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: Hi Sir, I am a partner and I have a partner visa in one of the courier companies in Dubai. Currently, I stay outside Dubai in a GCC country, I hold a 25% share in the company. We are 4 partners; 2 inside Dubai and 2 outside. The company was established in 2019; it has been 1 year now and the partners in Dubai are showing a big loss. They took a loan from some investors without our concern and they have a big credit from the customers. They utilized the customers' money. Now, I need to get out of this mess as I was not involved and they were not sharing any updated records. Both Dubai partners are MD in the Memo. I am afraid to come to Dubai as they have asked me to leave my share after paying the loss they have to some other investors. I am afraid to come to Dubai to discuss as the company sponsor is in touch with them. They can put me in trouble in order to get my share. Please advise!

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: I am named a defendant in a RERA rental case for a commercial case. The tenancy is in the name of and signed by the local partner. The premise is used by the company in which I am one of the partners. At the time of leaving the premise, there were arrears on rent for which I issued PDCs from my personal checkbook. They bounced as I had difficulty in keeping up with the payments. Am I liable in this RERA case as one of the defendants when I am not the signatory on the tenancy nor the responsible manager of the company?

Q: I am a partner in an LLC company. Due to losses, the company funds are exhausted. In case there are dues to be given and one of the partners does not have the necessary funds, where does he stand? In case 2 of the 3 partners would like to leave the company, what are the options? The 3rd partner is unwilling to settle our dues which are stocks and machinery. He also does not want to pay a royalty of the company name. The company is 30 years in the business.

Q: My wife is a partner in a civil company in Dubai. The company has 4 partners; 3 of them are out of the country. The company bought things for AED 50k which was not paid back and now they filed a case. What will be the liability for my wife? she is not the manager of the company. What will be my wife's liability for that company?

Q: I won a civil court case against a civil company with a professional license (Not an LLC company). I started an execution case for AED 262,800. One of the partners of the civil company informed me that his company will file for bankruptcy and I will not get any money at all. He said that all the company debts will be wiped away and he will not get a jail term and he will not have to pay anything. Article (671) of Civil Transactions Law regarding civil companies states that partners have to pay the debts of the company. (A) Which view is legally correct? Is it possible to demand money directly from the partners of a civil company after the company is declared bankrupt? (B) How should I protect my rights if the debtor Civil company files for bankruptcy? (Important Question C) Will the court automatically distribute the debt of the civil company to its partners upon declaration of bankruptcy? Or do I have to start a new court case against the partners after the civil company is declared bankrupt?

Q: Greetings!! We have a cheque execution case. The bank applied for execution to block the company account and the vehicles claiming the wrong amount. The court also approved this request and sent it to the central bank to impound the vehicle. We had already paid over 50% of the claimed amount and also requested the balance payment in installments a couple of weeks ago once the claimed amount was amended in the court system. The installment request is yet to be approved, however, they have proceeded with the execution. This is very concerning. How long does it take to block the accounts? What are the repercussions of the block? Kindly please advise if there are any other options available to avoid blocking the accounts and impounding the vehicle. Thank you

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.

There is an execution against me in the UAE; what should I do? How do I cancel the arrest warrant and summons, and how do I deal with the travel ban? Dear readers, we present this simplified article, in which we explain the implementation procedures briefly, how the defendant can deal with them, and the options he can take to enforce the judgment smoothly while decreasing the damages of implementation as much as possible.

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.

This Law applies to merchants, as well as to all acts of commerce carried out in the UAE by any person even though he be not a trader. Commercial matters regarding which specific Federal laws are issued shall be subject to the provisions of such laws, and to the provisions hereof which do not contradict with said laws.