents (which contained an arbitration clause) were accepted by the defendant and the defendant had performed the contract and then engaged fully in the arbitration, it was bound by the arbitration clause and could not now seek to annul the award due to lack of consent.'),
(187540, 4686, 'core_values', ''),
(187541, 4686, '_core_values', 'field_59b64ab071de4'),
(187542, 4686, 'file', ''),
(187543, 4686, '_file', 'field_59b64c10f6600'),
(187544, 4686, 'orderValue4', '4'),
(187545, 4686, '_orderValue4', 'field_59d2096a8ff34'),
(86053, 4686, '_content', 'field_59b649b5c8b2b'),
(86054, 4686, 'lawUpdateArticleMonth', '4682'),
(86055, 4686, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86056, 4686, 'content_description', 'Al Tamimi and Company was instructed by a client, the Claimant, to initiate legal proceedings to ratify and enforce an arbitral award issued in the client’s favor ordering the other party, the Respondent, to pay the amount of AED 52 million.'),
(86057, 4686, '_content_description', 'field_59b641c07f473'),
(86058, 4686, 'pageSummary', 'Al Tamimi and Company was instructed by a client, the Claimant, to initiate legal proceedings to ratify and enforce an arbitral award issued in the client’s favor ordering the other party, the Respondent, to pay the amount of AED 52 million.'),
(86059, 4686, '_pageSummary', 'field_59e59b307dec8'),
(86060, 4686, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/uae-ratification-of-a-domestic-arbitral-award-and-the-issue-of-arbitration-clauses-incorporated-by-r.html'),
(86061, 4686, '_currentURL', 'field_59d35123ab1e7'),
(86062, 4686, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '852'),
(86063, 4686, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86064, 4686, 'lawUpdateArticleWriters', '1'),
(86065, 4686, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86066, 4686, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Rami Abdellatif'),
(86067, 4686, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86068, 4686, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'r.abdellatif@tamimi.com'),
(86069, 4686, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86070, 4686, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86071, 4686, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86072, 4686, 'lawUpdateArticleNoWriters', '1'),
(86073, 4686, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86074, 4686, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86075, 4686, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86076, 4686, 'lawUpdateArticlePractices', '1'),
(86077, 4686, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86078, 4686, '_yoast_wpseo_metadesc', 'Al Tamimi and Company was instructed by a client, the Claimant, to initiate legal proceedings to ratify and enforce an arbitral award issued in the client’s favor ordering the other party, the Respondent, to pay the amount of AED 52 million.'),
(86079, 4687, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThe courts held that the civil court is bound by a judgment issued in a criminal case but only in relation to the matters decided in the criminal judgment that are common to both the criminal and civil proceedings, the legal description of the act and it can be attributed to the perpetrator. The Court referenced Article 269 of the Law of Criminal Procedures and Article 50 of the Law of Proof regarding the res judicata effect of a criminal judgment.\r\n\r\nIf the criminal court has made a conclusive determination of these matters, then the civil court must be bound by it in civil actions relating to it, and must not reopen those issues, as that would be contrary to the principle of res judicata in respect of the previous criminal judgment.  The res judicata force applies to everybody, notwithstanding that they were not parties to the criminal case.\r\n\r\nIn the present case, the criminal court had passed a judgment finding that the Second Defendant had not forged the signatures on the Sale and Purchase Agreements (the SPAs) as she had signed within the powers of her authority (in her power of attorney) and as a result, the Claimant (the Principal) was bound by the terms of the SPAs and was not permitted thereafter to reopen that dispute before the civil court in order to claim damages from the Second Defendant (the property developer).\r\n\r\n<strong>Claim</strong>\r\n\r\nAn action was filed against an individual (First Defendant) and a property developer (the Second Defendant) for an order to terminate several SPAs and a claim for damages\r\n\r\nThe Claimant filed a property action against the property developer and an individual who signed the SPAs on the Claimant’s behalf (the First Defendant) seeking an order for the termination of the SPAs and requesting the property developer to refund the sum of AED 2,904,539 to the Claimant. The Claimant also requested damages. The Claimant argued that the property developer fraudulently revised the contract price by an additional AED 4 million through the First Defendant who signed the SPAs on behalf of the Claimant.\r\n\r\nCourt of first instance:\r\n\r\nThe First Defendant argued that the action should not be entertained for being filed against a party having no capacity since she acted on the Claimant’s behalf, as an agent, in signing detailed reservation agreements pursuant to a Power of Attorney from him.\r\n\r\nThe Second Defendant pleaded that the Dubai Courts had no local jurisdiction in the matter because the contract to be terminated relates to units of a property located in Abu Dhabi. As a result, the Abu Dhabi courts have jurisdiction.\r\n\r\nThe Court of First Instance therefore rejected the Claimant’s action.\r\n\r\n<strong>Court of appeal</strong>\r\n\r\nThe Claimant appealed and on 11.01.11, the Court of Appeal reversed the appealed decision and ordered the Second Defendant to perform the contract dated 19.02.08 subject to the old terms as to price – AED 26,140,085.8 (disregarding the revised contract price of AED 4 million).\r\n\r\n<strong>Court of Cassation</strong>\r\n\r\nAll parties appealed. On 18.09.11, the Court of Cassation decided, in all appeals, to reverse the Court of Appeal’s decision and return the matter back to the Court of Appeal for it to be reconsidered by a different panel of judges.\r\n\r\n<strong>Final Decision</strong>\r\n\r\nThe Second Defendant argued that the Court of Appeal was wrong to order the termination of the SPAs (between the Second Defendant and the Claimant) on the basis of the Second Defendant’s alleged breach of its previous agreement by making a new offer without the Claimant agreeing to an upwards revision of the price. The Court of Appeal considered this a breach on the part of the Second Defendant necessitating the termination of the SPAs when in fact there was no breach of the terms of the completed binding contract that was duly formed by offer and acceptance between the parties in the case of all the SPAs which the First Defendant signed pursuant to a PoA from the Claimant, as held in the criminal verdict acquitting the First Defendant of the charge of forging those contracts. The Criminal Court had determined the issue of the Claimant’s acceptance of the contracts based on the adjusted price and found them to be binding on him.\r\n\r\nIt was argued that where an agent signs a contract within the powers of his authority (the Power of Attorney) in the name of the principal, the provisions of such contract and the rights (obligations) arising from the contract shall transfer upon the principal, pursuant to Article 153 of the Civil Code. The Court of Cassation upheld this argument.\r\n\r\nThe Court also cited the rule under Article 269 of the Law of Criminal Procedures and Article 50 of the Law of Proof with respect to a criminal verdict delivered in a criminal case being binding on the civil court as to its determination of issues relevant to whether the accused is guilty of the offence that are common to both the criminal and civil proceedings and the legal characterization of the elements of the offense and its imputation to the perpetrator. A final criminal verdict resolving such issues would be recognized by the civil court in determining related civil rights and the civil court may not reconsider those issues and render a decision contradicting the criminal verdict already delivered which is binding for all.\r\n\r\nThe court held that the matter against the property developer and the First Defendant achieved the status of res judicata precluding the rehearing of the action. The court passed judgment acquitting the accused of the offence of forgery of a document, the effect of that is that the judgment of acquittal is based on insufficient evidence, and that judgment becomes conclusive.  Accordingly, it will not be open to the civil court to allow a civil claim based on falsification of that document.\r\n\r\nAs a result the court dismissed the action against the First Defendant and the Second Defendant.'),
(187511, 4687, 'core_values', ''),
(187512, 4687, '_core_values', 'field_59b64ab071de4'),
(187513, 4687, 'file', ''),
(86080, 4687, '_content', 'field_59b649b5c8b2b'),
(86081, 4687, 'lawUpdateArticleMonth', '4682'),
(86082, 4687, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86083, 4687, 'content_description', 'Introduction: In an appeal from a Court of Appeal judgment, the courts emphasised the principle regarding the res judicata effect of a criminal judgment on a civil case. \r\n'),
(86084, 4687, '_content_description', 'field_59b641c07f473'),
(86085, 4687, 'pageSummary', 'Introduction: In an appeal from a Court of Appeal judgment, the courts emphasised the principle regarding the res judicata effect of a criminal judgment on a civil case.'),
(86086, 4687, '_pageSummary', 'field_59e59b307dec8'),
(86087, 4687, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/judgment-the-res-judicata-effect-of-a-criminal-judgment-on-a-civil-case.html'),
(86088, 4687, '_currentURL', 'field_59d35123ab1e7'),
(86089, 4687, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '569'),
(86090, 4687, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86091, 4687, 'lawUpdateArticleWriters', '1'),
(86092, 4687, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86093, 4687, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Zane Anani'),
(86094, 4687, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86095, 4687, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'z.anani@tamimi.com'),
(86096, 4687, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86097, 4687, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86098, 4687, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86099, 4687, 'lawUpdateArticleNoWriters', '1'),
(86100, 4687, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86101, 4687, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86102, 4687, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86103, 4687, 'lawUpdateArticlePractices', '1'),
(86104, 4687, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86105, 4687, '_yoast_wpseo_metadesc', 'Introduction: In an appeal from a Court of Appeal judgment, the courts emphasised the principle regarding the res judicata effect of a criminal judgment on a civil case.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(86106, 4688, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nBut then, that was before 9 December, 2012 when the new PIB module of DFSA set the DIFC financial services world alight.\r\n\r\nWhilst the changes are not surprising, they are significant and are likely to have a significant impact on firms who now find themselves in category 3A because one of the financial services for which they are licensed is “dealing in investments as agent”.  It now becomes more important than ever to look at the scope of these activities and for a firm to ask itself whether it really is dealing in investments as agent. Category 3A covers Dealing in Investments as Principal (only as Matched Principal) and Dealing as Agent.  Category 3B covers Providing Custody ( for a Fund) and acting as Trustee for a Fund.  Category 3C covers Managing a Collective Investment Fund, Managing Assets, Providing Trust Services as a trustee of an express trust, managing a Profit Sharing Investment Account and providing Custody (other than for a Fund).\r\n\r\nThe fact of the matter is that firms which are in category 3A have much higher capital requirements to firms which are in category 3B or 3C.\r\n\r\nIn this article we will look at the scope of the financial service of “Dealing in Investments as Agent”.  The reason for this is that there seems to be a widely held belief that where, for example, a fund manager places an order with a broker for and on behalf of a number of funds, this falls into the financial service of “Dealing in Investments as Agent”.  In our view this activity more closely fits with the financial service of “Arranging Deals in Investments” than Dealing in Investments as Agent”.  This is a potentially significant difference because it means that firms which are currently in category 3A could be in category 3B, 3C or 4 where the capital requirements are easier to meet.\r\n\r\nRule 2.8.1 in GEN defines “Dealing in Investments as Agent” as “buying, selling, subscribing for or underwriting any investment as agent”.  The important point to note here is that the definition talks about the actual act of buying, selling subscribing or underwriting rather than arranging for someone else to buy, sell, subscribe or underwrite.  The exemption set out in rule 2.8.3 clarifies the scope of the definition by providing that a “Person does not Deal in Investments as Agent if that Person is merely receiving and transmitting a Client order in respect of an Investment.”\r\n\r\nOn a pure technical analysis of the scope of Rule 2.8.3, it could be argued that an Authorized Firm which has entered into an investment management agreement with a client which gives the firm discretion as to when and what to trade will never be receiving and transmitting a client order.  Whilst this maybe accurate, this does not mean that because the activity of the firm does not neatly fit within the exception set out in Rule 2.8.3, the activity must of necessity therefore fall within Rule 2.8.1.  In our view, Rule 2.9.1 is a much closer fit to the process of a firm placing an order with a broker pursuant to an investment management agreement.  Rule 2.9.1(1) covers the financial service of “Arranging Credit or Deals in Investments” and provides that it means “making an arrangement with a view to another Person, whether as Principal or Agent, buying, selling subscribing for or underwriting an Investment.”  It should be noted that there is no reference in this section to the transmission of an order, so Authorized Firms which are operating pursuant to an investment management agreement which gives discretion as to what and when to trade are not excluded from this section.\r\n\r\nWhile there is no change in the Base Capital Requirements for firms in 3A. 3B or 3C, the Risk Capital Requirements (RCR) will apply to 3A firms, but will not apply to firms in category 3B or 3C.  Under the changes, the RCR is set at 10% of the Risk Weighted Assets (RWA) and then scaled up by 125%.  In addition, category 3A firms are now subject to a Capital Conservation Buffer which has been set at 25% of the Risk Capital Requirement.  In all, category 3A firms (and category 1,2 and 5 firms) will have an overall capital requirement of 12.5%.  Category 3B, 3C and 4 firms will not be subject to these requirements but instead, will be subject to an obligation to take out Professional Indemnity Insurance which needs to be consistent with the risk profile and type of business carried out by the firm.  A copy of the PII cover will need to be lodged with DFSA annually.\r\n\r\nIf you are a category 3A firm, under these new arrangements you may need to raise additional capital, alternatively, you may decide to consider whether the firm is or will ever be dealing in investments as Agent.  If a firm is currently authorized to deal in investments as agent, but has not, and will not be dealing as agent, then an application to vary the current licence will need to be made to DFSA.  The quarterly returns to be lodged by Authorized Firms are due at the end of April, so it is too late to get the benefit of a change in licence for the previous quarter, however, this should not discourage firms from lodging an application prior to the end of the next quarter.'),
(187482, 4688, 'core_values', ''),
(187483, 4688, '_core_values', 'field_59b64ab071de4'),
(187484, 4688, 'file', ''),
(187485, 4688, '_file', 'field_59b64c10f6600'),
(187486, 4688, 'orderValue4', '4'),
(187487, 4688, '_orderValue4', 'field_59d2096a8ff34'),
(86107, 4688, '_content', 'field_59b649b5c8b2b'),
(86108, 4688, 'lawUpdateArticleMonth', '4682'),
(86109, 4688, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86110, 4688, 'content_description', 'In the good old days of financial services applications in the DIFC, a category 3 financial services licence covered a multiplicity of financial services and it would have been irresponsible of any advisor to suggest that a financial services company should not apply for as many services as it could reasonably justify.'),
(86111, 4688, '_content_description', 'field_59b641c07f473'),
(86112, 4688, 'pageSummary', 'In the good old days of financial services applications in the DIFC, a category 3 financial services licence covered a multiplicity of financial services and it would have been irresponsible of any advisor to suggest that a financial services company should not apply for as many services as it could reasonably justify.'),
(86113, 4688, '_pageSummary', 'field_59e59b307dec8'),
(86114, 4688, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/the-enhanced-pib-module-of-the-dfsa-rulebook.html'),
(86115, 4688, '_currentURL', 'field_59d35123ab1e7'),
(86116, 4688, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Michael Dalby'),
(86117, 4688, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86118, 4688, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.dalby@tamimi.com'),
(86119, 4688, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86120, 4688, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86121, 4688, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86122, 4688, 'lawUpdateArticleNoWriters', '1'),
(86123, 4688, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86124, 4688, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '411'),
(86125, 4688, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86126, 4688, 'lawUpdateArticlePractices', '1'),
(86127, 4688, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86128, 4688, '_yoast_wpseo_metadesc', 'In the good old days of financial services applications in the DIFC, a category 3 financial services licence covered a multiplicity of financial services and it would have been irresponsible of any advisor to suggest that a financial services company should not apply for as many services as it could reasonably justify.'),
(86129, 4689, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThis new piece of legislation is a comprehensive overhaul of the legislation that existed previously, Law No. 33 of 2006 (the “Old QCB Law”).  The Qatar Central Bank (the “QCB”) is the primary regulator of financial institutions operating in Qatar, and the QCB Law has now expanded its supervisory powers to cover the insurance sector and the Qatar Financial Centre.  The QCB Law addresses many issues for the first time, including Islamic banking, mergers and acquisitions of financial institutions, credit rating agencies, insurance, treating customers fairly and resolution of failing banks.  This article sets out some of the key changes and developments that have been introduced in the QCB Law.\r\n\r\n<strong>Scope of the QCB – Extended to Regulate QFC Entities, Insurance and Reinsurance and Credit Rating Agencies</strong>\r\n\r\nThe QCB Law sets out the types of activities that fall within its scope.  In addition to conventional and Islamic banking, investment banking and the exchange house business that traditionally fell within the QCB’s mandate, insurance and reinsurance and credit bureaus also now fall within its scope.  Most significantly, the QCB now has powers to regulate the activities of the Qatar Financial Centre (“QFC”) and by extension the financial institutions that operate in the QFC.\r\n\r\nAt this juncture it is unclear as to how the QCB and the Qatar Financial Centre Regulatory Authority (the “QFCRA”) will coordinate their overlapping roles.  It is expected that the QCB and the QFCRA will work together and the QCB will provide guidance and strategic advice to the QFCRA.  For the purposes of entities operating in the QFC, the QFCRA will continue as their regulator.\r\n\r\n<strong>Cross Border Marketing of Financial Products\r\n</strong>\r\n\r\nThe definition of the term “Financial Services,” under the QCB Law is wider than that of the Old QCB Law.  In addition to the scope of activities under the Old QCB Law, it also covers insurance (conventional and Islamic), reinsurance business and Islamic finance.\r\n\r\nThe significant difference between the Old QCB Law and the QCB Law from a cross-border perspective is that Article 205 of the QCB Law imposes a specific penalty for providing financial services without being duly licensed by the QCB. Article 205 provides that any entity providing financial services without a license from the QCB is liable to be imprisoned for not more than three years and fined for not more than QAR 5,000,000.  Under the Old QCB Law a specific penalty did not exist for providing financial services in Qatar without a license.  Any breach under the Old Law would result in a fine of QAR 5,000 per day.\r\n\r\nTherefore, it is clear that the QCB has taken note of cross-border activities.  If the QCB views such activities as being provided in or from the State of Qatar, it now has the power to impose the penalties under Article 205 of the QCB Law.  The QCB Law has come into force only in January 2013, and thus far, we are not aware of any instances wherein the penalties under Article 205 of the New QCB Law have been imposed.\r\n\r\n<strong>Islamic Banking\r\n</strong>\r\n\r\nThe QCB Law seeks to define the scope of Islamic banking as including (a) non-interest based banking with the aim of generating profit; (b) developing innovative Sharia’a compliant savings and investment products; (c) providing financial services with the aim of benefiting the society at large and based on the concept of mutual benefit; and (d) deepening the financial institutions understanding of Shaia’a compliant banking and contributing to the existing body of knowledge in this area.\r\n\r\nThe QCB Law clarifies that an Islamic financial institution may acquire title to assets and lease both land and movable assets in order to achieve its objectives. Each Islamic financial institution is required to have a Sharia’a Supervisory Authority (consisting of at least three members) appointed by the general body of shareholders of that financial institution.  These members can be from various fields, including experts in law, Sharia’a law, financial services and business.  The Sharia’a Supervisory Authority is required to supervise all aspects of the business of the financial institution to ensure that all such activities are conducted in accordance with the Sharia’a Principles.  It is also required to issue opinions on whether the products, services and agreements provided and entered into by the financial institution are consistent with Sharia’a principles.\r\n<strong> </strong>\r\n\r\n<strong>Credit Rating Agencies</strong>\r\n\r\nThe QCB Law defines credit information as information relating to the credit worthiness and reputation of a person.  The activity of providing credit information services requires a license from the QCB.  The QCB is expected to issue regulations relating to the requirements for establishing a credit rating agency in Qatar.\r\n\r\n<strong>Insurance and Reinsurance</strong>\r\n\r\nThe QCB Law makes it clear that insurance and reinsurance companies operating in Qatar are regulated by the QCB.  The QCB Law provides that local insurance providers are to be established as Joint Stock Companies (incorporated in Qatar).  Foreign insurance providers may either establish a branch or a representative office in Qatar.  Significantly, Article 95 of the QCB Law provides that money and property located in Qatar may not be insured in another country.  In other words, any asset located in Qatar must be insured by either a local insurance provider in Qatar or by a branch of a foreign insurance provider having a license granted by the QCB.  Further, the broker providing brokerage services in connection with insurance coverage of a local asset must also be duly registered in Qatar.\r\n\r\nArticle 103 of the QCB Law provides that insurance and reinsurance companies are required to obtain the approval of the QCB on the forms of insurance policies to be issued to customers.\r\n\r\n<strong>Mergers &amp; Acquisition of Financial Institutions</strong>\r\n\r\nThe QCB’s consent is required prior to the merger of two or more financial institutions or the acquisition of a financial institution.  The QCB Law sets out the two methods by which a financial institution may merge with another or be acquired.  Article 161 states that two or more financial institutions may merge into a single entity having a new independent legal personality and such new entity shall acquire the rights and obligations of the two or more entities that are subject to the merger.  The other method is for a financial institution to be acquired by another entity. Following the acquisition, the merging entity ceases to exist.\r\n\r\nThe QCB requires that a detailed due diligence exercise be conducted prior to a merger being effected.  Once a preliminary contract of merger is entered into by the parties, this contract along with the audited financials of the target, constitutional documents, detailed information on the organisational structure and the resolution of the extraordinary general meeting are required to be submitted to the QCB.  The QCB is required to give its decision approving or rejecting the merger or acquisition within 60 days of submission of the application.\r\n\r\n<strong>Treating Customers Fairly and Confidentiality</strong>\r\n\r\nThe QCB Law requires banks and other financial institutions to simplify their procedures and finance agreements and to be transparent in relation to their pricing and features of products and services.  Specifically, each type of transaction is required to be governed by a separate contract, the contract must be self-contained and set out information relating to the product or service in simple form covering the term of the contract, the nature, advantages, prices and other terms and conditions. The contract may not refer to other texts or documents that the customer has not reviewed before signing the contract.\r\n\r\nArticle 145 of the QCB Law makes it illegal to disclose customer information, whether personal or information relating to the customer’s account, to any third party except with the prior written consent of the said customer.\r\n<strong> </strong>\r\n\r\n<strong>Resolution of Failing Banks</strong>\r\n\r\nThe QCB has the power to place a failing bank or other financial institution under the interim administration of the QCB if that entity is likely to become insolvent. Article 176 specifies the events which constitute a likelihood of insolvency: 1) if the entity ceases to pay its debts when due; 2) if the entity loses half of its issued share capital or if it has violated the capital adequacy requirements prescribed by the QCB; or 3) where the failing bank is a branch of a foreign bank, the parent is at risk of bankruptcy or insolvency.  Article 177 of the QCB Law requires that any such order by the QCB to place a bank or other financial institution under interim administration must be “justifiable” and must be for a “definite period”.\r\n\r\nOnce the failing bank or financial institution is placed under the administration of the QCB, the QCB, as an administrator, has wide powers to deal with its assets.  Significantly, the QCB Law does not set parameters for the administrator with regard to which stakeholders interests are paramount.  Should the administrator look at resolving the failing bank using the least costly approach or look to safeguard depositors and creditors.  The powers of the administrator include providing financial support to the failing bank to bring it back to an acceptable position, selling its assets including part of its loan book and merging with another bank.\r\n\r\n<strong>Dispute Resolution</strong>\r\n\r\nThe QCB Law establishes a Disputes Resolution Committee.  The Disputes Resolution Committee has the power to review complaints filed against the decisions of the QCB, review fines and punishments issued by the QCB, review the decision of the QCB to appoint an administrator to take control of a failing bank of financial institution and to amicably settle disputes between financial institutions.\r\n\r\nThe Disputes Resolution Committee will consist of three judges of the Court of Appeal and two individuals nominated by the QCB’s Board.  Decisions of the Disputes Resolution Committee can be appealed to the Court of Appeal.'),
(187451, 4689, 'core_values', ''),
(187452, 4689, '_core_values', 'field_59b64ab071de4'),
(187453, 4689, 'file', ''),
(187454, 4689, '_file', 'field_59b64c10f6600'),
(187455, 4689, 'orderValue4', '4'),
(187456, 4689, '_orderValue4', 'field_59d2096a8ff34'),
(187457, 4689, 'related_pages_header', ''),
(187458, 4689, '_related_pages_header', 'field_59b6441e3cc94'),
(187459, 4689, 'related_pages', ''),
(187460, 4689, '_related_pages', 'field_59b6434af4880'),
(86130, 4689, '_content', 'field_59b649b5c8b2b'),
(86131, 4689, 'lawUpdateArticleMonth', '4682'),
(86132, 4689, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86133, 4689, 'content_description', 'The Government of Qatar recently issued the new Central Bank Law, Law No. 13 of 2012 (the “QCB Law”), which came into force in January 2013.  '),
(86134, 4689, '_content_description', 'field_59b641c07f473'),
(86135, 4689, 'pageSummary', 'The Government of Qatar recently issued the new Central Bank Law, Law No. 13 of 2012 (the “QCB Law”), which came into force in January 2013.'),
(86136, 4689, '_pageSummary', 'field_59e59b307dec8'),
(86137, 4689, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/qatars-new-central-bank-law-key-developments-in-banking-regulation.html'),
(86138, 4689, '_currentURL', 'field_59d35123ab1e7'),
(86139, 4689, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '706'),
(86140, 4689, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86141, 4689, 'lawUpdateArticleWriters', '1'),
(86142, 4689, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86143, 4689, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '411'),
(86144, 4689, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86145, 4689, 'lawUpdateArticlePractices', '1'),
(86146, 4689, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86147, 4689, '_yoast_wpseo_metadesc', 'The Government of Qatar recently issued the new Central Bank Law, Law No. 13 of 2012 (the “QCB Law”), which came into force in January 2013.'),
(86148, 4690, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nIn essence, share options refer to contracts in which public companies commit to giving employees the right to purchase shares issued by that company at a pre-determined price on or before a specified date. Such options are generally given as part of the employee’s remuneration package or by way of incentive.\r\n\r\nAs per the Share Option Instructions, a company that intends to grant its employees such an option must first obtain the approval of its general assembly. The plan proposed must include all the relevant information including the duration of the programs, the names of the relevant employees, the number of shares each employee is entitled to purchase, as well as the price at which the shares are to be offered. Said information shall be translated into the contracts to be entered into between the company and the relevant employees.\r\n\r\nAs regards the procedures for executing the share option, the Share Option Instructions state that the company must submit an application to issue and register the shares at least one month prior to the due date for exercising the option.  The application must specify the number of shares to be issued as well as the names of the employees to whom the shares are due. Further, the company is compelled to set an annual date upon which the employee share options can be exercised; this date must fall between the beginning of April and the end of May.\r\n\r\nThe Securities Commission shall review the application, and issue its decision to approve or reject the issuance and registration of the shares. The Commission shall only approve the application if it is satisfied that the company has complied with all regulations related to the issuance of shares in accordance with the Securities Law No.76 of 2002 (as amended), the aforementioned Instructions and the Companies Law No.22 of 1997 (as amended).\r\n\r\nShare options are not to be exercised until the company has issued its annual report and duly disclosed the same.\r\n\r\nThe Share Option Instructions further stipulate a number of restrictions to the granting of share options as follows:\r\n\r\n(i) companies that are not listed on the Amman Stock Exchange are prohibited from issuing any such options;\r\n\r\n(ii) the price at which the shares are offered (or the Strike Price) be equal to or higher than the market price of the company’s shares at the time at which the contracts were entered into;\r\n\r\n(iii) the company must amend the Strike Price of the employee share options in the event that a new opening price is calculated for the company’s shares by the stock exchange, as a result of any change to the company’s capital.  The amendment is to be calculated so that it maintains the same difference between the strike price and the market price as before the recalculation of the opening price;\r\n\r\n(iv) employee share options shall be limited to employees of the company concerned;\r\n\r\n(v) the company shall not confer share options to members of its board of directors; and\r\n\r\n(vi) the company shall not confer share options on any employee who owns 5% or more of the company’s capital.\r\n\r\nFurther restrictions include the fact that the company is prohibited from offering any single employee share options exceeding 2% of the company’s paid up capital; nor of offering stock options totaling more than 6% of the company’s capital. The Instructions do, however, allow the company to offer share options amounting to an additional 6% of the company’s capital following the elapse of five years from the date of the initial offering.\r\n\r\nThe company is responsible for informing the Securities Commission, in writing, of the names of employees who were given share options and the number of shares allocated to each of them, and for disclosing this information within 10 working days from the date on which the options were given.\r\n\r\nTo sum up, public shareholding companies are entitled to confer share option plans on employees in accordance with the aforementioned Share Option Instructions; noting the restrictions in place to ensure that the grant of share options do not have an adverse effect on the market price of the shares or on the transparency of the transaction.'),
(187420, 4690, 'core_values', ''),
(187421, 4690, '_core_values', 'field_59b64ab071de4'),
(187422, 4690, 'file', ''),
(187423, 4690, '_file', 'field_59b64c10f6600'),
(86149, 4690, '_content', 'field_59b649b5c8b2b'),
(86150, 4690, 'lawUpdateArticleMonth', '4682'),
(86151, 4690, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86152, 4690, 'content_description', 'Jordan Securities Commission Instructions for Conferring Share Options on Public Shareholding Companies Employees, issued by virtue of the Board of Commissioners decision No 465/ 2008 issued on the 28th of August 2008 (the ‘Share Option Instructions’) stipulates the conditions for conferring share option plans on employees.'),
(86153, 4690, '_content_description', 'field_59b641c07f473'),
(86154, 4690, 'pageSummary', 'Jordan Securities Commission Instructions for Conferring Share Options on Public Shareholding Companies Employees, issued by virtue of the Board of Commissioners decision No 465/ 2008 issued on the 28th of August 2008 (the ‘Share Option Instructions’) stipulates the conditions for conferring share option plans on employees.'),
(86155, 4690, '_pageSummary', 'field_59e59b307dec8'),
(86156, 4690, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/jordan-employee-share-option-plans.html'),
(86157, 4690, '_currentURL', 'field_59d35123ab1e7'),
(86158, 4690, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '625'),
(86159, 4690, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86160, 4690, 'lawUpdateArticleWriters', '1'),
(86161, 4690, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86162, 4690, '_yoast_wpseo_metadesc', 'Jordan Securities Commission Instructions for Conferring Share Options on Public Shareholding Companies Employees, issued by virtue of the Board of Commissioners decision No 465/ 2008 issued on the 28th of August 2008 (the ‘Share Option Instructions’) stipulates the conditions for conferring share option plans on employees.'),
(86163, 4691, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThe Iraqi Parliament Council of Representative passed the final draft of the Law by majority vote of Iraqi legislators. This article aims to summarize the main points as provided by the Law in order to explain its significance and impact on transactions relating to e-commerce in Iraq:\r\n\r\n<strong>IMPORTANCE OF LAW </strong>\r\n\r\nThe issuance of this Law is construed to be an important event due to the fact that Iraq was in need of modernized legislative frameworks to keep pace with the evolution in Information Technology and Communications (ITC) revolution and strengthen the legal basis and frameworks for the Electronics Transactions through modern means of communication.\r\n\r\n<strong>OBJECTIVES OF THE LAW\r\n</strong>\r\nIn accordance with Article 2 of the Law, the main objectives behind the issuance are as follows:\r\n<ul>\r\n 	<li>To set-up the legal framework for using the electronic means in practicing electronic transactions.</li>\r\n 	<li>Giving admissibility and the evidential weight to the electronic transactions and electronic/digital signature and organizing its provisions.</li>\r\n 	<li>Promote public confidence in the validity, integrity and reliability of electronic transactions.</li>\r\n</ul>\r\n<strong>APPLICATION OF THE LAW</strong>\r\n\r\nIn accordance with Article 3 of the law, the provisions of the Law shall apply to the following:\r\n<ol>\r\n 	<li>Electronic Transactions carried out by the natural or juridical entities;</li>\r\n 	<li>Transactions between parties which have agreed to conduct their transactions by electronic means; and</li>\r\n 	<li>Electronic Securities and Commercial Papers.</li>\r\n</ol>\r\nHowever, the following are some of the issues not applicable under the Law:\r\n<ol>\r\n 	<li>Transactions relating to personal status law;</li>\r\n 	<li>Wills and Waqfs and amending conditions thereof;</li>\r\n 	<li>Transactions disposing of immovable property, including related powers of attorney, title deeds, transactions creating real rights in respect thereof, with the exception of lease contracts;</li>\r\n</ol>\r\n<strong>ELECTRONIC SIGNATURE</strong>\r\n\r\nWith regard to electronic signatures, the Law provided that it shall include any letters, numbers, symbols, signs, audio note or any other  unique character that shows it refers to the relevant party. Furthermore, it is required to be accredited by a certifying body..\r\n\r\n<strong>ELECTRONIC DOCUMENTS</strong>\r\n\r\nThe Law has provided that electronic documents include a record or document that is created, stored, generated, sent, or received completely or partially by electronic means, including electronically data interchange, electronic mail, telegram, telex, or tele-copy and contained a reliable electronic signature.\r\n\r\n<strong>ELECTRONIC COMMERCIAL PAPER &amp; SECURITIES</strong>\r\n\r\nArticle (22) stated the requirements and conditions for forming and withdrawing the electronic commercial paper and securities that the same applied on commercial paper and securities provided for by law and the Electronic Information Processing system to be capable to prove the right and verify that the electronic signature is belonging and attributed to the Parties involved.\r\n\r\nThe Information Processing System is deemed capable to prove the right on Electronic Papers granted it meets the following conditions:-\r\n<ol>\r\n 	<li>Ensure a safe circulation of a commercial papers through it;</li>\r\n 	<li>Ensure circulation of commercial papers in an unchangeable manner; and</li>\r\n 	<li>Unveiling the names of parties involved on the commercial paper.</li>\r\n</ol>\r\n<strong>ELECTRONIC TRANSFER OF FUNDS (EFT)</strong>\r\n\r\nThe provisions of Chapter Seven related to Electronic Transfer of Funds (EFT) where it was stipulated that transfer of funds by electronic means shall be deemed as an acceptable method of payment.\r\n\r\nMoreover, Article 25 of the Law stated that any financial institution practicing the electronic transfer of funds in accordance with the provisions of this Law and the regulations issued pursuant shall take the measures necessary to ensure secure services for clients and maintain banking confidentiality.\r\nAdditionally, a client shall not be liable for any illegal entry to its account affected by an electronic transfer unless the same occurs due to the client\'s fault or negligence.\r\n\r\n<strong>ADMISSIBILITY AND EVIDENTIAL WEIGHT OF ELECTRONIC RECORDS</strong>\r\n\r\nElectronic records, contracts, messages, and signatures shall be deemed to produce the same legal effect as written documents, instruments and signatures pursuant to the provisions of legislation in force and with respect to enforceability and admissibility as evidence.\r\nArticle (23) stipulated that the electronic commercial paper and securities shall be deemed to produce the same legal effect as the equivalent written documents with legal and evidential weight unless the law provides otherwise.\r\n\r\n<strong>CONCLUSION</strong>\r\n\r\nIn light of above analysis, the Government of Iraq has made some impressive recent legislative progress in enacting the new e-Commerce Act of Iraq.  This notable evolution in Technoloy Media and Telecommunications area in Iraq is a turning-point to enable others the access into Information technology and the use of its application in conducting various activities with regards to writing electronic messages, entering into contracts, transactions, negotiating the commercial papers, trading securities by electronic or software systems or conducting any electronic transaction within this Law.'),
(187387, 4691, 'core_values', ''),
(187388, 4691, '_core_values', 'field_59b64ab071de4'),
(187389, 4691, 'file', ''),
(187390, 4691, '_file', 'field_59b64c10f6600'),
(86164, 4691, '_content', 'field_59b649b5c8b2b'),
(86165, 4691, 'lawUpdateArticleMonth', '4682'),
(86166, 4691, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86167, 4691, 'content_description', 'INTRODUCTION: Recently, legislation relating to e-Commerce was approved and issued in Iraq. The Electronic Signature & Electronic Transactions Law No. 78 of 2012 (the “Law”) was approved by the Presidential Council on 18th October 2012 and published into Official Gazette issue No. (4256) on 5th November 2012.'),
(86168, 4691, '_content_description', 'field_59b641c07f473'),
(86169, 4691, 'pageSummary', 'INTRODUCTION: Recently, legislation relating to e-Commerce was approved and issued in Iraq. The Electronic Signature &amp; Electronic Transactions Law No. 78 of 2012 (the “Law”) was approved by the Presidential Council on 18th October 2012 and published into Official Gazette issue No. (4256) on 5th November 2012.'),
(86170, 4691, '_pageSummary', 'field_59e59b307dec8'),
(86171, 4691, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/a-new-iraqi-e-commerce-act-a-new-move-to-openness.html'),
(86172, 4691, '_currentURL', 'field_59d35123ab1e7'),
(86173, 4691, '_yoast_wpseo_metadesc', 'INTRODUCTION: Recently, legislation relating to e-Commerce was approved and issued in Iraq. The Electronic Signature & Electronic Transactions Law No. 78 of 2012 (the “Law”) was approved by the Presidential Council on 18th October 2012 and published into Official Gazette issue No. (4256) on 5th November 2012.'),
(86174, 4692, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\ninvestment and business, the Abu Dhabi Department of Economic Development (\"ADDED\") has recently launched its new Abu Dhabi Business Centre (the \"Centre\").\r\n\r\nThe Centre is a one-stop shop business centre that aims to ease and speed up license issuing and renewal procedures, and further coordination and integration with other government bodies concerned with economic activity in the emirate. Through its one-stop shop Centre, ADDED aims at enhancing its time required to obtain commercial licenses.\r\n\r\nThe Centre was opened on 3rd January 2013 and is in line with the objectives and parameters of the Abu Dhabi Economic Vision 2030. It is a single government interface for investors and businessmen, through which ADDED plans to increase the number of registered businesses in the emirate by 10%.\r\nThe new Centre is ideally located at ADDED’s headquarters in the heart of the city with ample parking spaces available within the proximity of the building. The state of the art newly built Centre is divided into five different zones spread across two spacious floors, and has been designed to incorporate various facilities and features including spacious waiting areas, visible front desk, reception areas, ATM machines, a branch of National Bank of Abu Dhabi and free WI-FI internet.\r\n\r\nThe Centre offers three main services namely, commercial licensing and registration services, interactive services by offering consultation and support to companies and investors and offering valuable information for strategic customers and partners in Abu Dhabi concerning the business environment in the emirate. The ADDED licensing services provided by the Centre are properly distributed into separate counters as follows:\r\n<ul>\r\n 	<li>Customer Services;</li>\r\n 	<li>Trade Names;</li>\r\n 	<li>Advertising Permits;</li>\r\n 	<li>Inspection Services;</li>\r\n 	<li>Commercial Licenses;</li>\r\n 	<li>E-services;</li>\r\n 	<li>Fast Track “VIP” Services; and</li>\r\n 	<li>Pensioners, Ladies and Special Requirements Services.</li>\r\n</ul>\r\nThe Centre currently incorporates 16 governmental and semi-governmental bodies in providing its licensing related services, including: the Abu Dhabi Chamber, the Abu Dhabi Centre of Waste Management, the Ministry of Foreign Affairs,  the Ministry of Labor, the General Directorate of Residency and Foreigners Affairs, the Civil Defense, the General Directorate of the Abu Dhabi Police, Abu Dhabi Customs, Abu Dhabi Food Control Authority, the Environmental Authority, local newspapers publication services, the National Media Council, the Industrial Development Bureau and the Khalifa Fund for Enterprise Development. Moreover, further governmental and semi-governmental bodies will also be included in the near future to reach a total of 45. In addition to the above entities, the Centre recently added the services of Aramex and Daman Insurance.\r\n\r\nThe Centre lately introduced an e-linkage online service allowing the carrying out of license transactions and procedures electronically. The e-linkage online service links ADDED with several governmental and semi-governmental bodies including the Abu Dhabi Chamber, the Abu Dhabi Municipality Health Department, the Department of Transport and the Supreme Petroleum Council.\r\n\r\nThe e-linkage online service achieves a strategic goal for ADDED, to turn the Center into a single business window for all transactions and procedures associated with licensing in the emirate and most importantly to facilitate and shorten the licensing procedures in the emirate.\r\n\r\nFor instance, the ADDED and Abu Dhabi Chamber recently signed a memorandum of understanding which enabled the activation of the e-linkage between the two parties, to allow  the Centre  to  issue a  unified business license and Chamber membership in one certificate  bearing the logos of the two entities after completing all required  procedures and documents. In the near future ADDED plans to activate the e-linkage services with all governmental and semi-governmental bodies involved in the licensing procedures.\r\n\r\nDuring his tour of the Centre, Nasser Ahmed Al Sowaidi, the chairman of ADDED said: \"The Centre is considered a major initiative adopted by the government of the Emirate of Abu Dhabi. It has been established to reshape the business environment aligned with international standards and comes as part of a comprehensive strategic plan focused on the development of various economic sectors\".\r\n\r\nADDED is hopeful that the services provided by its new Centre will be able to increase its efforts to include 90% of the entities involved in commercial licensing by the end of 2013 as well as to reduce the number of procedures for licensing and save time and effort for companies, establishments, investors and clients inside and outside the UAE.'),
(187352, 4692, 'core_values', ''),
(187353, 4692, '_core_values', 'field_59b64ab071de4'),
(86175, 4692, '_content', 'field_59b649b5c8b2b'),
(86176, 4692, 'lawUpdateArticleMonth', '4682'),
(86177, 4692, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86178, 4692, 'content_description', 'In its efforts to strengthen partnership and maintain a fruitful cooperation with all relevant government bodies, as well as to streamline licensing procedures and provide a package of facilities and technical and legal services in trade, '),
(86179, 4692, '_content_description', 'field_59b641c07f473'),
(86180, 4692, 'pageSummary', 'In its efforts to strengthen partnership and maintain a fruitful cooperation with all relevant government bodies, as well as to streamline licensing procedures and provide a package of facilities and technical and legal services in trade,'),
(86181, 4692, '_pageSummary', 'field_59e59b307dec8'),
(86182, 4692, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/the-new-abu-dhabi-department-of-economic-development-business-centre.html'),
(86183, 4692, '_currentURL', 'field_59d35123ab1e7'),
(86184, 4692, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Tarek El Khatib'),
(86185, 4692, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86186, 4692, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 't.elkhatib@tamimi.com'),
(86187, 4692, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86188, 4692, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86189, 4692, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86190, 4692, 'lawUpdateArticleNoWriters', '1'),
(86191, 4692, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86192, 4692, '_yoast_wpseo_metadesc', 'In its efforts to strengthen partnership and maintain a fruitful cooperation with all relevant government bodies, as well as to streamline licensing procedures and provide a package of facilities and technical and legal services in trade,'),
(86193, 4693, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nRapid development, marked by busy deal momentum is something Mohamed is more than comfortable with, having spent the previous six years in the firm’s Dubai office advising IPO clients.\r\n\r\nMohamed’s original path to law was accidental.  Leaving school, he sought a profession which relied as little as possible on maths or science excellence, something he feels he lacks.  With his love of logic, a degree in law was decided upon as a path to what looked like his perfect career – diplomacy.  But it was the study of that subject that came to intrigue him more and more, until diplomacy became merely all that bought him to his true vocation in life.\r\n\r\nHis love for corporate law was decided at university, where he declined a public prosecution role at graduation, to chase the thrill of the deal.  After studying in Europe and having been called to the Bar in Egypt, law took Mohamed to the UAE just as activity in the Gulf’s equity listing space started to bubble.\r\n\r\nMohamed is adamant that joining Al Tamimi’s fast-growing and cosmopolitan, corporate team in 2006 was one of the best decisions he has made. “Al Tamimi was one of the first Arab law firms to offer specialist practices, which demonstrates the vision leading the business. My time in the firm’s corporate law practice, before refining my IPO expertise, exposed me to everything from employment to litigation work, which my transaction advisory has actually benefited greatly from.”\r\n\r\nSince joining Al Tamimi, he has seen, and in many cases led, more corporate deal action than he could ever have imagined as a student in Egypt, ahead of Dubai’s naughtie’s boom.  Mohamed is best known for his work designing and supervising the implementation of a major cross border corporate restructuring project of a GCC conglomerate worth over US $500m.  He has advised an oil services company in respect to a major settlement agreement worth over US $200m; advised on IPO deals, with offering value worth over US $300; led numerous M&amp;A deals worth over US $200m; and designed and implemented miscellaneous governance structures and acted as counsel for major family businesses restructuring.  Not to mention his high profile thought leadership on topics such as corporate governance in the GCC.\r\n\r\nHad it not been for the financial down-turn in 2009 – and a chance for Mohamed to exhale, he may have never got around to his greatest achievement yet… “I owe my family to Lehman’s collapse!” he jokes.  Amidst softening deal flow, Mohamed married his wife and had two daughters, Sakhatija (3  years) and Hajar (18 months). It was perhaps this change and the challenge of channelling his growth market and unrivalled GCC IPO experience that took him to Doha, which he says he enjoys very much and is “a great city – especially for young families”.\r\n\r\nThe move to Doha meant once again getting his head around a new set of laws (which is not entirely different to the UAE’s he reports) and new regulatory structures.  Importantly for Al Tamimi, which prides itself on a sincerely local approach in each market, it meant getting underneath the nuances of Qatar’s business culture and the new client needs.  Also, as a Senior Partner in the office, Mohamed needs to always spend time understanding the DNA of the diverse team and their evolving ways and needs.\r\n\r\nMohamed’s advice to younger lawyers, starting out is firstly to believe and enjoy what you do and to focus seriously on your objectives.  He stresses his reliance on spiritual clarity and having “God as [his] attorney” throughout his career.  Finally, he stresses how important finding the right corporate culture fit is, especially for lawyers. “I was lucky to find a firm with the same vision and values as me early on.  Al Tamimi and I have developed and grown alongside each other.”\r\n\r\nAre there any burning ambitions left for the accomplished lawyer and father?  A keen political news follower and proud Egyptian national, Mohamed would like to one day return to and serve his home country.\r\n\r\nHe works continuously to find better work, family balance, which he feels has been supported by Al Tamimi “Our employees work hard and meet their deadlines, but we want a happy, healthy staff that will stay here for a long time.  No credit is given for weekends spent at the office and taking leave is essential” he says.\r\n\r\nWhen time does become more available for Mohamed, the lover of classical, jazz and Arabic music, says he may even take up the keyboard again.'),
(187319, 4693, 'core_values', ''),
(187320, 4693, '_core_values', 'field_59b64ab071de4'),
(187321, 4693, 'file', ''),
(187322, 4693, '_file', 'field_59b64c10f6600'),
(187323, 4693, 'orderValue4', '4'),
(187324, 4693, '_orderValue4', 'field_59d2096a8ff34'),
(86194, 4693, '_content', 'field_59b649b5c8b2b'),
(86195, 4693, 'lawUpdateArticleMonth', '4682'),
(86196, 4693, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86197, 4693, 'content_description', 'Egyptian national, Mohamed is a  Partner at Al Tamimi & Company’s Qatar office.  He joined the Doha-based team in 2011, to help develop the strategic Gulf foothold through fast-paced times in the market. '),
(86198, 4693, '_content_description', 'field_59b641c07f473'),
(86199, 4693, 'pageSummary', 'Egyptian national, Mohamed is a Partner at Al Tamimi &amp; Company’s Qatar office. He joined the Doha-based team in 2011, to help develop the strategic Gulf foothold through fast-paced times in the market.'),
(86200, 4693, '_pageSummary', 'field_59e59b307dec8'),
(86201, 4693, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/a-moment-with-mohamed-khodeir.html'),
(86202, 4693, '_currentURL', 'field_59d35123ab1e7'),
(86203, 4693, '_yoast_wpseo_metadesc', 'Egyptian national, Mohamed is a Partner at Al Tamimi & Company’s Qatar office. He joined the Doha-based team in 2011, to help develop the strategic Gulf foothold through fast-paced times in the market.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(86204, 4694, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nCloud computing allows businesses to convert capital expenses associated with IT systems and infrastructure into operating expenses associated with platforms, capacity and applications. For many companies the business case is compelling. As with any business decision, it is important to be fully informed, and aware of the risks.  In this article, the second in a series of two, we look at some further core legal considerations associated with cloud computing. (Part 1 may be found in the December/January edition of Law Update.)\r\n\r\n<strong>Service levels and service level credits\r\n</strong>\r\nAs with most IT services agreements, service levels - which provide objective and measurable standards and help manage performance and quality - are also relevant to cloud services. One key difference, however, is that Cloud Service Providers will typically set service levels that are applicable to all their customers, and there will be little scope to negotiate. (The situation may be different if the cloud is a private cloud, or if the client is procuring a large volume of services.)\r\nWhen negotiating service level credits, the CSP will typically seek to use their own servers as the point of measurement for service availability. In contrast, from the client’s perspective, availability at the client’s own computer is the natural point to assess availability.  In practical terms, it is not always technically possible to use the client’s computer as the point of measurement, although it may be possible to use the cloud termination point at the client’s premises. If it can be justified by the business need, then a leased line connection to the CSP would provide a reliable connection, as well as scope for the client to argue that availability should be calculated on an end-to-end basis.\r\n\r\nAnother important point relates to the time period over which availability is calculated. For example, calculating availability on a 24/7 basis seems appealing, although if the real business need for the service is during business hours, then it would be prudent to calculate availability based on the hours of business. For example, 98% availability on a 24/7 basis over a period of a month would mean that up to 15 hours of down-time would be permitted; whereas the same level of availability calculated with reference to business hours on week days over the same period would mean only 4 hours of down-time would be permitted.\r\n\r\nThe use of service level credits as a means of addressing service failure is not uncommon. Clients should ensure, however, that sufficient details of the reasons for non-compliance with service levels is provided to them, and that recurring issues provide a basis for termination. Otherwise, there is a risk that the CSP will simply see service level credits as the ‘price’ of failing to provide a reliable service – and there will be little incentive for them to strive to meet the agreed service levels.\r\n\r\nSome CSPs will try to include provisions whereby a service level bonus is paid if certain service levels are exceeded. Clients should consider the extent to which the marginal benefit of excess up-time over an already high up-time level is really a benefit worth paying for. For example, if the CSP offers 98% up-time as standard, is there really any value to the client in paying a bonus for 99% up-time?\r\n\r\n<strong>Limits on liability\r\n</strong>\r\n\r\nCSPs will typically try to limit liability. They may disclaim any warranties and describe their services as being offered ‘as is’, and they may seek to exclude direct, indirect and consequential damages. If they do not exclude direct damages entirely, they may seek to limit damages to a specific amount, such as the amount paid by the client for the services during a specific period of time.\r\n\r\nWhen considering provisions relating to limitations of liability, it is important to review these in detail. The client should specifically consider whether the types of events giving rise to what the CSP has described as indirect damages are, in fact, indirect – or whether they are exactly the types of damages that are likely to arise if the CSP fails to adequately perform its obligations. (A good example is ‘loss of data’, and costs associated with manually inputting any lost data, both of which would seem to be obvious losses resulting from a failure on the part of a CSP.) Similar considerations arise in the context of force majeure provisions, which are typically used to provide for natural disaster type occurrences. Some CSPs may attempt to include events for which it is reasonable to expect them to bear the risk directly.\r\n\r\nSeeking to agree an increased cap, or seeking to specify certain losses as direct losses is a reasonable approach for a client to take. Additionally, were a dispute to come before the courts in the UAE, there is some consolation in knowing that pursuant to Article 390 of the Civil Code, “The contracting parties may fix the amount of compensation in advance by making a provision therefore in the contract […], subject to the provisions of the law. The judge may, in all cases, upon the application of either party, vary such agreement so as to make the compensation equal to the harm, and any agreement to the contrary shall be void.” Additionally, Article 296 of the Civil Code provides, “Any condition purporting to provide exemption from responsibility for a harmful act shall be void.”\r\n\r\n<strong>Lock-in and transition</strong>\r\n\r\nThe risk of technical or commercial lock-in needs to be considered at the outset. Technical lock-in refers to the risk that the manner in which the cloud services are provided means that it would be technically difficulty and/or costly for the client to migrate to an alternative provider. Commercial lock-in refers to contractual restrictions on the ability of the client to terminate; the absence of a right to terminate for convenience, for failure to comply with agreed service levels, or other reasons. When engaging a CSP, the client should ensure that the risk of lock-in is properly understood and addressed. Technology develops quickly, so the benefits of a long term engagement with a CSP may be short-lived, so the ability to move promptly to another service provider is valuable.\r\n\r\nBusiness continuity is always a major consideration in the cloud, as failure of the services can significantly impact on business. Many clients seek to establish an exit strategy at the outset, and verify that the CSP is able to implement its part of the exit strategy, such as by locating, isolating and extracting the client’s data. The exit plan should specify the CSP’s responsibilities in the event that the client wishes to exit the CSP’s cloud, the format in which the client’s data needs to be delivered, and the timeframe in which the transition needs to be completed. It is also prudent to require the CSP to formally confirm that all the client’s data has been removed from the CSP’s system.\r\n\r\nAl Tamimi &amp; Company’s Technology, Media &amp; Telecommunications team regularly advises on IT service agreements, including in a cloud context, as well as related issues such as data protection, document retention and confidentiality provisions. For further information, please contact Nick O’Connell n.oconnell@tamimi.com'),
(187284, 4694, 'core_values', ''),
(187285, 4694, '_core_values', 'field_59b64ab071de4'),
(187286, 4694, 'file', ''),
(187287, 4694, '_file', 'field_59b64c10f6600'),
(187288, 4694, 'orderValue4', '4'),
(187289, 4694, '_orderValue4', 'field_59d2096a8ff34'),
(86205, 4694, '_content', 'field_59b649b5c8b2b'),
(86206, 4694, 'lawUpdateArticleMonth', '4682'),
(86207, 4694, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86208, 4694, 'content_description', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular.'),
(86209, 4694, '_content_description', 'field_59b641c07f473'),
(86210, 4694, 'pageSummary', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular.'),
(86211, 4694, '_pageSummary', 'field_59e59b307dec8'),
(86212, 4694, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/legal-issues-in-cloud-computing-part-2-1.html'),
(86213, 4694, '_currentURL', 'field_59d35123ab1e7'),
(187277, 4694, '_timeline_header', 'field_59b63de5b74bf'),
(187276, 4694, 'timeline_header', ''),
(187274, 4694, 'orderValue2', '2'),
(187275, 4694, '_orderValue2', 'field_59d0c6f6175b8'),
(187273, 4694, '_stats_list', 'field_59b6372466bcc'),
(187272, 4694, 'stats_list', ''),
(187270, 4694, 'orderValue1', '1'),
(187271, 4694, '_orderValue1', 'field_59d0c6e5175b5'),
(86220, 4694, 'lawUpdateArticleNoWriters', ''),
(86221, 4694, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86222, 4694, '_yoast_wpseo_metadesc', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular.'),
(86223, 4695, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\n<strong>Patent Cooperation Treaty (“PCT”)</strong>\r\n\r\nThe World Intellectual Property Organization’s Patent Cooperation Treaty (PCT) provides the means to facilitate the filing and protection of patents internationally. In 2011 alone, more than 181,000 international patent applications were filed under the PCT.\r\n\r\nThis is the most international of patent applications one can file where a single filing can secure an effective filing date in all of its member countries. Its membership comprises a large number of countries and the list continues to grow.\r\n\r\nThe PCT system has in 2013 been adopted by 146 countries including numerous countries in the Middle East and North Africa, including:\r\n<ul>\r\n 	<li>Algeria</li>\r\n 	<li>Bahrain</li>\r\n 	<li>Egypt</li>\r\n 	<li>Libya</li>\r\n 	<li>Morocco</li>\r\n 	<li>Oman</li>\r\n 	<li>Qatar</li>\r\n 	<li>Sudan</li>\r\n 	<li>Syria</li>\r\n 	<li>Tunisia</li>\r\n 	<li>UAE</li>\r\n</ul>\r\nThe PCT patent application filing system includes two phases:\r\n\r\n<strong>1. International Phase</strong>\r\n\r\nThe international application is filed and an International Search Authority undertakes an international search whereupon a search report containing citations of relevant prior art and a written opinion on the patentability of the invention is produced. The application is published as an International Publication and the applicant has an option whether to undertake international preliminary examination of an application.\r\n\r\n<strong>2. National Phase</strong>\r\n\r\nThe national phase application is effectively filed in the various countries in which the applicant is ultimately seeking patent protection and it is at this stage that the application is substantively examined and a decision is taken to grant or reject a patent is made.\r\n\r\nA PCT application does not mature into some kind of “international” patent registration. It merely acts as a vehicle facilitating the filing applications at each of the national patent offices of the member countries an applicant is interested in.  The PCT system provides for a “delay” of up to 18 months in having to incur the expenses of proceeding with applications at each national patent office of interest and accordingly buys an applicant valuable time in seeking funds from investors, finding partners or just to reassess the commercial viability of an invention.\r\n\r\nThe time bought through the use of the PCT system also affords applicants more time to reflect on the desirability of seeking protection in foreign countries, to appoint local patent attorneys in those countries, to prepare the required translations and to pay the local fees.\r\n\r\nApplicants may rest assured that their PCT compliant national applications may not be rejected on formal grounds by any of the national offices during the national phase. They also have the benefit of the international search report and the written opinion to better assess the patentability of their inventions. Importantly, they have the opportunity of amending their international application before processing by the national offices.\r\n\r\nForeign applicants would note that a number of countries in the Middle East are not PCT members including Saudi Arabia and Kuwait. Apart from filing directly in these countries, a GCC patent application could be an appropriate tool for seeking patent protection in these countries.\r\n\r\n<strong>GCC Patent System</strong>\r\n\r\nThe GCC patent system provides a convenient way for applicants to secure patent rights effective in each of the GCC member states.\r\n\r\nThe Cooperation Council for the Arab States of the Gulf, also known as the Gulf Cooperation Council (“GCC”), is an association comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE. The association forms a trade bloc and provides a common market, including coordination of customs regulations and various trade-related laws, and there is even a proposal for a unified currency under discussion.\r\n\r\nThe GCC patent system does not form part of the Patent Cooperation Treaty (PCT) nor is it a signatory to the Paris Convention. However, it is important to note that the GCC Patent Office (“GCCPO”) honours the Paris Convention priority rules and a GCC application can claim priority from a prior convention application as if the GCC were a signatory to the Paris Convention.\r\n\r\n<strong>Paris Convention</strong>\r\n\r\nThe Paris Convention allows an applicant to delay the filing of a patent application in another member country by up to 12 months as long as the applicant has filed a patent application in one member country.\r\n\r\nThe practical benefit is that once the patent application is filed, the applicant can disclose the invention e.g. by selling products embodying the invention and still obtain patents for the same invention in other member countries of the Paris Convention providing that applications are filed within the 12 months grace period and a claim to Paris Convention priority is made.\r\n\r\nUpon filing, examiners at the GCCPO examine a GCC patent application for compliance with formalities. The applicant then has an opportunity to address any objections arising from the examination of formalities. Substantive examination is then undertaken on behalf of the GCCPO by IP Australia, the Austrian Patent Office or the Chinese Patent Office.\r\n\r\nOnce the applicable patent opposition period has expired, and the GCCPO has granted a patent, the grant of the patent may be challenged before the responsible authority in Saudi Arabia - the Board of Grievances.\r\n\r\nWith respect to the enforcement of GCC patents, claims of patent infringement are heard by the responsible courts in the relevant GCC member states where the infringement is alleged to have take place.\r\n\r\nFor local UAE applicants, a common strategy is to file a UAE application followed by a PCT application if overseas markets outside of the GCC common market are of interest. Otherwise, if only the GCC countries are relevant to say a purely GCC focused product, then it would be expedient to file a GCC patent application.\r\n\r\nThe PCT and GCC patent systems are valuable tools at the disposal of patent applicants as they facilitate the protection of patents in multiple jurisdictions.\r\n\r\nIf you require any assistance in respect of the protection and enforcement of patent rights in the Middle East, please contact the author.'),
(187249, 4695, 'core_values', ''),
(187250, 4695, '_core_values', 'field_59b64ab071de4'),
(187251, 4695, 'file', ''),
(187252, 4695, '_file', 'field_59b64c10f6600'),
(187253, 4695, 'orderValue4', '4'),
(187254, 4695, '_orderValue4', 'field_59d2096a8ff34'),
(86224, 4695, '_content', 'field_59b649b5c8b2b'),
(86225, 4695, 'lawUpdateArticleMonth', '4682'),
(86226, 4695, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86227, 4695, 'content_description', 'Globalization is no longer the exclusive province of Multi National Companies. Companies large or small or anyone with a commercially attractive product should consider international markets and in doing so, seek patent protection in multiple countries.'),
(86228, 4695, '_content_description', 'field_59b641c07f473'),
(86229, 4695, 'pageSummary', 'Globalization is no longer the exclusive province of Multi National Companies. Companies large or small or anyone with a commercially attractive product should consider international markets and in doing so, seek patent protection in multiple countries.'),
(86230, 4695, '_pageSummary', 'field_59e59b307dec8'),
(86231, 4695, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/international-patent-filing-systems-pct-gcc-patents.html'),
(86232, 4695, '_currentURL', 'field_59d35123ab1e7'),
(86233, 4695, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '926'),
(86234, 4695, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86235, 4695, 'lawUpdateArticleWriters', '1'),
(86236, 4695, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86237, 4695, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(86238, 4695, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86239, 4695, 'lawUpdateArticlePractices', '1'),
(86240, 4695, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86241, 4695, '_yoast_wpseo_metadesc', 'Globalization is no longer the exclusive province of Multi National Companies. Companies large or small or anyone with a commercially attractive product should consider international markets and in doing so, seek patent protection in multiple countries.'),
(86242, 4696, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nIn many cases the IP subsisting in for example marketing properties, products, materials, processes and know-how is what gives a business its competitive advantage – whether through protected patents, extensive brand recognition or internal procedures. It is critical for all businesses relying on such IP rights to ensure that they adequately manage the creation, ownership, maintenance and exploitation of their IP.  There is no single formula that will provide businesses with an appropriate IP Management Program, but there are some basic steps that can be followed in developing such a program.\r\n\r\nA possible approach to the development of an appropriate IP Management Program could include:\r\n<ul>\r\n 	<li>Identifying IP Assets;</li>\r\n 	<li>Gathering and Evaluating Company Policies, Procedures and Commitments; and</li>\r\n 	<li>Developing and Implementing an IP Management Program.</li>\r\n</ul>\r\n<strong>1.  Identifying IP Assets</strong>\r\n\r\nThe point of departure in identifying IP assets is to follow an approach exactly like would be followed in a due diligence related to the sale or purchase of a business.  As part of this process, all existing IP generated within the business and / or used by the business (whether owned or licenced) and licenced to third parties must be identified.  In many instances this is a simple process of identifying for example important trade marks used, but the due diligence must also include details of those process manuals, reports, data tables, customer lists, supply chain data and the like that may not immediately be considered as IP assets, but in respect of which a management policy is equally critical.\r\n\r\nAnother key consideration in such a due diligence is the identification of IP asset that are in use, but that are not necessarily protected. For example, a bank may consider the name of the bank to be a critical trade mark asset and focus only on this assets, but it should give equal consideration to the trade marks it uses to identify its various products and for example loyalty programs.  A key feature of an IP due diligence accordingly is identifying unregistered IP assets.\r\n\r\nIn addition to identifying IP assets, the IP due diligence must also include consideration of the following:\r\n\r\nA. IP Ownership\r\n\r\nThe ownership of IP rights must be a key consideration for any business as it forms the basis on which that business can exploit the relevant rights and prevent third parties from doing so. An important aspect of the ownership of IP rights relates to the employer/employee relationship and the relationship with independent contractors.  Multi-national corporations with operations in various jurisdictions must take the nuances of local laws into careful consideration in the assessment of their stocks of IP rights, as in a jurisdiction such as the United Arab Emirates (“UAE”) the ownership of IP rights may be regulated very differently from the way such rights are regulated in for example common law jurisdictions.  The examples below illustrate some considerations that may be relevant.\r\n\r\nPatents – In principle, the inventor is the owner of his/her invention, unless he/she is an employee hired to invent.  Even in the case where an invention is made without the job responsibility to invent, the employer may still be the owner of the invention if the invention was developed using company resources and tools. The purpose of an audit is to scrutinize the ownership trail of IP rights in order to remedy any discrepancies in the business’ ownership of IP right, but also to identify specific IP right identification and assignment requirements, if any.\r\n\r\nCopyright – The point of departure generally is that ownership vests in the author of a work and a written assignment agreement will in most cases be required in the UAE in order to vest ownership of copyright in the employer.  An appropriate due diligence should identify key properties in which copyright subsists in order to ensure that a system is in place to record and document ownership and ownership changes.\r\n\r\nTrademarks – Ownership  generally vests in the first party to apply for the registration of a trade mark, but where trade mark right disputes arise in respect of the ownership of a particular mark details related to the creation of the mark and first use thereof could be critical.  A full IP due diligence may highlight trade marks that may be vulnerable to cancellation based on local law and in particular trade marks that may be vulnerable to non-use.\r\n\r\nTrade Secrets – Trade secrets are developed and used by businesses on a daily basis and remain protected as long as they remain secret.  In the UAE for example a trade secret may be any formula, pattern, device, or compilation of information which is used in a business and that gives the business an opportunity to obtain an advantage over competitors who do not know or use that secret.\r\n\r\nTrade secrets are protected in different ways, but as part of the due diligence process, the question must be whether appropriate mechanism are in place to protect those trade secrets.  For example, what form of confidentiality agreements are in place with employees and contractors and what kind of information security policies are in place, what kind of communication monitoring policies and consent procedures (if required) are in place.\r\n\r\nB. Liabilities\r\n\r\nOnce IP assets have been identified and the ownership of those assets reviewed, the due diligence process should also analyze any liabilities related to those assets. These liabilities could include for example a right that will expire shortly, licences that may not be renewed, claims of infringement by third parties, ongoing cases of infringement against third parties and disputes related to the ownership of rights.  These possible liabilities could impact the business’ ability to exploit the relevant IP rights.  Defending potential IP infringement claims could also pose a significant burden on the resources of a business which may mean that the relevant asset could instead be a liability to a business.\r\n\r\n<strong>2.   Gathering and Evaluating Company</strong>\r\n\r\n&nbsp;\r\n\r\n<strong>Policies, Procedures and Commitments</strong>\r\n\r\n&nbsp;\r\n\r\nThis is the fact finding process that is very closely related to the identification of IP assets.  In this process it is important to identify what policies and procedure the business has in place to govern the creation, exploitation and maintenance of IP rights.  In addition to a review of these documents, it is also important to identify and consider the kind of IP exploitation agreements that may be in place with third parties to identify any limitations on the further exploitation of those rights (for example if an exclusive licence was granted in respect of a particular patent).\r\n\r\nExamples of the subject matter with respect to which policies, procedures and agreements should be considered include:\r\n<ul>\r\n 	<li>IP right record keeping and inventory management;</li>\r\n 	<li>Identifying and creating new IP rights;</li>\r\n 	<li>Ownership of IP rights;</li>\r\n 	<li>Renewing / maintaining IP rights;</li>\r\n 	<li>Use of IP rights internally, externally and by third parties;</li>\r\n 	<li>Enforcement of IP rights;</li>\r\n 	<li>Protection of trade secrets and confidential information;</li>\r\n 	<li>Information security; and</li>\r\n 	<li>Communication monitoring.</li>\r\n</ul>\r\n<strong>3.  Developing and Implementing an IP Management Program</strong>\r\n\r\n&nbsp;\r\n\r\nAfter the completion of the above steps, the next stage in the IP Management Program development process is actually putting in place such policies and procedures identified as lacking through the above steps. This IP Management Program must be tailored to the business’ needs and must aim to provide an efficient, effective and optimal strategy for the management of the business’ IP assets.\r\n\r\nFinally, having gone through all three steps discussed above to develop an appropriate IP Management Program, the implementation of that program must be a key priority.  In this regard, clear communication of the new IP Management Program within the business will be required with a strong commitment flowing from the very top of the leadership structure to the implementation and enforcement of the new IP Management Program.'),
(187218, 4696, 'core_values', ''),
(187219, 4696, '_core_values', 'field_59b64ab071de4'),
(187220, 4696, 'file', ''),
(187221, 4696, '_file', 'field_59b64c10f6600'),
(187222, 4696, 'orderValue4', '4'),
(187223, 4696, '_orderValue4', 'field_59d2096a8ff34'),
(187224, 4696, 'related_pages_header', ''),
(187225, 4696, '_related_pages_header', 'field_59b6441e3cc94'),
(187226, 4696, 'related_pages', ''),
(86243, 4696, '_content', 'field_59b649b5c8b2b'),
(86244, 4696, 'lawUpdateArticleMonth', '4682'),
(86245, 4696, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86246, 4696, 'content_description', 'Are you deriving the most value out of your Intellectual Property (“IP”) assets? Unless you have implemented an effective IP Management Program, the answer will most likely be in the negative.\r\n'),
(86247, 4696, '_content_description', 'field_59b641c07f473'),
(86248, 4696, 'pageSummary', 'Are you deriving the most value out of your Intellectual Property (“IP”) assets? Unless you have implemented an effective IP Management Program, the answer will most likely be in the negative.'),
(86249, 4696, '_pageSummary', 'field_59e59b307dec8'),
(86250, 4696, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/internal-intellectual-property-management.html'),
(86251, 4696, '_currentURL', 'field_59d35123ab1e7'),
(86252, 4696, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '878'),
(86253, 4696, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86254, 4696, 'lawUpdateArticleWriters', '1'),
(86255, 4696, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86256, 4696, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(86257, 4696, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86258, 4696, 'lawUpdateArticlePractices', '1'),
(86259, 4696, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86260, 4696, '_yoast_wpseo_metadesc', 'Are you deriving the most value out of your Intellectual Property (“IP”) assets? Unless you have implemented an effective IP Management Program, the answer will most likely be in the negative.'),
(86261, 4697, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThe history of this case goes back to 2009 when the Al Tamimi &amp; Company IP enforcement team received information in relation to a container imported into Dubai from Port Saeed in Egypt, through the Jabel Ali Free Zone Seaport.\r\n\r\nThe container contained approximately 420 master cases of branded cigarettes for a line of products that was no longer manufactured by the client.  In fact, the client stopped producing this brand of cigarettes as long back as 2003.\r\n\r\nAfter investigating the goods and conducting a forensic examination, it was confirmed that the imported products were genuine – but old – products produced and distributed by a licensed manufacturer. Based on this information, the Customs Authorities issued an administrative decision to release the shipment of cigarettes due to lack of power to sustain the seizure. However, the brand owner needed to prevent the sale of these old products in the market and therefore we moved to file an urgent application with Dubai Court for expedited matters seeking issuance of preliminary attachment order to seize and further inspect the goods. The application was based on the client’s interest to prevent trade in expired products carrying its trade marks and the protection of the health and safety of consumers as protected by both federal and Dubai laws. Therefore, the Dubai Court granted the ordered directing the Customs Authorities to maintain the detention of the goods for further inspection products.\r\n\r\nThe case against the importer went through all levels of appeal up to the Court of Cassation and ultimately reversed to the Dubai Appeal Court for proceeding.  In the end, the Appeal court issued a judgment to confiscate and destroy the products based on the interest of the client in preventing trade of products that lack of conformity conditions and the protection of consumers in the UAE.  The court also ordered the owner of the imported goods to cover the court legal fees and ordered that its decision be published in one of the local newspapers (at the expenses of the owner of the imported goods).\r\n\r\nSimultaneously while pursuing the civil action, a criminal complaint was filed against the importer of the goods. Dubai public prosecution office accepted the complaint in formalities and interrogated the manager of the importing company for importing illegitimate goods to UAE Territory. Therefore, an accusation order was issued and the case was transferred to the criminal court for further proceedings. The Criminal Court found the accused (the manager of the importing company) guilty and issued a fine of AED 100,000.00 (USD 27,250.00) with seizure and destruction of goods. The case was appealed to the Dubai Criminal Court of Appeal, who affirmed the judgment of the lower court, but amended the fine to AED 50,000.00 (USD 13,625) in according to the discretion of appeal court to review the imposed fines.\r\n\r\nIn addition to the civil and criminal proceedings, a complaint was also filed with the Dubai Municipality, the Public Health and Safety Department also issued a nominal administrative fine to the importer with order to seize and destruct the goods.\r\n\r\nIn conclusion, the expired products were destroyed and the importer was found guilty of contravening the UAE’s laws in civil, criminal and administrative proceedings.  What is of particular importance in this matter is that this matter establishes that trade mark owners remain entitled to defend the reputation and goodwill of their trade marks in cases where their required product standards are not maintained.\r\n\r\nThe legal grounds used to pursue this matter were not the traditional trademark infringement grounds.  Rather, this matter illustrates how important considerations such as for example product and label regulation, product standards and consumer protection can be in assuring the protection of valuable trade mark assets.  This matter also illustrates how trade mark owners may address the unauthorized importation of genuine goods in circumstances where such goods may prejudice the relevant brands and importantly - consumers.\r\n\r\nWe shall leverage this important precedent in order to assist our clients to protect their trade marks in the UAE, even in circumstances where the traditional rules of trade mark infringement do not apply.'),
(187187, 4697, 'core_values', ''),
(187188, 4697, '_core_values', 'field_59b64ab071de4'),
(187189, 4697, 'file', ''),
(187190, 4697, '_file', 'field_59b64c10f6600'),
(86262, 4697, '_content', 'field_59b649b5c8b2b'),
(86263, 4697, 'lawUpdateArticleMonth', '4682'),
(86264, 4697, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86265, 4697, 'content_description', 'Al Tamimi & Company successfully represented a multi-national tobacco brands owner before the Dubai Courts in one of the most controversial cases in recent years.\r\n'),
(86266, 4697, '_content_description', 'field_59b641c07f473'),
(86267, 4697, 'pageSummary', 'Al Tamimi &amp; Company successfully represented a multi-national tobacco brands owner before the Dubai Courts in one of the most controversial cases in recent years.'),
(86268, 4697, '_pageSummary', 'field_59e59b307dec8'),
(86269, 4697, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/pursuing-genuine-goods-how-far-can-you-go-to-protect-your-brand.html'),
(86270, 4697, '_currentURL', 'field_59d35123ab1e7'),
(86271, 4697, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Munir Suboh'),
(86272, 4697, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86273, 4697, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.suboh@tamimi.com'),
(86274, 4697, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86275, 4697, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86276, 4697, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86277, 4697, 'lawUpdateArticleNoWriters', '1'),
(86278, 4697, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86279, 4697, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(86280, 4697, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86281, 4697, 'lawUpdateArticlePractices', '1'),
(86282, 4697, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86283, 4697, '_yoast_wpseo_metadesc', 'Al Tamimi & Company successfully represented a multi-national tobacco brands owner before the Dubai Courts in one of the most controversial cases in recent years.'),
(86284, 4698, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nUnfortunately these procedures have not been available to prospective applications during the past years for many reasons, including the lack of the necessary competencies to carry out the examinations.\r\n\r\nIn the past, the Patent Office would accept applications and provide filing receipts, but no further action was taken in respect of such applications.  The result was that prospective applicants started excluding Kuwait from their protection strategies and more importantly business models related to key inventions.  The risks associate with the infringement of key patents in Kuwait resulting from the absence of adequate protection for patents and the ability to prevent such infringement became a critical risk factor for assessment in deciding whether to enter the Kuwaiti market for certain business.\r\n\r\nThis situation has changed to some extent and the good news is that the Kuwaiti Patent Office has started examining industrial design applications and publishing them for opposition purposes. Once the period of opposition expires, the Patent Office will issue a registration certificate in compliance with the above mentioned law.\r\n\r\nIt is hoped that this is a possible first step for the Kuwaiti Patent Office to begin the examination of patents and complete the registration process for the grant of patent protection in the state of Kuwait. Many countries have cooperated well with the European Patent Office (EPO), United States Patent &amp; Trademark Office (USPTO) and The World Intellectual Property Organization (WIPO) in respect of the functioning of their patent systems and collaboration with these offices may also be valuable to the Kuwaiti Government to ensure that Kuwait’s patent system becomes fully functional.\r\n\r\nThe next important question for design right owners is going to be how effective the enforcement of design rights will be in Kuwait.'),
(187156, 4698, 'core_values', ''),
(86285, 4698, '_content', 'field_59b649b5c8b2b'),
(86286, 4698, 'lawUpdateArticleMonth', '4682'),
(86287, 4698, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86288, 4698, 'content_description', 'The Kuwaiti Law number 4 in respect of Patents and Industrial Drawing & Designs and Integrated Circuits issued on 15 April 1962 provided the procedures for the application for registration of patents and designs, including in respect of examination and publication. '),
(86289, 4698, '_content_description', 'field_59b641c07f473'),
(86290, 4698, 'pageSummary', 'The Kuwaiti Law number 4 in respect of Patents and Industrial Drawing &amp; Designs and Integrated Circuits issued on 15 April 1962 provided the procedures for the application for registration of patents and designs, including in respect of examination and publication.'),
(86291, 4698, '_pageSummary', 'field_59e59b307dec8'),
(86292, 4698, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/kuwait-industrial-design-applications-being-processed.html'),
(86293, 4698, '_currentURL', 'field_59d35123ab1e7'),
(86294, 4698, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '730'),
(86295, 4698, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86296, 4698, 'lawUpdateArticleWriters', '1'),
(86297, 4698, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(86298, 4698, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(86299, 4698, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86300, 4698, 'lawUpdateArticlePractices', '1'),
(86301, 4698, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86302, 4698, '_yoast_wpseo_metadesc', 'The Kuwaiti Law number 4 in respect of Patents and Industrial Drawing & Designs and Integrated Circuits issued on 15 April 1962 provided the procedures for the application for registration of patents and designs, including in respect of examination and publication.'),
(86303, 4699, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nThis area – Al Karama – is in fact so well known that it is referenced in a number of travel publications as a place of interest for visitors to Dubai.\r\n\r\nAt the end of 2012 it came to the attention of the legal team of world famous French designer Mr. Christian Louboutin that his distinctive Red Sole shoes have not been spared the interest of counterfeit traders in Dubai and specifically the Al Karama market.  Developing and executing a strategy to understand the extent of the problem and addressing the sale of counterfeit goods in the Dubai market was critical to Mr. Christian Louboutin\r\n\r\nThe first step taken in this matter was to conduct an extensive market investigation in Dubai in order to begin to develop an understanding of the extent of the availability of counterfeit products in the market.  Once the investigation was completed, a view of the extent of the problem could be formed which assisted in identifying key target areas and specific individual targets. The information obtained through this investigation also provided a basis upon which to consider the most appropriate course of action to take the fight to the more than forty counterfeit vendors identified by the market investigation.\r\n\r\nChristian Louboutin carefully considered the various legal options through which actions can be taken against counterfeit goods vendors in Dubai and after considering the spread of vendors in especially the Al Karama market and with a focus on addressing the availability of counterfeit products in the market – he elected to follow an administrative procedure through the Dubai Department of Economic Development (the “DED”).\r\n\r\nThe DED is currently one of the most active law enforcement agencies in Dubai with respect to anti-counterfeiting actions and has its own inspectors who act ex officio monitoring markets and undertaking inspections on behalf of brands owners.  Accordingly, an official complaint was filed with the DED including details of the CHRISTIAN LOUBOUTIN trade marks registered in the UAE.  Along with the complaint, the DED was provided with samples of counterfeit products obtained from the market, samples of authentic products and all details of targets offering counterfeit goods for sale (as obtained through the market investigation).\r\n\r\nChristian Louboutin’s in-house counsels also met with DED officials in Dubai explaining the extent of the counterfeiting problem globally, the impact of this trade on the brand and the value of the brand and specifically Christian Louboutin’s commitment to fighting the trade in counterfeit goods.\r\n\r\nTo date, the DED, with the support of Al Tamimi &amp; Company, had seized thousands of pairs of counterfeit shoes from numerous targets in Dubai.\r\n\r\nThe majority of inspections conducted by the DED focused on targets identified through Al Tamimi &amp; Company’s enforcement team, but in some cases, the DED seized goods during inspections focused on other brands.  Raising the profile of the brand with the DED and showing Christian Louboutin’s commitment to addressing the problem of counterfeit goods in Dubai by taking the time to meet with officials and through the ongoing interaction of Al Tamimi &amp; Company’s team with the DED has clearly played an important role in the success achieved by the DED.\r\n\r\nThe complaint with the DED remains open and Al Tamimi &amp; Company’s enforcement team continues to work very closely with the DED in order to identify new targets and to ensure that the brand remains at the top of the minds of DED inspectors. Protecting the valuable CHRISTIAN LOUBOUTIN brand in Dubai is an ongoing process, but the commitment of Christian Louboutin and the DED to take action in this market has already sent a very strong message to counterfeit traders in Dubai.\r\n\r\nIn addition to the complaint filed with the DED, Christian Louboutin’s trade marks are now also recorded with the Customs Authorities. Accordingly Christian Louboutin’s in-house counsels also met with the Customs Authorities, explaining the extent of the challenges faced by the brand, the impact of the trade in counterfeit goods on the reputation of the brand and their commitment to working with the Customs Authorities in protecting the brand.\r\n\r\nThis matter is a good example of the effectiveness of the administrative actions taken through the DED and the importance of ongoing collaboration with the DED to fight counterfeit trade in Dubai.  At the same time, the importance of working with the Customs Authorities in identifying and pursuing the importation of counterfeit goods cannot be overstated.\r\n\r\nThe first battles in this war against counterfeit goods in Dubai have been won by Christian Louboutin, the DED and Al Tamimi &amp; Company and this constitutes a clear message to the counterfeit traders in the city - the war may be ongoing, but this battle group is mobilised to take aggressive and effective action as and when required.\r\n\r\nFor any assistance in respect of anti-counterfeiting action in the UAE, please contact Waldo Steyn at <a href=\"mailto:w.steyn@tamimi.com\">w.steyn@tamimi.com</a>.'),
(187125, 4699, 'core_values', ''),
(187126, 4699, '_core_values', 'field_59b64ab071de4'),
(187127, 4699, 'file', ''),
(187128, 4699, '_file', 'field_59b64c10f6600'),
(86304, 4699, '_content', 'field_59b649b5c8b2b'),
(86305, 4699, 'lawUpdateArticleMonth', '4682'),
(86306, 4699, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86307, 4699, 'content_description', 'There is an area in one of the older districts in the Emirate of Dubai that is well known for the abundance of “genuine fakes” (as the vendors refer to it) ranging from Swiss watches and smart phones to practically all conceivable brands of high-end fashion goods. '),
(86308, 4699, '_content_description', 'field_59b641c07f473'),
(86309, 4699, 'pageSummary', 'There is an area in one of the older districts in the Emirate of Dubai that is well known for the abundance of “genuine fakes” (as the vendors refer to it) ranging from Swiss watches and smart phones to practically all conceivable brands of high-end fashion goods.'),
(86310, 4699, '_pageSummary', 'field_59e59b307dec8'),
(86311, 4699, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/fighting-counterfeit-trade-in-dubai.html'),
(86312, 4699, '_currentURL', 'field_59d35123ab1e7'),
(86313, 4699, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Waldo Steyn'),
(86314, 4699, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86315, 4699, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'w.steyn@tamimi.com'),
(86316, 4699, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86317, 4699, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86318, 4699, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86319, 4699, 'lawUpdateArticleNoWriters', '1'),
(86320, 4699, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86321, 4699, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(86322, 4699, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86323, 4699, 'lawUpdateArticlePractices', '1'),
(86324, 4699, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86325, 4699, '_yoast_wpseo_metadesc', 'There is an area in one of the older districts in the Emirate of Dubai that is well known for the abundance of “genuine fakes” (as the vendors refer to it) ranging from Swiss watches and smart phones to practically all conceivable brands of high-end fashion goods.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(86326, 4700, 'content', 'April 2013\r\n\r\n<hr />\r\n\r\nOnce registration requirements have been satisfied, the next concern for developers is taking the project to market.  On the back of an apparently recovering property market, many developers in Dubai are forging ahead with the marketing and sale of their new projects.  Other developers are looking to revive and re-launch existing or stalled projects.\r\n\r\nIn this article, we consider the legal requirements and documents required to take a project to market in Dubai and highlight some of the potential issues arising.  These requirements and issues will be discussed under the following headings:\r\n<ol>\r\n 	<li>Requirements and issues regarding Sale and Purchase Agreements (“SPAs”);</li>\r\n 	<li>Developer’s disclosure obligations;</li>\r\n 	<li>Jointly Owned Property considerations; and</li>\r\n 	<li>Additional matters for off plan sales.</li>\r\n</ol>\r\n<strong>1. Requirements and issues regarding SPAs\r\n</strong>\r\n\r\nThere has been a great deal of legislative change since the property boom of 2007-2008, and developers should think twice before recycling old sale and purchase documentation.\r\n\r\nIn general terms, SPAs need to be up-to-date and in line with the current legislation.  Relying on out of date documentation can create confusion or, in the worst case, result in the validity of the SPA being challenged.  Below we highlight some aspects of the SPA in relation to which there has been legislative developments and where issues may arise.\r\n\r\n<strong>1.1 Description of unit areas</strong>\r\n\r\nPrior to 2008 there were no particular provisions regarding how unit areas had to be shown or described in SPAs and developers employed a range of different standards and practices.  Since 2008, however, there have been a number of legislative developments in this regard, the latest of which is Executive Council Resolution No. 6 of 2010 (“ECR 6”).\r\n\r\nArticle 13 (1) of ECR 6 states that the “net area” of the unit is the effective area for the purposes of registration and that such area is calculated as determined by the Dubai Land Department (“Land Department”). Article 13 (2) further states any increase in net unit area shall not be taken into account and, unless agreed otherwise, the developer may not claim the value of any such extra areas.  Finally, Article 13 (3) provides “developers must compensate purchasers for any shortfall in the area of the real estate unit if such shortfall exceeds 5% of the net area of the unit.”\r\nThe overall effect of Article 13 is that developers must ensure net unit areas are calculated in accordance with requirements of the Land Department and that net unit areas are accurately stated in the SPAs.  Pursuant to Article 13 (2), it appears that developers are not permitted to sell areas outside of the net unit area, though this could arguably be possible if there is express agreement to acquire such areas and pay for the same.  Developers looking to include areas other than net unit areas in their SPAs should seek professional advice in this regard before proceeding.\r\n\r\n<strong>1.2 Termination\r\n</strong>\r\nECR 6 confirmed the processes established in Law 9 of 2009, allowing developers to terminate off plan SPAs in the event of purchaser payment default.  Furthermore, the measure of compensation available to developers in the event of such termination was linked to the stage of construction reached on the relevant project.\r\n\r\nArticle 20 of ECR 6 established grounds upon which purchasers could seek termination of SPAs due to the developer’s breach.  The specified grounds for termination in Article 20 are:\r\n\r\n(i) if the developer refuses, without a justifiable reason accepted by the Land Department, to deliver the SPA to the purchaser;\r\n\r\n(ii) if the developer has not linked the payments to be made with the construction milestones approved by the Real Estate Regulatory Authority (“RERA”);\r\n\r\n(iii) if the developer significantly changes the specifications agreed upon in the SPA;\r\n\r\n(iv) if the real estate unit is proved to be unusable due to major construction defects; or\r\n\r\n(v) for any other reason which entitles cancellation of the SPA in accordance with the general legal rules.\r\n\r\nAs a result, developers should ensure payment schedules included in SPAs for off plan sales are properly linked to construction milestone as approved by RERA.\r\n\r\nIt is unclear what would constitute a significant change in “specifications” and allow the Purchaser to terminate the SPA under Article 20 (iii), however it does highlight the need to be careful that matters disclosed in the SPA are as accurate as possible.  The developer’s disclosure obligations are further considered below.\r\n\r\n<strong>2. Developer’s disclosure obligations\r\n</strong>\r\nIn 2010, the implementing regulations of Law 27 of 2007 Concerning Ownership of Jointly Owned Properties in the Emirate of Dubai (“JOP Law”) were published and collectively known as the “Directions”.\r\n\r\nThe Direction for General Regulation Concerning Jointly Owned Properties (“General Direction”) established a new disclosure regime for developers selling jointly owned units in a project under construction or in a completed project for which titles are not yet available.\r\n\r\nArticle 4 of the General Regulation stipulates that before the SPA is signed, the developer must give to the purchaser a signed Disclosure Statement setting out certain information about the unit and project, including:\r\n<ul>\r\n 	<li>a description of the building or project of which the unit will be part;</li>\r\n 	<li>the intended uses within the project (e.g. residential, hotel apartments, retail, offices, mixed use);</li>\r\n 	<li>a description of the features pertaining to ecological sustainability;</li>\r\n 	<li>any special use that applies to the unit (e.g. furnished or hotel apartment);</li>\r\n 	<li>facilities on the proposed Common Areas that will be available for use by owners as of right;</li>\r\n 	<li>facilities within the project available for use on a user- pays basis;</li>\r\n 	<li>a draft unit plan prepared in accordance with the (Survey) Directions;</li>\r\n 	<li>a schedule of materials and finishes for both the proposed Common Areas and the unit;</li>\r\n 	<li>items of furniture and furnishings (if any) for the project Common Areas and/or the unit that the developer commits to make available without</li>\r\n</ul>\r\nadditional charge;\r\n<ul>\r\n 	<li>Arrangements for the supply of Utility Services to the unit and Common Areas;</li>\r\n 	<li>whether construction has commenced and, if not, specifying the estimated date for completion of construction;</li>\r\n 	<li>the estimated date on which the property will be handed over to the purchaser;</li>\r\n 	<li>a statement directing the purchaser’s attention to their obligation to register the contract in the interim or permanent real estate register, as applicable, in accordance with the related laws.</li>\r\n</ul>\r\nIn addition, a developer must disclose information and documents relating to the jointly owned property scheme of the project.  These include:\r\n<ul>\r\n 	<li>a copy of the proposed Jointly Owned Property Declaration;</li>\r\n 	<li>a copy of any proposed Building Management Statement;</li>\r\n 	<li>a copy of any Supply Agreement to be entered into by the proposed Owners Association;</li>\r\n 	<li>a budget prepared on a reasonable basis having regard to the Directions for both the general fund and reserve fund for the first two financial years of operation of the proposed Owners Association;</li>\r\n 	<li>an estimate, based on that budget, of the service charges payable in respect of the Proposed Unit to each of those funds during those two financial years.</li>\r\n</ul>\r\nThe consequence of not providing a Disclosure Statement is that the SPA, in relation to which the Disclosure Statement should have been given, may be deemed void and of no effect (Article 5, General Direction).\r\n\r\nArticle 5 further provides that the developer warrants the information in the Disclosure Statement for a period of two years, from the date the unit is transferred from the developer.  If within this warranty period any information in the Disclosure Statement is found to be inaccurate or incomplete in a material way, the developer is liable to the purchaser (and any subsequent purchasers) for damages.\r\n\r\nA common misconception is that Disclosure Statements are only required in relation to under construction projects.  Developers should be mindful, however, that Article 4 of the General Direction applies to sale of units in any completed jointly owned property project for which titles are not yet available - irrespective of when the project was completed.\r\n\r\nAnother challenging area is the nature and scope information that must be provided in a Disclosure Statement to comply with Article 4 of the General Direction.  For example, it may be difficult to provide comprehensive information in relation to the jointly owned property scheme because these matters have not been finalised.  In other cases, a draft Jointly Owned Property Declaration may have been prepared but could be subject to amendment after consultation with the interim Owners Association Board or as may be required by RERA.\r\n\r\nAs at the date of this article, we are not aware of any court cases or decisions dealing with the issues around accuracy and completeness of Disclosure Statements.  It should be noted however that the Disclosure Statement must be found incomplete or inaccurate “in a material way”, and accordingly this may exclude minor or inconsequential missing information and inaccuracies.  Moreover, pursuant to Article 5 of the General Direction, purchasers would likely have to show that the incompleteness or inaccuracy of the Disclosure Statement resulted in quantifiable losses, before purchasers can claim damages from the developer.  In any event, developers would appear to be running a greater risk by not providing a Disclosure Statement at all, which may result in the SPA being declared void.\r\n\r\nAs a general matter, SPAs should be consistent with the information provided in a Disclosure Statement.\r\n\r\n<strong>3. Jointly Owned Property considerations</strong>\r\n\r\nThough the JOP Law was enacted in 2007, there is still some lack of clarity around the implementation and regulatory aspects of the JOP Law and the Directions.  Ongoing developments in this regard may affect what is required of developers and impact the jointly owned property structure eventually adopted for a particular project.  It may also affect arrangements at the Master Community level.\r\n\r\nThese are important matters for developers, not only for SPA and disclosure purposes but also in terms of developers’ ongoing involvement and obligations in relation to their projects.\r\n\r\nThe Al Tamimi Property team will in the near future be completing a comprehensive article detailing developments, current issues and other matters regarding the implementation of the JOP Law and the Directions.\r\n\r\n<strong>4. Additional matters for off plan sales\r\n</strong>\r\nThe regulatory requirements for developers wishing to sell off plan have already been covered in detail in the February 2013 edition of Law Update; however it is worthwhile noting developers’ obligations in relation to escrow funds and registration.\r\n\r\nPursuant to Law 8 of 2007, developers must ensure all proceeds of sale of units sold off plan are deposited into an escrow account opened by application to RERA.  Funds deposited in the escrow account must be used solely for the purposes of construction of the project.\r\n\r\nOnce off plan sales commence, developers must also ensure they comply with the registration requirements pursuant to Law 13 of 2008 Regulating the Interim Real Estate Register in the Emirate of Dubai as amended (“Pre-registration Law”).  Article 3 of the Pre-registration Law provides that no sale of any off plan property will be valid, unless recorded in the Interim Real Estate Register (known as the “Oqood” system).  Registration in Oqood must be completed in accordance with the Land Department’s rules and procedures.  Currently Oqood registration can be completed online via the Land Department’s website.\r\n\r\n<strong>5. Conclusion</strong>\r\n\r\nLegislative developments over recent years have significantly changed the requirements for developers taking their projects to market in Dubai.  In particular, requirements have changed in relation to disclosure obligations, jointly owned property and off plan sales, with the emphasis moving towards greater transparency and consumer protection.\r\n\r\nDevelopers should take care to ensure that all sales documentation is up to date and compliant with the most recent legal requirements before going to market.'),
(187094, 4700, 'core_values', ''),
(187095, 4700, '_core_values', 'field_59b64ab071de4'),
(187096, 4700, 'file', ''),
(187097, 4700, '_file', 'field_59b64c10f6600'),
(187098, 4700, 'orderValue4', '4'),
(187099, 4700, '_orderValue4', 'field_59d2096a8ff34'),
(187100, 4700, 'related_pages_header', ''),
(187101, 4700, '_related_pages_header', 'field_59b6441e3cc94'),
(187102, 4700, 'related_pages', ''),
(187103, 4700, '_related_pages', 'field_59b6434af4880'),
(187104, 4700, 'relatedArticles', ''),
(187105, 4700, '_relatedArticles', 'field_59d349d04107c'),
(86327, 4700, '_content', 'field_59b649b5c8b2b'),
(86328, 4700, 'lawUpdateArticleMonth', '4682'),
(86329, 4700, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86330, 4700, 'content_description', 'Recent articles by the Al Tamimi Property team explored the regulatory requirements for registering as a developer in the United Arab Emirates and the Middle East region.'),
(86331, 4700, '_content_description', 'field_59b641c07f473'),
(86332, 4700, 'pageSummary', 'Recent articles by the Al Tamimi Property team explored the regulatory requirements for registering as a developer in the United Arab Emirates and the Middle East region.'),
(86333, 4700, '_pageSummary', 'field_59e59b307dec8'),
(86334, 4700, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/april-5/taking-your-project-to-market.html'),
(86335, 4700, '_currentURL', 'field_59d35123ab1e7'),
(86336, 4700, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Katrine Kofoed'),
(86337, 4700, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86338, 4700, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'k.kofoed@tamimi.com'),
(86339, 4700, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86340, 4700, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86341, 4700, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86342, 4700, 'lawUpdateArticleNoWriters', '1'),
(86343, 4700, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86344, 4700, '_yoast_wpseo_metadesc', 'Recent articles by the Al Tamimi Property team explored the regulatory requirements for registering as a developer in the United Arab Emirates and the Middle East region.'),
(86345, 4702, '_wp_attached_file', 'uploads2/media-4701.jpg'),
(86346, 4702, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:23:\"uploads2/media-4701.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(86347, 4701, 'lawUpdateImageURL', '5907'),
(86348, 4701, '_lawUpdateImageURL', 'field_59c8deca117cd'),
(86349, 4701, 'lawUpdateDesc', ''),
(86350, 4701, '_lawUpdateDesc', 'field_59da24cd91f17'),
(86351, 4701, 'lawUpdateYear', '2013'),
(86352, 4701, '_lawUpdateYear', 'field_59da245091f13'),
(86353, 4701, 'pageSummary', ''),
(86354, 4701, '_pageSummary', 'field_59e59b307dec8'),
(86355, 4701, 'lawUpdateStartMonth', 'May'),
(86356, 4701, '_lawUpdateStartMonth', 'field_59da247791f14'),
(86357, 4701, 'currentURL', 'http://www.tamimi.com/en/section/law-update/section-5/may-5'),
(86358, 4701, '_currentURL', 'field_59d35123ab1e7'),
(86359, 4703, 'content', '<p>The extent of this liability has been examined in a recent Abu Dhabi Supreme Court judgment as detailed here below.&nbsp;</p>\r\n<p><strong>Facts of the case</strong></p>\r\n<p>An insurance company (the Claimant) filed for legal action before Sharjah Court of First Instance against another insurance Company (the First Respondent) and an Oil Company (the Second Respondent) seeking a court order for damages. The Claimant brought proceedings on the basis that a fire broke out at the storehouses owned by the Oil Company and caused damages to&nbsp; nearby warehouses. The Claimant, as the insurer for the affected neighboring warehouses, indemnified its owners. The Claimant consequently pursued a subrogated claim against the First and the Second Respondents seeking a court order against the Respondents with an amount exceeding AED 40 millions and interest.&nbsp;</p>\r\n<p>The Claimant relied in its action on provisions of Article 316 of the UAE Civil Code&nbsp; (&ldquo;the Law&rdquo;) which provides &ldquo;Any person who has things under his control which require special care in order to prevent their causing harm, or mechanical equipment, shall be liable for any harm done by such things or equipment, save to the extent that harm could not have been averted, without prejudice to any special provisions in this regard&rdquo;&nbsp;</p>\r\n<p><strong>Procedural History</strong></p>\r\n<p>The Court of First Instance issued a decision dismissing the case. The Claimant appealed before the Court of Appeal which was affirmed the lower court&rsquo;s decision. The case was then appealed to the Abu Dhabi Supreme Court.&nbsp;</p>\r\n<p><strong>The Supreme Court</strong></p>\r\n<p>The Supreme Court held that the effect of Article 316,as supported bythe explanatory memo of the Law, is that the custodian of the thing that requires special care (whether such person is the owner or not), is liable for harm caused from said thing. The custodian&rsquo;s liability here is not on the basis of the presumed fault but on the basis of the rule that the burden accompanies the benefit.&nbsp; However, the custodian of the thing can avoid liability by negating one of the elements of the cause of action by proving:</p>\r\n<ul>\r\n<li>that the thing which caused the harm did not require special care to prevent its causing harm;&nbsp;</li>\r\n<li>proving that the custodian did not have actual control over the thing at the time the harm occurred;&nbsp;</li>\r\n<li>that the custodian had taken all the precautions necessary to prevent the thing causing harm;&nbsp;</li>\r\n<li>that the harm could not have been prevented because a person is bound to do only that which is within his capability; or</li>\r\n<li>under the general rules, that the harm did not result from the thing but was due to an external factor over which the custodian had no control.&nbsp;</li>\r\n</ul>\r\n<p>On the other hand, Article 282 of the Civil Code provides that &ldquo;Any harm done to another shall render the doer thereof, even though not a person of discretion, liable to make good the harm&rdquo;. This means according to the explanatory memo of the Civil Code that Article 282 establishes the elements of a tort claim as fault, harm, and a causal link between them. The term harm is used instead of various other terms that describe fault such as &ldquo;unlawful act&rdquo;, &ldquo;act contrary to the law&rdquo; or &ldquo;act prohibited by law&rdquo;.&nbsp;</p>\r\n<p>Also, Article 283 of the same code provides that &ldquo;(1) harm may be direct or by causation (2) If the harm is direct, it must unconditionally be made good, and if it is consequential there must be a wrongdoing or a deliberate act or the act must have led to the harm.&rdquo; This indicates, according to the explanatory memo of the Civil Code, that damage is direct if the act causing the loss is done directly on the thing itself, and such a person is called the direct actor; as where for example when one breaks a pot.Whereas causation is established if the actor does an act on something else which leads to the damaging of the thing; as for example where one cuts a rope from which a lantern is hanging and the lantern falls and breaks. The actor directly caused of damage to the rope, and&nbsp; indirectly caused the damage of the lantern, or as in the case where a fire broke out at a certain location and spread elsewhere causing fire damage at the other location. A direct actor is liable even if he has not acted deliberately or wrongfully, whereas an indirect actor is liable only if he has acted deliberately or wrongfully. The issue of liability in tort or for things lies in the sound discretion of the trial court as finder of fact and weigher of evidence.&rdquo;</p>\r\n<p>In light of the above law provisions, the Abu Dhabi Supreme Court rendered its judgment upholding the Sharjah Appeal Court and held that the lower court&rsquo;s decision was in accordance with the provisions of the law:&nbsp;</p>\r\n<p>&ldquo;The lower court dismissed the Claimant&rsquo;s insurer&rsquo;s subrogation claim on behalf of the insured seeking a recovery against the oil company for damages caused to the insured by the fire that had spread to their premises from the oil company&rsquo;s premises. The lower court reasoned its dismissal on the basis that the case documents and the reports of technical experts, including those from forensic laboratories in Sharjah, Abu Dhabi and Dubai, did not conclusively pinpoint the cause of the damage that destroyed the oil company and its contents and the source of the flames to confirm that the fire and the damage sustained by the insured were caused by things under the oil company&rsquo;s control in terms of the building and its contents (oil, storage facilities, vehicles) and, in turn, its liability as one liable for things. The lower court held that the oil company should not be made to bear the burden of negating its ability to avert the damage by proving that the damage was due to external factors or an act of the aggrieved party, as this would require knowledge of the cause of the fire and proof that the fire was caused by things under its control. If, however, the cause is unknown, and not conclusively shown to be due to those things, then there can be no obligation to do what is not possible since liability for damage caused by things cannot be made to rest on presumed fault. The lower court accordingly found the oil company not liable for damages as one liable for things under Article 316 of the Law and not liable in tort under Article 282 of said Law because there was no proof of its fault. The oil company was also found no to be liable under Article 283 of said Law as a direct actor in the sense of having done the act causing the fire directly.&rdquo;</p>\r\n<p><strong>Practice Note</strong></p>\r\n<p>There are several key and important points noted from the Abu Dhabi Supreme Court judgment above:</p>\r\n<p>In order to prove damages and its source, it is pertinent to identify its cause. No liability can be imposed on the defendant in the absence of one of the key elements of a cause of action, in this case, the cause.&nbsp;</p>\r\n<p>Justice necessitates that the defendant&rsquo;s liability be determined to arise in contract or in tort while allowing the defendant the opportunity to dispute said liability. A defendant will not be liable for damages if the claimant has not established a statutory basis for liability. Hence, the Court&rsquo;s finding that the defendant cannot disprove liability if the claimant has not identified a statutory basis for liability in the first place.&nbsp;</p>\r\n<p>The above ruling is an invitation to owners of companies, factories and warehouses to ensure safety of their establishments by exercising the necessary level of care towards the maintenance of their establishments. Equipping their establishments with sufficient risk detection devices that are provided by specialized companies which can provide a record of evidence, in cases where damage occurs, is an essential tool that business owners can use to dispute liability for damages caused by things under their custody.&nbsp;</p>'),
(86360, 4703, '_content', 'field_59b649b5c8b2b'),
(86361, 4703, 'lawUpdateArticleMonth', '4701'),
(86362, 4703, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86363, 4703, 'content_description', 'The responsibility for objects which need special care or sophisticated mechanical equipment lies with the person who is in control of said objects. This responsibility could, if the needed care is not exercised, make the person whose controlling said objects be liable for direct damages caused by the objects and perhaps even indirect damages.'),
(86364, 4703, '_content_description', 'field_59b641c07f473'),
(86365, 4703, 'pageSummary', 'The responsibility for objects which need special care or sophisticated mechanical equipment lies with the person who is in control of said objects. This responsibility could, if the needed care is not exercised, make the person whose controlling said objects be liable for direct damages caused by the objects and perhaps even indirect damages.'),
(86366, 4703, '_pageSummary', 'field_59e59b307dec8'),
(86367, 4703, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/may-5/uae-the-standard-of-care-for-special-care-objects-and-equipment-and-the-extent-of-liability-of-its-c.html'),
(86368, 4703, '_currentURL', 'field_59d35123ab1e7'),
(86369, 4703, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Zafer Oghli'),
(86370, 4703, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(86371, 4703, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'z.oghli@tamimi.com'),
(86372, 4703, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(86373, 4703, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(86374, 4703, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(86375, 4703, 'lawUpdateArticleNoWriters', '1'),
(86376, 4703, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86377, 4703, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(86378, 4703, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(86379, 4703, 'lawUpdateArticlePractices', '1'),
(86380, 4703, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(86381, 4703, '_yoast_wpseo_metadesc', 'The responsibility for objects which need special care or sophisticated mechanical equipment lies with the person who is in control of said objects. This responsibility could, if the needed care is not exercised, make the person whose controlling said objects be liable for direct damages caused by the objects and perhaps even indirect damages.'),
(86382, 4704, 'content', 'May 2013\r\n\r\n<hr />\r\n\r\nExamples of significant developments include Abu Dhabi’s introduction of compulsory health insurance for all residents, and the development of Dubai Healthcare City, which will serve as home to world class health facilities, and research and education facilities. This article sets out the background to the regulation of medical advertising in the UAE.\r\n\r\nArticle 83 of Federal Law No. 15 of 1980 Regarding Printed Matters and Publications prohibits the publication of advertisements about medicines or pharmaceutical products except with special permission from the Ministry of Health. Cabinet Resolution No. 7 of 2007 Regarding Health Advertisements Regulation (the “Cabinet Resolution”) provides more specific detail. A related Ministerial Resolution sets out further detailed controls and mechanisms relating to the implementation of the regulations set out in the Cabinet Resolution.\r\n\r\nThe licensing conditions set out in the Cabinet Resolution may be broadly categorized as prohibitions on advertisements in poor taste, prohibitions on misleading statements of a medical nature, prohibitions on misleading statements of a comparative nature, and prohibitions on misleading statements of a general nature, as well as prohibitions on sales incentives directed to certain persons.\r\n\r\nThe prohibitions of advertisements that breach good taste are basically couched in terms of prejudice to public morals, and violation of the customs and traditions of UAE society or Islamic values. In a related vein, there is also a prohibition on healthcare advertising that targets minors.\r\n\r\nWith regard to misleading statements of a medical nature, the licensing conditions prohibit advertisements likely to result in self-diagnosis or the improper treatment of potentially serious diseases. Advertisements must not be likely to mislead consumers to believe that they have a serious medical condition, or (with limited exceptions) that grave consequences may result if they do not use the advertised products. Advertisements which basically guarantee the effectiveness of a medication, or which indicate that the use of a product is safe or has no side-effects, are also prohibited.\r\n\r\nStatements of a comparative nature, which have a tendency to mislead consumers, are prohibited. This prohibition relates to advertisements which mislead directly, or indirectly, including by incomplete comparisons and contrasts with other products. Language which includes false facts are specifically prohibited, as are advertisements which are ambiguous to the extent that more than one construction or interpretation could be drawn with regard to the factual content of the advertisement.\r\n\r\nGeneral puffery in the context of health advertisements is prohibited. Terms such as “unique”, “incomparable”, “beware of imitation”, etc., are to be avoided. Similarly, language such as “limited quantity”, “don’t miss it” are also to be avoided. Advertisements are to contain correct and sound statements only, and must not make untrue claims about the effectiveness of the product.\r\n\r\nSales incentives to certain healthcare workers are not permitted in any healthcare advertisement. The type of worker is specifically identified as pharmacy assistant and other retail sales persons with no specialty in healthcare. The prohibition relates to advertisements that state, or imply, a personal incentive to recommend or sell a particular pharmaceutical product. This provision is not clearly aimed at preventing incentives to medical professionals, such as pharmacists and doctors, although provisions of law such as the Federal Law No. 6 of 1983 on the Pharmaceutical Profession and Institutions prohibit pharmacists from entering into secret deals with third parties that encourage certain types of sale.\r\n\r\nThere is a specific approval regime for advertisements relating to healthcare, and anyone planning to market healthcare products, including pharmaceuticals, in the  UAE would be well-advised to familiarize themselves with the process, and penalties, before committing to any marketing activity.\r\n\r\nAl Tamimi &amp; Company’s Technology, Media &amp; Telecommunications team regularly advises clients in respect of advertising in the UAE, for more information, please contact Nick O’Connell n.oconnell@tamimi.com.'),
(186566, 4704, 'core_values', ''),
(186567, 4704, '_core_values', 'field_59b64ab071de4'),
(86383, 4704, '_content', 'field_59b649b5c8b2b'),
(86384, 4704, 'lawUpdateArticleMonth', '4701'),
(86385, 4704, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(86386, 4704, 'content_description', 'Many changes are afoot in respect of healthcare and pharmaceuticals in the UAE. There is a real push to improve standards relating to health and medicine across the board. '),
(86387, 4704, '_content_description', 'field_59b641c07f473'),
(86388, 4704, 'pageSummary', 'Many changes are afoot in respect of healthcare and pharmaceuticals in the UAE. There is a real push to improve standards relating to health and medicine across the board.'),
(86389, 4704, '_pageSummary', 'field_59e59b307dec8'),
(86390, 4704, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/may-5/healthcare-advertising-in-the-uae.html'),
(86391, 4704, '_currentURL', 'field_59d35123ab1e7'),
(86392, 4704, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '918'),
(86393, 4704, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(86394, 4704, 'lawUpdateArticleWriters', '2'),
(86395, 4704, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(186559, 4704, '_timeline_header', 'field_59b63de5b74bf'),
(186558, 4704, 'timeline_header', ''),
(186556, 4704, 'orderValue2', '2'),
(186557, 4704, '_orderValue2', 'field_59d0c6f6175b8'),
(186555, 4704, '_stats_list', 'field_59b6372466bcc'),
(186554, 4704, 'stats_list', ''),
(186552, 4704, 'orderValue1', '1'),
(186553, 4704, '_orderValue1', 'field_59d0c6e5175b5'),
(86402, 4704, 'lawUpdateArticleNoWriters', ''),
(86403, 4704, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(86404, 4704, '_yoast_wpseo_metadesc', 'Many changes are afoot in respect of healthcare and pharmaceuticals in the UAE. There is a real push to improve standards relating to health and medicine across the board.'),
(86405, 4705, 'content', 'May 2013\r\n\r\n<hr />\r\n\r\nThe Cyber Crimes Law 2012 provides for a range of new offences, including offences intended to address the UAE’s obligations pursuant to international treaties. Additionally, the Cyber Crimes Law sets out significantly higher penalties than those found in the 2006 law.\r\n\r\n<strong>General themes</strong>\r\n\r\nThe general themes of the provisions of the Cyber Crimes Law can be broadly categorised as follows:\r\n<ul>\r\n 	<li>IT security</li>\r\n 	<li>State security and political stability</li>\r\n 	<li>Morality and proper conduct</li>\r\n 	<li>Financial and commercial issues</li>\r\n 	<li>“Miscellaneous”</li>\r\n</ul>\r\n<strong>IT security</strong>\r\n\r\nThe provisions that relate to IT security address issues like hacking IT networks to steal data, change websites, interrupt service, distribute viruses, and the like. More specifically, the provisions in this category can be summarised as follows.\r\n<ul>\r\n 	<li>Accessing an IT System (“IT System”) without authorisation. (Greater penalties are provided where the subject data was personal data, or when the perpetrator commits the offence in the course of his or her employment.)</li>\r\n 	<li>Unauthorised access to an IT System to obtain government or commercial information. (This provision specifically references government information, but also refers to information relating to financial, trade or economic establishments licensed in the UAE.)</li>\r\n 	<li>Accessing a website without permission to damage, delete or change its content.</li>\r\n 	<li>Disabling access to an IT System.</li>\r\n 	<li>Circumventing an IP address for the purpose of committing or concealing a crime. (The scope of application of this provision is – potentially – very broad. On the one hand, it could refer to masking the IP address from which a major hacking attack is launched; on the other hand, it could potentially extend to the likes of use of an off-shore VPN in order to access pirated/unlicensed content from abroad. This latter example may be of much less interest to the authorities on a day-to-day basis, although it would still appear to be captured by the prohibition.)</li>\r\n 	<li>Introducing virus programmes to an IT System; and spam emails. (This provision provides significant penalties for the introduction of computer viruses, being either or both of five or more years imprisonment and AED500,000 to AED3,000,000 fine, with imprisonment and a fine of up to AED500,000 being available for unsuccessful attempts.)</li>\r\n 	<li>Obtaining, without authorisation, passwords to an IT System.  (This provision does not specify that the act of obtaining such password/code need occur via an IT System, and the language appears broad enough to cover obtaining by way of IT System, or otherwise. Additionally, this provision includes a broad prohibition on making available (whether by making directly or procuring; and including by way of importation, sale, etc.) any means or information designed to commit/facilitate/incite others to commit crimes specified under the law.)</li>\r\n 	<li>Unauthorised interception of communications via an IT System. (This provision seems to mirror the prohibition on intercepting communications (ie. eavesdropping on phone calls and intercepting mail) found in the Penal Code and (in the case of phone calls) the Telecommunications Law. Additionally, the act of disclosing information so gathered is also captured by this provision.)</li>\r\n 	<li>Unauthorised disclosure of confidential information via an IT System. (This provision appears to be designed to capture ‘Wikileaks’ type situations, namely, situations where workers who obtain confidential information in the course of their employment release such confidential information without authority.)</li>\r\n</ul>\r\nBasically, these provisions are all targeted at the integrity of the IT System, and data held or transmitted over such IT System.\r\n\r\n<strong>State security and political stability</strong>\r\n\r\nA number of provisions are specifically pointed at state security and dignity, and political stability. The provisions in this category can be summarised as follows.\r\n<ul>\r\n 	<li>Unauthorised access to an IT System to obtain government or commercial information.</li>\r\n 	<li>Operating a site, or posting information online, that stirs sedition, hatred, racism or sectarianism, or hurts national unity or social peace or prejudices public order or public morals.</li>\r\n 	<li>Operating a site, or posting information, for a terrorist group or illegal organisation.</li>\r\n 	<li>Operating a site, or posting information online, that exposes the State’s security and interests to danger and prejudice public order.</li>\r\n 	<li>Publishing information/news/rumours online for the purpose of harming the status of the State.</li>\r\n 	<li>Operating a site, or posting information online, for overthrowing the government of the State, or undermining the Constitution.</li>\r\n 	<li>Publishing information online to incite non-compliance with laws.</li>\r\n 	<li>Using an IT System to provide others with information that harms the interests of the state or offending its dignity.</li>\r\n</ul>\r\nThese provisions set-out a range of prohibitions designed to manage security threats, such as terrorism and organised crime, as well as to protect the system of government.\r\n\r\n<strong>Morality and proper conduct</strong>\r\n\r\nA number of provisions are pointed at proper conduct. These include sanctions on using the internet for conduct that is disrespectful to Islam, as well as prohibitions on the use of the internet for activities that are otherwise inconsistent with public morals and good conduct. In summary, these include using an IT System to:\r\n<ul>\r\n 	<li>offend religious sanctities or encourage sins,</li>\r\n 	<li>provide pornography, gambling activities, and other materials prejudicial to public morals,</li>\r\n 	<li>promote prostitution/debauchery,</li>\r\n 	<li>slander another person, and</li>\r\n 	<li>breach the privacy of another (eg. by intercepting communications, taking photographs, publishing information, etc.).</li>\r\n</ul>\r\n<strong>Financial and commercial issues</strong>\r\n\r\nThere are a number of provisions that can broadly be understood as relating to ecommerce and online financial activity. These include:\r\n<ul>\r\n 	<li>Forging electronic documents or knowingly using forged electronic documents,</li>\r\n 	<li>Using an IT System to obtain goods fraudulently  and without legal right,</li>\r\n 	<li>Using an IT System to unlawfully access bank account details, and</li>\r\n 	<li>Producing credit / debit cards without legal right or knowingly using and/or dealing with such illegal cards.</li>\r\n</ul>\r\n<strong>Miscellaneous</strong>\r\n\r\nThere are a number of other provisions of interest that do not neatly fall into the categories outlined above.\r\n\r\nArticles 23, 25, 33 and 36 appear to be aimed directly at addressing international obligations as specified in related treaties. These provisions relate to human trafficking and trafficking in human organs, trading in weapons, ammunition and explosives, trading in antiquities and trading or promoting narcotics.\r\n\r\nOf the other ‘miscellaneous’ offences, there are prohibitions on:\r\n<ul>\r\n 	<li>Using an IT System to blackmail someone into committing an offence or doing something that would prejudice honour,</li>\r\n 	<li>Operating a site, or posting information online, for the purpose of gathering donations without a licence, and</li>\r\n 	<li>Using an IT System to unlawfully benefit from, or facilitate the use by others of, communications services.</li>\r\n</ul>\r\n<strong>Mechanical provisions of note</strong>\r\n\r\nThere are a number of important ‘mechanical’ provisions, including provisions that provide for the extra-territorial application of the Cyber Crimes Law, and the liability of site owners for failure to remove offending content.\r\n\r\n<strong>Penalties</strong>\r\n\r\nBesides providing for significant financial penalties and custodial sentences, and the deportation of foreigners convicted of any offence under the law, the Cyber Crimes Law empowers the authorities to seize and destroy equipment used in the commission of the offence.\r\n\r\nAl Tamimi &amp; Company’s Technology, Media &amp; Telecommunications team regularly advises clients on how to work within the law on the types of matters covered by the Cyber Crimes Law.  We work closely with colleagues in other departments to assist clients with issues arising from apparent breaches of prohibitions found in the Cyber Crimes Law.  For further information on Cyber Crimes Law matters, please contact Nick O’Connell (n.oconnell@tamimi.com).'),
(186603, 4705, 'core_values', ''),
(186604, 4705, '_core_values', 'field_59b64ab071de4'),
(186605, 4705, 'file', ''),
(186606, 4705, '_file', 'field_59b64c10f6600'),
(55925, 3337, '_wp_attached_file', 'uploads/media-3336.jpg'),
(55926, 3337, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:22:\"uploads/media-3336.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(85314, 4649, '_content', 'field_59b649b5c8b2b'),
(85315, 4649, 'lawUpdateArticleMonth', '4640'),
(85316, 4649, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85317, 4649, 'content_description', 'As recently demonstrated, local and international companies in the Middle East must be compliant with several jurisdictions at the same time and keep abreast of legislative changes from the United Nations (UN), European Union (EU) and United States of America (US) that affect Iran and other sanctioned countries. The ultimate defense in protecting yourself from the possibility of infringing any of the existing sanctions remains preventive action.'),
(85318, 4649, '_content_description', 'field_59b641c07f473'),
(85319, 4649, 'pageSummary', 'As recently demonstrated, local and international companies in the Middle East must be compliant with several jurisdictions at the same time and keep abreast of legislative changes from the United Nations (UN), European Union (EU) and United States of America (US) that affect Iran and other sanctioned countries. The ultimate defense in protecting yourself from the possibility of infringing any of the existing sanctions remains preventive action.'),
(85320, 4649, '_pageSummary', 'field_59e59b307dec8'),
(85321, 4649, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/economic-sanctions-against-iran.html'),
(85322, 4649, '_currentURL', 'field_59d35123ab1e7'),
(85323, 4649, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '946'),
(85324, 4649, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85325, 4649, 'lawUpdateArticleWriters', '1'),
(85326, 4649, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85327, 4649, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '631'),
(85328, 4649, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85329, 4649, 'lawUpdateArticlePractices', '1'),
(85330, 4649, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85331, 4649, '_yoast_wpseo_metadesc', 'As recently demonstrated, local and international companies in the Middle East must be compliant with several jurisdictions at the same time and keep abreast of legislative changes from the United Nations (UN), European Union (EU) and United States of America (US) that affect Iran and other sanctioned countries. The ultimate defense in protecting yourself from the possibility of infringing any of the existing sanctions remains preventive action.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(85332, 4650, 'content', '<p>In communicating with consumers in advertising there may accordingly be some advantage in providing comparative - scientifically supported - infoxrmation on the benefits or performance of one product as compared to the products of others.&nbsp; The key question however, is whether this practice is lawful in the UAE and for the purpose of this article in particular, whether the practice is lawful in respect of medical products?</p>\r\n<p>There are a range of laws in the UAE that deal with advertising and in order to consider the extent to which comparative advertising may be lawful in the UAE, a number of different laws and regulations need to be considered.</p>\r\n<p>In general terms the Commercial Transactions Law regulates unfair competition which has direct implications for what would constitute appropriate content for advertisements.&nbsp; The Commercial Transactions Law provides for example that a trader may not resort to fraud and cheating when marketing his goods, nor may he spread or publish false particulars that are prejudicial to the interests of a competitor.&nbsp; With respect to advertising specifically, this law provides that a trader may not publish matter that is inconsistent with reality regarding the goods, including their origin, description or importance. A trader may also not resort to any other misleading means, with the intent thereby to usurp the customers of a competitor.&nbsp;</p>\r\n<p>An advertisement containing false information either about the advertised product or about a product possibly being compared therewith will amount to a form of unfair competition and in terms of the Commercial Transactions Law, such advertisements will expose the advertiser to claims for damages.</p>\r\n<p>Other laws that address advertising include the Suppression of Fraud Executive Regulations providing that commercial statements contained in advertisements must be accurate in all respects.&nbsp; These regulations further provide specifically that a trader may not publish false information concerning the importance of goods, or make false representations as to rank, medal or reward. The Consumer Protection Law further provides that a supplier may not display, offer, promote or advertise any misleading goods that would harm the interests or health of consumers, which may include information about goods that may be misleading. &nbsp;</p>\r\n<p>Based on the above it can be concluded that comparative advertising as such is not prohibited by law, provided that the content of a proposed advertisement complies with the various requirements set by laws such as the Commercial Transactions Law, the Suppression of Fraud Executive Regulations and the Consumer Protection Law.</p>\r\n<p>With respect to health advertisements, the Health Advertisements Regulations deal with the advertising of medical products. In these regulations the term &ldquo;medical products&rdquo; is widely defined including a wide range of matter that is related to the human health such as:</p>\r\n<ul>\r\n<li>pharmaceuticals (as well as herbal medicine, health food, nutritional supplements and beauty centres);</li>\r\n<li>medical apparatus;</li>\r\n<li>medical institutions;</li>\r\n<li>persons practicing a medical profession; and</li>\r\n<li>methods of medical treatment.</li>\r\n</ul>\r\n<p>Both the Law Concerning Publications and Publishing and the Health Advertisements Regulations provide that the Ministry of Health is the only authority that may license advertisements of pharmaceutical and medical products.&nbsp; It is to be noted that the Health Advertisements Regulations define &ldquo;advertisement&rdquo; widely including &ndash;</p>\r\n<p><em>&ldquo;any information about a medical product in written, photographic and broadcasting form&hellip;&rdquo;</em></p>\r\n<p>The Health Advertisements Regulations provide an extensive list of conditions that advertising of medical products needs to comply with in order to be licensed by the Ministry of Health.&nbsp; These conditions include that the relevant advertising shall not:</p>\r\n<ul>\r\n<li>contravene the applicable laws and regulations in the UAE in general and particularly the laws relating to publications and publishing;</li>\r\n<li>be prejudicial to third parties&rsquo; products and institutions;</li>\r\n<li>contain false statements that deceive the public, and shall not be subject to interpretations;</li>\r\n<li>mislead directly, or by means of indication, confirmation, comparison, contradictions, or omissions; and</li>\r\n<li>warn against or cause harm to an alternative to the medical product advertised.</li>\r\n</ul>\r\n<p>Comparative advertising is not prohibited by the Health Advertisements Regulations, but must be well-balanced and not misleading whether with regard to the pharmaceutical products advertised, the relevant medical products or categories of medical products with which they are compared. The Health Advertisements Regulations specifically requires that any points of comparison in comparative advertising must be real and must be scientifically substantiated.&nbsp; Dealing with scientific information specifically, the regulations provide that such information must be presented in an accurate, well-balanced and non-fallacious fashion and the scientific terms used must be appropriate, informative and easily understandable by the targeted consumers.&nbsp;</p>\r\n<p>Importantly, if any comparison is made, the comparisons may not prove that another medical product or category of medical products is harmful or ineffective.</p>\r\n<p>In summary, the position in the UAE is that comparative advertising is lawful provided that such advertising does not amount to unfair competition, contravene provisions of relevant legislation related to the protection of consumers or the prevention of fraud or, in the case of pharmaceuticals and medical products, the regulations related to advertisements of medical products.&nbsp; In all instances of advertising related to the medical products, the approval of the Ministry of Health will be required and it will be at the discretion of the Ministry which advertising content it will approve.</p>'),
(85333, 4650, '_content', 'field_59b649b5c8b2b'),
(85334, 4650, 'lawUpdateArticleMonth', '4640'),
(85335, 4650, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85336, 4650, 'content_description', 'In an ever increasingly competitive world, the differentiation of products from those of competitors is not only important, but essential. '),
(85337, 4650, '_content_description', 'field_59b641c07f473'),
(85338, 4650, 'pageSummary', 'In an ever increasingly competitive world, the differentiation of products from those of competitors is not only important, but essential. '),
(85339, 4650, '_pageSummary', 'field_59e59b307dec8'),
(85340, 4650, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/comparative-advertising-and-medical-products.html'),
(85341, 4650, '_currentURL', 'field_59d35123ab1e7'),
(85342, 4650, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Waldo Steyn'),
(85343, 4650, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85344, 4650, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'w.steyn@tamimi.com'),
(85345, 4650, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85346, 4650, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85347, 4650, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85348, 4650, 'lawUpdateArticleNoWriters', '1'),
(85349, 4650, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85350, 4650, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(85351, 4650, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85352, 4650, 'lawUpdateArticlePractices', '1'),
(85353, 4650, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85354, 4650, '_yoast_wpseo_metadesc', 'In an ever increasingly competitive world, the differentiation of products from those of competitors is not only important, but essential.'),
(85355, 4651, 'content', '<p>International Convention on the Carriage of Goods by Sea (&ldquo;Hamburg Rules&rdquo;), UN Convention Rotterdam Rules (&ldquo;RR&rdquo;), Budapest Convention on the Contract for the Carriage of Goods by Inland Waterway (&ldquo;CMNI&rdquo;), Convention for the Unification of Certain Rules Relating to International Carriage by Air (&ldquo;Warsaw&rdquo;) and Convention for the Unification of Certain Rules for International Carriage by Air (&ldquo;Montreal&rdquo;).</p>\r\n<p>These conventions apply contractually or if the country is a signatory to them.&nbsp; If so, they apply to every contract for international carriage of goods either by road, sea or air. For instance, CMR applies to contracts for the international carriage of goods by road in vehicles for reward, when the place of taking over of the goods and the place designated for delivery, as specified in the contract, are situated in two different countries, of which at least one is a contracting country. However, HVR applies only to contracts of carriage covered by a bill of lading or any similar document of title, in so far as such document relates to the carriage of goods by sea, including any bill of lading or any similar document as aforesaid issued under or pursuant to a charter party from the moment at which such bill of lading or similar document of title regulates the relations between a carrier and a holder of the same.&nbsp;</p>\r\n<p>Moreover, RR will apply to contracts of carriage in which the place of receipt and the place of delivery are in different States, and the port of loading of a sea carriage and the port of discharge of the same sea carriage are in different States. At least one of the above mentioned ports or places shall be located in a Contracting State. Also RR (which are not yet in force) would apply to the carriage of goods by sea which involves other modes, meaning that other modes of transportation, such as carriage by air and road, can be subject to the Rotterdam Rules. However, the RR are not applicable in the event of a multimodal contract limited to air and road carriage, with no sea leg.&nbsp;</p>\r\n<p>Since there are many conventions that deal with the carrier&rsquo;s responsibility in international carriage of goods, this article will examine only the carrier&rsquo;s responsibly under &nbsp; CMR, HVR and RR Conventions.&nbsp; &nbsp;</p>\r\n<p>The main obligations of the carrier under international carriage of goods conventions are:&nbsp;</p>\r\n<ol>\r\n<li>Taking over the goods;&nbsp;</li>\r\n<li>Preserving the goods during the voyage;&nbsp;</li>\r\n<li>Carrying the goods to their destination by a suitable means of transport &amp; deliver the goods to the holder of the bill of lading.&nbsp;</li>\r\n</ol>\r\n<p>Thus, the carrier shall properly and carefully receive, load, handle, stow, carry, keep, care for, unload and deliver goods.&nbsp; The carrier must also carry the goods to the place of delivery within the specified time and deliver them to the consignee in the condition in which they were handed over to him by the shipper or his agent. &nbsp;</p>\r\n<p>In general, the carrier is not an expert in nature and peculiarities of cargo. Therefore, the shipper has the duty to inform, to give proper instructions and to package the goods properly, otherwise the carrier will not be responsible. However, if the carrier specializes in transport of specific cargoes, then the carrier must generally have knowledge and skill required for that particular trade.</p>\r\n<p>Most international transport laws and conventions allow parties to a carriage of goods to decide for themselves whether the carrier or shipper/con-signee shall perform the loading, stowage and discharge operations. And yet, if the carrier performs these operations himself, he will generally be responsible even if it has been agreed that the shipper or consignee shall load or discharge.</p>\r\n<p>Under the carriage of goods the carrier must provide a suitable means of transport and he shall not be relieved of liability by reason of the defective condition of the vehicle used by him in order to perform the carriage. Such liability is called absolute responsibility of the carrier which is set out in CMR Convention Article (17.3). However, Article (III.1) of HVR states that &ldquo;The carrier shall be bound before and at the beginning of the voyage to exercise due diligence to: (a) Make the ship seaworthy; (b) Properly man, equip and supply the ship; (c) Make the holds, refrigerating and cool chambers, and all other parts of the ship in which goods are carried, fit and safe for their reception, carriage and preservation duty of care upon carrier.&rdquo; Interestingly, RR impose a continuous duty to exercise due diligence to make and keep the ship seaworthy by virtue of Article (14) of RR.&nbsp;</p>\r\n<p>Accordingly, if a transport&nbsp; vehicle becomes defective during transport the carrier is required to repair the defect without delay as set out in Article (17) of CMR. However, only under HVR is the carrier&rsquo;s duty is to exercise due diligence to make the ship seaworthy, restricted to the period before and at the beginning of the voyage as per Article (III.1). Furthermore, the carrier under HVR must exercise due diligence to avoid not only occurrence, but also its consequences. Unlike RR which impose a continuous duty to exercise due diligence to make and keep the ship seaworthy by virtue of Article (14). Additionally, the carrier must show:</p>\r\n<ol>\r\n<li>the damage was caused by circumstances (i.e. a hidden defect) which he could not avoid and consequences of which he was unable to prevent; or&nbsp;</li>\r\n<li>that he, his servants or agents took all measures that could reasonably be required to avoid the occurrence and its consequences;&nbsp;</li>\r\n</ol>\r\n<p>otherwise his liability will be unlimited.&nbsp;</p>\r\n<p>Whilst the carrier uses employees, agents or sub-contractors to perform any obligations under the contract of carriage on his behalf, he is liable for any breach of his obligations caused by their acts or omissions. However, some conventions limit the carrier&rsquo;s responsibility for acts or omissions of his performance agents to when they are acting within the scope of their employment as per Articles (3) CMR, (18) RR and (IV.2) (q) HVR.&nbsp;</p>\r\n<p>The responsibility period of the carrier in international carriage of goods, in principle, is between the time of taking over the goods until their delivery as per Articles (4.1) of HVR, (12) of RR, and (17.1) of CMR.&nbsp; Such liability is mandatory, in other words, any clause decreasing the carrier&rsquo;s liability is null and void. The important exception can be found in HVR under Article (I) (e) that states the carriage of goods covers the period from time when goods are loaded on to the time they are discharged from the ship.&rdquo; This implies that mandatory liability rules as set out in Article (III.8) of HVR apply only to the &ldquo;tackle-to-tackle&rdquo; period, in other words from the beginning of loading until the end of discharging. Therefore, under HVR, the carriers can validly exclude liability for the period before (loading) and after (discharge) of goods by incorporating a Period of Responsibility Clause into the carriage of goods contract.&nbsp;</p>\r\n<p>Scandinavian countries, although (still) a party to HVR, have extended the carrier&rsquo;s period of mandatory liability to the period from taking over until delivery of the goods. This is not considered a violation of mandatory law, because it only increases carrier&rsquo;s liability, which is not prohibited by Article (III.8) of HVR.</p>\r\n<p>It can be concluded that the main obligation of the carrier under international contract of carriage is to deliver the goods to their destination in the condition in which they were handed over to him by the shipper or his agent, otherwise he will breach the contract of carriage. Also, it must be noted that the RR has not yet come into effect, it will enter into force when it has been ratified by twenty countries as per Article (94) of RR.&nbsp;</p>'),
(85356, 4651, '_content', 'field_59b649b5c8b2b'),
(85357, 4651, 'lawUpdateArticleMonth', '4640'),
(85358, 4651, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85359, 4651, 'content_description', 'The most well known international carriage of goods conventions are: Convention on the Contract for the International Carriage of Goods by Road (“CMR”), International Convention for the Unification of Certain Rules of Law Relating to Bills of Lading (“HVR”),'),
(85360, 4651, '_content_description', 'field_59b641c07f473'),
(85361, 4651, 'pageSummary', 'The most well known international carriage of goods conventions are: Convention on the Contract for the International Carriage of Goods by Road (“CMR”), International Convention for the Unification of Certain Rules of Law Relating to Bills of Lading (“HVR”),'),
(85362, 4651, '_pageSummary', 'field_59e59b307dec8'),
(85363, 4651, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/carriers-responsibilit-undere-international-conventions.html'),
(85364, 4651, '_currentURL', 'field_59d35123ab1e7'),
(85365, 4651, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Tarek Idais'),
(85366, 4651, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85367, 4651, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 't.idais@tamimi.com'),
(85368, 4651, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85369, 4651, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85370, 4651, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85371, 4651, 'lawUpdateArticleNoWriters', '1'),
(85372, 4651, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85373, 4651, '_yoast_wpseo_metadesc', 'The most well known international carriage of goods conventions are: Convention on the Contract for the International Carriage of Goods by Road (“CMR”), International Convention for the Unification of Certain Rules of Law Relating to Bills of Lading (“HVR”),'),
(85374, 4652, 'content', '<p>Financial consultants provide a wide range of services to businesses ranging from small companies through to large global corporations. Globally, part of the financial consultants&rsquo; primary services include budgeting, debt management, fundraising, and even in the role of financial advisor to companies&rsquo; employees. Financial consultants are especially important during the planning stages, often helping the business develop the right strategy and a business plan. The financial consultant is also a crucial component in pitching the business plan to prospective investors.&nbsp;<br /><br />In the UAE historically, the UAE Central Bank has regulated the activity of financial consultation as part of the financial investment business. Most of the licensed financial consultants are also regulated as investment companies under the Central Bank Board of Directors regulation number 164/8/94. As of December 2008, UAE Security &amp; Commodity Authority (&ldquo;SCA&rdquo;) issued regulation no. 48/R of 2008 to regulate the activity of Financial Consultation and Financial Analysis (the &ldquo;Regulation&rdquo;). As of that date, the UAE Central Bank stopped issuing new licenses or renewing the current licenses for the activity. The transfer of the responsibility to SCA was pursuant to the memorandum of understanding signed by and between the UAE Central Bank and SCA, which specifically determines responsibility of each party in relation to legislation, licensing, supervision and inspection on activities concerned with the financial services sector &ndash; the aim being to enhance, where it control on risks that may be encountered by the sector.<br /><br />Since 2008, SCA has granted many companies the Financial Consultation and Financial Analysis licenses and until now, SCA continue to receive applications to license such activity. We aim in this article, to outline the basic requirements and procedures to obtain the Financial Consultation and Financial Analysis license.&nbsp;<br /><br /><strong>The Scope of Business, the Capital and Legal Form:</strong>&nbsp;<br /><br />As defined by the Regulation, Financial Consultation means the opinions and recommendations based on economic and financial research, studies and analysis concerning the feasibility studies and determining the anticipated current or future values of the securities, commodities, commodity contracts and companies to be provided to clients or published to the public in any of the various means of publication and communication.&nbsp;<br /><br />Similarly, Financial Analysis means the scientific systematic processing of data in connection with the position and performance of the companies in the past and at present, and future forecasts of the results of their business, the securities, commodities, commodity contracts, price trends and the trading volumes for the purpose of obtaining information used to take decision at the time of providing a financial consultation;<br /><br />The capital of the UAE formed company to undertake Financial Consultation and Financial Analysis should not be less than one million Dirhams.&nbsp;<br /><br />The legal persons that are permitted to apply for the license are:&nbsp;</p>\r\n<ol>\r\n<li>A judicial person established in the UAE that has one of the forms as set forth in Federal Law No. 8 of 1984 pertaining to Commercial Companies, and at least 51% of its share capital is held by natural or juristic persons who are UAE nationals or GCC nationals, subject to the principle of reciprocal treatment; or&nbsp;</li>\r\n<li>A branch of a foreign company licensed by similar regulatory authority in their own country that may practice the business of financial consultation and financial analysis, provided that such companies should have at least five years of experience and that they satisfy certain other conditions.&nbsp;</li>\r\n</ol>\r\n<p>It is important to point out that a branch of a foreign company that seeks to obtain the license of Financial Consultation and Financial Analysis is required at the licensing stage with the local licensing authority in the respective Emirate to appoint a local agent. This was not the case for the financial institutions that are granted a branch license by the UAE Central Bank. The UAE Central Bank, through an arrangement with the licensing authority, used to play the role of the local agent and thus such branches were not required to appoint a local agent.&nbsp;<br /><br />Further, UAE companies operating in the field of securities such as brokerage companies may obtain an additional license from SCA to practice the business of Financial Consultation and Financial Analysis in the UAE in addition to their other activities in accordance with the criteria set by SCA from time to time.&nbsp;</p>\r\n<p><strong>The Application and Required Documents by SCA&nbsp;<br /></strong><br />SCA has a set application form that should be filled in Arabic and submitted along with the required documents. The information includes name of applicant, type of the applicant&rsquo;s company, date of incorporation, place of incorporation, the registration number, the capital, the names of the shareholders, the regulator at the home country in the case of branch of a foreign company, date of registration, the directors and so on.&nbsp;<br /><br />The required documents are:&nbsp;</p>\r\n<ol>\r\n<li>A valid copy of the Commercial License and the Certificate of Membership with the Chamber of Commerce;</li>\r\n<li>The Memorandum and Articles of Association of the Applicant in Arabic indicating the objects of the Applicant which shall include the activity of financial consultation and financial analysis;</li>\r\n<li>The license issued by the foreign regulator for the branch of a foreign company confirming that the foreign company is licensed to undertake the activity of financial consultancy and financial analysis.</li>\r\n<li>A statement indicating that the company has a minimum of five-year experience in the field of financial consultancy and financial analysis for the foreign company to open a branch. &nbsp;</li>\r\n<li>Evidence proving the internal control and periodic audit in a manner guaranteeing the proper application of the Law and the rules and decisions issued by SCA.</li>\r\n<li>A statement showing that the firm operating in the securities industry is committed to a full separation, administratively, systemically and technically, between the licensed activities in order to avert any conflicts of interest.&nbsp;</li>\r\n<li>A copy of the title-deed or lease contract for the premises in which the activity will be practiced.</li>\r\n<li>An approved copy of the financial statements if the company is already existent, for the last three years or at least as from the date of incorporation.</li>\r\n<li>A statement naming the General Manager or Chief Executive Officer, Financial Analysts, officials in charge of internal audit and control and officials providing financial consultancy and financial analysis services along with a statement of job description for each.</li>\r\n<li>Resume and certificates of work experience for all employees who will work for the applicant in providing the financial consultancy and financial analysis services, and the person in charge of the internal audit and control (and the declaration form).</li>\r\n<li>The Academic qualifications and work experiences of the General Manager or Chief Executive Officer and Financial Analysts.&nbsp;</li>\r\n<li>A passport copy of the General Manager or Chief Executive Officer and Financial Analysts.</li>\r\n<li>Agreement form for the transaction to be concluded with the client.</li>\r\n<li>A statement indicating whether the Applicant or any of (its subsidiaries/ sister companies/ allied companies) has been subject to any adjudications, disciplinary or punitive measures by any regulatory bodies or markets.</li>\r\n<li>A statement indicating the method of archiving and storing documents and studies and naming the person in charge thereof.</li>\r\n<li>A statement indicating the following:-</li>\r\n</ol> \r\n<ul>\r\n<li>Whether the Financial Analyst conducts research that is to be widely published or not.&nbsp;</li>\r\n<li>The targeted clients and the means of communication used for conducting Financial Analyst&rsquo;s research in the UAE.&nbsp;</li>\r\n</ul>\r\n<p><br />Whether the Financial Analyst will appear before the public information authorities on behalf of the Applicant.&nbsp;&nbsp;</p>\r\n<p>17. Signing a declaration to state that the submitted information and documents are true and complete and undertake to comply with the applicable laws and regulations.</p>\r\n<p>If any of the above documents are issued from outside the UAE, it should be duly legalized and authenticated.&nbsp;<br /><br /><strong>The Staff Qualifications and Requirements&nbsp;<br /></strong><br />The licensed companies must provide the administrative and technical personnel needed to exercise the activity. Such personnel must include a General Manager or Chief Executive Officer assisted by an adequate number of certified Financial Analysts, researchers and technicians according to the following conditions:<br /><br />The General Manager or Chief Executive Officer and certified Financial Analysts, researchers and technicians appointed by the licensed firm must be:-</p>\r\n<p>A.Natural person(s).</p>\r\n<p>B.Fully competent.</p>\r\n<p>C.Be of good conduct and behavior and never been sentenced by a freedom restraining penalty in any crime against honor or honesty, unless rehabilitated.&nbsp;<br />D.Has never been declared bankrupt by a final court ruling, unless rehabilitated.&nbsp;</p>\r\n<p>E.Such person must be entirely dedicated to work on full time basis. This condition applies only to the General Manager or Chief Executive Officer if and when the firm is licensed to practice only the financial consultancy and financial analysis activity.&nbsp;</p>\r\n<p>F.The Academic qualifications and work experience for the General Manager or Chief Executive Officer and financial analyst must be as follows:&nbsp;</p>\r\n<p>i.The General Manager or Chief Executive Officer: must hold a university degree or an accredited professional certificate and a minimum of five years of experience in the economic or financial field.</p>\r\n<p>ii.The Financial Analyst: must hold a university degree or an accredited professional certificate and a minimum of three years of experience in the financial analysis field.&nbsp;<br /><br />G.Financial Analyst must also pass the prescribed tests in accordance with the rules set by SCA.&nbsp;&nbsp;&nbsp;&nbsp;<br /><br />The licensed company must appoint an internal auditor also, and such auditor should be duly qualified and have at least three years experience in the field of internal auditing. From our experience with SCA, they typically accept a dedicated internal auditor and are also comfortable with outsourcing this responsibility with certain conditions.&nbsp;<br /><strong><br />Licensing with Local Authorities&nbsp;<br /></strong><br />Licensing largely depends on the legal form of the UAE company, but in general, the application would start by obtaining SCA initial approval and then completing the registration with the relevant Department of Economic Development until the issuance of the commercial license and thereafter, return to SCA to complete the staff and other regulatory requirements until the issuance of SCA license.&nbsp;</p>'),
(85375, 4652, '_content', 'field_59b649b5c8b2b'),
(85376, 4652, 'lawUpdateArticleMonth', '4640'),
(85377, 4652, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85378, 4652, 'content_description', 'Financial consultation is one of the most prevalent types of consulting throughout the world because the services that it provides are of particular interest to individuals as well as businesses.'),
(85379, 4652, '_content_description', 'field_59b641c07f473'),
(85380, 4652, 'pageSummary', 'Financial consultation is one of the most prevalent types of consulting throughout the world because the services that it provides are of particular interest to individuals as well as businesses.'),
(85381, 4652, '_pageSummary', 'field_59e59b307dec8'),
(85382, 4652, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/the-financial-consultation-and-financial-analysis-license.html'),
(85383, 4652, '_currentURL', 'field_59d35123ab1e7'),
(85384, 4652, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '817'),
(85385, 4652, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85386, 4652, 'lawUpdateArticleWriters', '1'),
(85387, 4652, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85388, 4652, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '411'),
(85389, 4652, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85390, 4652, 'lawUpdateArticlePractices', '1'),
(85391, 4652, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85392, 4652, '_yoast_wpseo_metadesc', 'Financial consultation is one of the most prevalent types of consulting throughout the world because the services that it provides are of particular interest to individuals as well as businesses.'),
(85393, 4653, 'content', '<p><strong>1. General Rule for foreign Investment in the State of Qatar</strong>: The creation of, or investing in any commercial establishment in Qatar is primarily governed by the Foreign Investment Law No (13) of 2000 as amended (the &ldquo;Foreign Investment Law&rdquo;).</p>\r\n<p>The general rule under Article (2)1 of the Foreign Investment Law is that non-Qataris, whether natural or juristic persons, may invest in all sectors of the national economy, only through the medium of a company incorporated in Qatar in which one or more Qatari persons and/or 100% Qatari entities hold not less than 51% of the share capital.&nbsp; However, where the non-Qatari element consists wholly of Gulf Cooperation Council (&ldquo;GCC&rdquo;) persons or entities, the 51% can be read as 50%.<br /><br /><strong>2.&nbsp;</strong><strong>Exceptions under Foreign Investment&nbsp;Law&nbsp;<br /><br /></strong>2.1&nbsp; Notwithstanding the above, Article (2)2 of the Foreign Investment Law does indeed provide that non-Qataris may, subject to an exemption from the Minister of Business and Trade (the &ldquo;Minister&rdquo;), own up to 100% of the share capital of projects in the fields of agriculture, industry, health, education, tourism, development and utilisation of natural resources, energy and mining, consultancy services, technical services, information technology services, cultural, sport and entertainment services and distribution services.&nbsp; Preference is to be given to projects, which would achieve optimum utilisation of locally-available raw materials, and industries intended for export of products, for introducing new products or employing modern technologies, as well as projects which aim at localising world-famous industries and projects which train and qualify Qatari nationals.&nbsp;<br /><br />2.2 &nbsp;Moreover, Article (3) of the Foreign Investment Law contains a second exception from the general rule which, subject to an exemption from the Minister allow a branch/temporary registration of a foreign company to be registered in Qatar.&nbsp; The key conditions required for such registration, are for the foreign company to have a contract or sub-contract in Qatar which results in facilitating the rendering of a service or implies public benefit.&nbsp; This usually means it is a contract/sub-contract with the Government of the State of Qatar or a quasi-governmental body.<br /><br /><strong>3. Exceptions for Nationals of the GCC in Economic Activities in the State of Qatar<br /><br /></strong>In addition to the exceptions stipulated above for foreign investment, Qatar has also issued law No. 6 of 1988 Regarding Restriction of the Practicing of the Nationals of the GCC in Economic Activities.&nbsp; Qatar has also ratified GCC Economic Agreement by Decree No. 81 of 2003 organising the general rules of practicing the economic activities by GCC nationals in Qatar.<br /><br />The aforementioned provisions, prescribe for open foreign investment tools in Qatar.&nbsp; To address the key challenge, the process adopted by the Ministry is currently under review and update to facilitate an expedited avenue for awarding approvals for actual projects, if conditions are met.<br /><br />3.1 Activities Permitted for natural GCC persons and juristic GCC persons fully owned by GCC nationals&nbsp;<br /><br />By virtue of law No. 6 of 1988 and Decree No. 81 of 2003, the following activities shall be permitted to be practiced in the State of Qatar by GCC nationals (natural GCC nationals and juristic GCC nationals fully owned by GCC nationals):</p>\r\n<ul>\r\n<li>Free Professions&nbsp;</li>\r\n<li>Testing and Inspection</li>\r\n<li>Operating and maintenance of Mechanical, electrical equipments and machines, factories and stations</li>\r\n<li>Translations services</li>\r\n<li>Survey</li>\r\n<li>Soil Inspection</li>\r\n<li>Computer programming, analysis and operation</li>\r\n<li>Supplying Services</li>\r\n<li>Marketing Services for third parties</li>\r\n<li>Weighing and measuring services</li>\r\n<li>Cleaning Services</li>\r\n<li>Insurance Services</li>\r\n<li>Opening restaurant and hotels</li>\r\n<li>Transportation Services</li>\r\n<li>Air Shipping Services</li>\r\n<li>Recruitment Agencies</li>\r\n<li>Car Rental Services</li>\r\n<li>Cultural Service excluding printing establishments and publication establishments, newspapers and magazines.</li>\r\n</ul>\r\n<p>3.2 &nbsp;Activities Permitted only for natural GCC persons<br /><br />Natural GCC nationals may invest in all sectors of the national economy in the State of Qatar including retail and wholesale trading, provided that they have maintained residence permits in the State of Qatar.<br /><br />The aforementioned provisions are now being adopted more openly and rigorously by the Ministry.&nbsp; Such practice will assist in opening up more cross GCC business opportunities.<br /><br /><strong>Conclusion<br /></strong><br />The Ministry&rsquo;s initiatives to expand the reach of application of the Foreign Investment Law, is obviously in line with Qatar&rsquo;s approach to attract even more investment required for Qatar&rsquo;s vision.&nbsp; Similar steps will support boosting this approach going forward.</p>'),
(85394, 4653, '_content', 'field_59b649b5c8b2b'),
(85395, 4653, 'lawUpdateArticleMonth', '4640'),
(85396, 4653, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85397, 4653, 'content_description', 'The Ministry’s initiatives to expand the reach of application of the Foreign Investment Law, is obviously in line with Qatar’s approach to attract even more investment required for Qatar’s vision.  Similar steps will support boosting this approach going forward.'),
(85398, 4653, '_content_description', 'field_59b641c07f473'),
(85399, 4653, 'pageSummary', 'The Ministry’s initiatives to expand the reach of application of the Foreign Investment Law, is obviously in line with Qatar’s approach to attract even more investment required for Qatar’s vision.  Similar steps will support boosting this approach going forward.'),
(85400, 4653, '_pageSummary', 'field_59e59b307dec8'),
(85401, 4653, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/equity-gcc-investment-regime-in-qatar.html'),
(85402, 4653, '_currentURL', 'field_59d35123ab1e7'),
(85403, 4653, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '692'),
(85404, 4653, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85405, 4653, 'lawUpdateArticleWriters', '1'),
(85406, 4653, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85407, 4653, '_yoast_wpseo_metadesc', 'The Ministry’s initiatives to expand the reach of application of the Foreign Investment Law, is obviously in line with Qatar’s approach to attract even more investment required for Qatar’s vision. Similar steps will support boosting this approach going forward.'),
(85408, 4654, 'content', '<p>provided the Kuwaiti economy with new commercial vehicles allowing local, Gulf Cooperation Council (GCC) and foreign investors to &ldquo;customize&rdquo; the legal structure of the commercial vehicle for the purposes of the intended commercial activities to be conducted thereto. This new positive step has been recently taken by the Parliament of Kuwait to reflect the changes which have occurred over the past years concerning commerce and industry in the GCC region and in various economies throughout the globe.<br /><br />In such respect, a variety of new forms of companies have been made available to the investors under the Companies Law, such as sole person companies and the professional companies as mentioned below:<br /><strong><br />Sole Proprietorship Companies&nbsp;<br /></strong></p>\r\n<p>The Companies Law introduced a new type of companies referred to as &ldquo;Sole Proprietorship Companies&rdquo; which was non-existent under the previous companies law. The Companies Law provides that these types of companies may have a capital fully owned by one person, whether natural or legal. The relevant provisions specified that such person shall be a Kuwaiti person. However, pursuant to several previous ministerial resolutions, GCC natural or legal persons are to be treated as Kuwaiti persons for the purposes of applying several commercial regulations. Nonetheless, and given that the new Companies Law is still untested with regards to the Ministry of Commerce and Industry&rsquo;s position and practice in applying the new provisions there under, it is unclear at present whether the GCC nationals will be able to establish a Sole Proprietorship Company under the new Companies Law.</p>\r\n<p>With respect to the structuring of the Sole Proprietorship Company, the Companies Law provides that the objects of the company, the minimum capital and numbers of parts, the term of the company, its management and other necessary details, shall be specified within the Executive Bylaws (still not released to date). The Companies Law further provides that the company shall be managed by its owner (by default). However, the owner is entitled to appoint a Manager, subject to registering this Manager&rsquo;s name and authorities within the company&rsquo;s file at the MOCI.</p>\r\n<p>The owner of the Sole Proprietorship Company is entitled to dispose of his parts in the capital by any means, including pledging the parts. However, a transfer of ownership of any number of parts in the capital of the company will entail, by force of law, changing the legal status of the company from a Sole Proprietorship to the form of a limited liability company.</p>\r\n<p><strong>Professional Companies</strong></p>\r\n<p>The Companies Law introduced a new type of companies referred to as &ldquo;Professional Companies&rdquo; which was non-existent under the previous companies law. The Companies Law provides that the Professional Company may be established under the legal status of any of the following: Shareholding companies, With Limited Liability, Simple Commandite and Joint Liability Company. However, under any of the aforementioned legal status form, none of the shareholders of the Professional Company shall be deemed as merchants under the definition of the Commercial Law.</p>\r\n<p>The incorporation of the Professional Company must be by two or more natural persons in the same &ldquo;liberal&rdquo; profession (i.e. doctors, lawyers, architects&hellip;) and the objects of the company must be consistent with the profession of the incorporators. Nonetheless, establishing such company is subject to the MOCI&rsquo;s approval based on its discussion with the relevant supervisory body of the relevant profession and having oversight on the professional conduct of the contemplated incorporators.&nbsp;</p>\r\n<p>The partners in the Professional Company are entitled to dispose of their parts/shares by any means, including pledging such parts/shares. However, any disposal of these parts/shares (even by means of a judicial procedure) shall be restricted to natural persons belonging to the same profession under which the company has been established. &nbsp;</p>\r\n<p><strong>Holding Companies</strong></p>\r\n<p>Although Holding companies existed under the previous companies law, the newly promulgated Companies Law is certainly a departure from the previous regulations governing the legal form and requirements (from a legal and business perspective as well) to establish a holding company. Under the Companies Law, the commercial and licensed objects of the holding company are still the exact objects specified in the previous law. However, the new Companies Law provides that a holding company can be established under any of the following legal forms: Shareholding Companies, With Limited Liability Companies and Sole Proprietorship Companies.&nbsp;</p>\r\n<p>Further, the Companies Law introduced a new liability on the shareholders/partners/owner of the holding company which was inexistent under the previous law. The Companies Law provides that the holding company shall be deemed as a joint guarantor of the liabilities of any of its subsidiaries towards such subsidiary creditors, if such subsidiary and the holding company are conducting their respective activities as &ldquo;one commercial unit&rdquo; (subject to further clarification upon issuance of the Executive Regulations). Also in this respect, the holding company shall be deemed as a joint guarantor of the following companies: (i) a subsidiary of the holding acting as a &ldquo;screen&rdquo; for the holding (as described under the Companies Law); and (ii) a subsidiary conducting the activities of a commercial agent of the holding company.</p>\r\n<p>Notwithstanding the positive effect of introducing new forms of companies under the recently promulgated Companies Law, it appears that whether dealing with the incorporation procedures or monitoring the activities of the aforementioned new types of companies, it will be practical at this point of time to wait for the issuance of the Executive Bylaws as intended for providing specific regulations affecting the applicability of certain provisions within the Companies Law.&nbsp;</p>'),
(85409, 4654, '_content', 'field_59b649b5c8b2b'),
(85410, 4654, 'lawUpdateArticleMonth', '4640'),
(85411, 4654, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85412, 4654, 'content_description', 'A new companies law has been recently promulgated in Kuwait, providing a more realistic and practical perspective than the previous companies law. The issuance of Law No. 25 of 2012 Promulgating the Companies Law (the “Companies Law”), '),
(85413, 4654, '_content_description', 'field_59b641c07f473'),
(85414, 4654, 'pageSummary', 'A new companies law has been recently promulgated in Kuwait, providing a more realistic and practical perspective than the previous companies law. The issuance of Law No. 25 of 2012 Promulgating the Companies Law (the “Companies Law”), '),
(85415, 4654, '_pageSummary', 'field_59e59b307dec8'),
(85416, 4654, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/the-new-kuwaiti-companies-law.html'),
(85417, 4654, '_currentURL', 'field_59d35123ab1e7'),
(85418, 4654, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Jade Al Araoui'),
(85419, 4654, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85420, 4654, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'j.alaraoui@tamimi.com'),
(85421, 4654, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85422, 4654, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85423, 4654, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85424, 4654, 'lawUpdateArticleNoWriters', '1'),
(85425, 4654, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85426, 4654, '_yoast_wpseo_metadesc', 'A new companies law has been recently promulgated in Kuwait, providing a more realistic and practical perspective than the previous companies law. The issuance of Law No. 25 of 2012 Promulgating the Companies Law (the “Companies Law”),');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(85427, 4655, 'content', '<p><strong>Background to the new Authority</strong></p>\r\n<p>The first radio broadcast in the Kingdom is reported to have occurred around 1931. In 1955 the first television broadcast <br />occurred in the Kingdom, when US programs were broadcast for the personnel of the USAF Dhahran Airfield. This was followed in 1965 with the first state approved national television broadcast. The first program broadcast was a recital of the Quran.&nbsp;<br /><br />Today in the Kingdom the state-run Broadcasting Service of the Kingdom of Saudi Arabia operates almost all domestic television broadcasting, namely the four state television channels and the Kingdom&rsquo;s state radio channels.&nbsp;</p>\r\n<p>Historically, however, there were few new licenses issued to broadcast in the Kingdom, which has led to a stagnation of the market and a number of Saudi owned broadcasters operating from outside the Kingdom. The Ministry for Culture and Information, however, hope that the establishment of the new Authority will change this.&nbsp;<br /><br /><strong>The new Authority&nbsp;</strong></p>\r\n<p>The new Authority is an independent legal entity, with independent finance and administration, albeit, however, one that reports to the Minster of Culture and Information. It is charged with the regulation, supervision and development of audio-visual media transmission. As such, it will serve as an authority to regulate and supervise the audio and visual media outlets operating from inside the Kingdom, and issue licenses to radio and television stations to operate from the Kingdom.&nbsp;</p>\r\n<p>It is worth noting that enacting legislation does not specifically refer to the online sector, but seemingly aims at its provisions at the traditional broadcast media. That said; the provisions are drafted with sufficient breadth to permit the remit of the Authority to extend online.&nbsp;<br /><strong><br />How will the Authority Regulate?</strong></p>\r\n<p>As mentioned above, the Authority&rsquo;s remit is broad; however, the enacting legislation provides a number of rules by which the Authority will perform its obligations.&nbsp;<br /><br />These rules provide that the Authority will regulate in accordance with the Kingdom&rsquo;s &ldquo;media policy&rdquo; and the following rules/mandate:</p>\r\n<ol>\r\n<li>Reinforcing the religious, social and cultural values of the Kingdom;</li>\r\n<li>Ensuring that the public are provided with a high quality collection of entertainment;</li>\r\n<li>Setting-up flexible and clear mechanisms for licensing the audio-visual media transmission, in a way which keeps abreast with the advanced commercial and technological trends;</li>\r\n<li>Ensuring that equal opportunities are provided in the markets and securing fair competition, in the area of the Authority&rsquo;s activity;&nbsp;</li>\r\n<li>Supporting the development of audio-visual media transmission and content in the Kingdom;</li>\r\n<li>Supporting and implementing the objectives of Kingdom&rsquo;s media policy and national plans through audio-visual media transmission and content.</li>\r\n</ol>\r\n<p>(together the &ldquo;Rules&rdquo;)</p>\r\n<p><strong>What will the Authority Regulate?</strong></p>\r\n<p>The enacting legislation provides that the Authority will regulate the following areas, and shall apply the Rules while exercising its authority: &nbsp;</p>\r\n<ol>\r\n<li>Managing the licensing procedures for all activities of audio-visual media transmission and content;</li>\r\n<li>Proposing the licensing fees for audio-visual media transmission and content, suggesting the amendment thereof, and submitting the same to the competent authorities for approval.</li>\r\n<li>Coordinating with the Communication and Information Technology Commission in respect of the frequency spectrum for audio-visual media transmission, in accordance with the communications law;</li>\r\n<li>Coordinating with the Communication and Information Technology Commission on the technical specifications of audio-visual media transmission devices, and issuing the approvals for importing and distributing the same;</li>\r\n<li>Monitoring all audio-visual media transmission and content services providers, to ensure that they conform strictly to the laws and implement the conditions of their respective licenses;</li>\r\n<li>Receiving and investigating the complaints related to audio-visual media transmission and content;</li>\r\n<li>Supporting and conducting research and studies, organizing conferences and meetings associated with audio-visual media transmission and content, whether solely or in cooperation with other similar institutions;</li>\r\n<li>Setting-up a mechanism to resolve disputes arising between the Authority and the audio-visual media transmission and content outlets (which we interpret to mean &ldquo;broadcasters&rdquo;)&nbsp; as prescribed by the law; and</li>\r\n<li>Performing further tasks as dictated or required by the nature of its functions or prescribed by the applicable laws.&nbsp;</li>\r\n</ol>\r\n<p><strong>Things to consider and likely implications<br /></strong><br />The creation of the Authority is intended to facilitate the establishment of Saudi television and radio stations, and the Authority certainly has the power to do that. While it is clear, that those Saudi television and radio stations will need to conduct business according to certain conditions and rules what those conditions and rules are is unclear. If a business is considering making an application for a license from the Authority, then this ought to be considered from the outset. &nbsp;</p>\r\n<p>While it is likely that the incorporation of the Authority will result in an expansion and development of the broadcast media in the Kingdom, and it is the Authority&rsquo;s responsibility to regulate this expansion, it is not yet clear how this will be managed. &nbsp;</p>\r\n<p>Al Tamimi &amp; Company&rsquo;s Technology, Media &amp; Telecommunications team regularly deals with media regulatory issues in the region. For further information please contact the author of the article.</p>'),
(85428, 4655, '_content', 'field_59b649b5c8b2b'),
(85429, 4655, 'lawUpdateArticleMonth', '4640'),
(85430, 4655, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85431, 4655, 'content_description', 'The Kingdom of Saudi Arabia has restructured its state media, and in doing so has established a new authority to regulate audiovisual broadcasters. The new authority, known as the General Authority for Audio and Visual Media (the “Authority”), is charged with regulating and developing the audio-visual media transmission and content. \r\n'),
(85432, 4655, '_content_description', 'field_59b641c07f473'),
(85433, 4655, 'pageSummary', 'The Kingdom of Saudi Arabia has restructured its state media, and in doing so has established a new authority to regulate audiovisual broadcasters. The new authority, known as the General Authority for Audio and Visual Media (the “Authority”), is charged with regulating and developing the audio-visual media transmission and content. \r\n'),
(85434, 4655, '_pageSummary', 'field_59e59b307dec8'),
(85435, 4655, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/new-saudi-authority-for-the-regulation-of-audio-and-visual-media.html'),
(85436, 4655, '_currentURL', 'field_59d35123ab1e7'),
(85437, 4655, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Emile Saadi'),
(85438, 4655, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85439, 4655, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'e.saadi@tamimi.com'),
(85440, 4655, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85441, 4655, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85442, 4655, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85443, 4655, 'lawUpdateArticleNoWriters', '1'),
(85444, 4655, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85445, 4655, '_yoast_wpseo_metadesc', 'The Kingdom of Saudi Arabia has restructured its state media, and in doing so has established a new authority to regulate audiovisual broadcasters. The new authority, known as the General Authority for Audio and Visual Media (the “Authority”), is charged with regulating and developing the audio-visual media transmission and content.'),
(85446, 4656, 'content', '<p>The law provided in article 50 that it shall enter into force on the date of its publication in the federal gazette, but in the absence of the proclamation of the implementing regulations to the law, there was some uncertainty with respect to its application during the past number of years.</p>\r\n<p>On 24 December 2012, Council of Ministers Regulation No. 273/2012 was published, providing the implementing regulations to the Trademark Registration and Protection Proclamation No. 501/2006.</p>\r\n<p>It is important to note that trademarks protected in Ethiopia based on applications filed prior to 7 July 2006 has to be refilled under the 2006 law. The refilling of these trademarks will be the same as fresh applications and unlike previously, will be subject to examination on absolute and relative grounds.&nbsp; There is a grace period of 18 months as from the date of the publication of the Council of Ministers Regulation - expiring on 24 June 2014 &ndash; during which such applications should be filed.&nbsp; Indications are that the original date of filing of such trademarks will be recognised.</p>\r\n<p>With respect to trademarks that were filed and registered after 7 July 2006, applications will have to be submitted in order to obtain new certificates of registration.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p>\r\n<p>The Ethiopian Intellectual Property Office has clarified a number of points related to the new trademark regulations which include the following:&nbsp;</p>\r\n<ol>\r\n<li>Trademarks that were registered before the Trademark Registration and Protection Proclamation was issued - 7 July 2006 - must be re-registered.&nbsp; For a trademark to be re-registered, a new application for registration has to be filed in accordance with the requirements set forth in the Trademark Registration and Protection Proclamation and the new regulations.&nbsp;</li>\r\n<li>Trademarks that were registered after the issuance of the Trademark Registration and Protection Proclamation &ndash; 7 July 2006 - must be resubmitted to the Ethiopian Intellectual Property Office for the issuance of a new certificate of registration related to the relevant period of protection (seven years).&nbsp;</li>\r\n</ol>\r\n<p>The re-registration and amendment of post 7 July 2006 trademark registrations will be carried out in accordance with a schedule to be issued by the Ethiopian Intellectual Property Office.&nbsp; Proprietors of trade mark registrations under either the old pre-7 July 2006 or post-7 July 2006 systems must ensure that they provide instructions to their legal representative in a timely manner in order to ensure the adequate protection of their valuable trademark assets in Ethiopia.&nbsp;<br /><br />If you have any questions regarding the protection of trademark in Ethiopia, please contact the author.</p>'),
(85447, 4656, '_content', 'field_59b649b5c8b2b'),
(85448, 4656, 'lawUpdateArticleMonth', '4640'),
(85449, 4656, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85450, 4656, 'content_description', 'The Ethiopian Trademark Registration and Protection Proclamation No. 501/2006 dealing with the protection of trademarks in Ethiopia was published on 7 July 2006. '),
(85451, 4656, '_content_description', 'field_59b641c07f473'),
(85452, 4656, 'pageSummary', 'The Ethiopian Trademark Registration and Protection Proclamation No. 501/2006 dealing with the protection of trademarks in Ethiopia was published on 7 July 2006. '),
(85453, 4656, '_pageSummary', 'field_59e59b307dec8'),
(85454, 4656, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/trademark-protection-in-ethiopia.html'),
(85455, 4656, '_currentURL', 'field_59d35123ab1e7'),
(85456, 4656, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Shernaz Desa'),
(85457, 4656, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85458, 4656, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 's.desa@tamimi.com'),
(85459, 4656, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85460, 4656, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85461, 4656, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85462, 4656, 'lawUpdateArticleNoWriters', '1'),
(85463, 4656, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85464, 4656, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(85465, 4656, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85466, 4656, 'lawUpdateArticlePractices', '1'),
(85467, 4656, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85468, 4656, '_yoast_wpseo_metadesc', 'The Ethiopian Trademark Registration and Protection Proclamation No. 501/2006 dealing with the protection of trademarks in Ethiopia was published on 7 July 2006.'),
(85469, 4657, 'content', '<p>&nbsp;With effect from this date, the Iranian Trademark Registry will accept only trademark applications filed electronically. All other filing procedures, formality requirements and documentary requirements remain unchanged. The hard copies of the required supporting documents in original (i.e., power of attorney, incorporation certificate for the applicant) must still be submitted to the Trademark Registry.<br /><br />Under the new system, trademark examination, notifications to applicants, publication and registration of trademarks are all dealt with electronically. Oppositions, hearings, renewals, the recordal of the transfer of rights and licenses are all still handled as before.&nbsp;<br /><br />The electronic application and workflow system is available at the portal http://iripo.ssaa.ir which is currently in Persian language.&nbsp;<br /><strong><br />IRAQ:&nbsp; New Timeline for Submission of PoA</strong><br /><br />By a regulation issued by the Trademarks Registrar of Iraq on 17 November 2012, a legalized power of attorney (PoA) in support of trademark applications in Iraq can be submitted within six months from the date of filing of the trademark. There is no further grace period available to submit this basic document and if this six month deadline is not met, an application will be considered abandoned.&nbsp;&nbsp;<br /><br />In order for a PoA to be accepted, the PoA must be super legalized by the Ministry of Foreign Affairs, the Central Bank of Iraq and the Ministry of Justice in Iraq.&nbsp; As this super legalization process may take approximately three months to complete, applicants are urged to provide us with powers legalized up to the Iraqi Consulate in the country of the applicant within three months from the date of a new application.&nbsp;&nbsp;<br /><br />Further, it should be noted that at the time of filing a new trademark application, the application should be accompanied by a copy of the signed PoA, to be placed on the official file.<strong><br /><br />Saudi Arabia: Amendments to the Implementing Regulations<br /></strong><br />The Minister of Commerce and Industry in Saudi Arabia issued a Ministerial Decree concerning trademark registration procedures under No. 1147 on 16 October, 2012, amending 13 articles of the Implementing Regulations to the Saudi Arabian Trademark Law (Law No. M/21).&nbsp;<br /><br />It is widely believed that the new reforms under the above ministerial decree will shorten the time required to complete the trademark registration process by almost half (5 to 8 months).&nbsp; The new reforms make it imperative for the trademark applicant or its representatives to be present at the Trademark Office to follow up on its applications at each stage of the prosecution process, or the registration process may take longer.<br /><br />The main features of the new reforms are as follow:<br /><br />It is the duty of the applicant or its legal representative to follow up its applications on a stage by stage basis.&nbsp; The Saudi Trademark Office (STMO) will issue notifications to the applicant only with refusal decisions or with conditions or requirements for accepting a trademark.&nbsp; The acceptance decision will only be mentioned in the examination forms for the trademark, and it is the applicant&rsquo;s responsibility to seek notification of acceptance.&nbsp; It is required that the applicant or its legal representative must receive the Notice of Acceptance from STMO within 90 days from the date of acceptance.&nbsp;&nbsp;&nbsp;<br /><br />Publication must be made within 30 days from the date of reciept of acceptance notifications.&nbsp; The existing period for publication was within six months from the date of acceptance.<br /><br />Failing to fulfill the above two requirements&nbsp; regarding acceptance of a trademark application will cause the application to lapse.<br /><br />Accepted applications are now published online on the website of the Ministry of Commerce and Industry (MOCI) or on the website specified by the MOCI instead of official gazettes (http://eservices.mci.gov.sa/Eservices/Commerce/Trademarks.aspx).<br /><br />No new trademark will be published in the official gazette, except those pending publications that have already been sent and paid for publication before the issuance of the ministerial decree.<br /><br />In case of any opposition, the opponent must notify the STMO to avoid issuance of a registration certificate while the decision is pending in respect of the opposition. &nbsp; Previously, the claimant/opponent was not required to notify the STMO about oppositions.&nbsp;<br /><br />Temporary protection is granted to trademarks in respect of goods exhibited in national or international exhibitions if the owner of the trademark presents the temporary protection application at least one month before the date of the exhibition.&nbsp;</p>'),
(85470, 4657, '_content', 'field_59b649b5c8b2b'),
(85471, 4657, 'lawUpdateArticleMonth', '4640'),
(85472, 4657, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85473, 4657, 'content_description', 'The Iranian Trademark Registry has launched a new electronic trademark application and workflow system.  The new application and workflow system came into effect on November 18, 2012. '),
(85474, 4657, '_content_description', 'field_59b641c07f473'),
(85475, 4657, 'pageSummary', 'The Iranian Trademark Registry has launched a new electronic trademark application and workflow system.  The new application and workflow system came into effect on November 18, 2012. '),
(85476, 4657, '_pageSummary', 'field_59e59b307dec8'),
(85477, 4657, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/trademark-prosecution-in-the-middle-east.html'),
(85478, 4657, '_currentURL', 'field_59d35123ab1e7'),
(85479, 4657, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '884'),
(85480, 4657, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85481, 4657, 'lawUpdateArticleWriters', '1'),
(85482, 4657, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85483, 4657, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(85484, 4657, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85485, 4657, 'lawUpdateArticlePractices', '1'),
(85486, 4657, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85487, 4657, '_yoast_wpseo_metadesc', 'The Iranian Trademark Registry has launched a new electronic trademark application and workflow system. The new application and workflow system came into effect on November 18, 2012.'),
(85488, 4658, 'content', '<p><strong>Requirements to Register a Real Estate Development Company in Kuwait<br /><br /></strong>A prerequisite for a company to register as a real estate developer in Kuwait is that it must be 100% owned by Kuwaiti or GCC nationals or companies wholly owned by them. &nbsp; A company established for real estate development purposes must obtain approval from the Ministry of Commerce and Industry (&ldquo;MOCI&rdquo;) to engage in real estate development activities.&nbsp; Once this approval has been obtained the company must also obtain approval from the Kuwait Municipality and the Kuwait Ministry of Interiors prior to commencing real estate development activities.<br /><br />Real estate development companies may be established in Kuwait either as a joint stock company, limited liability company or a branch of a GCC company.<br /><br /><strong>Joint Stock Company (&ldquo;KSC&rdquo;)<br /></strong><br />The MOCI specifies three categories for establishing a KSC for the purpose of real estate development. Each category has a minimum issued capital depending upon the objectives of the KSC.</p>\r\n<ul>\r\n<li>The first category of KSC (&ldquo;First Category&rdquo;) has a minimum capital of KD 2,000,000 and is entitled to undertake the following activities:</li>\r\n</ul>\r\n<p>- Owning, purchasing and selling real estate and development of real estate for its own account inside and outside of Kuwait, in addition to management of real estate owned by third parties in accordance with the applicable laws and regulations.</p>\r\n<p>- Owning, purchasing and selling on its behalf shares and bonds of real estate companies for account of the KSC in Kuwait or abroad.</p>\r\n<p>- Preparing evaluations and studies on the real estate market, provided the KSC has suitably qualified employees to provide this service.</p>\r\n<p>- Undertaking services to maintain buildings and projects owned by the KSC or third parties, including management, civil, electrical and mechanical services, elevator and air conditioning services.</p>\r\n<p>- Organizing real estate exhibitions for projects of the KSC.</p>\r\n<p>- Investment in portfolios managed by licensed companies.</p>\r\n<p>- Engaging in build-operate-transfer projects related to residential, commercial and industrial projects.<br /><br /></p>\r\n<ul>\r\n<li>The second category of KSC (&ldquo;Second Category&rdquo;) has a minimum capital of KD 4,000,000 and is entitled to undertake the activities of the First Category in addition to the following:</li>\r\n</ul>\r\n<p>- Organising real estate auctions.</p>\r\n<p>- Owning and managing commercial and residential real estate.<br /><br /></p>\r\n<ul>\r\n<li>The third category of KSC Development (&ldquo;Third Category&rdquo;) has a minimum capital of KD 10,000,000 and is entitled to undertake the activities of the First Category and Second Category in addition to the following:</li>\r\n</ul>\r\n<p>- Owning and management of hotels and resorts for tourism purposes.</p>\r\n<p>- Operation, management and leasing of hotels, clubs, motels, guest houses, residential complexes, rest houses, parks, gardens, exhibitions, restaurants, cafeterias, health resorts, marketing and athletic projects.&nbsp;<br /><br /><strong>Limited Liability Company (&ldquo;LLC&rdquo;)<br /><br /></strong>A real estate development company can be established as an LLC for the purpose of management and development of a real estate project. The minimum capital required to establish a LLC is KD 20,000.&nbsp;<br /><br />Upon establishment of the LLC further activities may also be added by paying an additional KD 20,000 for each activity as mentioned below:<br /><br />- Sale and purchase of real estate.</p>\r\n<p>- Leasing real estate.</p>\r\n<p>- Sale, purchase and leasing of property used for tourism purposes.<br /><br /><strong>Branch of&nbsp; a GCC company (&ldquo;Branch&rdquo;)</strong><br /><br />Law No. 237 of 2011 (&ldquo;GCC Company Branch Law&rdquo;) permits the establishment of a branch of a GCC company in Kuwait for real estate development purposes.&nbsp; To qualify to open a Branch the company must be registered for at least three years in the home GCC country, be fully owned and managed by GCC nationals and the company objectives must not conflict with Kuwaiti laws.<br /><br /><strong>Documents required<br /><br /></strong>The following documents are required to open a real estate development company in Kuwait.</p>\r\n<ol>\r\n<li>An application form that states the names of the owners, the purpose, capital and directors of the proposed company.</li>\r\n<li>A copy of the Memorandum and Articles of Association of the proposed company.</li>\r\n<li>A power of attorney issued by the proposed owners authorizing an individual to sign all documentation relating to the formation of the company.&nbsp;</li>\r\n<li>A bank statement from each proposed owner showing an amount equal to or greater than the owner&rsquo;s capital contribution. Such statement should be issued by a Kuwaiti bank, however, recently the MOCI has accepted bank statements issued by GCC banks and foreign banks provided that a certified translation is provided.</li>\r\n<li>A copy of the office lease agreement of the proposed company in the name of one of the owners.</li>\r\n</ol>\r\n<p>Once the documents mentioned above have been obtained the following procedure must be followed to establish the company:</p>\r\n<ol>\r\n<li>The application form (plus the additional information and documents mentioned above) must be submitted to the MOCI.</li>\r\n<li>Previously there has been a requirement that an announcement appear in the Kuwaiti Official Gazette regarding the proposed formation of a company, following which, if no objection is raised within 15 days, the procedure would continue. However this does not apply to every company and remains at the discretion of the MOCI</li>\r\n<li>The MOCI will provide a letter of request to be delivered to the proposed company&rsquo;s bank to confirm the deposit of the capital of the project by each proposed owner. The MOCI will also provide a letter of request to be delivered to the Kuwait Municipality to examine and approve the proposed office premises.&nbsp;</li>\r\n<li>A draft Memorandum of Association of the company (which should be consistent with the standard form issued by the Ministry of Justice (&ldquo;MOJ&rdquo;) should then be submitted to the MOCI for preliminary approval. The Memorandum of Association is then delivered to the MOJ to be typed on official letterhead.&nbsp;</li>\r\n<li>The proposed owner should then attend at the MOJ to sign the Memorandum of Association. Thereafter the company is formed and a certificate of incorporation of the company from the MOCI&rsquo;s Commercial Registry can be obtained.</li>\r\n</ol>\r\n<p>The main regulatory authorities that govern real estate development projects in Kuwait are the Kuwait Municipality and Real Estate Registry Circuit.&nbsp; The Kuwait Municipality is authorised to approve a real estate development project. The Real Estate Registry Circuit is responsible for registering the transfer of ownership of real estate.<br /><br /><strong>Requirements to Register a Real Estate Development Company in Qatar<br /><br /></strong>Generally, only a company incorporated in Qatar (&ldquo;Qatari LLC&rdquo;) can engage in real estate development activities. The Qatari LLC is required to register with the Ministry of Business and Trade in Qatar (&ldquo;Qatar MBT&rdquo;) and must obtain a commercial registration certificate that includes the activity to engage in real estate development.&nbsp; At least 51% of the shares in the Qatari LLC must be owned by a Qatari national or a company wholly owned by a Qatari national.&nbsp; However if the proposed developer is a GCC national or a company owned 100% by a GCC national the shareholding by a Qatari national or company in the Qatari LLC can be reduced to 50%.&nbsp;&nbsp;<br /><br />The minimum capital required to establish the Qatari LLC is QAR 200,000.&nbsp; If a foreign registered developer has been awarded a Qatari government contract then the developer can apply for a ministerial resolution permitting the developer to establish a branch office in Qatar to perform real estate development activities awarded under the contract.&nbsp; The branch office of the developer would be 100% owned by the foreign developer without the need to establish a Qatari LLC.&nbsp; There is no specific regulatory authority governing real estate developments in Qatar and the Qatar MBT governs the activities of the developer.&nbsp; There is no requirement for developers to open escrow accounts for real estate development projects in Qatar.<br /><br /><strong>Requirements to Register a Real Estate Development Company in Jordan<br /><br /></strong>At present Jordan does not have any specific legislation or authority that deals exclusively with real estate development.&nbsp; Real estate development activities are governed by contractual arrangements between the parties.<br /><br />Foreign developers wishing to engage in real estate development activities in Jordan must register with the Jordanian Ministry of Industry and Trade. There are a number of different methods in which a company can be registered in Jordan that include both local and foreign companies.<br /><br />Regulation No.54 of 2000 Regulating Non-Jordanian Investments (&ldquo;Regulation&rdquo;) determines the limit placed on foreign ownership of real estate in Jordan.&nbsp; Article 2 of the Regulation provides that in areas not specifically mentioned in the Regulation foreign investors may own any project wholly or partially.&nbsp; If the company intends to carry out activities which could be construed as construction or engineering activities, the Regulation provides that such activities can only be carried out by a company with a minimum of 50% ownership by a Jordanian national or company wholly owned by Jordanian nationals. In accordance with Article 7 of the Regulation foreign investors are required to invest a minimum of JOD 50,000 when registering a company in Jordan.<br /><br />The Jordanian Companies Law No.22 of 1997 (as amended) (&ldquo;Law&rdquo;), recognizes two types of company that can be established for real estate development activities; a limited liability company (&ldquo;LLC&rdquo;) and a private shareholding company (&ldquo;PSC&rdquo;).&nbsp;&nbsp;<br /><br />The Law also provides two types of branch of a foreign company that can be established for real estate development, namely a &ldquo;performing branch&rdquo; and a &ldquo;non-performing branch&rdquo;.&nbsp; The performing branch can be divided into two separate branches in accordance with Article 240 of the Law:</p>\r\n<ol>\r\n<li>A branch that operates for a limited period that is awarded a short term contract. The registration of such a branch shall cease upon the expiry of the contract.</li>\r\n<li>A branch operating permanently in Jordan under license by the competent official authorities, such as the branch of a foreign bank.</li>\r\n</ol>\r\n<p>A non-performing branch is a representative office of a foreign company that is registered in Jordan but cannot engage in commercial activities.</p>\r\n<p>Requirements to Register a Real Estate Development Company in the Kingdom of Saudi Arabia (KSA)</p>\r\n<p>KSA has a high local and expat population leading to sustainable demand for real estate. In common with other GCC states, there is now increasing interest in real estate as an area of investment to encourage the development of other industries such as hospitality, education and healthcare, as well as to serve the housing needs of the population.&nbsp;<br /><br />In order to meet the high demand for real estate the government of KSA has introduced a number of laws which are set to increase the role of the private sector in the KSA real estate market.&nbsp;&nbsp;<br /><br /><strong>KSA Real Estate Laws</strong></p>\r\n<p>The KSA real estate regime includes the following laws and regulations:</p>\r\n<ol>\r\n<li>The Realty in Kind Registration Law (&ldquo;Land Registration Law&rdquo;)</li>\r\n<li>The System of Ownership of Unit Estates and their Sorting (&ldquo;Strata Law&rdquo;)</li>\r\n<li>Law of Non Saudis Proprietorship and Investment of Real Estate issued No 3806 (&ldquo;Foreign Ownership Law&rdquo;)</li>\r\n</ol>\r\n<p>In addition, a number of financing laws impact real estate in KSA:</p>\r\n<ol>\r\n<li>The Execution Law</li>\r\n<li>The Law on Supervision of Finance Companies</li>\r\n<li>The Lease Finance Law</li>\r\n<li>The Real Estate Finance Law</li>\r\n<li>The Mortgage Law</li>\r\n</ol>\r\n<p>Finally, there are Ministerial Resolutions relating to &ldquo;Off Plan&rdquo; real estate sales and form part of the &ldquo;financial&rdquo; legal frame work for real estate development.&nbsp;<br /><br />It is beyond the scope of this article to consider in depth these laws and their implementation, but suffice to say, they show a serious commitment by the government of KSA to involve the private sector in real estate development.&nbsp;<br /><br /><strong>Setting up as a Developer in KSA</strong></p>\r\n<p>KSA nationals face very few barriers to set up as a real estate developer in KSA. A KSA national has the right to own real estate and develop this in accordance the rules of the relevant Municipality relating to the sub division of land. Stringent licensing rules do apply to the engineering and construction industries, however real estate developers generally sub-contract such activities. KSA nationals will however be required to comply with the Ministerial Resolutions if they wish to sell &ldquo;Off Plan&rdquo; (see below). Brokers must also be licensed appropriately.<br /><br />Developers other than KSA nationals are entitled to become real estate developers pursuant to the Foreign Ownership Law.&nbsp;</p>\r\n<p>Article 1 of the Foreign Ownership Law states:<br /><br />&ldquo;(a) Non Saudi investors of natural or corporate capacity licensed to practice any economic, vocational or professional activity may appropriate [an] estate necessary for practicing such activity, including the estate necessary for his domicile and the domicile of his employees with the consent of the authority which issues the license&hellip; (b) if the mentioned license includes the purchase of buildings or lands to erect buildings thereon and invested through sale or lease, the total cost of the project, including the cost of land and the cost of building, shall not be less than thirty million Saudi Riyals and the Council of Ministers may modify such amount. The said estate shall be invested within five years of its proprietorship.&rdquo;<br /><br />A foreign investor license (as referred to in Article 1) can be obtained from the Saudi Arabian General Investment Agency (&ldquo;SAGIA&rdquo;). Whilst SAGIA has discretion to require a certain amount of KSA national ownership of shares in the development company, foreign real estate developers, provided they meet the requirements of Article 1(b) of the Foreign Ownership Law are entitled to full foreign ownership.<br /><br /><strong>Conducting &ldquo;Off Plan&rdquo; sales<br /><br /></strong>Irrespective of whether a developer is a KSA national or a foreign national, it is illegal to sell real estate &ldquo;Off Plan&rdquo; except pursuant to the Ministerial Resolutions pertaining to &ldquo;Off Plan&rdquo; sales. Offenders may face criminal sanctions. The Ministerial Resolution sets out a regime regulating off plan sales and requires the following to be submitted to the committee formed by the Ministry of Commerce concerned with real estate development (&ldquo;Committee&rdquo;):</p>\r\n<ol>\r\n<li>an application form</li>\r\n<li>a credit report</li>\r\n<li>a copy of the title deed for the development land</li>\r\n<li>building approvals for the project</li>\r\n<li>details of all brokers and contracts</li>\r\n<li>details of all units to be sold off plan in the project</li>\r\n<li>a project feasibility study</li>\r\n<li>the commercial license of the developer</li>\r\n<li>the articles of association of the developer company</li>\r\n<li>identification details of all owners of the company</li>\r\n<li>a resolution for the formation of the Board of directors and identification of the Board</li>\r\n<li>a license from the Committee</li>\r\n<li>details of the escrow trustee who must be a registered bank in KSA</li>\r\n<li>a copy of the escrow agreement between the developer and the escrow trustee</li>\r\n<li>a copy of the agreement between an auditor and the developer for the audit of the escrow account</li>\r\n<li>a copy of the contract between the developer and engineering consultant.</li>\r\n</ol>\r\n<p>The role of the escrow trustee, engineering consultant and auditor are clearly defined in the Ministerial Resolutions, which require the supervision of the escrow account and payments from it.&nbsp; All sales of units in a project must be notified to the Committee.&nbsp;</p>'),
(85489, 4658, '_content', 'field_59b649b5c8b2b'),
(85490, 4658, 'lawUpdateArticleMonth', '4640'),
(85491, 4658, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85492, 4658, 'content_description', 'This month the Al Tamimi property team shall focus upon the requirements to register as a developer for real estate projects in Kuwait, Qatar, Jordan and the Kingdom of Saudi Arabia.'),
(85493, 4658, '_content_description', 'field_59b641c07f473'),
(85494, 4658, 'pageSummary', 'This month the Al Tamimi property team shall focus upon the requirements to register as a developer for real estate projects in Kuwait, Qatar, Jordan and the Kingdom of Saudi Arabia.'),
(85495, 4658, '_pageSummary', 'field_59e59b307dec8'),
(85496, 4658, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/built-it-and-they-will-come-part-2.html'),
(85497, 4658, '_currentURL', 'field_59d35123ab1e7'),
(85498, 4658, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '666'),
(85499, 4658, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85500, 4658, 'lawUpdateArticleWriters_1_lawUpdateArticleWriter', '692'),
(85501, 4658, '_lawUpdateArticleWriters_1_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85502, 4658, 'lawUpdateArticleWriters', '2'),
(85503, 4658, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85504, 4658, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Hassan Abdel Razak'),
(85505, 4658, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85506, 4658, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'j.scott@tamimi.com'),
(85507, 4658, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85508, 4658, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85509, 4658, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85510, 4658, 'lawUpdateArticleNoWriters', '1'),
(85511, 4658, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85512, 4658, '_yoast_wpseo_metadesc', 'This month the Al Tamimi property team shall focus upon the requirements to register as a developer for real estate projects in Kuwait, Qatar, Jordan and the Kingdom of Saudi Arabia.'),
(85513, 4659, 'content', '<p>In February this year the largest IPO in the Middle East since 2008 took place - not in the UAE, Saudi Arabia or Qatar - but Iraq. 70% of the shares were bought by foreign investors. The IMF predicts that in the next two years the Iraqi economy will grow faster than any other Middle Eastern country bar Libya.&nbsp;</p>\r\n<p>This is largely due to the country&rsquo;s rapidly rising oil production. For the first time in 30 years Iraq&rsquo;s oil production has surpassed 3 million barrels-per-day, and the International Energy Agency believes that in less than 20 years the country will overtake Russia as the world&rsquo;s second largest oil exporter. Iraq also has huge gas fields and mineral deposits, as well as a rich agricultural tradition due to the fertile lands watered by the two great rivers, the Tigris and the Euphrates.&nbsp;</p>\r\n<p>Iraq is therefore not a country that can be ignored by international and regional companies, despite its ongoing political and security issues. A key concern for foreign companies when considering doing business in Iraq is whether disputes can be settled in an efficient, fair and final manner. Arbitration can satisfy these needs, and although in Iraq it has its challenges, arbitration is possible and is getting easier.&nbsp;</p>\r\n<p>ARBITRATION UNDER IRAQI LAW&nbsp;</p>\r\n<p>Iraq is a civil law system and its laws have been subject to constant and significant change in recent years. Many laws and regulations have been issued which have relaxed the legal environment and made it easier for foreigners to invest and operate in the country. Iraq has explicitly endorsed the use or arbitration by investors (see article 27 of Investment Law 2006), as well as the use of arbitration in relation to government contracts (see article 11 of Regulation No.1 of 2008 &lsquo;Regulations for Implementing Government Contracts).</p>\r\n<p>The law relating to arbitration however has remained largely untouched. It does not exist as a free-standing law but can be found in articles 251 &ndash; 276 of the Code of Civil and Commercial Procedure 1969. The arbitration law is not modern and in parts is very different to the UNCITRAL Model Law on International Commercial Arbitration which is used in many countries around the world. However provided caution is used and expert legal advice sought, it is just as possible to conduct successful arbitrations under the law as it is in other Middle Eastern countries.&nbsp;</p>\r\n<p>A detailed discussion of the Iraqi arbitration law is outside the scope of this article, but some of its key aspects are:</p>\r\n<ol>\r\n<li>Arbitration agreements must be in writing (article 252).</li>\r\n<li>The Iraqi courts must stay a court action if an arbitration clause exists, provided the party wishing to rely on the clause makes its objection as early as possible (article 253).</li>\r\n<li>There are no restrictions on who may sit as an arbitrator.</li>\r\n<li>There are no restrictions on who may represent a party.</li>\r\n<li>There are no provisions allowing or forbidding a tribunal from making orders for interim measures.</li>\r\n<li>Unless the parties agree otherwise, a tribunal has six months from accepting its appointment to render its award (article 262). A party can apply to court for an extension of this time (article 263).</li>\r\n<li>Unless the parties agree otherwise, a tribunal must comply with the procedures set out in the Civil Actions Law (article 265). Provided the agreement is clear parties can therefore choose to apply the ICC Rules or any other arbitral rules they wish.</li>\r\n<li>A tribunal must give reasons for its award (article 270).</li>\r\n</ol>\r\n<p>ARBITRATION CENTRES&nbsp;</p>\r\n<p>Parties do not have to use an arbitration centre to assist with the arbitral process, but it is recommended. In Iraq there are no restrictions on which centre can be used, so parties can choose international centres (ICC, LCIA) or regional ones (DIFC-LCIA, BCDR-AAA, CRCICA).&nbsp;</p>\r\n<p>Iraq does have two national centres: the Federation of the Chambers of Commerce Arbitration Centre and The International Commercial Arbitration Centre Najaf. Both centres will accept international as well as domestic disputes, although at present neither centre has any cases. Until these centres have a regular caseload of complex cases and a track record, it is unlikely that they will be used by non-Iraqi parties.</p>\r\n<p>ENFORCING AN AWARD IN IRAQ&nbsp;</p>\r\n<p>Most arbitral awards are either complied with or form the basis of an amicable settlement between the parties. However there will be times when enforcement action is necessary.</p>\r\n<p>A domestic Iraqi award cannot be enforced unless the supervising court approves it (article 272). The court may decide to annul an award where, pursuant to Article 273, it is found that:&nbsp;</p>\r\n<p>i.<span> </span>The arbitral agreement was invalid.</p>\r\n<p>ii.<span> </span>The award was not made in writing, or the tribunal acted beyond its powers.</p>\r\n<p>iii.<span> </span>The award does not comply with the Iraqi arbitration law, or contradicts public policy (Iraqi law does not distinguish between national and international public policy).</p>\r\n<p>iv.<span> </span>There are grounds for a retrial (such as forged evidence).&nbsp;</p>\r\n<p>v.<span> </span>There was a substantial error in the award or in any of the proceedings that might influence the validity of the award.</p>\r\n<p>When deciding whether to approve or annul an award it is not the practice of the court to reopen the substantive issues. Any decision made by the court can be appealed.</p>\r\n<p>ENFORCING AN IRAQI AWARD ABROAD</p>\r\n<p>Iraq is one of the few countries which is not a signatory to the New York Convention. This means that enforcing an Iraqi award outside Iraq will depend on whether the country where enforcement is sought has a treaty with Iraq on judicial matters; has some other special relationship; or is willing to enforce foreign awards regardless of their origin.&nbsp;</p>\r\n<p>Within the Middle East enforcement is made easier by the fact that Iraq is a signatory to the Riyadh Convention on Judicial Cooperation 1983. This treaty specifically provides for the reciprocal enforcement of arbitral awards. One of the conditions is that the party seeking enforcement must produce a statement from the local judicial authority certifying that the award has become finally binding, which in Iraq means the award must have been approved by the Iraqi courts. The Riyadh Convention will not however assist if the party against whom enforcement is sought is an Iraqi government entity.</p>\r\n<p>THE PRESENT SITUATION AND THE FUTURE&nbsp;</p>\r\n<p>It is likely that as Iraq&rsquo;s economy grows and attracts more international businesses, the role of arbitration in the country will become more important. At present the Iraqi arbitration law is flexible enough that parties can choose any arbitral institution they wish, and can choose their arbitrators and representatives. The courts will respect arbitral agreements and have the power to assist the process if necessary (such as by appointing an arbitrator where one party fails to do so, or granting more time for the issuing of an award).</p>\r\n<p>The courts do however have more powers to annul an award than would be the case under most modern arbitral laws (especially those based on the UNCITRAL Model Law).&nbsp;</p>\r\n<p>The shortcomings in Iraq&rsquo;s current approach to arbitration have been recognized and there are reports of a new arbitration law being drafted. It is unclear when this law will be enacted and whether it will be based on the UNCITRAL Model Law. Since the aim of the law will be to attract international trade and investment it seems likely that it will be comprehensive and robust.</p>\r\n<p>Iraq&rsquo;s High Judicial Council has also stated that Iraq is keen to join the New York Convention. Again, it is not clear how soon this will happen, but when it does it will be a crucial step in encouraging further foreign investment into the country.</p>'),
(85514, 4659, '_content', 'field_59b649b5c8b2b'),
(85515, 4659, 'lawUpdateArticleMonth', '4640'),
(85516, 4659, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85517, 4659, 'content_description', 'After decades of war, dictatorship, sanctions, and occupation, Iraq is emerging as one of the region’s most important economies. '),
(85518, 4659, '_content_description', 'field_59b641c07f473'),
(85519, 4659, 'pageSummary', 'After decades of war, dictatorship, sanctions, and occupation, Iraq is emerging as one of the region’s most important economies. '),
(85520, 4659, '_pageSummary', 'field_59e59b307dec8'),
(85521, 4659, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/arbitration-in-iraq-what-you-need-to-know.html'),
(85522, 4659, '_currentURL', 'field_59d35123ab1e7'),
(85523, 4659, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '619'),
(85524, 4659, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85525, 4659, 'lawUpdateArticleWriters', '1'),
(85526, 4659, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85527, 4659, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Robert Karrar-Lawsley'),
(85528, 4659, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85529, 4659, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'r.lewsley@tamimi.com'),
(85530, 4659, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85531, 4659, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85532, 4659, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85533, 4659, 'lawUpdateArticleNoWriters', '1'),
(85534, 4659, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85535, 4659, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(85536, 4659, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85537, 4659, 'lawUpdateArticlePractices', '1'),
(85538, 4659, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85539, 4659, '_yoast_wpseo_metadesc', 'After decades of war, dictatorship, sanctions, and occupation, Iraq is emerging as one of the region’s most important economies.');
INSERT INTO `tm_postmeta` (`meta_id`, `post_id`, `meta_key`, `meta_value`) VALUES
(85540, 4660, 'content', '<p>Cloud computing allows businesses to convert capital expenses associated with IT systems and infrastructure into operating expenses associated with platforms, capacity and applications. For many companies the business case is compelling. As with any business decision, it is important to be fully informed, and aware of the risks.&nbsp; In this article, the second in a series of two, we look at some further core legal considerations associated with cloud computing. (Part 1 may be found in the December/January edition of Law Update.)</p>\r\n<p><strong>Service levels and service level credits</strong></p>\r\n<p>As with most IT services agreements, service levels - which provide objective and measurable standards and help manage performance and quality - are also relevant to cloud services. One key difference, however, is that Cloud Service Providers will typically set service levels that are applicable to all their customers, and there will be little scope to negotiate. (The situation may be different if the cloud is a private cloud, or if the client is procuring a large volume of services.)&nbsp;</p>\r\n<p>When negotiating service level credits, the CSP will typically seek to use their own servers as the point of measurement for service availability. In contrast, from the client&rsquo;s perspective, availability at the client&rsquo;s own computer is the natural point to assess availability.&nbsp; In practical terms, it is not always technically possible to use the client&rsquo;s computer as the point of measurement, although it may be possible to use the cloud termination point at the client&rsquo;s premises. If it can be justified by the business need, then a leased line connection to the CSP would provide a reliable connection, as well as scope for the client to argue that availability should be calculated on an end-to-end basis.</p>\r\n<p>Another important point relates to the time period over which availability is calculated. For example, calculating availability on a 24/7 basis seems appealing, although if the real business need for the service is during business hours, then it would be prudent to calculate availability based on the hours of business. For example, 98% availability on a 24/7 basis over a period of a month would mean that up to 15 hours of down-time would be permitted; whereas the same level of availability calculated with reference to business hours on week days over the same period would mean only 4 hours of down-time would be permitted.</p>\r\n<p>The use of service level credits as a means of addressing service failure is not uncommon. Clients should ensure, however, that sufficient details of the reasons for non-compliance with service levels is provided to them, and that recurring issues provide a basis for termination. Otherwise, there is a risk that the CSP will simply see service level credits as the &lsquo;price&rsquo; of failing to provide a reliable service &ndash; and there will be little incentive for them to strive to meet the agreed service levels.&nbsp;</p>\r\n<p>Some CSPs will try to include provisions whereby a service level bonus is paid if certain service levels are exceeded. Clients should consider the extent to which the marginal benefit of excess up-time over an already high up-time level is really a benefit worth paying for. For example, if the CSP offers 98% up-time as standard, is there really any value to the client in paying a bonus for 99% up-time?</p>\r\n<p><strong>Limits on liability</strong></p>\r\n<p>CSPs will typically try to limit liability. They may disclaim any warranties and describe their services as being offered &lsquo;as is&rsquo;, and they may seek to exclude direct, indirect and consequential damages. If they do not exclude direct damages entirely, they may seek to limit damages to a specific amount, such as the amount paid by the client for the services during a specific period of time.</p>\r\n<p>When considering provisions relating to limitations of liability, it is important to review these in detail. The client should specifically consider whether the types of events giving rise to what the CSP has described as indirect damages are, in fact, indirect &ndash; or whether they are exactly the types of damages that are likely to arise if the CSP fails to adequately perform its obligations. (A good example is &lsquo;loss of data&rsquo;, and costs associated with manually inputting any lost data, both of which would seem to be obvious losses resulting from a failure on the part of a CSP.) Similar considerations arise in the context of force majeure provisions, which are typically used to provide for natural disaster type occurrences. Some CSPs may attempt to include events for which it is reasonable to expect them to bear the risk directly.&nbsp;</p>\r\n<p>Seeking to agree an increased cap, or seeking to specify certain losses as direct losses is a reasonable approach for a client to take. Additionally, were a dispute to come before the courts in the UAE, there is some consolation in knowing that pursuant to Article 390 of the Civil Code, &ldquo;The contracting parties may fix the amount of compensation in advance by making a provision therefore in the contract [&hellip;], subject to the provisions of the law. The judge may, in all cases, upon the application of either party, vary such agreement so as to make the compensation equal to the harm, and any agreement to the contrary shall be void.&rdquo; Additionally, Article 296 of the Civil Code provides, &ldquo;Any condition purporting to provide exemption from responsibility for a harmful act shall be void.&rdquo;&nbsp; &nbsp;</p>\r\n<p><strong>Lock-in and transition</strong></p>\r\n<p>The risk of technical or commercial lock-in needs to be considered at the outset. Technical lock-in refers to the risk that the manner in which the cloud services are provided means that it would be technically difficulty and/or costly for the client to migrate to an alternative provider. Commercial lock-in refers to contractual restrictions on the ability of the client to terminate; the absence of a right to terminate for convenience, for failure to comply with agreed service levels, or other reasons. When engaging a CSP, the client should ensure that the risk of lock-in is properly understood and addressed. Technology develops quickly, so the benefits of a long term engagement with a CSP may be short-lived, so the ability to move promptly to another service provider is valuable.&nbsp;</p>\r\n<p>Business continuity is always a major consideration in the cloud, as failure of the services can significantly impact on business. Many clients seek to establish an exit strategy at the outset, and verify that the CSP is able to implement its part of the exit strategy, such as by locating, isolating and extracting the client&rsquo;s data. The exit plan should specify the CSP&rsquo;s responsibilities in the event that the client wishes to exit the CSP&rsquo;s cloud, the format in which the client&rsquo;s data needs to be delivered, and the timeframe in which the transition needs to be completed. It is also prudent to require the CSP to formally confirm that all the client&rsquo;s data has been removed from the CSP&rsquo;s system.</p>\r\n<p>Al Tamimi &amp; Company&rsquo;s Technology, Media &amp; Telecommunications team regularly advises on IT service agreements, including in a cloud context, as well as related issues such as data protection, document retention and confidentiality provisions. For further information, please contact Nick O&rsquo;Connell n.oconnell@tamimi.com</p>'),
(85541, 4660, '_content', 'field_59b649b5c8b2b'),
(85542, 4660, 'lawUpdateArticleMonth', '4640'),
(85543, 4660, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85544, 4660, 'content_description', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular. '),
(85545, 4660, '_content_description', 'field_59b641c07f473'),
(85546, 4660, 'pageSummary', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular. '),
(85547, 4660, '_pageSummary', 'field_59e59b307dec8'),
(85548, 4660, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/march-4/legal-issues-in-cloud-computing-part-2.html'),
(85549, 4660, '_currentURL', 'field_59d35123ab1e7'),
(85550, 4660, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Nick O\' Connell'),
(85551, 4660, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85552, 4660, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'N.oconnell@tamimi.com'),
(85553, 4660, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85554, 4660, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85555, 4660, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85556, 4660, 'lawUpdateArticleNoWriters', '1'),
(85557, 4660, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85558, 4660, '_yoast_wpseo_metadesc', 'Remote access computing services, whereby software applications, databases, data storage, network configuration and programming tools are made available to clients as a service, are becoming increasingly popular.'),
(85559, 4662, '_wp_attached_file', 'uploads2/media-4661.jpg'),
(85560, 4662, '_wp_attachment_metadata', 'a:5:{s:5:\"width\";i:100;s:6:\"height\";i:133;s:4:\"file\";s:23:\"uploads2/media-4661.jpg\";s:5:\"sizes\";a:0:{}s:10:\"image_meta\";a:12:{s:8:\"aperture\";s:1:\"0\";s:6:\"credit\";s:0:\"\";s:6:\"camera\";s:0:\"\";s:7:\"caption\";s:0:\"\";s:17:\"created_timestamp\";s:1:\"0\";s:9:\"copyright\";s:0:\"\";s:12:\"focal_length\";s:1:\"0\";s:3:\"iso\";s:1:\"0\";s:13:\"shutter_speed\";s:1:\"0\";s:5:\"title\";s:0:\"\";s:11:\"orientation\";s:1:\"0\";s:8:\"keywords\";a:0:{}}}'),
(85561, 4661, 'lawUpdateImageURL', '5903'),
(85562, 4661, '_lawUpdateImageURL', 'field_59c8deca117cd'),
(85563, 4661, 'lawUpdateDesc', ''),
(85564, 4661, '_lawUpdateDesc', 'field_59da24cd91f17'),
(85565, 4661, 'lawUpdateYear', '2013'),
(85566, 4661, '_lawUpdateYear', 'field_59da245091f13'),
(85567, 4661, 'pageSummary', ''),
(85568, 4661, '_pageSummary', 'field_59e59b307dec8'),
(85569, 4661, 'lawUpdateStartMonth', 'February'),
(85570, 4661, '_lawUpdateStartMonth', 'field_59da247791f14'),
(85571, 4661, 'currentURL', 'http://www.tamimi.com/en/section/law-update/section-5/february-4'),
(85572, 4661, '_currentURL', 'field_59d35123ab1e7'),
(85573, 4663, 'content', '<p>When registering a domain name, there is an option to make the  registrant&rsquo;s personal information private by registering the domain name  through the name Domains By Proxy.&nbsp; This practice is called ID Protect  and the result is that details of the domain name owner will not be  revealed in searches through &ldquo;Whois&rdquo; domain name search providers. &nbsp;</p>\r\n<p>ID Protect was originally designed to protect the privacy of domain  name owners as it avoided having personal information such as names,  addresses, phone numbers and email addresses published online 24 hours a  day on the internet.&nbsp; However, the ID Protect system has occasionally  been misused by cybersquatters or domain owners who commit various  violations, such as merchandizing counterfeit and/or infringing and/or  otherwise unlawful products and materials. Such domain name owners may  have been under the impression that ID Protect gives some &ldquo;protection&rdquo;  to them to freely act without having to expose their identities and  resulting in practical difficulties on the part of intellectual property  rights owners to establish their identities and to take legal action in  the UAE.</p>\r\n<p>In a recent court case which involved a person who was associated  with a domain name operating under the gTLD (.com), the defendant denied  any association or ownership of a particular domain name before the  Dubai Court of First Instance. Al Tamimi &amp; Company represented the  plaintiff in this proceeding and sought from the Court to serve a  subpoena on the domain name registration provider (one of the largest  hosting and domain registration providers) located in the USA.&nbsp; The  Dubai Court of First Instance approved the request and an official  letter was served by the Court, addressed to the registry to disclose  details of the domain name owners and history.&nbsp;</p>\r\n<p>Al Tamimi &amp; Company supervised the process and the results of the  request were received though a very efficient process and on an  expedited basis. In this case the process was completed within a two  week period from the date of requesting the information and at a minimal  administrative fee.&nbsp;</p>\r\n<p>It is important to note that the benefits of this procedure include to:</p>\r\n<ol>\r\n<li>overcome the challenges created by ID Protect and to be able to  determine the identity of the domain name registration owner(s);&nbsp;</li>\r\n<li>obtain information on the history of a domain name (if it has been modified, assigned, etc);&nbsp;</li>\r\n<li>expedite the litigation process as it is a fast procedure, and&nbsp;</li>\r\n<li>illuminate the shadow of uncertainty that individuals or entities  can establish through ID Protect to escape legal liability in respect of  their unlawful activities.</li>\r\n</ol>\r\n<p>Al Tamimi &amp; Company&rsquo;s IP practice is capable to assist on various  online and domain names issues, such as due diligence, fighting online  infringements and most significantly, anti-cybersquatting cases. Our  lawyers handle UDRP complaints before WIPO and hadve successfully  disputed cases on behalf of IP owners. Outstanding results are typically  achieved and a transfer of domain names to legitimate owners was  successfully accomplished in the vast majority of cases.</p>'),
(85574, 4663, '_content', 'field_59b649b5c8b2b'),
(85575, 4663, 'lawUpdateArticleMonth', '4661'),
(85576, 4663, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85577, 4663, 'content_description', 'Identity Protection in respect of the ownership of domain names is no longer an obstacle in litigation before the Dubai Courts.  '),
(85578, 4663, '_content_description', 'field_59b641c07f473'),
(85579, 4663, 'pageSummary', 'Identity Protection in respect of the ownership of domain names is no longer an obstacle in litigation before the Dubai Courts.  '),
(85580, 4663, '_pageSummary', 'field_59e59b307dec8'),
(85581, 4663, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/dubai-court-subpoena-recognised-by-a-us-domain-names-registry.html'),
(85582, 4663, '_currentURL', 'field_59d35123ab1e7'),
(85583, 4663, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Munir Suboh'),
(85584, 4663, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85585, 4663, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.suboh@tamimi.com'),
(85586, 4663, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85587, 4663, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85588, 4663, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85589, 4663, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorName', 'Manal Bin Said'),
(85590, 4663, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85591, 4663, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorEmail', 'm.bensaid@tamimi.com'),
(85592, 4663, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85593, 4663, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorLocation', ''),
(85594, 4663, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85595, 4663, 'lawUpdateArticleNoWriters', '2'),
(85596, 4663, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85597, 4663, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '634'),
(85598, 4663, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85599, 4663, 'lawUpdateArticlePractices', '1'),
(85600, 4663, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85601, 4663, '_yoast_wpseo_metadesc', 'Identity Protection in respect of the ownership of domain names is no longer an obstacle in litigation before the Dubai Courts.'),
(85602, 4664, 'content', '<p>The UAE has witnessed an exponential growth in the development of  building and infrastructure projects over the past decade. New  communities have developed across the UAE for residential, commercial  and leisure purposes.&nbsp; Although construction of certain projects were  placed on hold or cancelled as a result of the global financial crisis,  recent announcements of further &ldquo;mega&rdquo; projects in Dubai and continuing  development in other Emirates show a clear revival of the property  market generally in the UAE.&nbsp; The general sentiment amongst developers  is to recommence construction activities and to strive forward with  completion of stalled projects and the development of new ones.</p>\r\n<p>Given the recent impetus on development, and following various  legislative and regulatory changes, we thought it appropriate to focus  on the regulatory requirements to register as a developer in the  Emirates of Dubai, Abu Dhabi, Ajman, Sharjah and Ras Al Khaimah. &nbsp;</p>\r\n<p><strong>Registering as a Developer for Projects in the Emirate of Dubai</strong></p>\r\n<p>The registration of&nbsp; developers in the Emirate of Dubai is governed  by the Real Estate Regulatory Agency (RERA).&nbsp; The registration  requirements have evolved over the past few years through various laws,  regulations and policies of RERA.</p>\r\n<p>At present RERA only allows companies registered with the Dubai  Department of Economic Development (Dubai DED), with real estate  development activities noted in their trade licence, to engage in  development activities. Such Dubai DED companies must be owned 100% by  UAE nationals or companies wholly owned by them. The registration fee to  establish a Dubai DED is currently AED 37,000 plus 5% of the office  lease rent of the Dubai DED AED 25,000 of this amount is paid to RERA by  Dubai DED as the developer registration fee.</p>\r\n<p>The following documents must be submitted to RERA in order to apply for a developer registration certificate:</p>\r\n<ul>\r\n<li>Developer registration and project application form</li>\r\n<li>Copy trade licence from Dubai DED</li>\r\n<li>Title deed of land to be developed</li>\r\n<li>Unconditional performance guarantee from a UAE bank for 20% of the  project construction costs to be issued in favour of RERA if units are  to be sold prior to completion of 20% of construction of the project</li>\r\n<li>Units registration certificate from Dubai Land Department (DLD)</li>\r\n<li>No Objection Certificate (NOC) from master developer of the project sales and marketing plan</li>\r\n<li>Letter from the project consultant stating the following:</li>\r\n</ul>\r\n<p>- Main contractor name<br />- Project name<br />- Project value<br />- Start date<br />- End date</p>\r\n<ul>\r\n<li>Payment plan linked to construction milestones of project</li>\r\n<li>Financial report (RT01)</li>\r\n<li>Project timeline per floor</li>\r\n<li>Dubai Chamber of Commerce &amp; Industry membership certificate</li>\r\n<li>Final building permit</li>\r\n<li>Contact details of project manager</li>\r\n</ul>\r\n<p>It follows from the above requirements that RERA requires that the  land subject to development should be fully paid and a title deed should  be issued in the name of the owner. &nbsp;</p>\r\n<p>Where the owner of the land cannot register as a developer, RERA  permits the land owner to enter into a property development contract  with an existing registered developer to develop the project on behalf  of the land owner.&nbsp; The property development contract however must be  approved by the senior legal adviser of DLD, to validate such an  arrangement and to be accepted by RERA. &nbsp;</p>\r\n<p><strong>Developer wishing to sell units off plan</strong></p>\r\n<p>Pursuant to Law No 8 of 2007 (&ldquo;Escrow Law&rdquo;), where a developer wishes  to sell units off plan, the developer must be a registered developer  with RERA (as mentioned above) and apply to RERA to open an escrow  account.&nbsp; The developer must ensure all proceeds of sale of the units  sold off plan are deposited into the escrow account, and are used solely  for the purposes of construction of the project.&nbsp; Failure to comply  with the Escrow Law can lead to a fine of AED 100,000 or criminal  sanctions resulting in a prison sentence (Article 16 Escrow Law).</p>\r\n<p>Once the developer has submitted all the required documents to RERA  and the developer is granted the authority to sell units off plan RERA  will issue an NOC to allow the developer to open an escrow account with  an authorized bank in the UAE.&nbsp; The following documents are required to  open an escrow account:</p>\r\n<ul>\r\n<li>Dubai Chamber of Commerce and Industry membership certificate</li>\r\n<li>Trade License</li>\r\n<li>Title deed of the land to be developed</li>\r\n<li>Copy of the contract executed by the master developer and the sub-developer</li>\r\n<li>Architectural designs and layouts approved by concerned authorities and the master developer</li>\r\n<li>A financial statement certified by a certified legal accountant, containing the revenues and expenses of the project&nbsp;</li>\r\n<li>An undertaking by the sub-developer to commence the project  construction after obtaining the master developer&rsquo;s approval to sell off  plan or an undertaking from the master developer in case a  sub-developer does not exist</li>\r\n<li>A sample sale contract between the developer and a buyer</li>\r\n</ul>\r\n<p>In addition to the above requirements, pursuant to Law No 13 of 2008  Regulating the Interim Real Estate Register in the Emirate of Dubai as  amended (&ldquo;Pre-registration Law&rdquo;), Article 3 provides that no sale of any  off plan property shall be valid if not recorded on the Interim Real  Estate Register, known as the &ldquo;Oqood&rdquo; system.&nbsp; Failure to register a  contract by the developer could incur a fine of AED 10,000.&nbsp; Article 4  of the Pre-registration Law also states that a developer shall not  commence the sale of off plan units unless the developer has possession  of the land to be developed and has obtained all necessary approvals  from the competent authorities. &nbsp;</p>\r\n<p>The Pre-registration Law has been further clarified by the Executive  Council Resolution No. 6 of 2010 approving the executive regulation of  Law No 13 of 2008 concerning the regulation of the Interim Real Estate  Register in the Emirate of Dubai (&ldquo;Resolution&rdquo;).&nbsp; Pursuant to Article 4  of the Resolution, no developer may commence construction or sell units  off plan unless:</p>\r\n<ul>\r\n<li>possession of the land has been taken and the demarcation certificate is received;</li>\r\n<li>the developer has actual control of the land where the project is proposed to be constructed;</li>\r\n<li>the developer has obtained the required approvals from the relevant authorities to commence the construction of the project.</li>\r\n</ul>\r\n<p>The owner of the land is entitled to mortgage the land, however all  mortgage funds received by the owner must be paid into the escrow  account of the project and used towards the construction costs of the  project only as a measure to safeguard investors.</p>\r\n<p><strong>Registering as a Developer for Projects in the Emirate of Abu Dhabi</strong></p>\r\n<p>The registration of a developer in the Emirate of Abu Dhabi is  governed by the Department of Economic Development (&ldquo;Abu Dhabi DED&rdquo;).&nbsp; A  company intending to carry out real estate development should apply to  the Abu Dhabi DED for a commercial licence which lists &ldquo;real estate  enterprises, investments and management&rdquo; as one of its authorised  activities.&nbsp; It is usually relatively straightforward for prospective  developers to obtain a licence from the Abu Dhabi DED for this activity.  There is no restriction for foreigners/GCC nationals or owned by them  companies to apply for a license to engage in development activities  with Abu Dhabi DED.</p>\r\n<p>The developer will need to provide various documents to the Abu Dhabi  DED in support of its application for a commercial licence.&nbsp; These  documents will include a copy of its memorandum of association, its  lease and passport copies for its shareholders and signatories.&nbsp; The  developer will also need to supply an undertaking in a prescribed format  confirming that the shareholding in the company does not comprise any  third party monies.</p>\r\n<p>At present there are no laws restricting off plan sales or imposing escrow account requirements in Abu Dhabi.</p>\r\n<p><strong>Registering as a Developer for Projects in the Emirate of Ajman</strong></p>\r\n<p>The registration of developers and real estate projects in the  Emirate of Ajman is governed by the Ajman Real Estate Regulatory  Authority (ARRA) pursuant to Amiri Decree No 11 of 2008 regarding the  establishment of ARRA and Amiri Decree No 8 of 2008 as amended by Amiri  Decree No 12 of 2008.</p>\r\n<p>The required documents to register as a developer are as follows:</p>\r\n<ul>\r\n<li>Official request from the company to register with ARRA as a real estate developer</li>\r\n<li>Company profile</li>\r\n<li>Copy Trade License</li>\r\n<li>Company&rsquo;s Memorandum of Association (MOA) and the last Addendums (if applicable)</li>\r\n<li>A Board resolution for the authorized signatory</li>\r\n<li>Valid passport copy of all partners along with &ldquo;Kholaset Al-Qaid&rdquo; for U.A.E. nationals and residency visa for expatriates</li>\r\n<li>The company should have an office licensed by Ajman Municipality  &amp; Planning Dept, or an on-site office licensed by ARRA to represent  the company and communicate with ARRA</li>\r\n<li><span>Six months bank statements for all the company&rsquo;s bank accounts (original or stamped copies)</span></li>\r\n<li><span>Audited financial report (for the last financial year) from an approved auditing firm in the U.A.E</span></li>\r\n<li><span>Affection plan from Ajman Municipality &amp; Planning</span></li>\r\n<li><span>Project feasibility study from an approved consultant in the U.A.E.</span></li>\r\n<li><span>Sales &amp; marketing plan for the project</span></li>\r\n<li><span>Undertaking from the company that all submitted documents are  accurate and that it will submit any additional documents requested by  ARRA</span></li>\r\n<li><span>Developer registration fee (AED 100,000)</span></li>\r\n</ul>\r\n<p>The required documents for registration of a real estate project are as follows:</p>\r\n<ul>\r\n<li>Land registration certificate from Ajman Land Department or affection plan from Ajman Municipality &amp; Planning Department</li>\r\n<li>Approved plans from the master developer, Ajman Municipality &amp; Planning Department and project consultant</li>\r\n<li>Feasibility study from the project consultant</li>\r\n<li>A sample of the property reservation form</li>\r\n<li>A sample of the sale and purchase agreement</li>\r\n<li>A detailed list of all units to be sold including names of purchasers unit details and amounts received to be provided on CD</li>\r\n<li>SPA for the land purchase</li>\r\n<li>NOC from the project master developer, including payments received to date</li>\r\n<li>Project completion timeline from project consultant</li>\r\n<li>Contractor agreement approved by consultant</li>\r\n<li>Project name registration with Ajman Municipality &amp; Planning Department</li>\r\n<li>Project registration fee (AED 50,000)</li>\r\n</ul>\r\n<p><strong>Registering as a Developer for Projects in the Emirate of Sharjah</strong></p>\r\n<p>The registration of real estate projects and the issue of permission  for the sale of units in jointly owned buildings in the Emirate of  Sharjah is governed by the Department of Real Estate Registration  (DRER). Executive Council Decision No 25 of 2011 regarding the sale of  units in the Emirate of Sharjah defines the rules and requirements for  the registration of real estate projects and the issue of permission for  the sale of units. &nbsp;</p>\r\n<p>Article 4 of Decision No.25 of 2011 provides the requirements for the licensing of developers:&nbsp;</p>\r\n<ul>\r\n<li>The developer must own the project land and there can be no restrictions on the disposition of the land</li>\r\n<li>The developer must be licensed to undertake the activity of sales and marketing of real estate units&nbsp;</li>\r\n<li>Licenses may be issued to UAE and GCC nationals only unless the Ruler gives an exemption</li>\r\n<li>The developer must sign the undertaking provided by DRER</li>\r\n<li>The developer must obtain a report from the Planning and Surveying  Department confirming the project&rsquo;s compliance with the rules and  requirements of the sale of units</li>\r\n<li>The developer must provide DRER with a bank guarantee equal to 20%  of the construction value if the project is to be sold off plan</li>\r\n</ul>\r\n<p>DRER has the authority to exempt any developer from the 20% bank  guarantee requirement provided that 15% of the project is completed, in  which case a bank guarantee for 5% of the construction value of the  project is required by DRER.</p>\r\n<p>DRER issues a standard form of agreement for the sale and purchase of  units in the Emirate of Sharjah and developers must link the payment of  the purchase price with the progress of construction if selling off  plan.&nbsp;</p>\r\n<p><strong>Registering as a Developer for Projects in the Emirate of Ras Al Khaimah</strong></p>\r\n<p>The registration of developers and real estate projects in the  Emirate of Ras Al Khaimah is governed by Ras Al Khaimah Investment  Authority (RAKIA) pursuant to Amiri Decree No 22 of 2008 concerning  Guarantee Accounts of Real Estate Developments in the Emirate of Ras Al  Khaimah. This is applicable to all developers who sell units off plan in  real estate development projects in Al Jazeera, Al Hamra or in any  other part of the Emirate supervised by RAKIA.</p>\r\n<p>A developer wishing to sell units off plan must apply to RAKIA to  open a guarantee account. The application should be accompanied by the  following documents:&nbsp;</p>\r\n<ul>\r\n<li>Trade License issued by RAKIA or Ras Al Khaimah Department of Economic Development</li>\r\n<li>Membership Certificate from Ras Al Khaimah Chamber of Commerce and Industry (if applicable)</li>\r\n</ul>\r\n<p>A special register called the &ldquo;Register of Developers&rdquo; (Register) is  maintained by RAKIA which records names of developers licensed to carry  out real estate development activities in the Emirate.&nbsp; No developer may  carry out real estate development activities unless it is registered in  the Register and licensed by the competent authorities. The Register is  reviewed and updated periodically by RAKIA.&nbsp;</p>\r\n<p><em>Next month we shall focus on the requirements to register as a developer in Jordan, Kuwait, Kingdom of Saudi Arabia and Qatar.</em></p>'),
(85603, 4664, '_content', 'field_59b649b5c8b2b'),
(85604, 4664, 'lawUpdateArticleMonth', '4661'),
(85605, 4664, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85606, 4664, 'content_description', 'Developer registration requirements in the UAE'),
(85607, 4664, '_content_description', 'field_59b641c07f473'),
(85608, 4664, 'pageSummary', 'Developer registration requirements in the UAE'),
(85609, 4664, '_pageSummary', 'field_59e59b307dec8'),
(85610, 4664, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/build-it-and-they-will-come-part-1.html'),
(85611, 4664, '_currentURL', 'field_59d35123ab1e7'),
(85612, 4664, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Mohammmed Kawasmi, David Bowman'),
(85613, 4664, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85614, 4664, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.kawasmi@tamimi.com'),
(85615, 4664, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85616, 4664, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85617, 4664, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85618, 4664, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorName', 'Mohammmed Kamran Tahir'),
(85619, 4664, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85620, 4664, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorEmail', 'd.bowman@tamimi.com'),
(85621, 4664, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85622, 4664, 'lawUpdateArticleNoWriters_1_lawUpdateAuthorLocation', ''),
(85623, 4664, '_lawUpdateArticleNoWriters_1_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85624, 4664, 'lawUpdateArticleNoWriters', '2'),
(85625, 4664, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85626, 4664, '_yoast_wpseo_metadesc', 'Developer registration requirements in the UAE'),
(85627, 4665, 'content', 'This decision is considered controversial particularly as the Civil Code provides that the principal’s express notification to the agent/third party is required to revoke a power of attorney.\r\n\r\n<strong>Background</strong>\r\n\r\nThe Bank (the First Defendant) in this case was held liable for unauthorized transactions and was ordered to pay damages in the amount of AED 3.2 million (the Claim amount was AED 8.3 million) representing the loss suffered as a result of the unauthorized transactions.  The Bank’s alleged error was that it allowed the Second Defendant (an individual) to unilaterally withdraw funds from the account despite the existence of the last power of attorney requiring the joint signatures of the Claimant and the Third Defendant (another individual) to manage the account.\r\n\r\nThree powers of attorneys were submitted to the Bank in total, the first power of attorney authorized only the Second Defendant to manage the account, the second power of attorney authorized the Second Defendant and the Claimant jointly and the third power of attorney authorized the Claimant and the Third Defendant jointly.\r\n\r\nThe Court of First Instance and Court of Appeal rejected the Claimant’s case on the basis that the Bank had the discretion to accept any transaction based on any signature of the authorized attorneys together as long as the Bank had not been notified of the revocation of the power of attorney. In these circumstances, the Bank had not been notified of any revocation and as a result, all the powers of attorneys submitted to the Bank were binding.\r\n\r\nThe Federal Supreme Court’s decision and its reliance on 933 (2) of the Civil Code\r\n\r\nThe argument by the Bank, although successful at the lower two levels, failed at the final level.  The Federal Supreme Court rejected the Bank’s argument and ruled that the bank was mistaken in accepting transactions based on the first power of attorney as the last power of attorney issued, provides very clearly that two people should sign together.\r\n\r\nThe court relied on Article 933(2) of the Civil Code, which provides:\r\n\r\n<em>“if the attorneys are appointed in one contract without any of them being given the power to act individually, they must act jointly unless the work is such that it cannot be done jointly with another such as legal representation, but provided that (the person acting on his own) must consult the others appointed with him, or unless it is a matter which does not require the exchange of views such as the collection or payment of a debt.” </em>\r\n\r\nThe Federal Supreme Court therefore overruled the Court of Appeal judgment and sent the matter back for retrial.  Upon retrial, the Court of Appeal ruled in favour of the Claimant and ordered the bank to pay AED 2.7 million plus 5% interest in compensation for unauthorized transactions.\r\n\r\n<strong>Recommendations to banks in light of Supreme Court decision</strong>\r\n\r\nThe Supreme Court overruled the Court of Appeal’s decision and held that if a number of attorneys are appointed in one power of attorney they have to act jointly, irrespective of the fact that one of them has been appointed to act individually in a separate previous power of attorney. In the event there is a material difference in either the terms of authorisation or the names of the individual attorneys in the powers of attorney submitted, the court will only look at the last power of attorney.\r\n\r\nAs a result of this decision, it is recommended that banks carefully check the wording of powers of attorneys particularly when several powers of attorneys are submitted at different times since it can be argued that the later power of attorney amends the former one even though the former has not been expressly revoked.\r\n\r\nNotwithstanding the above and pursuant to Article 954 of the Civil Code, a power of attorney still needs to be expressly revoked.'),
(147278, 4665, 'core_values', ''),
(147279, 4665, '_core_values', 'field_59b64ab071de4'),
(147280, 4665, 'file', ''),
(147281, 4665, '_file', 'field_59b64c10f6600'),
(85628, 4665, '_content', 'field_59b649b5c8b2b'),
(85629, 4665, 'lawUpdateArticleMonth', '4661'),
(85630, 4665, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85631, 4665, 'content_description', 'In a recent and unusual Supreme Court decision, it was held that where several power of attorneys (giving authority to different individuals) are submitted to a bank at different times, the last power of attorney submitted to the bank would automatically revoke all previous powers of attorneys regardless of whether or not the bank was notified of the revocation.'),
(85632, 4665, '_content_description', 'field_59b641c07f473'),
(85633, 4665, 'pageSummary', 'In a recent and unusual Supreme Court decision, it was held that where several power of attorneys (giving authority to different individuals) are submitted to a bank at different times, the last power of attorney submitted to the bank would automatically revoke all previous powers of attorneys regardless of whether or not the bank was notified of the revocation.'),
(85634, 4665, '_pageSummary', 'field_59e59b307dec8'),
(85635, 4665, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/supreme-court-decision-powers-of-attorneys-submitted-to-banks.html'),
(85636, 4665, '_currentURL', 'field_59d35123ab1e7'),
(85637, 4665, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Zane Anani'),
(85638, 4665, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85639, 4665, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'z.anani@tamimi.com'),
(85640, 4665, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85641, 4665, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85642, 4665, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(147271, 4665, '_timeline_header', 'field_59b63de5b74bf'),
(147270, 4665, 'timeline_header', ''),
(147268, 4665, 'orderValue2', '2'),
(147269, 4665, '_orderValue2', 'field_59d0c6f6175b8'),
(147267, 4665, '_stats_list', 'field_59b6372466bcc'),
(147266, 4665, 'stats_list', ''),
(147264, 4665, 'orderValue1', '1'),
(147265, 4665, '_orderValue1', 'field_59d0c6e5175b5'),
(85649, 4665, 'lawUpdateArticleNoWriters', '1'),
(85650, 4665, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85651, 4665, '_yoast_wpseo_metadesc', 'In a recent and unusual Supreme Court decision, it was held that where several power of attorneys (giving authority to different individuals) are submitted to a bank at different times, the last power of attorney submitted to the bank would automatically revoke all previous powers of attorneys regardless of whether or not the bank was notified of the revocation.'),
(85652, 4666, 'content', '<p>However, if either party decided to proceed in court despite the  presence of the arbitration clause and the other party does not object  at the first hearing, the action may be heard, and the arbitration  clause shall be deemed inoperative. The UAE Legislator applied certain  restrictions on the parties&rsquo; freedom to agree to arbitrate when entering  into Commercial Agency Agreements.</p>\r\n<p>We will address this exception below in light of a judgment rendered  by Dubai Court of Cassation; the highest court in the Emirate of Dubai,  whose judgments interprets the application of the law to lower courts.</p>\r\n<p><strong>SUMMARY OF FACTS:</strong></p>\r\n<p>The Claimant (a commercial agent registered with the UAE commercial  agents register) entered into an agency agreement with the Respondent.  The parties agreed that the Claimant will market, distribute and sell  the Respondent&rsquo;s products within the UAE.&nbsp;</p>\r\n<p>The agreement was duly registered in the commercial agencies  register, according to their agreement the parties agreed to refer any  disputes arising thereof to arbitration.</p>\r\n<p>The Claimant commenced performing its obligations set forth in the  agreement; however the Respondent abstained from providing the required  documents and further unilaterally affected deletion of the commercial  agency agreement from the commercial register.</p>\r\n<p>The Claimant therefore requested appointing an arbitrator who issued  his arbitral award obligating the Respondent to pay a sum of AED 328,850  with damages and arbitration costs. Consequently, the Claimant filed a  commercial action against the Respondent before the Dubai Court of First  Instance requesting the court to ratify and authenticate the arbitral  award.&nbsp;</p>\r\n<p><strong>PROCEDURAL HISTORY:</strong></p>\r\n<p>The First Instance Court rendered its judgment ratifying the arbitral  award; the Respondent appealed the judgment before the Court of Appeals  which in turn upheld the judgment. The Respondent challenged the  Appeals Court Judgment before the Court of Cassation.&nbsp;</p>\r\n<p><strong>COURT OF CASSATION:</strong></p>\r\n<p>The Respondent argued that the lower court&rsquo;s decision contradicted provisions of Article 6 of the Commercial Agency Law.&nbsp;</p>\r\n<p>Article 6 provides that in Commercial Agency Agreements the State&rsquo;s  Courts shall rule in any disputes which may arise between the  Principaland the Agentdue to its implementation. Any agreement to the  contrary shall be void.&nbsp;</p>\r\n<p>Application of Article 6 to the case before hand renders the  arbitration agreement void and consequently the court&rsquo;s judgment issued  ratifying the arbitral award is in contradiction with the law.&nbsp;</p>\r\n<p>The Court held that the Respondent&rsquo;s argument was with grounds,  according to Article 6 &ldquo;The Commercial Agency agreement shall be deemed  to be for the joint interest of the contracting parties and the State&rsquo;s  Courts shall rule in any disputes which may arise between the Principal  and the Agent due to its implementation. Any agreement to the contrary  shall be void.&rdquo; Article 3 of the same law provides that &ldquo;Trade agency  activities are not permitted to be practiced inside the state except by  such commercial agents registered in the Specified register maintained  for this purpose by the ministry (the Ministry of Economy and Commerce).  Any trade agency not registered in the above register shall not be  considered, nor legal cases there for shall be heard&rdquo;.&nbsp;&nbsp;</p>\r\n<p>It is construed from the above two articles that the legislator held  the jurisdiction for the UAE Courts to hear disputes arising from the  performance of commercial agency agreements between the agent and the  principle and to vitiate any agreement otherwise. This includes the  parties&rsquo; agreement to arbitrate so long as the commercial agency  agreement is registered in the commercial agencies register.</p>\r\n<p>Whereas the appealed judgment construed that the Commercial Agency  Law no. 18 permitted the parties to the agreement to agree to arbitrate,  which contradicts with provisions of Article 6 of the same law and the  court therefore erred in its reasoning of that article.</p>\r\n<p>The court further held that the commercial agency was registered in  the commercial agencies register and the fact that the Claimant  unilaterally deleted/canceled the agreement does not impact the former  legal existence and registry of the agreement in the Commercial Agencies  Register. Moreover the Claimant in his action requested appointing the  requisite number of arbitrators to hear its claim to continue existence  of the commercial agency between the parties thereto and to demand the  principal for the commission and damages suffered from striking the  commercial agency unilaterally by the Respondent. Thus, Article 6 of the  aforementioned law is applicable and the appealed judgment therefore  contradicted the law and therefore the court overturned the lower  court&rsquo;s judgment.&nbsp;</p>\r\n<p><em><strong>Practice Note:</strong></em>&nbsp;</p>\r\n<p>Based on the above, it is crucial for the contracting parties in a  commercial agency relationship to be aware that they may not resolve  their dispute through arbitration. Due to the sensitivity of the  commercial agencies contracts and their effect on the economy and the  trade, the legislator reserved the jurisdiction solely to the national  courts.</p>'),
(85653, 4666, '_content', 'field_59b649b5c8b2b'),
(85654, 4666, 'lawUpdateArticleMonth', '4661'),
(85655, 4666, '_lawUpdateArticleMonth', 'field_59da2a396b063'),
(85656, 4666, 'content_description', 'When it comes to Arbitration in the UAE, the general rule and practice of UAE Courts is that courts would not entertain any action related to a dispute arising from the execution of an agreement in which the parties have agreed to arbitrate. '),
(85657, 4666, '_content_description', 'field_59b641c07f473'),
(85658, 4666, 'pageSummary', 'When it comes to Arbitration in the UAE, the general rule and practice of UAE Courts is that courts would not entertain any action related to a dispute arising from the execution of an agreement in which the parties have agreed to arbitrate. '),
(85659, 4666, '_pageSummary', 'field_59e59b307dec8'),
(85660, 4666, 'currentURL', 'http://www.tamimi.com/en/magazine/law-update/section-5/february-4/uae-courts-jurisdiction-in-commercial-agency-agreements.html'),
(85661, 4666, '_currentURL', 'field_59d35123ab1e7'),
(85662, 4666, 'lawUpdateArticleWriters_0_lawUpdateArticleWriter', '866'),
(85663, 4666, '_lawUpdateArticleWriters_0_lawUpdateArticleWriter', 'field_59da2ac06b065'),
(85664, 4666, 'lawUpdateArticleWriters', '1'),
(85665, 4666, '_lawUpdateArticleWriters', 'field_59da2a866b064'),
(85666, 4666, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'Marwa El Mahdy'),
(85667, 4666, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorName', 'field_59e59ad5d15dd'),
(85668, 4666, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'm.elmahdy@tamimi.com'),
(85669, 4666, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorEmail', 'field_59e59afcd15de'),
(85670, 4666, 'lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', ''),
(85671, 4666, '_lawUpdateArticleNoWriters_0_lawUpdateAuthorLocation', 'field_59e59b05d15df'),
(85672, 4666, 'lawUpdateArticleNoWriters', '1'),
(85673, 4666, '_lawUpdateArticleNoWriters', 'field_59e59aaed15dc'),
(85674, 4666, 'lawUpdateArticlePractices_0_lawUpdateArticlePractice', '410'),
(85675, 4666, '_lawUpdateArticlePractices_0_lawUpdateArticlePractice', 'field_59dc79c8e10ce'),
(85676, 4666, 'lawUpdateArticlePractices', '1'),
(85677, 4666, '_lawUpdateArticlePractices', 'field_59dc7918de021'),
(85678, 4666, '_yoast_wpseo_metadesc', 'When it comes to Arbitration in the UAE, the general rule and practice of UAE Courts is that courts would not entertain any action related to a dispute arising from the execution of an agreement in which the parties have agreed to arbitrate.');
