Questions & Answers
Questions & Answers
10 available 10 • View allSafeguarding the transferee interests in a share transfer

0
Q: We started a company in 2011 in JLT Dubai with X and Y as shareholders registered in the Memorandum of Association "MoA".
The MoA and trade license confirm me as a manager and authorised signatory. In 2015, shareholder X gave me a letter signed by him on company letterhead, granting me 15% of the company shares.
Q 1. Is this adequate to protect my interests?
Q 2. I would like to get this letter notarized. Will this help my case further? What documents are required for this?


Jan 9, 2018
642
Revocation of share transfer agreement by one of the shareholders
0
Q: I hold a 25% stake in a Free Zone company in Dubai, with my business partner holding a 75% share and therefore being the majority shareholder.
In April 2017, there was an agreement between myself and my partner, in which he agreed to transfer all of his shares to me. Upon this agreement, we both signed and stamped a request for transfer of shares document as well as a shareholders resolution. These documents were then submitted to the Free Zone Authority but then were subsequently withdrawn without my knowledge. As far as I was aware the documents were still being processed and I only found out about the withdrawal of the documents when I followed up with the Free Zone Authority.
The Free Zone Authority has since acknowledged that they should not have returned the documents and are trying to mediate between myself and my business partner to submit the documents again but he is refusing to do so.
I want to know what legal action I can take against my partner for his actions.

Jul 4, 2017
1195
Filing a civil case against a company for denying partnership investment

3
Q: Hi,
I want to get advice on what I should do with a company based in Dubai, which is not adding me as a partner even after payment of 100% my share money.
I have even paid double by investing all my salaries of 16 months. I am out of the UAE now.
Please advise.
Many thanks.


May 26, 2018
2165
Action against a business partner for failing to fulfil his obligations

3
Q: We are 2 partners in a technical services LLC company, it's 6 months old.
I paid some money to my partner to clear the instalment amount with setup consultancy which he didn't pay yet.
Also, he's not investing his share further comparatively my investment is more for setup.
He is still using the business license keeping me away (hiding), his phone is not reachable all the time, only contacting me on Whatsapp and telling lies.
Due to his untrustworthy, I would like to claim my investment and damages from my partner and need to withdraw my partnership.
Give me a solution.


Dec 14, 2019
1189
Claiming the share of profits after bluffing by partners

1
Q: I am a 50% shareholder in a DMCC company. The other shareholder is withholding company profits.
They have also given themselves a large pay rise and taken money out of the company bank account.
They refuse to give me my share of the profits. I would like to know what options I have to remedy the situation.
Thanks!


Jul 18, 2020
484
The way to claim company shares from partner after breaking partnership
1
Q: With an equal partnership in a company, my silent partner (Sole Investor) wants to part way. With all the financial authority (i.e. Bank account) he has transferred all money into his account before resolution.
Even I accepted all his demands, he has not come up to transfer the share to me with lame excuses for 4 months that he is BUSY.
What lies now with me as the company has been dysfunctional with no acceptance of orders for 4 months. He has put the cut-off date 4 months before. In this scenario, he is also demanding goodwill.
I want to find out how to know what is the right amount of goodwill for a small trading company and how to bring him to sign the transfer of share in my name.
Your advice in the right direction would be very much appreciated.

Jan 19, 2021
344
How to claim money back from a partner after separation
1
Q: Good afternoon,
I am writing from Italy. Before going to court, I would like to know, according to UAE's laws, if I'm entitled to claim my money against my former Bangladeshi partner.
I will sum up the situation briefly:
I and my Bangladeshi partner opened on 23rd April 2019 a fifty-fifty trading company in Ajman FreeZone. Due to Covid in June 2020, we decided to separate.
Meantime in July, we received an order from a customer with a shipment date in November. After order, proforma invoice, adjustment quantity, etc, on 1th of September, we received a definitive LC at sight from the customer.
On the 14th of September, I signed in favor of my partner and left him all my 50% shares for free. I want to know if I'm entitled to ask for my part of the money because I brought the customer and my former partner doesn't want to pay.
Please note that I signed a transfer share form in Ajman FreeZone offices, but nobody wants to give me a copy.
Many thanks for helping!

Apr 1, 2021
351
A business partner is non-responsive. What to do?
4
Q: Dear sir/madam,
I have entered into a 47/50 partnership with someone in Dubai. I spend most of my time abroad.
When we needed money to invest in the business, we spoke every day. However, now that the company is active, he has hesitated to send me my share of the profit.
Additionally, it has been more than two months since he has been responding to my calls. I only have his company WhatsApp number, which he uses for clients.
I have been politely asking him to talk to me, open a company account or discuss the terms of profit sharing, but he is not available.
Can I somehow get a legally binding meeting with him?

Jan 31, 2023
255
Is share capital decreasing possible? Are statutory retained earnings and statutory capital reserve the same?



0
Q: As per the UAE Company Law, is share capital decreasing possible?
Are statutory retained earnings and statutory capital reserve the same?
As per the UAE Company Law are there any statutory retained earnings and/or statutory capital reserve applicable?
If so, how much?




Apr 29, 2024
187
Missing business partner since 2003. What to do about his share in the LLC?




1
Q: Hello,
I am a manager of an LLC company with 25% share. In February 2003, a partner joined the company with a 25% share.
After two months, he didn’t like the company and left. After two years, we did not know where he was. We just heard that he left to Tunisia before his visa expired.
What to do with his 25% share, please?





+1
Apr 7, 2025
131
Legal blog
1 available 1 • View all100% Foreign Ownership of Companies in the UAE 12
The UAE government has announced important changes to the federal Commercial Companies Law, the most significant is related to the foreign ownership of mainland companies. This will grant foreign investors the full ownership of share capital in companies carrying out certain activities specified to that effect by the competent authorities. This means that foreign investors’ shares will not be limited anymore to a maximum of 49% like before, but can be up to 100% instead.
Jun 13, 2021
3111
Laws & Regulations
2 available 2 • 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
29531
Federal Law No. (10) of 1992 On Evidence in Civil and Commercial Transactions 14
The provisions of this law On Evidence in Civil and Commercial Transactions (Law of Evidence) govern evidence in civil and commercial disputes in the UAE.
Jan 15, 1992
19098

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View allPayment recovery for delay in the delivery of purchased property 0
Hi,
I need to hire a property lawyer.
I have purchased a property that is still under construction. The handover was supposed to be May 2018 and it has been delayed for over 18 months.
Can you please advise what is the average fee to the lawyer and any upcoming fees?
I would like to either receive compensation for the delay or terminate the SPA and receive what I have paid.
Thanks
Nov 10, 2019
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Termination of services due to cost-cutting 0
My company terminated my services without any reason except for what they told me that they are cost-cutting.
What are the complete benefits that they have to pay to me beside the gratuity?
I worked there for 3 years.
Nov 10, 2019
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Court fee for filing civil case of cheque bounce 0
What is the total fee for instituting a civil case for a bounced cheque of AED 4 million?
Nov 8, 2019
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Mutual Termination vs Resignation 0
Is it possible to request a mutual termination of the contract from the employer?
My employer recently asked me to submit a resignation. Since it's not legal for him to do this and since I don't mind leaving the company for better opportunities, is it legal for me to request a mutual termination of contract letter?
What are the important things that should be stated in the letter?
Nov 9, 2019
1689
Termination for non-performance and claim for arbitrary dismissal 0
Hi,
I am the GM of a company in the Internet City and the VP Sales MEAA.
My contract has been terminated after 13 years due to some results that did not meet the company expectations.
No process was followed prior to termination. I wish to know if I will have a claim for arbitrary dismissal.
Regards
A. D.
Nov 5, 2019
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View allLegal requirements for starting business by a minor in the UAE 0
I am planning to start my business in retail. I am a 16-year-old Emirati national and I have full approval from my parents.
What legal requirements must I obtain and what laws should I follow?
May 3, 2020
3421
Using the trade license of an existing company to start business 0
If I am looking to use the general trading license of an existing individual to start my business and creating my company under his license, then what are the things I should watch out for to protect myself?
Oct 3, 2018
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Seeking legal assistance for drafting a Merchant Agreement 0
I am seeking a law firm/agency in Dubai that can provide the services to draft a Merchant Agreement template contractually, according to our company business model.
Oct 3, 2018
728
Documents required for the registration of a sole trader 0
How to register a sole trader? What documents are needed?
Oct 3, 2018
504
Visa cancellation as a partner and obtaining a new employment 0
Hi.
Could I please get some advice on the following:
I own a company in the UAE, It is an LLC. I am a partner and I have a local partner holding 51%. We have a separate contract that gives me all ownership.
I am sponsored through my company. I would like to cancel my work visa with my own company and be sponsored by another company to work for them. My company is run and managed by employees.
My question is, am I able to cancel my working visa, be employed by another company but retain ownership of my own business?
I will not be taking a salary from my business.
Any help regarding this matter would be appreciated.
Thank you.
Oct 1, 2018
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342 342 answers •
View allHow can I vacate my tenant if the rental agreement ends before the eviction notice deadline? 0
My Dubai tenant's rental agreement is ending by the end of September 2024 and the completion of 12 months of legally served Eviction Notice is the end of December 2024.
I have two questions:
(a) Can I send a rent increase notice 3 months before as the rent has increased as per the RERA rent calculator?
(b) The second question is, do I have to renew the rental agreement for 3 months (until December 2024) or not?
Thank you.
May 1, 2024
273
How can I reach a settlement with the bank for a mortgage of a jointly owned property? 0
I have a jointly owned property in Abu Dhabi. The mortgage was defaulted on as I had to leave the property with my children following an assault by my ex-husband. He left the country in 2018 and never paid the mortgage.
As I was in the country, the bank filed a criminal case against me, and I was sentenced to 3 years. I won the appeal against the bank and then filed another criminal case a few months later in Dubai. Again, I won and paid a fine.
In 2019, the bank started a civil case against me and my ex-husband to have the property repossessed. However, at the time of the purchase of the property, there were no Title Deeds, the bank requires this.
I cannot give them the Title Deeds to sell the property and pay back the amount owed to them as my ex-husband refuses to provide a POA. The bank has filed another criminal case against me only for our jointly owned property.
I wish to resolve this and pay off the bank and receive any money left from the sale. How can I resolve this issue of the Title Deeds?
Oct 4, 2022
294
The procedures for filing for divorce on mutual consent 0
Dear sir/madam,
I am separated from my wife due to compatibility reasons. We got married in the Indian consulate in Dubai on December, 23rd.
We would like to file a divorce on mutual consent as soon as possible. May I get some advice here on the procedures?
Sep 13, 2022
684
My previous employer failed to pay my gratuity. Can I file a case 6 months after resignation? 0
My previous employer failed to pay my gratuity six months past now since I resigned, Is it possible to file a case against him after a 6 months period?
May 31, 2022
1281
Can a real estate agency hold a percentage of a property sale until transfer is done? 0
A real estate agency has signed an MOU stating that a 10% security deposit from the buyer and the seller will be kept in the real estate agency and will be released upon transferring the property.
The transfer of the property was blocked due to the court order.
According to my colleagues, the real estate agency is not a trustee and they are not allowed to have taken my security check in the first place, is this correct?
Jun 28, 2021
1274
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