Q: Hi Sir, I have been working in a company since Jan of 2015. On the 2nd quarter of 2017, the company was sold. All employees remained. So, we are still with the company but with new owners. This year, they changed the name of the company. Our contracts here expired last December. We are now waiting for our new contracts to be signed. It's taking awhile. Today, I was asked to sign a job offer dated Jan 2018. I am on husband visa. Isn't a job offer only for new employees? I am not new, we only have a new owner and a new company name. If I sign this job offer, does it mean I am a new employee and not an old employee who started in 2015? Hope you can help me. And is this a new requirement in Dubai? Even for those who are already on husband visa? Thank you.

Q: Hi, I have an LLC company here in the UAE. Due to financial difficulties, I am not able to run it further. Hence I have decided to shut down the company. I want to check how much notice do I need to give to the employees. All the employees are on limited contracts. Can I issue a 30 day-notice period letter to them for operations closure? I will give the salary to them till the last day of their service and will also provide them with airfare to get back to their home countries after visa cancellation. Also, I want to write in the notice period letter that if at all I find any suitable buyer for the company, the company shall continue under the new buyer's name. But if no suitable buyer is found till the notice period ending, I shall liquidate the company. Kindly advise on the legal complications involved in this!

Q: Company (X) has an unpaid invoice to the company (Y). They filed a suit against (X), but the company was transferred to another company as another legal entity (Z). Will (Z) be liable to (Y)? Can (Y) sue (Z) for the unpaid debts of (X)? Looking for advice!

Q: Dear sir/madam, In case a company gets absorbed by another company and the employees are asked to sign a new contract, do they have the right to ask for the end of service?

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.

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 UAE has adopted a major reform in its legislative system that brought about 40 new laws and amendments to the company law, criminal law, personal status, among others. The amendments aim to develop the legislative structure in various sectors, the labor law being one of these, was the most recent. We try in this article to shed light on the changes introduced with the new labor law and their significance on both, the employer and employee.

The provisions of this Law, known as "UAE Labour Law", govern the relationship between employers and employees and other labour matters in the United Arab Emirates. There are special labour related regulations applicable in some of the free zones in the UAE.

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 Decree sets the rules and conditions for the termination of fixed-term (limited) or unlimited (not term-bound) employment contract between employer and worker in the United Arab Emirates.

The provisions of this Decree-Law, known as "New UAE Labor Law", govern labour relations in the private sector of the United Arab Emirates. The New Labor Law repeals the previous UAE Labor Law (Federal Law No. (8) of 1980).