UAE Anti-Commercial Fraud Law — articles 1–26

For the purposes of this Decree-Law, the following words and expressions have the meanings assigned to them, unless the context requires otherwise: State: The United Arab Emirates. Ministry: The Ministry of Economy. Mini…

This Decree-Law aims to: 1. Combat the counterfeiting of genuine goods and commercial fraud in all its forms and types. 2. Establish mechanisms, controls and procedures to combat commercial fraud and prevent trade in cou…

This Decree-Law applies to every person who commits an act of commercial fraud in the State, including in free zones.

1. It is prohibited to import, export, produce, manufacture, offer, sell, store, transport, market, circulate, promote or dispose of fraudulent, spoiled or counterfeit goods, or to possess them for sale. Attempting any s…

1. On its own initiative or upon an order of the Ministry or Competent Authority, as the case may be, a Supplier shall withdraw fraudulent, spoiled or counterfeit goods from markets and warehouses, notify the Competent A…

1. A Supplier is not exempt from the penalty prescribed by this Decree-Law by proving that the Customer knew the goods were fraudulent, spoiled or counterfeit. 2. Subject to Clause 1, the Executive Regulation shall regul…

At the request of a good-faith Customer, the Supplier shall refund the value of fraudulent, spoiled or counterfeit goods, replace them or exchange them, without prejudice to the Customer's right to claim compensation.

A Supplier shall: 1. Upon request, provide the Competent Authority or Ministry, as applicable, with the mandatory commercial books or equivalent records showing the commercial particulars and value of goods owned or poss…

Employees designated by a resolution of the Minister of Justice, in agreement with the Minister or the head of the local judicial authority, as the case may be, shall have the capacity of judicial enforcement officers to…

1. Judicial enforcement officers may at any time enter commercial premises, warehouses, factories, establishments and all non-residential places to inspect them, examine records and books, seize suspected goods or hold t…

1. It is prohibited to prevent judicial enforcement officers from performing their duties. 2. A Supplier is prohibited from disposing of goods held pending examination before the examination result authorises their relea…

1. A Supplier whose goods have been seized or held may apply to the Competent Court for their release. Within 24 hours after the application, the Court may order release subject to the following conditions: a. The Suppli…

In a case of necessity or urgency, where strong evidence indicates that a Supplier possesses fraudulent, spoiled or counterfeit goods, the Minister, the Minister's delegate, the head of the local authority or that head's…

A committee named the "Supreme Committee for Combating Commercial Fraud" shall be established under this Decree-Law and shall report to the Minister. Its composition, working system and competences shall be determined by…

A Cabinet resolution, issued upon the Minister's proposal and in coordination with the Competent Authority, shall specify the violations and administrative sanctions for acts contrary to this Decree-Law, its Executive Re…

Without prejudice to any more severe penalty prescribed by another law, the offences set out in this Decree-Law are punishable by the penalties prescribed herein.

Any person who violates Articles 4, 5, 8 or 11 of this Decree-Law shall be punished by imprisonment for up to two years and a fine of not less than AED 5,000 and not more than AED 1,000,000, or by either penalty.

The penalty for the offences referred to in Article 17 is aggravated to imprisonment and a fine of not less than AED 100,000 and not more than AED 2,000,000, or either penalty, in the following cases: 1. The fraud, decep…

1. Without prejudice to Articles 17 and 18 and the rights of good-faith third parties, the Competent Court shall order the confiscation or destruction of fraudulent, spoiled or counterfeit goods, medicinal products, prod…

1. The person responsible for the effective management of an offending legal person is subject to the same penalty prescribed in Articles 17 and 18 if that person is proved to have known of the offence and failed to take…

For a repeat offence, the penalty prescribed by this Decree-Law shall be doubled and the shop or place where the offence occurred shall be closed for up to one year. A person is a repeat offender if that person commits a…

At the offender's request, the Ministry or Competent Authority, as applicable, may settle any act contrary to this Decree-Law, its Executive Regulation or implementing resolutions in return for payment of an amount not l…

1. An interested person may submit a written grievance to the Minister or head of the Competent Authority, as applicable, against any decision issued under this Decree-Law, its Executive Regulation or implementing resolu…

1. Federal Law No. 19 of 2016 Concerning Anti-Commercial Fraud is repealed, as is every provision contrary to or inconsistent with this Decree-Law. 2. Regulations and resolutions issued under Federal Law No. 19 of 2016 r…

The Cabinet shall issue the Executive Regulation and the resolutions necessary to implement this Decree-Law within six months after its commencement date.

This Decree-Law shall be published in the Official Gazette and shall enter into force two months after its publication date.