Can a partner work in a different company without the consent of other partners?

Dear Questioner,

Good evening!

Under UAE laws, a partner is generally obligated to act in the best interests of the partnership and comply with the company’s governing agreements.

If a partner takes employment in another company without the consent of other partners, it may violate:

1. Partnership Agreement Terms:

Review the partnership agreement. Many agreements explicitly restrict partners from engaging in external employment that could conflict with their responsibilities.

2. Fiduciary Duties:

Partners are expected to prioritize the company’s interests. If their external employment causes negligence or harm to the partnership, this can be grounds for legal action.

You may issue a legal notice to the partner to address this breach or consider amending the partnership terms.

For professional advice and next steps, contact me directly.

Hello,

The partnership agreement should explicitly mention every right and duty of each partner.

Under normal conditions, the other partner cannot work for another company without the consent of other partners.

In order to verify that, we need to review the conditions and terms between the partners.

We will discuss the possibilities in detail. Kindly share your WhatsApp to proceed.

Dear Client,

Under UAE law, a partner in a company cannot engage in activities that compete with the company without the consent of other partners as per Article 46 of the Commercial Companies Law.

If your partner is working for another company without contributing to your business, they may be violating this provision.

You can demand accountability for any profits they earned from competing activities.

Additionally, if they are employed elsewhere, they must have proper work permits and potentially an NOC from your company.

Consult with us to address this matter and enforce your rights effectively.

Thanks and Regards,

Abdul Wahied

Dear questioner,

If there is no consent from the other partners and the said partner has not obtained an NOC, they have a fiduciary duty to act in the best interest of the partnership.

If you believe this duty has been violated, along with a breach of non-competency, we can file a dispute in labor.

If you need further clarification, kindly share your WhatsApp number.

Under UAE law, a partner cannot work in another company without the consent of the other partners if the partnership requires full-time involvement or if internal agreements prohibit such actions.

If a partner is working for another company without permission, a legal action can be taken based on the partnership agreement or the company's contract.

For detailed legal advice, feel free to contact us via WhatsApp. We specialize in partnership and business-related legal issues.

Greetings,

If his residence visa is under your company, he cannot join another company without being issued an NOC.

However, in general, a shareholder in a company can work elsewhere as long as he has no labor contract with the company.

Best regards,