Q: Hi, I would like to ask about the company, where I am working for the last 5 years. We are W.L.L. company and the local partner was a sleeping partner. The other partner was Indian and he took a loan from the bank on the company's name and used it for his personal use and drained it in other business. He increased the creditors and now he left the country. At this situation, the local partner comes to know about his intention of not coming back. Now, all the responsibility falls upon the local partner's shoulders. The company has creditors of around BD 140,000 / and a bank loan of BD 160,000/, which is impossible to pay by the local partner. For running business outstanding, mostly companies has cheques issued by the Indian partner (Local partner is not authorized to sign any cheque according to MOA), and the bank has guarantee papers signed by the local partner. Can you please advise how we can save the local partner and file a case against the Indian partner?

Q: Q1- A loan agreement was signed between P1 and P2 for a fund to be put in a trading as a favour from P2 to P1. P2 changed his mind and did not release the fund. Trading proceeded with another fund and the return during the agreed period was substantial. Is P2 liable to P1 for the earnings which could have been realized? Q2- A trading fund was in operation based on an agreement between P1 and P2. P1 owed P2 $X to be paid over 18 months. P1 funded the P2 account for the entire loan plus interest. P2 allowed P1 to trade with the fund as long as the loan liability is covered and loan payment is paid from proceeds, it was agreed that additional profit over the loan payments can be withdrawn by P1. P2 had full control over the funds but not the trading. P2 changed his mind and added 20% buffer to remain in the account as added security. The trading hit a downturn and fund got liquidated. Is P2 liable for the loss of the 20% additional buffer which he required to keep in the trading fund?

Q: My business partner and I entered into newly started technical services LLC. Now it's 3 months old. We got trade license, office, sponsorship, labour and immigration card...etc. The solution needed: my business partner already issued his friend a cheque of AED 8288 which was due on 16-8-2019 and it got bounced. I paid my share amount of AED 4144 to my business since he used his friend cheque. I got a receipt from my business partner. The question is, how can I get back my share amount from my business partner since the cheque bounced, I feel my business partner is trying fraudulence. Please advise

س: كنت مديرًا وشريكًا بشركة ذات مسؤولية محدودة، وبحكم وظيفتي بصفتي مديرًا للشركة، وقَّعت شيك ضمان لأحد العملاء بمعاملة تجارية باستخدام دفتر شيكات الشركة، وبعد عامين تركت وظيفتي وانسحبت من الشركة وسلَّمتها لمدير وشريك آخر. حدثت بعد هذا التاريخ خلافات تجارية بين الشركة من ناحية وبين العميل من ناحية أخرى فرفع العميل دعوى مدنية ضدي وضد الشركة. ما موقفي وحجتي القانونية في هذه المشكلة مع العلم أن قيمة الشيك مُثبتَة بالعقد ومُعرَّفة على أنها شيك ضمان وليس وفاء؟ شكرًا لحضراتكم!

Q: I have a 5% partnership in a business (LLC) which is operated by another person who holds a partnership of 44% and the rest 51% is UAE National's share (as required by law). I also have a Partner's Visa from this company. As I am not involved in any decisions or operations of the company, how can I be safe without any risks if the company gets involved in any legal issues like any huge fines for any other irregularities? Will I be liable to pay if there are any fines? If yes, then how much would I be liable to pay? How much percentage would be my Share? Can I make some kind of contract to safeguard myself?

س: أبرمت عقدًا مع شركة لبناء عقار وحسب. مدون بالرخصة التجارية للشركة أنها مملوكة لشريك بنسبة 99% وهو شركة أخرى تقوم بنفس النشاط. هل بالإمكان اختصام الشريك بناءً على أنه يتملك ما نسبته 99% من الشركة التي تعاقدت معها؟

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?

Q: Dear Respected, I have a travel ban on me and a case raised in Dubai Courts against the company. The reason is the company owner asked me to sign a cheque to a service provider and the cheque bounced. I'm not a shareholder in the license. I'm not a partner in the license or elsewhere. I'm not a manager in the license or elsewhere. I only hold a POA from the owner to assist him in opening a bank account while he was abroad and be the authorized signatory in the bank. What should I do in this case? Thank you respected.

Q: Hi, I presently share 50% of a company with my partner (not an LLC). If my partner signs all documents for a bank loan, based on the operational instructions of the bank, is it implied that I am also responsible for this undertaking? If I resign and remove myself from the trade license, am I still liable?

س: زوج وزوجة، الزوجة مالكة لشركة بنسبة 50‎%‎ ولديها شريك أجنبي يملك بنسبة 50‎%‎. الشريك مخول بالتوقيع في كافة المعاملات البنكية للشركة والزوجة كذلك لها ذات الصلاحية. بعدها، غاب الشريك الأجنبي عن الشركة وسافر. ومازالت الشركة نشطة والعمال لايستلمون رواتبهم والشريك قام بتحويل جميع أموال الشركة إلى حسابه الخاص دون علم الشريك الآخر. ثم تحصلت الزوجة الشريكة على شيك، فقام الشريك الأجنبي بفتح بلاغ خيانة أمانة واستلم زوجها الشيك. فما هو الحل القانوني من ناحية جزائية وتجارية؟

يلعب الشيك دوراً مهماً في الحياة اليومية سواء في ميدان المعاملات التجارية أو في ميدان المعلامات المدنية باعتباره أداة وفاء والتزام تحل محل النقود في التعامل بين الافراد. ونظراً لهذه الأهمية فقد أصبح أكثر الأوراق التجارية انتشاراً وتداولاً بين الناس، على الرغم من حداثته نوعاً ما. فالشيك لم يبق كما كان في بداية عهده أداة لسحب الودائع المصرفية لحساب الساحب ذاته، بل أصبح أداة وفاء تحل محل النقود سواء على النطاق الداخلي بالنسبة للمعاملات التي يقوم بها الأفراد داخل الدولة فحسب وزادت أهميته.

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 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.

The provisions of this Decree by Law amend the Federal Law No. (18) of 1993 by replacing Clause (4) of Article (379) as well as Articles (600), (617), (641), (642), (643), (644), and adding new articles numbered (635) Bis, (641) Bis (1), (641) Bis (2), (641) Bis (3), (641) Bis (4), (643) Bis (1), (643) Bis (2), (644) Bis (1) and (644) Bis (2). The Decree-Law also repeals Articles (401), (402) and (403) of the Federal Law No. (3) of 1987.