Questions & Answers
Questions & Answers
7 available 7 • View allHow to structure LLC company to protect your investment

2
Q: I am in the process of setting up an LLC for tailoring shop. Is there a standard MoA in place or can I make amendments to it?
If tomorrow I have a conflict with my partner and want to change him, what is the recourse and what kind of timelines and cost am I looking at?
What are the things I should get included in the MoA to protect my investment and allow me the flexibility to change a partner with minimum damages?


Oct 23, 2017
2154
Protection of investment in LLC business
3
Q: I did partnership in LLC business with one Indian last year. Recently I asked him to return my investment as he was not giving any reward of my investment. He agreed to return it. But now he is absconding because he owes some amount to an old partner who filed a police case against him.
What should I do now to protect my investment or to avoid further loss?
My 2nd question is: which percentage of shares will apply in case of loss? Trade license shows 15% my shares.

Jul 4, 2017
1118
Liability of an LLC managing director through a power of attorney


3
Q: Hello,
I would love to ask for advice.
What is the liability of managing director, who is not mentioned on the trade license but has a power of attorney to act on behalf of the owner, sign contracts and documentation, deal with banks and UAE authorities, tax returns...etc?
We are talking about an LLC company in Dubai.
And would you recommend directors and offices liability insurance?
Thank you for your help.



May 8, 2020
1374
Partner's liability while other partners are outside the country
1
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?

Feb 4, 2021
515
Application of the MOA terms in case of a partner's death
1
Q: Hi,
There are 3 partners in an LLC company. One is local partner who holds 51 % of shares, the second partner holds 36 % of shares, and the third partner holds 13% of shares.
According to the memorandum of association, it's written that in case of second partner death, the 3rd partner will be the managing director of the company and have full rights to represent the company in all ministries, to sell, buy companies assets, to close, open bank accounts and to hire or fire staff, etc.
Now, the second partner passed away.
My question is: Will the company's bank accounts be frozen or the second partner has full rights according to the MOA?

Mar 18, 2021
653
How to make sure about investment to protect your interests before entering it?


1
Q: Good morning,
I am interested in investing in a venture with a business partner who has sent me a contract.
I would like to ensure that I am adequately protected in various scenarios, such as if either of us decides to end our partnership.
Specifically, I am seeking clarity on how the remaining shares will be divided, at what price we will need to buy them, and how the overall value of the business will be determined.
Can you tell me all the required parts that a contract in the UAE should contain (for a 50/50 business venture)?
Have a good day, and thank you for your replies



Feb 23, 2023
107
What is the procedure to notarize the Memorandum of Association of a company?




1
Q: Dear Lawyers,
What is the procedure to notarize the Memorandum of Association of a company? Is in-person notarization possible, or is it only online/remote?
Thank you!





+1
Sep 24, 2024
105
Legal blog
4 available 4 • View allWhat Can I Do If I Have a Dispute With My Joint Shareholder? 5
An interview-format article covering the topic of shareholder disputes in the UAE and pre-emptive measure to be considered. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
Mar 24, 2020
5900
Legal Aspects of Company Incorporations in the UAE 5
Sometimes this seems very simple to incorporate a company in the UAE, however, investors must seek professional advice before taking this important business decision to avoid any future legal implications.
Nov 1, 2016
3648
The Duties and Obligations of the LLC Manager in the UAE 22
In view of the fact that the manager is primarily the point of reference for the company in the business streets, he is generally authorized by a power of attorney provided by the shareholders of the company or via the MOA of the company. In certain cases exceeding the powers given to the manager may make the manager, or the LLC itself, liable, depending on the nature of the manager’s actions.
Mar 25, 2020
19874
Online POA and Other Notary Public Services in the UAE 28
With the introduction of the new procedures for obtaining a power of attorney (POA) remotely in the UAE, after it was mandatory to appear in person in front of the notary public as a global rule to ensure the identity and intention of the person requesting a POA, we put between your hands this brief guide for how you get it done.
Jun 8, 2021
19190
Laws & Regulations
1 available 1 • View allFederal Law No. (2) of 2015 On Commercial Companies 15
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.
Mar 25, 2015
29535

Premium
Other answers by
26 26 answers •
View allThe rights of an employee who works for another employer upon terminating him 0
Hello sir,
We have an employee who was under probation period on a limited contract and with our company visa. The performance is poor and it is found that he is working for another company (his old work) while working with us.
So the management decided to terminate the contract. Apart from the salary, do we have to pay his ticket fare?
May 25, 2021
324
How long will it take to get settlement from a company? 0
As-salam Alaikum,
My labor execution case number is {.....}. Al Adheed center asked me to get back after 21 days. More than 21 days are completed, but they are still asking me to wait till June 01.
It is still in process. I need to know how long will it take to get my settlement from the company?
Kindly advise me!
Thanks & Regards,
May 9, 2021
1037
What is the required notice period for the landlord to evict the tenant? 0
I recently purchased a property in Springs which is rented till September. I need legal advice on the procedure to send an eviction notice to my tenant as I need to occupy the property for personal use.
As far as I read in the RERA legislation Page 108-110, Article (25) - Section - 2, if the landlord wants to occupy the property for personal use, 90 days notice is sufficient.
But the tenant insists to have a 12-month notice. What are my options and is it possible to send a legal notice to the tenant to vacate the premises at the end of the rent contract?
Kindly advise
Jun 15, 2022
3720
How to claim compensation from a developer for delay in handover 0
Greetings,
The property was supposed to be delivered in June 2018 and is still not delivered. If they actually deliver by June 2021, what are my rights to the compensation?
At the time of purchase, it was a 50-50 payment plan. I paid the 50% at the time of purchase and in September 2019 they came back to me with an offer of a discount of 16% in the final settlement amount.
I accepted and paid the remaining amount as well. Therefore as of September 2019, I have paid 100% of the property value.
With all the financial challenges the delay has brought me into, I want to know what compensation is my right as I am assuming they will not be offering anything or if they do they might offer some waiver in service charges (for 1 or 2 years).
And I am worried if they give this waiver of service charges to everyone, will the property be actually taken care of or no?
Apr 11, 2021
1285
Would a promotion offered with less salary be considered constructive dismissal? 0
Hello,
I am originally from the UK and relocated to Dubai in 2004 when my company established a new office.
I originally joined the same company in 2001, based in the London office. Since then, I have grown with the organization and am in a middle management role.
Recently, the company announced they would downsize the Dubai office, and affected staff would be offered to relocate back to an office in their home country (India) or to the new office being established in Spain.
I have been advised that my present role will be made redundant in Dubai but have been offered a new role in Spain. The new role is seen as a promotion but there are little to no benefits and it's a major drop in salary (basic salary would drop by 40%).
There are no additional allowances. Currently, I receive basic salary + allowances.
I have been in the UAE since 2004 and my options appear to be limited to accept redundancy or a new role with a significant drop in salary. Would this be considered constructive dismissal?
Apr 5, 2021
590

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Other answers by
177 177 answers •
View allHow to liquidate a free zone company after the death of one partner 0
I am a company owner In Shams free zone of 50 per cent share and have a partner visa. My partner was a Russian who went to Russia and died.
When I went to the free zone to cancel my visa and close the company, they have asked me to get his attested death certificate and NOC from his heirs.
The problem I am facing is his family doesn’t want to give the death certificate nor they want to give NOC. Now my resident visa validity is over and I am on fine every day.
Neither the free zone is cooperating nor the partner's family. What is the other way I can cancel my visa and close the company?
Can someone guide me, please?
Apr 19, 2021
692
How the objection of a client be dealt with after being notified for termination by DLD? 0
I have been notified by DLD that I am in breach of an off-plan sales agreement, and the developer wishes to terminate the agreement.
The date on the notice is March 9, 2021, and I received it from the developer on March 11, 2021. The notice says I have 30 days "from the date of being notified" to make the outstanding payment.
On the termination notice from DLD, a list of objections is present. One of the objections states that the developer must hand over the final SPA to me.
In this case, I have not received the final SPA from the developer. I made an objection in writing to the DLD pointing this fact out and sent it via email, and received a confirmation of the same from DLD by return e-mail on April 6, 2021.
30 days from March 9th is April 8th, or from March 11th is April 10th. Does the developer have to respond to my objection before the DLD will allow them to terminate the agreement?
In this case, will the time I have to make the payment be extended by any period?
Apr 19, 2021
1408
Opening a trustee with wife and signing a postnuptial agreement 0
I would like to open a trustee with my wife and sign a postnuptial agreement.
Apr 19, 2021
458
Closing a business while the local service agent is not reachable 0
Hi,
We have a professional services license (2 partners) + 1 local service agent registered with DED, Dubai.
The partners wish to close the business because of unavoidable circumstances. We wish to proceed with all the necessary paperwork for cancellation.
Unfortunately, the local service agent is not available. We have been trying to connect to him multiple times but have not been able to reach him.
The due date for the renewal of the company is coming up and we want to proceed with all the paperwork for cancellation prior to that.
Kindly advise us about the options if the local service agent is unavailable.
Apr 19, 2021
807
Returning to the UAE to run business after being convicted with a crime 0
Hi,
I want some information regarding my uncle. He was arrested in November 2015 and was in prison until 13 June 2016 when he was deported to Pakistan.
The reason for the arrest was that my uncle had his own business in Sharjah and he was involved in a case where his employee accused him of attacking him and other allegations. He was arrested and convicted.
He needs to reenter the country as he has his business in Sharjah but I believe he is blacklisted/banned. How can I find out if he is blacklisted/banned and how can it be removed to allow my uncle to reenter the country and take over his business?
Is there any way of helping to resolve this issue?
I know that if he enters on a visa, he could be arrested at the airport, and don’t want that to happen.
Thank you!
Apr 5, 2021
508
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