Q: Hi. I would like to file for bankruptcy for one of my mainland LLC companies under the new bankruptcy law in the UAE and would like to connect with law firms that provide this service. For the first meeting with such law firms, I am looking for free consultation only. Thanks.

Q: I own a business in Abu Dhabi (I am the 100% direct owner and I have a local service agent) and one client based in Saudi Arabia didn't pay us for two years. If I close the business in Abu Dhabi, can I still sue the Saudi company and claim the money in the court even though the company will no longer exist, or I still have to maintain the license active? Thanks

Q: I have co-founded a UAQ FZ this year and I am in a dispute with my co-founder. We had several discussions on discontinuing the partnership after our license expires. I had an uneven share of responsibilities and have voiced this for a while, even to our advisor during mediation sessions. We built our community, social media, and email database together. I said we should leave with the partners we brought in and go our separate ways once our license expired. All costs for the business have been paid equally. With few months left of our license, my partner blocked me from my email and access to our database. The domain and email are in his name, and he is holding these as a hostage even though I am 49% owner. I understand he is 51% owner and manager, but does he has the right to do this and hold the company domain and email under his account? He is abusing his role as a manager and domain owner, and I wanted to know what my legal rights are here as co-owner.

Q: I am a partner in an LLC registered in Dubai, whose license was expired in Nov 2017. I was a passive investor stationed in India and the company was managed my senior partner and MD (Managing director) of the company who was stationed in Dubai. The company was not managed well, the licenses were not renewed and the business activities did not take place. My last visit was in May 2017. The MD of the company is still in Dubai on an earlier visa but didn't get in touch with me and he's not reachable. Now, I want to start a new venture in any free zone on an individual basis. How can I cancel the earlier visa and get a new investor visa in the free zone? Is it necessary to liquidate the old company in order to cancel the visa? Is it possible for me to cancel the visa on an individual basis and apply for new company formation? Please guide me.

Q: Hi. Kindly advise regarding: (1) Closing a professional civil company (management consultancy) in Dubai with 4 partners + 1 local agent. There are 4 partners (all family members) who are out of the UAE. 2 partners have investor visas & 2 have partner visas. 3 visas have expired during July-Sept 18 and 1 Investor visa expiring 17/11 as being out of the country for 6 months+. Online at www.gdrfa.ae on logging in, the 3 expired visas are showing 'Inactive'. Does it mean visas are automatically cancelled & they can come on visit OR visas have to be physically cancelled at the immigration dept? The company has no assets/liability. We want to close the company. The company's labour est card is already cancelled. (2) Effect of a partner's personal credit cards' liability on the company as a he is a partner. In the above company, 2 partners have credit card dues. Is there an impact on 2 aged partners coming back to the UAE if the banks file cases & secure order on attaching the defaulting partners share in above company? (There is no business/assets). Can 2 aged partners be asked to submit the company a/cs?

Q: Hi. Kindly advise regarding: (1) Closing a professional civil company (management consultancy) in Dubai with 4 partners + 1 local agent. There are 4 partners (all family members) who are out of the UAE. 2 partners have investor visas & 2 have partner visas. 3 visas have expired during July-Sept 18 and 1 Investor visa expiring 17/11 as being out of the country for 6 months+. Online at www.gdrfa.ae on logging in, the 3 expired visas are showing 'Inactive'. Does it mean visas are automatically cancelled & they can come on visit OR visas have to be physically cancelled at the immigration dept? The company has no assets/liability. We want to close the company. The company's labour est card is already cancelled. (2) Effect of a partner's personal credit cards' liability on the company as a he is a partner. In the above company, 2 partners have credit card dues. Is there an impact on 2 aged partners coming back to the UAE if the banks file cases & secure order on attaching the defaulting partners share in above company? (There is no business/assets). Can the 2 partners be harassed in UAE?

Q: Dear Sir/ Madam, I am a 33% shareholder in an Ajman Free Zone company. I would like to cancel the licence and close the company as its contract expires in 1st week of Jan 19. When should I cancel my investor residency visa & close my current a/c, as I only have on my passport stamped visa (and no other partners has the same)? Also, I'm having a POA for opening and closing the bank a/c for the said company. I have a car to sell & also rented an apartment to be submitted by the end of Dec. Can you please explain how should I move ahead (as we all 3 partners are going for cancellation for the said company in 1st week of Dec 2018 )? If u can, give us guidance step by step for the same. Thanks

Q: My FZ company has lost its major clients and is no longer able to trade. It has one creditor with an outstanding balance of AED 120,000. What are my options to close the company down and what are my liabilities regarding the debt?

Q: We formed a company in Umm Al Quwain Free Zone in 2018 and the license expired in August. One of the investors in on the company visa (his visa is valid). We want advice on the following: 1. We want to close the current company. 2. Are all the partners/shareholders required to personally visit to complete the closure formalities? 3. Since its formation, the company has not conducted any activities. What will be its liabilities? 4. What's the process for cancellation?

Over the years the UAE has become a centre of trade and commerce for the Middle East, thanks to its strategic location, excellent connectivity and extensive services to assist with all aspects of business. According to the World Bank's 2016 report, the UAE has ranked 31st in the global index of ease of doing business. This encourages more entrepreneurs to set up different kinds of business entities in the country.

The UAE continues to strive to modernize its laws and create more flexibility in meeting the needs and requirements of investors and businessmen and elevate its economy to the highest levels of growth and development.

It is the first article in a series of articles written by the author to give a better insight to the readers about the corporate governance practices under the best practice principles and the UAE legal system through innovative suggestions of its implementation for your organisation. Next series will be on the UAE regulatory framework on corporate governance.

It is the second article in a series of articles written by the author to give a better insight to the readers about the corporate governance practices under the best practice principles and UAE legal system through innovative suggestions of its implementation for your organisation. Next series will be on Corporate Governance for Non-listed companies.

This is the last article in series of articles written by the author to give better insight to the readers about the corporate governance practices under the best practice principles and the UAE legal system through innovative suggestions of its implementation for your organisation.

Tax evasion is a serious offence on the local and international levels that had to be controlled and regulated with new laws, in an international effort to combat this violation. As a part of the international community, the UAE had issued a law (Cabinet of Ministers Resolution No. 31 of 2019) in the same direction requiring all in-scope UAE entities to have demonstrable economic substance.

The introduction of the Doctrine in the UAE brings the UAE in line with other jurisdictions that have recently issued economic substance legislation and affirms the UAE’s commitment to addressing concerns around the shifting of profits derived from certain mobile business activities to “no or nominal tax jurisdictions” without corresponding local economic activities.

Companies can be wound up by Voluntary Liquidation. This shall proceed as initiated by shareholders or creditors of a company by passing a valid shareholder’s resolution. When a company’s financial mechanism fails, and the company is in financial distress and/ or becomes insolvent whereby it is unable to pay off its debts, the company may file a petition for winding up to the court.

The provisions of this Law apply to the commercial companies established in the UAE and the foreign companies that have established in the UAE a base to conduct any activity therein or established a branch or representative office. The Law abrogates Federal Law No. (8) of 1984 Concerning Commercial Companies.