Questions & Answers
Questions & Answers
9 available 9 • View allChanging of local sponsor for a new LLC company
16
Q: Hi, I have recently started setting up a business (LLC) in Dubai and I have got an MOA already from Dubai Court signed by my local sponsor and myself. At this time of writing, I have waited a month already for my office "legal" Ejari which the PRO said he would arrange for some amount of money but not having a physical office in fact.
I am really confused now why it isn't done yet until now, which as far as I know should not take that long. In fact, I have met the local sponsor without the knowledge of his PRO, gave him AED 2,000 as per his demand and promised he could expedite the process and would do it by himself. Now, the local sponsor is no longer picking my calls.
Question: can I amend my application with another sponsor? I have paid him AED 5,500 as sponsor's fee for 1 year, can I still take that money back?

Mar 10, 2017
15925
Change of the local partner in a limited liability company
1
Q: Hi.
I have technical and cleaning services company and I had a local sponsor and had renewed my licence for 3 continuous years.
I have a new partner and he wants to local sponsorthe local sponsor because from the time we took from them they kept on taking money but not taking any approvals we had to wait so long to do every procedure.
We decided to change the sponsor, and at first, he agreed, but now he doesn’t want to let go of the company. I’m totally stuck with such hard work and I’m clueless how to change him.
I need some advice what would be the best solution for us.

Jul 5, 2018
1663
Assistance with changing the local sponsor 
0
Q: Hi,
I am the sole proprietor of my business running for 17 years, however, I decided to change my local sponsor.
I have cancelled her name in the court and done the necessary, however, before I could change to the new sponsor, I misplaced the documents given to me by the court.
What can be done now to change the sponsor, since I need to renew my trade license?

Sep 5, 2018
937
Changing the partner with majority of shares in an LLC
0
Q: Hello,
We currently have a sponsor who holds 51 per cent of the company. However, he's charging us too high for every renewal.
Is it possible for us to change the sponsor? In case he does not agree, what could be the possible solution?

Oct 25, 2018
423
ضرورة تجديد عقد إيجار المكتب عند تجديد رخصة تجارية
3
س: السلام عليكم
أرجو الإفادة، هل شرط أساسى لتجديد رخصتى التجارية فى دبي الحصول على عقد إيجار جديد؟ علماً أن القديم انتهت مدته وأستأجر مكتباً.

Apr 18, 2019
482
Sponsor demanding more money to allow company closure
0
Q: My brother has a contracting company (LLC) made in 2014. Now he doesn't have money and wants to cancel the company.
The local sponsor is a girl (whom my brother never met) dealing on behalf of her husband, he is from Pakistan. As per the MOA, the sponsor is eligible to take sponsorship only for one year (2014).
He forcefully took money from my brother for 2015 & 2016 which is not due and requested my brother to issue one visa for his cousin.
But later on, my brother knew that he sold the visa for 15k & he again asked him to issue another visa but my brother refused. Since then, that person is making drama, mental torture & ruin his company.
He didn't give a labour card to my brother for an employee to make him an absconder & get cancelled. He even called the employee to make a court case against the company.
Now, we called him to come to sign on cancelling the company but he is illegally asking for the remaining years of sponsorship.
My brother told him he inquired at the economic dept. and the local is eligible only for one-year sponsorship which is already taken & the money of sold visa will adjust the 15k.

Jul 3, 2019
565
How to clear the previous manager's name from a trade license to avoid future cases?


3
Q: I was a manager on a company trade license. My name was removed from the trade license in January 2017 and a new manager was named on the trade license.
The land department RDC has issued a travel ban against my name. The ban should be in the name of the new manager. I have copies of the old and new trade licenses.
How can I clear my name and ensure that this does not happen again with any future cases?



Dec 30, 2020
989
What are the procedures and requirements to change a local service agent?

3
Q: I am 100% owner of Dubai mainland company under professional license. The company was established at the end of March 2021 and the setup process was run by a local service agent.
However, I am not satisfied with the local agent's service quality and I'd like to get your advice about changing the local agent.
Here are my questions :
- Is it OK to change the local agent?
- What are the procedures, cost and time needed to make a change?
- Do I need to physically be in Dubai for the change?
- It has been only 3 months since the establishment but the service fee was paid for 12 months. Am I eligible to get the refund If I end the contract earlier than the agreed timeline?
- What is the approximate cost for changing?
Thanks.


Jun 2, 2021
1377
Can a local active partner take over a company against the wishes of a non-local partner?




1
Q: Dear Sir/Madam,
Can a UAE local active partner take over a company against the wishes of the other non-local partner under any circumstances?
Does UAE law support this action?





+5
Apr 29, 2024
161
Legal blog
7 available 7 • View allLocal Partner Share contribution in the UAE: What You Need to Know 65
For entrepreneurs seeking to set up their business in the mainland jurisdiction of the UAE, this is a useful guide to know your rights and obligations.
Jan 26, 2020
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What Can I Do If I Have a Dispute With My Joint Shareholder? 5
An interview-format article covering the topic of shareholder disputes in the UAE and pre-emptive measure to be considered. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
Mar 24, 2020
5887
The Duties and Obligations of the LLC Manager in the UAE 22
In view of the fact that the manager is primarily the point of reference for the company in the business streets, he is generally authorized by a power of attorney provided by the shareholders of the company or via the MOA of the company. In certain cases exceeding the powers given to the manager may make the manager, or the LLC itself, liable, depending on the nature of the manager’s actions.
Mar 25, 2020
19856
100% 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
3108
Recent Amendments of the Laws in the UAE 4
An interview-format article covering the topic of the new amendments to the laws in the UAE. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
Feb 3, 2021
3065
Amendments to the UAE Company Law 2
An interview-format article covering the topic of the amendments to the company law in the UAE. This is from the legal podcast of lawyer Ludmila Yamalova, the founder of Lawgical with LYLAW.
May 24, 2021
741
Online POA and Other Notary Public Services in the UAE 28
With the introduction of the new procedures for obtaining a power of attorney (POA) remotely in the UAE, after it was mandatory to appear in person in front of the notary public as a global rule to ensure the identity and intention of the person requesting a POA, we put between your hands this brief guide for how you get it done.
Jun 8, 2021
19182
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
29529

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Hello,
My employer fired me under Article 44 for not showing up for work for 7 days in a row. But that’s not the case at all. I was sick and the management was aware and they let me go.
I went to another country to get treatment because it’s expensive in Dubai. My employer did not pay me my salary for the month I worked and fired me.
I have official sick leave from another country and there is correspondence where my employer sent me to another country for treatment.
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How to make the seller hand over the tenant's security deposit to the buyer upon completing a sale? 0
Should the seller in Dubai hand over their tenant's security deposit to the buyer upon completing a sale?
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At the time of the exchange, the broker said he would follow up with the seller and collect the deposit.
He hasn’t, and the seller has not handed over the deposit.
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How to deal with in-laws provoking and recording reactions? 0
Dear Sir/Madam,
My husband's family constantly provokes me and then records my every exaggerated reaction.
Now I'm worried that they might use those things against me.
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How to cancel the MoU to buy an apartment with the broker if the bank did not approve the loan? 0
Hi,
I have a situation where I signed an MoU and gave my security deposit to the seller's agent. However later, the bank valuation of the property is lower than the selling price.
On my MoU, it has a clause that “the buyer has a right to cancel/negotiate if the bank valuation is not the same as MoU.” I tried to negotiate, however, we didn't agree on the price so I asked to cancel.
Now the agent is threatening me that they will not cancel the MoU and that will deposit my cheque. Later I also came to know that the person I am dealing with is not the same person whose name is mentioned as a broker in the MoU.
The agent I am dealing with is constantly messaging me with threats. I decided not to speak to him and instead, I wrote an email to the broker whose name is mentioned on the MoU but received no response.
I am on a very tight timeline as I need to vacate my apartment in 3 weeks, I found another unit but I don't know if I can pursue this while the initial MoU still not canceled.
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Employer asking for visa reimbursement after resignation: do I need to pay? 0
Hello Sir/Madam,
I have already finished my first year with my company and resigned.
My employer is asking me to reimburse the cost of my visa because I did not finish my two-year contract.
Do I need to pay? The cost is 7,000 AED.
Oct 20, 2023
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View allLegal remedy for non-compete suit filed by ex-employer 0
Hi,
I have signed a non-compete clause (under unlimited contract) with my previous company. After working for 8 years with them, they terminated me.
I have now joined a competitor considering there was no other job available in the market. Now after 7 months, my previous company has filed a legal suit asking for compensation considering I am in a similar role and in the same territory.
What is the available remedy?
Oct 29, 2019
587
Filing a case against husband by a non-Muslim wife for adultery 0
I am a non-Muslim Indian woman. I discovered that my husband is having an affair with another woman. I know it is a criminal offense in the UAE and I want to know about the punishment for such an offense.
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We both share the same laptop at home and the screen was not clear so I took a backup of the pictures where I have my marriage pictures and also my daughter's pictures. In that, I have found an adultery video of my husband with a woman, close pictures, and some messages.
Once I spoke to him about it, he broke the laptop but I have those pictures with me.
Please help me!
Oct 20, 2019
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Ensuring that the employee will not approach the clients after leaving 0
I have a small company of 4 people. One of my oldest staff who has worked for 11 years is leaving. He handles 80% of my clients and work.
Without proof, I know he is going to open his firm. I don't want to harm him but I want to secure my clients. Is it legally okay for me to make him sign a contract that he cannot approach my clients in the near future?
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I'm interested in investing in a restaurant business. How can I check to ensure they are a legitimate company and won't just take my money and disappear?
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Liability for taking the payment of a customer after leaving company 0
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