Questions & Answers
Questions & Answers
3 available 3 • View allCan a shareholder in a company loan money to the company with interest?



3
Q: Can a shareholder in a company give a loan to the company, and expect an interest payment from the company - legally?
If not "interest", can there be an agreed fixed sum that the company will pay the shareholder specifically for providing this short-term "loan" to meet the company's working capital requirements?
The point to note is that it's not just any individual giving money to the company, but actually a shareholder "loaning" money to the company for an expected monetary return.




Dec 21, 2022
2385
Are individuals allowed to lend money on interest?


2
Q: Dear sir/madam,
A friend gave me a personal loan for which I gave a security cheque. After reconciling accounts, I was supposed to get the security cheque back.
Instead, he wanted interest, and when I refused, he put a date on my security cheque and deposited the same without my knowledge.
What is the best course of action?



Aug 1, 2022
448
Is it legal to give loans to friends from the company by its owner?
2
Q: Hi,
I have a company in Dubai.
Can I give a loan to my friends from my company?
This is a personal loan and without interest. Also, I need a loan agreement format.

Oct 8, 2019
1073
Legal blog
2 available 2 • View allImportance of Corporate Governance and its Basic Principles 13
It is the first article in a series of articles written by the author to give a better insight to the readers about the corporate governance practices under the best practice principles and the UAE legal system through innovative suggestions of its implementation for your organisation. Next series will be on the UAE regulatory framework on corporate governance.
Jun 26, 2019
3170
Breach of Trust and Debts as the Base of Corporate Crime 1
This article intends to give a brief idea of corporate crime, how it happens in the corporate world, the relevance of choosing the right legal action and mechanism.
Mar 26, 2017
1355
Laws & Regulations
4 available 4 • 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
29636
Federal Law No. (18) of 1993 Issuing the Commercial Transactions Law 19
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.
Sep 7, 1993
33133
Federal Law No. (4) of 2002 On the Incrimination of Money Laundering 1
The law defines the crimes related to money laundering, commitments and the jurisdictions of the governmental authorities, and the sanctions against perpetrators of money laundering.
Jan 22, 2002
1850
Federal Law No. (5) of 1985 On the Civil Transactions Law of the United Arab Emirates 96
The provisions of this law, promulgating UAE Civil Code, govern the civil transactions in the United Arab Emirates. The commercial transactions remain subject to the laws and regulations applicable in their regard.
Dec 15, 1985
148682

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Is it legally acceptable to give birth in the UAE if the mother is single? 0
Hello,
Is it okay to give birth in the UAE if the mother is single and the father is married?
Will there be any problem with that, as long as the parents declare that they are the biological parents to obtain the child's birth certificate?
Jun 3, 2025
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How long does it take for a bounced cheque case to be closed after a settlement? 0
Hello,
I had a cheque bounce case filed against me in Dubai, but I’ve now settled it with the complainant. The case has been with the Public Prosecution, and I’ve already submitted the notarized settlement documents.
It’s been 5 days since submission, and when I checked with the legal team, they couldn’t give me a clear timeline on how long it might take for the case to be withdrawn and for me to receive clearance.
Does anyone here have experience with this process? How long did it take for your case to be closed after submitting the notarized withdrawal request? Should I expect it to be done in a few days, or could it take longer?
Thanks in advance!
Jun 4, 2025
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I’m on overstay since a couple of months. Is it possible for me to get a visa with ongoing cases? 0
I’ve been on overstay for a couple of months.
Is it possible for me to get a visa with an ongoing criminal case, travel ban, and civil cases (judgments issued)?
If so, what would be the process?
Jun 2, 2025
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What to do if someone impersonated an employee in the company I own and got mobile lines and phones? 0
Someone impersonated an employee in the company I have owned since 2012 and extracted 18 mobile lines in addition to several iPhones.
I was surprised that the company cut off our landline and mobile communications on the pretext that he was monitoring a debt of 167,000 dirhams.
This person was arrested, tried, found guilty, and sentenced to deportation. However, the telecommunications company is still demanding from my company and pursuing me because of this debt that we are not to blame for.
How can this matter be resolved?
Jun 3, 2025
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How can I refund the amount of online tickets in Dubai for fraudulant misrepresentation? 0
Last Friday, I was booking tickets for the Miracle Garden on some Dubai tickets website, and on the OTP page, it showed 225 to be paid on my phone. The otp was added automatically, and I couldn't read the message properly. It turns out 4,225 got deducted from my account.
I immediately called the bank, and they said they can't reverse the transaction, fill out the dispute resolution form, etc. Even tho the transaction was in process today, the transfer shows complete.
Is there a way to get it back?
I registered an online complaint with the Central Bank and cybersecurity. I really need the money with my rent coming up, please guide me.
Jun 3, 2025
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Is it legally acceptable to give birth in the UAE if the mother is single? 0
Hello,
Is it okay to give birth in the UAE if the mother is single and the father is married?
Will there be any problem with that, as long as the parents declare that they are the biological parents to obtain the child's birth certificate?
Jun 3, 2025
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How long does it take for a bounced cheque case to be closed after a settlement? 0
Hello,
I had a cheque bounce case filed against me in Dubai, but I’ve now settled it with the complainant. The case has been with the Public Prosecution, and I’ve already submitted the notarized settlement documents.
It’s been 5 days since submission, and when I checked with the legal team, they couldn’t give me a clear timeline on how long it might take for the case to be withdrawn and for me to receive clearance.
Does anyone here have experience with this process? How long did it take for your case to be closed after submitting the notarized withdrawal request? Should I expect it to be done in a few days, or could it take longer?
Thanks in advance!
Jun 4, 2025
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Can I travel and return to the UAE during an ongoing labor case against my employer? 0
Hello,
I have filed a case against my employer, and the session is still ongoing in the Dubai court.
Can I travel outside the UAE and then come back?
Jun 2, 2025
46
I purchased a tour voucher from a holiday agency in Dubai and could not use due to a visa issue. Can I still claim it? 0
I purchased a tour voucher from a holiday agency in Dubai in 2023 worth AED 4239.00, but was not able to use it due to a visa problem.
I have constant email and communication through phone with them, and they informed me back then that my voucher will be available and has no expiration date that I can use anytime I want.
Now I wanted to use it, so I called them last Saturday, 31st May 2025, and they told me it has already expired due to the new policy.
Can I still claim and ask for my money back?
Jun 2, 2025
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Cargo from Dubai to India arrived late and damaged. What should I do? 0
Hello,
I had sent a cargo from Dubai to India. I received the cargo late and with 35% damage. My TV, for which I had paid AED 1500 separately as cargo fees, was received after nearly 2 months in a completely damaged condition.
The cooking range was received after nearly 6 months and had superficial damage. They are not replying to my emails but are only responding through WhatsApp.
Could anyone please guide me?
Jun 2, 2025
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Do I have to pay the value of training to the company in case of terminating the contract? 0
Salam,
My company has filed a complaint against me in MOHRE related to training fees.
This is the clause mentioned in my contract:
"The Second Party shall be obliged to pay back the value of the training (which is estimated at an amount of 10000 AED) when they terminate the employment contract based on their own free will (within One Year) from the date of commencement of their contract, without prejudice to the First Party's legal or contractual obligations. (the amount agreed on for the value of the training period must be commensurate with the employment period of the employee)"
My question is:
1. I served 11 months in the company. Can they demand the full 10,000 or it should be less due to 11 months (as per the last line of the clause)?
2. I didn't even get training from the company. I learned normally by working on projects with seniors. No training session was conducted for me. Should I still have to pay?
My case is in MOHRE.
Thanks
Nov 13, 2024
377
Can I apply for Amnesty 2024 with a bounced cheque and credit card debt? 5
Hi,
Amnesty 2024 has just started, and I really want to apply for it, but I have a company bounced cheque and personal credit card debt.
Is there any solution to avail of the amnesty and legalize my status? If yes, what is the step-by-step procedure?
Thank you to those who can enlighten me on this question, and God bless us all!
Sep 2, 2024
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How can I resolve a travel ban with an expired passport and a bounced check case? 1
Hello,
I have a civil case for a bounced check and a travel ban. My passport has expired and can only be renewed in my home country.
Due to the travel ban, it is not possible to exit and renew the passport. With an expired passport, I can't work.
What are the options in this situation? Can my wife take this case and start paying in installments so that I can go to renew his passport and come back?
Thank you!
Jun 28, 2024
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I have an unpaid credit card in the UAE and I will be traveling to Qatar. Will I be arrested? 1
I have an unpaid credit card of approximately AED 45000 in the UAE.
I will be traveling to Qatar due to work.
Will I be arrested in Qatar?
Jun 21, 2024
178
I had a drug case against me and it has been closed. Can I get a new employment visa? 1
I have had a drug case against me recently and it has been closed. I have paid my fine and I am cleared from the travel ban.
I am still working with the same employer but I am thinking about changing jobs.
Will I be able to get a new employment visa and be hired in a new firm despite the record?
Mar 28, 2024
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What is the correct legal procedure to follow if my autistic son is being bullied at school? 0
Hello,
My son has autism and has been bullied at school.
I don't know the correct legal procedure.
May 19, 2025
39
Am I entitled to take 15 days' leave immediately after my probation period ends? 0
Hello,
I want to apply for 15 days' leave to visit my family immediately after my probation period ends. Is this legal as per UAE labor law?
Thanks in advance for educating me!
May 19, 2025
35
How to clear name and go back if you left the UAE with an unpaid personal loan? 0
My brother had a personal loan of 300k.
He lost his job, and the company terminated him, and his visa was cancelled, so he moved back home in 2015. He is trying to find a job back in the UAE.
Is there any way to get him cleaned, paying the court fine?
The bank he had a loan with has been merged with other groups, and he doesn't know who to contact.
Repayment is impossible without a job, and finding a job at the age of 50 is not an easy task.
Appreciate your advice.
Thanks
May 19, 2025
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Am I required to replace an old fridge owned by the landlord if it can't be repaired? 0
Hello,
My rental here in Dubai comes with a fridge and cooker. I believe these to be at least 10 years old. The fridge has now stopped working and requires a part to be replaced.
This comes at a cost of 540 AED, which is over the agreed amount that I am responsible for. My Ejari comes with an extra addendum provided by the landlord, which states:
1. The landlord is responsible for major maintenance of the apartment (namely structural, electrical, and plumbing) exceeding 500 AED + 5% VAT. The tenant is responsible for any minor maintenance as needed as a result of wear and tear.
2. The property is leased with the following assets (fridge and cooker) owned by the landlord in working condition and should be returned in the same condition. Any maintenance required is the tenant’s responsibility.
My question is:
If I'm unable to fix this fridge, do I have to provide a new one? The company looking to repair the fridge is having an issue finding the part needed, as it is old.
May 19, 2025
36
What can I do if I missed the hearing and a judgment was made in my absence? 0
Hello,
What can I do if I was absent from the hearing because of improper information and they gave judgment in my absence?
May 21, 2025
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My husband sold the house we bought jointlyand took a cheque plus 1-year instalments from me. What can I do? 0
Hi,
I am a non-Muslim indian expatriate, residing in Dubai since 2015. The first 5 years, I was on a working visa, and after the delivery of my first baby, I left my job and became dependent on my husband.
In 2018, we bought a house together where I invested AED 2 hundred thousand from my income (I have proof in the form of a cheque). I also paid AED 3300 monthly installment for 1 year, for a personal loan taken out for the house.
But in spite of my resistance, my husband tactfully put the house in his name, so the title deed was in his name. In 2024, when my kids and I were in India for vacation, he cancelled our visas and residency. He also filed for a divorce in India.
The divorce is not yet finalised, and we are still married. Since August 2024, he hasn't let me access my house in Dubai, so I filed a case, which eventually went in my favor in January 2025.
Since I used to travel on a visit visa, I left for India and returned in March, to find out that my husband had already sold the house. The new owner is residing there.
What can I do now?
Help!
May 1, 2025
54
Can I apply for a golden visa during my notice period after resigning? 3
Dear Sir/Madam,
I want to know if I can apply for a Golden Visa despite having resigned and currently serving a notice period.
Mar 6, 2024
438
Lived in Dubai in 2009, couldn't pay credit card debts. Can I return now? 9
Dear Sir/Madam,
I was living in Dubai in 2009 and using some credit cards that I was unable to pay due to some problems.
Now, in February 2024, can I enter Dubai again?
Please guide me!
Feb 29, 2024
601
Responsibility for supplier payments in an LLC company – manager or partners? 1
Dear Sir/Madam,
I am a partner of an LLC company with a 33 percent stake in mainland Dubai, along with two other partners who have equal shares.
I just want to know if I will be responsible for any payment liabilities of suppliers, or if it will be the responsibility of the company manager, as I am not actively involved in the business.
Mar 1, 2024
177
Ongoing labor case: Can I renew my tourist visa and exit before it expires? 2
Hi,
I have an ongoing labor case, but my tourist visa is about to expire on December 25.
Can I renew my visa and exit?
Dec 22, 2023
161
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