Questions & Answers
Questions & Answers
6 available 6 • View allTransferring shares to a partner while being outside the UAE

2
Q: I am a partner in an LLC company in the UAE. I am in India now and do not wish to continue association with the company there.
I have told my partner to take over the company and remove my name from the license, but my partner is insisting that I visit the UAE to transfer the business to his name.
Kindly advise!


Jan 24, 2020
725
Settling a disagreement among founders regarding a partner's role


2
Q: We have a founders' disagreement and need a third-party expert opinion to resolve the issue.
Founder A (Founder & CEO) - Holds 51% equity in the company.
Founder B (Co-Founder & Chief Business Officer) - Holds 39% equity in the company.
The rest of the equity is split with angel investors.
The disagreement is between the founders.
Founder B is responsible for business development and sales. After clearly raising several times that Founder B is not brining revenue, not having proper sales pipeline to estimate our growth factor, justify current and onboarding investors, Founder A wants to change the role of Founder B.
Since we have 4 years vesting, Founder A is asking justification to Founder B's role and wants to bring in a new person by stopping equity vesting for the future for Founder B.
However, Founder B is not willing to agree with this and is asking for both parties' equity dilute; not justifying to Founder A why Founder B is failing in the role.



Aug 18, 2020
342
Requesting a written agreement to exit a partnership created without documents
2
Q: We have invested 20% as a partnership 20 years ago but on a mutual understanding basis, with no legal document.
Now our partner wants us to move out and he will bring another partner. He agreed to pay a certain amount.
He is asking for a written agreement that unless we are paid the full amount agreed, we shall not leave the company.
My question is:
Will this lead to any discrepancies?

Dec 22, 2020
417
Can a partner in a company sell his shares without another partner's consent?
4
Q: Assalamu Alaikum
We are 4 partners in a business and one of the partners wants to sell his shares to two existing partners in the business without the consent of the 4th partner.
There is no provision made in the MoA regarding the sale/transfer of shares. So can this be done without violating any law in the UAE?
Thanks

Dec 9, 2021
669
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
252
Can an LLC partner sell their shares to a third party without other partners' consent?




1
Q: Dear Lawyers,
Can a partner in an LLC company (Dubai Mainland) sell their shares to a third party without the consent of the other partners?
If one partner wants to exit the company and the other shareholders are neither responding to this request nor giving permission, what is the way forward?
We have sent an email to the other shareholders notifying them of the intention to sell the shares, but there has been no response. Please advise.
Please advise!





+4
Aug 10, 2024
195
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100% Foreign Ownership of Companies in the UAE 12
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3109
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
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If a company changes its name under the same license, does it need to amend all the contracts entered?
Aug 22, 2017
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Setting up E-commerce business in Dubai 0
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Sep 5, 2017
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Photography copyrights 0
Dear Sir,
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Aug 21, 2017
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Non-compete clauses in the employment contract 0
Dear Sir,
I'm Satheesh from Abu Dhabi. For the past 3 years, I was working for a free zone company in Dubai. Our company have clients from both Dubai and Abu Dhabi and doing medical billing services for hospitals and medical centres.
I was working with one of the company's clients which is a government hospital in Abu Dhabi (please note - govt is removing our company by Sept.).
My concern is that the hospital is interested to recruit me as their employee. But I already signed a limited contract with my company which has "Non-competition non-solicitation agreement".
My contract states that I cannot join their clients or competitors for 24 months after my visa expiry or end of service. If I violate this law they will take legal actions and they can ask for compensation (Law no. 8 of 1980 for UAE and Law no. 5 of 1985 for Dubai).
My visa is expiring by Aug 25th, so I'd like to join there.
Can I join this Abu Dhabi government hospital or not? If I join, is there any legal issue I have to face from my company?
Jul 30, 2017
10636
Responsibility of partners for bounced cheques signed by the company manager 0
Do the local sponsors have financial responsibility for bounced cheques from the company that they are sponsored?
If I got cheques but they were bounced and the person who signed the cheques (managing director) left the country. Company is in labor zone, retail, 2 operating shops.
Jul 26, 2017
15741
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