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If your business operates in the UAE and you have ever wondered whether you can legally transfer or sell your receivables, the answer is yes—thanks to Federal Law No. 16 of 2021 on Factoring and Transfer of Receivables.

Whether you are a company trying to improve cash flow, a lender exploring secured transactions, or a startup looking for flexible financing tools, this law is designed to make receivables transfer easier, clearer, and more secure.

But before we get into what this law says, let us take a step back.

How Were Receivables Treated in the UAE Before 2021?

Before the introduction of Federal Law No. 16 of 2021, the legal treatment of receivables in the UAE was fragmented and uncertain. While the UAE Civil Code and Commercial Transactions Law addressed general obligations, they did not provide a specific or modern framework for:

• The assignment or sale of receivables;

• Factoring arrangements between businesses and financiers;

• The automatic transfer of associated rights or collateral;

• Or the enforceability of such transfers without debtor notice or consent.

In practice, this meant:

• Receivables assignments were often treated with caution by financiers and investors;

• Legal opinions were required to confirm enforceability;

• Some contracts included anti-assignment clauses that were presumed enforceable;

• And deals involving receivables transfers often relied on contractual workarounds or foreign law structures to minimize risk.

There was no dedicated statute on factoring, and enforcement was often complicated by lack of clarity in local courts and administrative systems.

What Changed with the Receivables Law?

In 2021, the UAE issued Federal Law No. 16 of 2021 on Factoring and Transfer of Receivables, introducing a dedicated legal framework designed to:

• Remove ambiguity;

• Provide legal certainty for transfers of receivables;

• Enable financing tools like factoring and invoice discounting;

• And protect both assignors and assignees in receivables-based transactions.

This law filled a longstanding legal gap and aligned the UAE with international best practices in secured transactions.

What Is This Law About?

Federal Law No. 16 of 2021—commonly referred to as the Receivables Law—provides the legal foundation for transferring receivables in the UAE. Think of it as a rulebook for when one party wants to assign or sell outstanding debts (invoices, for example) to another party—often for immediate cash.

And yes, this includes factoring, invoice discounting, and similar financing arrangements.

Bottom line: The law explicitly allows for receivables transfers, so long as the receivable is not classified as a financial instrument (like stocks or bonds).

What Does the Law Actually Say?

Here are the main provisions that impact how receivables can be transferred—and why they matter.

1. Transfers Are Valid Without Notice to the Debtor
(Article 4)

You do not need to notify the person who owes the money (the debtor) for the transfer to be valid. That is significant for commercial efficiency—especially in large-scale or confidential financing deals.

Example: A supplier assigns AED 1 million in receivables to a bank for upfront financing. The buyer (debtor) is not informed—but the transfer is still legally valid under the law.

2. No Contract Clause Can Stop You from Transferring
(Article 5(2))

Even if your original contract with the debtor says “you cannot assign this,” that clause has no legal effect under UAE law.

Example: A logistics company signs a deal that prohibits assigning receivables. Later, it enters a factoring agreement to finance outstanding invoices. Despite the anti-assignment clause, the transfer is legally enforceable.

3. Ancillary Rights Transfer Automatically
(Article 6)

If your receivable is backed by collateral, a lien, or insurance, those rights are automatically passed to the new holder of the receivable.

Example: A contractor assigns an invoice secured by a performance bond. The transferee automatically inherits the rights under that bond—no extra paperwork or approvals needed.

4. You Decide the Terms Between You and the Buyer
(Article 9)

The law allows parties to freely agree on their rights and responsibilities in a receivables transfer.

Example: A tech startup sells its receivables at a 10% discount with a 60-day repayment clause. All terms are set in the transfer agreement and are legally binding—even if unconventional.

5. But You Still Need to Make Key Representations
(Article 10)

As the transferor, you must confirm:

• You have the authority to transfer the receivable.

• You have not assigned it to anyone else.

• The debtor cannot raise objections or set-offs.

• You are not guaranteeing repayment.

Example: A design firm sells a receivable from a difficult client but explicitly states that it is not liable if the client defaults later. This limitation of liability is valid and enforceable under the law.

Why This Law Matters for Businesses

This law is a game-changer for business liquidity and opens the door to modern financing tools. Here is how you might benefit:

• Need short-term working capital? You can sell your invoices to a factoring company without needing permission from your customer.

• Need to reduce exposure to credit risk? You can shift receivables—and any associated rights—to a third party.

• Want to structure a private financing deal? You have legal certainty to do so.

Example: You are a construction firm waiting on large payments. Instead of holding out for 90 days, you assign those receivables to a bank or investor and receive immediate cash flow. Now you can pay your suppliers and keep the project moving.

Final Thoughts

The Receivables Law in the UAE is creditor-friendly, business-friendly, and forward-looking. It gives companies and financiers clear legal tools to monetize receivables and unlock working capital. But like any legal mechanism, the devil is in the details. While the law creates the framework, your receivables transfer agreement needs to be properly drafted, documented, and compliant.

How We Can Help

At HPL Yamalova & Plewka FZCO, we help companies structure receivables transfers, review factoring agreements, and ensure regulatory compliance—whether you are a seller, buyer, lender, or investor. For tailored advice or support, contact us at www.lylawyers.com.

Introduction

Establishing a company in the UAE is relatively straightforward. The country’s business-friendly environment, strategic location, and various free zones make setting up a business a streamlined process. However, closing down a company is a different story. Business owners often discover that winding up a company involves a complex and multi-step process that requires careful planning, compliance with legal formalities, and significant costs.

In the UAE, simply letting a company’s license expire does not automatically close down the business. Instead, a formal liquidation process is required, which includes appointing a liquidator, conducting an audit, and settling all outstanding financial and regulatory obligations. This blog outlines the key steps involved in liquidating a business in the UAE and highlights why a strategic approach is essential to avoid prolonged complications.

Legal Framework for Liquidation

The liquidation of companies in the UAE is governed by the following key laws and regulations:

• Federal Decree-Law No. 32 of 2021 on Commercial Companies – This law sets out the legal framework for corporate dissolution and liquidation of companies established onshore and in free zones.
• Cabinet Resolution No. 58 of 2020 on the Regulation of Procedures Related to Real Beneficiaries – This law mandates that companies undergoing liquidation must disclose their ultimate beneficial owners (UBOs) and provide a final report on their shareholding structure.
• Federal Law No. 6 of 2018 on Arbitration – If disputes arise during the liquidation process, arbitration may be pursued under the provisions of this law.
• Free Zone Regulations – Free zones such as JAFZA, DMCC, and DIFC have their own specific rules and procedures for company liquidation.

Why Liquidation Is Necessary

When a business owner decides to close down a company in the UAE, they are legally required to go through the liquidation process. A company’s legal existence does not automatically end when its trade license expires or operations cease. Instead, the company remains liable for regulatory filings, fines, and penalties until the liquidation process is formally completed.

Failing to liquidate a company properly can result in:

• Accumulation of fines and penalties from licensing and regulatory authorities under Article 312 of Federal Decree-Law No. 32 of 2021.
• Legal liability for outstanding debts, contracts, and employee dues under Article 314 of Federal Decree-Law No. 32 of 2021.
• Restrictions on the business owner’s ability to open future companies or secure new licenses in the UAE.
• Negative impact on the company’s shareholders and directors, including potential travel bans or financial penalties.

Key Steps in the Liquidation Process

Liquidation in the UAE involves a structured process that requires compliance with both federal and free zone regulations. The key steps are outlined below:

1. Appointment of a Liquidator

• A licensed and registered liquidator must be appointed to oversee the liquidation process, as required under Article 326 of Federal Decree-Law No. 32 of 2021.
• The appointment requires a formal resolution by the company’s shareholders, which must be notarized and submitted to the relevant authority (e.g., JAFZA, DMCC, DED).
• The liquidator’s role includes preparing the final audit report, confirming that all debts and liabilities have been settled, and issuing a liquidation certificate.

2. Financial Audit and Final Accounts

• The appointed liquidator must prepare a financial audit report, confirming the company’s financial position and that all outstanding debts have been settled.
• The audit report should confirm that the company holds no liabilities, including employee end-of-service benefits, taxes, and contractual obligations.
• The audit must be submitted to the licensing authority as part of the liquidation application, as required by Article 327 of Federal Decree-Law No. 32 of 2021.

3. Clearance from Government Authorities

Before submitting the final liquidation request, the company must secure clearance from various government bodies, which may include:

• Federal Tax Authority (FTA) – Ensuring that VAT and corporate tax obligations are settled under Federal Decree-Law No. 8 of 2017 on VAT and Federal Decree-Law No. 47 of 2022 on Corporate Tax.
• Ministry of Human Resources and Emiratisation (MOHRE) – Confirming that all employee contracts have been terminated and dues have been paid under Federal Decree-Law No. 33 of 2021 on Labour Relations.
• General Directorate of Residency and Foreigners Affairs (GDRFA) – Cancelling visas for employees and dependents.
• Free zone or mainland licensing authority – Ensuring that all annual fees, licensing costs, and other charges have been settled.

4. Liquidation Resolution and Cover Letter

• A formal resolution to liquidate the company must be drafted and approved by the shareholders, as required by Article 328 of Federal Decree-Law No. 32 of 2021.
• The resolution should authorize the appointment of the liquidator and confirm the company’s intent to close.
• A cover letter addressed to the licensing authority (e.g., JAFZA) must accompany the resolution, explaining the reason for the liquidation and the steps taken to comply with legal requirements.

5. Submission of Original Documents

• The company must provide original incorporation documents, including the trade license, memorandum of association (MOA), and any amendments.
• Scanned copies of these documents should be prepared for submission through the licensing authority’s online portal.

6. Letter from the Liquidator

• Once appointed, the liquidator should issue a formal letter confirming that they have been engaged and are working on the liquidation report.
• This letter can help expedite the processing of the liquidation request with the licensing authority.

7. Filing the Liquidation Request

• After completing the above steps, the company can file the liquidation request with the relevant licensing authority.
• The request should include the audit report, clearance certificates, liquidator appointment letter, and resolution to liquidate.
• The authority will review the request and either approve or request additional documentation.

8. Response to Compliance Requirements

• Once the liquidation request is submitted, the company should respond to any additional compliance inquiries from the licensing authority.
• This includes providing clarification on any outstanding liabilities, employee settlements, or regulatory filings.
• The licensing authority will issue a final decision confirming the company’s status.

Court Fees and Costs Involved

Liquidation of a company in the UAE is not only time-consuming but also costly. Business owners should be prepared for the following expenses:

• Liquidator Fees – Professional fees for the liquidator’s appointment and preparation of the audit report.
• Audit Fees – Fees for preparing the financial audit report.
• Government Clearance Fees – Fees for securing clearance from the FTA, MOHRE, and other authorities.
• Licensing Authority Fees – Fees for processing the liquidation request and issuing the final liquidation certificate.

Why Letting a Trade License Expire Is Not Enough

A common misconception is that allowing a company’s trade license to expire will automatically close down the business. In reality:

• The company remains legally active until it is formally liquidated.
• Regulatory authorities will continue to impose penalties for non-compliance, including failure to renew the trade license.
• The company’s directors and shareholders remain liable for outstanding debts and legal claims until the liquidation process is finalized under Article 330 of Federal Decree-Law No. 32 of 2021.

Conclusion

Liquidation of a company in the UAE is far more complex than setting one up. While establishing a business is often promoted as a seamless process, winding it down requires careful legal and financial planning. The involvement of a licensed liquidator, the preparation of final accounts, securing government clearance, and the payment of substantial fees are all necessary steps to formally close a company.

Business owners should take a strategic approach to liquidation, ensuring that they meet all legal requirements to avoid ongoing liabilities and penalties. Simply allowing a trade license to expire is not enough — without proper liquidation, the company’s legal existence and financial obligations will continue to accrue. With the right planning and legal support, business owners can navigate the liquidation process efficiently and minimize risks associated with business closure in the UAE.

The UAE has firmly positioned itself as a global hub for digital entrepreneurship and content creation, offering a range of exclusive benefits and services to support influencers, content creators, and digital businesses. In particular, Dubai has taken significant steps to enhance the ecosystem for content creators, providing tailored business incentives, networking opportunities, and government-backed initiatives aimed at fostering growth in the digital economy.

This strategic shift reflects the UAE’s broader vision of becoming a leader in the digital economy, recognizing the influence and commercial value that content creators bring to various industries, including marketing, tourism, and entertainment.

Dubai’s Special Treatment for Content Creators

Dubai has introduced specialized programs and support structures to encourage content creators, digital entrepreneurs, and influencers to set up and expand their operations in the UAE. These measures include:

• Dedicated Business Licensing for Creators – Various free zones and business hubs in Dubai offer creator-friendly business licenses tailored for influencers, digital marketers, and social media professionals.
• Tax Benefits & Business-Friendly Regulations – The UAE provides 0% personal income tax, making it an attractive destination for independent content creators seeking financial advantages.
• Residency Visas & Long-Term Stability – Eligible content creators can obtain freelance visas, Golden Visas, and long-term residency options, ensuring business continuity in the UAE.
• Access to Exclusive Networking Hubs – Creators HQ, a government-backed initiative, serves as a networking ecosystem for influencers, entrepreneurs, and investors, offering structured growth opportunities and industry events.
• Participation in High-Profile Events – Dubai hosts the 1 Billion Followers Summit, a premier event focused on expanding the digital content economy and positioning the UAE as a global content capital.

These initiatives highlight Dubai’s commitment to nurturing the content creation industry, ensuring that digital entrepreneurs and influencers can leverage the country’s advanced infrastructure, business incentives, and tax-free environment to scale their operations.

The Role of Creators HQ in Supporting Digital Entrepreneurs

Creators HQ is at the center of Dubai’s creator economy, acting as a networking hub and business incubator for content creators, influencers, and digital businesses. It serves as:

• A gateway for international creators looking to establish a business presence in Dubai.
• A platform for collaboration between influencers, investors, and digital brands.
• A launchpad for regional expansion, providing strategic partnerships, growth opportunities, and mentorship programs.

Creators HQ is also responsible for organizing the 1 Billion Followers Summit, a global event focused on bringing together top digital content creators, investors, and industry leaders. This initiative directly contributes to growing the region’s digital economy, ensuring that creators have the resources, tools, and business connections needed to succeed.

Legal Considerations for Content Creators in the UAE
While the UAE offers numerous opportunities for content creators, it is essential to understand the legal and regulatory framework governing digital content, social media activities, and influencer marketing.

1. Business Licensing & Registration
Content creators operating in Dubai must ensure that they have the correct business setup, which may include:

• Freelance licenses for solo creators.
• E-commerce or media licenses for monetized digital content.
• Influencer licenses for creators working with brands.

Failure to obtain the proper license may result in fines or business restrictions.

2. UAE Social Media Laws & Content Compliance
Content creators must comply with UAE Cybercrime Laws and Social Media Regulations, which govern:

• Data privacy and content protection.
• Prohibited content related to religion, politics, and sensitive topics.
• Advertising guidelines under the UAE’s Consumer Protection and Influencer Marketing Laws.

Creators must also be cautious about misleading or unverified claims, as these may lead to legal liabilities.

3. Intellectual Property & Content Ownership
Creators must understand their intellectual property (IP) rights, including:

• Copyright protection for original content.
• Trademarks & branding considerations for digital businesses.
• Contracts & licensing agreements with brands and sponsors.

Ensuring proper legal agreements and IP protection can safeguard a creator’s work, reputation, and business interests.

How Our Law Firm Can Help
Navigating the legal landscape for content creators in Dubai requires expert legal guidance to ensure full compliance with UAE laws, licensing requirements, and content regulations. At LYLAW, we can assist content creators with:

• Business licensing & company setup for influencers and digital entrepreneurs.
• Contract drafting & IP protection for digital content and brand collaborations.
• Regulatory compliance & risk mitigation for social media and advertising laws.

The UAE has introduced significant changes to its Personal Status Law with the enactment of Personal Status Law No. 41 of 2024 (“New Law”), which comes into effect on April 15, 2025. The New Law replaces the UAE’s previous Personal Status Law No. 28 of 2005 (“Old Law”).

With regards to divorce and separation, the New Law provides greater clarity, equity, and codification of divorce-related provisions, which were either previously undefined or inconsistently applied. This bog focuses, specifically, on Section 4 of the New Law, detailing the various forms of separation, the rights of spouses, and the procedural changes, alongside a comparative analysis of the Old Law.

Forms of Separation Between Spouses

The New Law categorizes the dissolution of marriage into five (5) distinct forms:

1. Talaq: default right granted to the husband; conditional right to the wife. Similar to the Old Law.
2. Tatleeq: court-ordered divorce, which is a brand new provision codified in the New Law.
3. Khul’aa: wife-initiated divorce, without the need to prove harm, however forfeiting of multiple financial rights
4. Termination of the marriage contract
5. Death of one spouse

Talaq (Guaranteed right to divorce for the husband)

Under both the Old and New Laws, Talaq is the husband’s guaranteed right to initiate the divorce, and the wife’s conditioned right to divorce via requesting a “Talaq”. Specifically, whereas the Old Law provided clarity on the husband’s right to request Talaq, it did not provide the same clarity for the wife’s right – despite conditioning it. Under the New Law, however, there is further detail and clarity with regards to Talaq.

Overall, the differences between a Talaq under the Old Law and Under the New Law begin at the outset, in the general definition of Talaq, as per the below articles.

• Old Law (Article 99): Defined divorce as the dissolution of marriage by clear or explicit expressions.

• New Law (Article 53): Expanded the definition to include demands that imply divorce, provided that the husband’s intent is clear.

Additionally, the New Law mandates that the husband document the divorce within 15 days before the court. Failure to do so may result in financial compensation to the wife, equivalent to a pro-rated alimony amount, for the period between the divorce and its official registration (Article 58).

Delegation of Talaq

The possibility to delegate proceedings for Talaq has been expanded under the New Law.

The Old Law gave the husband an exclusive right to delegate proceedings for “Talaq”; the delegation could be given by the husband to a representative, or the wife.

The New Law, however, explicitly recognizes the wife’s right to delegate “Talaq” proceedings as well. Furthermore, the New Law sets limitations to divorce proceedings initiated by power of attorney (“POA”) holders. The relevant articles from the Old Law and New Law are outlined below.

• Old Law (Article 100): Allowed the delegation of divorce authority by the husband.

• New Law (Article 55): Provides the wife with the explicit right to delegate it, but prohibits the husband from revoking the POA after the divorce is executed unless it can be proven that the POA was revoked prior to the divorce and the agent was aware of the revocation.

Tatleeq (Court-Ordered Divorce)

One of the most notable changes is the codification of Tatleeq, granting either spouse the right to petition the court for divorce under specific circumstances:

• Husband not spending on Wife (Article 77):

• • If the husband fails to provide financial support, the court grants him 30 days to comply. Failure to do so results in divorce.
  • If the husband claims insolvency, he is given 90 days to remedy his financial situation and support/spend on his wife. Continued failure to spend on or support the wife results in divorce.

• Drug or Alcohol Addiction (Article 80): Either spouse may request a court-ordered divorce if the other is addicted to drugs, alcohol, or mind-altering substances.

• Sexual Abstinence or Neglect:

• • If the husband swears to not be intimate with his wife for more than four months or is not intimate with her for six months without valid reason, the wife may request a Court-ordered divorce (Article 78).

These provisions mark a departure from the Old Law, where fault-based divorce relied heavily on judicial discretion without specific guidelines.

Previously, there were no legally defined situations or codified standards as to what constitutes a fault on the basis of which a Court may grant divorce. Moreover, spouses had to prove the harm that they suffered as a result of the other spouse’s conduct, which often led to inconsistent rulings.

Khul’a (Wife-Initiated Divorce without Fault)

The New Law enhances the clarity and fairness of Khul’a, a divorce initiated by the wife in exchange for compensation:

• Old Law (Article 110): Allowed Khul’a through mutual consent, with compensation for the husband generally being the dowry.

• New Law (Article 65): Permits compensation to include any agreed-upon asset, ensuring greater flexibility for the wife.

The New Law also specifies that Khul’a results in irrevocable divorce, meaning that the husband can only remarry the wife under a new contract and with a new dowry, and prohibits any compensation that would waive the wife’s rights to child expenses or custody (Article 66).

Cases of Invalidity of Divorce

The New Law expands scenarios where divorce is deemed invalid:

• Old Law (Article 103): Addressed invalidity in limited cases, such as conditional divorces or those tied to oaths without clear intent.

• New Law (Article 56): Includes additional grounds, such as divorces declared during duress, extreme anger, or temporary mental incapacity, without proof of actual intent to divorce. It also invalidates divorces declared while the wife is in her divorce waiting period, or in an invalid marriage.

Fault-Based Divorce (also Tatleeq) (Article 71)

Both spouses have the right to request a fault-based divorce for ongoing marital problems that result in irreparable harm. If harm is not proven, the court may appoint arbiters to investigate and attempt reconciliation (Article 72). The arbiter’s report guides the court’s decision on compensation or separation (Article 74).

Termination of Marriage Contract

The termination of the marriage contract has been significantly expanded and codified under the New Law to address situations that were previously left to judicial discretion or undefined. Termination may occur under the following circumstances:

• Illness or Disability (Article 69): If one spouse has a harmful or repulsive illness, such as insanity or impotence, the other spouse may petition the court for termination.

• Non-Payment of Dowry (Article 76): If the husband fails to pay the agreed-upon dowry within 30 days of the court’s deadline, the wife may seek termination.

• Dissolution Before Consummation (Article 75): A wife may request termination without proving harm if the marriage has not been consummated, provided she returns the dowry.

Key Distinctions between the New Law and the Old Law

Under the Old Law, generally, reasons and faults resulting in the termination of a marriage contract were not well-defined and were overall left to judicial interpretation and discretion.

The New Law codifies these grounds explicitly, providing clarity and reducing the burden of proof on spouses seeking termination. These changes align with general Islamic principles, emphasizing fairness and the protection of both spouses’ rights within marriage.

Notable improvements and enhancements in the New Law

The amendments to the UAE Personal Status Law represent a notable evolution in the legal framework for divorce and separation:

1. Clearer Codification: The New Law codifies provisions that were previously reliant on judicial precedent, providing greater consistency and predictability.
2. Enhanced Protections: The law explicitly recognizes women’s rights in marriage, including financial entitlements and the acknowledgment of sexual and emotional well-being.
3. Expanded Grounds for Divorce: By broadening the circumstances under which either spouse can petition for divorce or termination, the law ensures a more equitable approach to marital disputes.
4. Procedural Improvements: Mandatory documentation of divorce and reconciliation reduces ambiguity and protects the rights of both parties.

Conclusion

The New Law’s comprehensive updates to divorce and separation provisions mark a progressive step forward for personal status legislation in the UAE. By addressing ambiguities in the Old Law and expanding the rights of both spouses, the New Law provides a more balanced and transparent legal framework.

These changes not only reflect evolving societal values but also enhance the protection of individual rights within the institution of marriage.

For detailed legal guidance on navigating divorce or other personal status matters under the new UAE laws, our team at LYLaw is here to assist. Contact us for expert advice tailored to your specific situation.

Introduction

In a major development, Dubai Courts have come up with a streamlined process for lifting travel bans on children in cases of divorcing parents. This update, as part of the Dubai Social Agenda 33 initiative, will make the process much quicker and more efficient for families across the UAE. Here’s a comprehensive look at what has changed and how it impacts divorced or divorcing parents.

Automated System for Lifting Travel Bans

The new system is based on an integrated platform between Dubai Courts, the CID, and Immigration. Previously, the process was manually done and involved many tedious steps that caused delays, adding to the stress level of parents. Now, once a judge has given his approval for the lifting of the travel ban, the decision is automatically and directly communicated to the system at the CID and immigration.

How the Process Worked Before

Under the old system, parents needed to:

1. Request the Court: Apply to the Court for lifting the travel ban.
2. Court Approval: Approval from the Court for lifting the travel ban.
3. Issue Manual Letter: The Court would issue a physical letter to the CID.
4. Present Letter to CID: This letter had to be presented to the CID, who then would change it manually in their systems.

This process took several days, as communications had to be done between the Courts, the CID, and the parties concerned.

Efficiency and Speed with the New System

With the new system, these steps are no longer needed. Once the judge has approved the travel request, the CID system will be automatically updated. That means there will be no more delays in lifting the travel ban, hence smoothing and quickening the process for parents.

Automatic Reinstatement of Travel Bans

Another significant enhancement is the automatic re-imposition of the travel ban once the children have returned to the country. This gives further comfort to the other parent that the ban will be in place and obviates the need for further action.

Dubai Social Agenda 33 Initiative

These changes form part of the Dubai Social Agenda 33 initiative, which comes into effect in January 2024. The Agenda defines targets to be reached by 2033. The major goals include:

1. Top 3 Cities for Standard of Living: Positioning Dubai among the world’s top three cities for the standard of living.
2. Healthy Life Expectancy: To have a healthy life expectancy ranking among the world’s top ten.
3. The Quality of Education: Establishing the quality of education in Dubai as among the top ten cities in the world within the next five years.
4. Emirati Workforce: Tripling the number of Emiratis working in the private sector.
5. Housing for New Families: Providing a land plot and a loan for every new Emirati family in Dubai within a year of their application.
6. Supporting New Emirati Families: Double the number of new Emirati families in Dubai.

Conclusion

This streamlined process for travel bans on children in divorce cases represents a leap forward in family support during such difficult times. The Dubai Courts are relieving parents of much of the stress and time that has been consumed by red tape, enabling them to spend more time with their families and less time fighting the system. The change not only benefits the parents but also aligns with the broader goals of the Dubai Social Agenda 33.

In a far-reaching decision, the Abu Dhabi government has brought new licensing regulations into law to regulate the operation of social media influencers. Being a law firm specializing in media and technology law, we take this opportunity to walk our audience through these changes and what this will mean for the influencer community, along with businesses operating in this emirate.

What are the New Regulations?
Starting from July 1, 2024, the Abu Dhabi Department of Economic Development will require all social media influencers and businesses that use digital platform advertising to obtain applicable licenses. This shall be necessary for any person who may use social media for promotional activities in Abu Dhabi.

License Types and Fees
There are two major kinds of licenses:

• Individual Influencer: AED 1,250 – about $340
  
• Companies or Groups of Influencers: AED 5,000 – about $1,360

Besides the ADDED license, an influencer will also have to get a permit from the UAE Media Council.

Penalties for Non-Compliance
The penalties are not light:

• Fines ranging from AED 3,000 to AED 10,000 ($817 to $2,720)
  
• Possible closure of business in case of repeated violation
  

Who Qualifies for an Influencer License?
While the regulations are all-inclusive, there are basic qualifications:

• Minimum age: 18 years
  
• A valid UAE residency visa, or in the case of non-residents, an Emirates ID card/unified number
  
• Substantial and active followership: no official minimum count of followers
  
• Content permissible under UAE laws and within the bounds of cultural decency
  
• Valid trade license or freelancer registration in Abu Dhabi
  

Please note that qualifications do not imply approval. Applications will be considered based on various merits, including the quality of content, the level of audience engagement, history of compliance, and respect for cultural sensitivity.

Content Restrictions
Influencers will be required to comply with UAE advertising laws that restrict advertisement of the following:

• Tobacco
  
• Alcohol
  
• Gaming
  
• Some medical products, except with proper authorization
  

All content must respect local cultural and religious sensitivities.

Impact on the UAE’s Digital Space
These regulations put into light how serious the UAE is about creating a formal and professional setting when it comes to digital marketing. They might be a headache in the beginning, but ultimately they will be a boost for credibility in influencer marketing and far more protection for consumers.

Influencer Tips
If you are an influencer operating in several Emirates:

• Do your homework on the particular requirements of each emirate in which you work
  
• Ensure compliance with both local and national regulations
  
• Consider consulting a lawyer to understand these complexities better
  

As the online world further develops, knowing these rules will be important for all influencer marketers in Abu Dhabi and the wider UAE. For further guidance or assistance with applications for licenses, please do not hesitate to contact our team.

Custody in the UAE is rather sensitive and multi-faceted, influenced by the type of family structure, religion, where the marriage was held, residency issues, and many more depending on the couple’s relationship. There exist different legal frameworks for custody between Muslim and non-Muslim families; some important nuances include when the custody is transferred, the responsibility tied to custody and guardianship, and how courts will make a decision.

Custody Laws for Muslims

In the case of Muslim families, all issues regarding custody are decided under the UAE Personal Status Law, Federal Law No. 28 of 2005, as amended. It prescribes the conditions that must be satisfied by custodians and the circumstances under which custody may be transferred from one parent to another.

Key Provisions of the Personal Status Law

1. Religious Alignment
   • Article 144: The custodian must be of the same religion as the child.
   • Article 145: A mother who has a different religion from her child loses custody unless the primary court decides that it is in the interest of the child to stay with the mother up to a certain age.
2. Conditions of Custodianship
   • The custodian needs to possess mature judgment, be of full age, and able to bring up the child.
   • He should not have been convicted of one of the offenses against honour and should not suffer from contagious diseases.
   • If female, the custodian should not be married to a person unrelated to the child unless the court decides otherwise.

Transfer of Custody

Whereas by operation of law, custody often passes from the mother to the father at various stages, depending upon whether the child is a boy or girl, such transfer is not automatic. The law presumes that the father has accepted responsibility for custody and the accompanying duties thereof in the areas of financial support and caregiving.

In practice, however, the following may be the custody arrangement:

• Mutual Agreement: Parents can mutually agree upon a mother continuing to have custody of the child beyond the age at which the law would normally transfer that right. This is simply because a father may not want, for practical or emotional reasons, to be given custody.
• Judicial Discretion: The Courts often apply the principle of the best interest of the child and depart from rigid interpretations of Shariah. For example, in cases where the father is incapable of taking care of the child—either financially or otherwise—the court would grant custody to the mother even when the law is explicit.

Custody and Guardianship

With custody come heavy responsibilities. If the father is unable to provide sufficient financial or emotional support to the children, the mother can appeal to the court to continue with both custody and even guardianship. The court, in this regard, assesses if the mother is in a better situation or position to handle the needs of the children and grants her more powers over the welfare of the children.

Custody Laws for Non-Muslims

Non-Muslim families in the UAE have broader choices of legal frameworks with, by comparison, more flexibility than the Shariah-based system.

Applicable Laws for Non-Muslims

1. UAE Federal Decree-Law No. 41 of 2022
   • This law applies to non-Muslims throughout all Emirates except Abu Dhabi.
2. Abu Dhabi Law No. 14 of 2021
   • This is the personal status law applicable to non-Muslim foreigners living in Abu Dhabi.
3. Foreign Law
   • This allows non-Muslim couples to apply the laws of the country where they got married, according to the UAE Personal Status Law.
4. Pre-Nuptial Agreements
   • Pre-nuptial agreements regarding custody terms on which the couple may have depended. Though the pre-nuptial agreements are not binding in matters of custody, the court can consider them if they are for the best interest of the child.

Requirements for Fosterage

Article 143 of the Personal Status Law provides the requirements that a fosterer must satisfy:

• Sound judgment and maturity.
• The ability to provide for and bring up the child.
• Freedom from contagious diseases.
• A clean criminal record.

Loss of these prerequisites will lead to the loss of custodianship.

Challenges and Considerations

1. Religion and Custody
   • Religion forms a decisive factor in custody questions concerning the Muslim child. However, it is often at the discretion of the court as it considers the practical realities of a particular case and the custodial parent’s emotional and financial stability.
2. Personal Circumstances and its Impact
   • A mother’s remarriage, lifestyle choices, or behavior incompatible with Islamic values can lead to the loss of custody. In practice, however, the courts often balance the child’s interest against the strict legal interpretations.
3. Rights and Responsibilities of Custody and Guardianship
   • The court presumes that the party granted custody is able to provide financially and emotionally for the child. If the father cannot do so then the mother may request custody and guardianship for the child’s benefit.
4. Application of Foreign Law
   • To the extent foreign law is argued, the UAE courts will often apply UAE law in cases involving Muslim children. This could vary depending on compelling circumstances.

Conclusion

Custody matters in the UAE are a sensitive balance of legal provisions, practical realities, and the best interests of the child. While laws may specify at what age custody transfers from one parent to another, the real application can widely differ based on agreements between the parents, judicial discretion, and specific case circumstances. The ultimate focus of courts is the welfare of the child, which may override strict legal interpretations.

For the families battling through such complex legal waters, an experienced lawyer needs to be consulted regarding their rights and the best welfare of their children.

What is a DIFC Long-Term Residency Visa?
The Dubai International Financial Centre offers a long-term residency visa to persons who fall under certain categories. In this regard, if you are an owner of property at the DIFC, which was purchased at a value of AED 2,000,000 or higher in value, then you have every right to apply for this type of visa. This would entail a 10-year residency within the United Arab Emirates for investors and property owners.

What is the validity of the DIFC Long-Term Residency Visa?
The DIFC long-term residency visa or also known as the Golden Visa, shall be valid for 10 years.

How to apply for the DIFC Long-Term Residency Visa?
In order to apply for the DIFC long-term residency visa:

1. Log in to the DIFC client portal and raise a service request for the long-term residency visa.
2. If you are a landlord and do not have an account, please create an account by emailing DIFC at [email protected].
3. Access will be given through the portal to submit your application online.
4. The application fee is AED 6,289 plus an additional AED 1,000 for the No Objection Certificate.

You will be able to pay through the portal wallet at submission.

What is the cost of the DIFC Long-Term Residency Visa?
The fees to apply for the DIFC long-term residency visa will be as mentioned herein:

• Application fee of the visa: AED 6,289
• No Objection Certificate: AED 1,000
  

Additional Clarifications
1. Is it possible for someone to apply for a Golden Visa if they have only paid part of the property’s purchase price and have obtained the remaining balance either through installments or a mortgage?
Yes, an applicant who has paid only 60% of the purchase price of an immobilized property and is paying the rest in installments or by mortgage may apply for the DIFC Golden Visa.

2. Is a person who owns more than one property in the DIFC and whose combined value is in excess of AED 2,000,000 qualified to apply for the Golden Visa?
Yes, an individual may apply for a DIFC Golden Visa if he owns several properties in the DIFC and the combined value thereof exceeds AED 2,000,000.

3. Will the unit(s) be blocked by the DIFC upon submitting the application for the Golden Visa, and what is the blocking period?
Yes, upon submission of the Golden Visa application, the unit(s) will be blocked by the DIFC. The block is for the same period as the visa, which is 10 years.

Today, in a world that has gotten so small due to global connectivity, the legality of one’s obligations knows no borders. One recent case that will be discussed in this article will truly exemplify how an American judgment was successfully enforced in the United Arab Emirates and will serve as a perfect case study to show how flexible the UAE’s legal system has been and how much it has abided by international legal norms.

Case Background

The case was instituted by an American state court judgment passed against a defendant, who thereafter shifted his abode to Dubai. The claimant harbored a feeling of grievance with the judgment as well as its payout and, therefore, approached the courts in Dubai for the enforcement of the said American judgment.

Early Obstacles

He took this matter before the Court of First Instance in Dubai, which dismissed the application for enforcement on the grounds that there was no treaty between the United States and the UAE on the recognition and enforcement of judgments. The ruling is evidence of the common problem at international law, that is, the enforcement of a foreign judgment without an actually applicable treaty.

Legal Framework: Article 222 of the UAE Civil Procedures Law

Undeterred by the setback, the client appealed the decision by invoking Article 222 of the UAE Civil Procedures Law. The said article provides an avenue towards recognition and enforcement of foreign judgment even in the absence of a bilateral treaty. Along this line, Article 222 provides that the UAE shall enforce the foreign judgment on the condition that:

1. The foreign judgment must be absolute and final.
2. The judgment is not in conflict with the UAE Public Policy or the principles of Islamic Sharia.
3. The foreign court had competent jurisdiction.

The Appeal

Appellant-client had appealed on the grounds that his judgment fulfilled all conditions as outlined under Article 222. The appeals court cut into the matter and focused on:

1. Finality and Binding Effect. The American judgment was final, and there was no appeal pending in the matter.
2. Public Policy. The judgment did not contravene any UAE public policy or one of the principles of Islamic Sharia.
3. Jurisdiction. The original court in the United States had proper jurisdiction to adjudicate upon the matter.

The Court of Appeal, however, ruled in the client’s favor and overturned the earlier dismissal order. The appellate court took pains to elaborate that a bilateral treaty is not required for recognition and enforcement of foreign judgment in the UAE and that Article 222 of the UAE Civil Procedures Law applies in the absence of such a treaty.

The Ruling of Cassation Court

The case went as high as the Cassation Court, which is the highest level of judiciary in the UAE. The Cassation Court upheld the judgment of the appellate court that the absence of a treaty does not prevent foreign judgments from being enforced. In fact, the court mentioned that there is sufficient legality under the UAE Civil Procedures Law to enforce such judgments.

Successful Enforcement

By order of the Cassation Court, the client had finally enforced and collected the American judgment in Dubai. The ruling, although a delivery of justice to the claimant, substantively acted to create a landmark legal path subsequent for the cases related to the enforcement of foreign judgment in the UAE.

Key Takeaways

1. Persistence Pays Off. Even when things were initially going against them, persistence and proper knowledge of local laws can indeed prevail and help enforce foreign judgments.
2. Article 222. This provision is crucial for enforcing foreign judgments in the UAE, providing a legal framework even in the absence of bilateral treaties.
3. Judicial Adaptability. The UAE judiciary itself is capable of applying international legal principles serving the best interest of justice even across borders.

Conclusion

The successful enforcement of an American judgment in the UAE demonstrates how the country enforces the highest international legal standards. It serves as a guiding light to any individual and entity looking forward to enforcing foreign judgment in the UAE, showing a way that with the right legal strategy and proper understanding of the local laws, justice can indeed be served beyond borders.