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Commercial Agencies Law — articles 1–31
- Article 1 — Article (1) Definitions
For the purpose of applying the provisions of the present Law, the following words and expressions shall bear the meanings assigned thereto respectively, unless the context requires otherwise: The State (UAE): The United…
- Article 2 — Article (2) Practice of the Commercial Agency Activity
1. The practice of the Commercial Agency activity in the State shall be limited to individual citizens and companies and establishments wholly owned by any of the following persons: A. A natural person who is a UAE natio…
- Article 3 — Article (3) Registration in the Commercial Agencies Register
The Commercial Agency activity may be practiced in the State only by the persons registered in the Commercial Agencies Register in the Ministry. Any Commercial Agency not registered in such Register shall not be valid.
- Article 4 — Article (4) Validity of the Commercial Agency
In order for a Commercial Agency to be valid, the Agent shall be engaged by the original Principal under a written and notarized contract, and the Commercial Agency shall be registered in the Commercial Agencies Register…
- Article 5 — Article (5) Commercial Agency Contract
1. A Commercial Agency contract shall be deemed in the common interest of the contracting parties. The provisions of the present Law shall apply thereto, and any agreement to the contrary shall not be valid. 2. The court…
- Article 6 — Article (6) Contract Term
If the contract stipulates that the Agent shall establish buildings for display, goods stores or facilities for maintenance or repair, the contract term shall be five years, unless otherwise agreed upon.
- Article 7 — Article (7) Utilization of the Multiple Services of an Agent or Distributor
1. The original Principal may utilize the services of one Agent in the State as one territory, and may also seek the assistance of one Agent in each emirate, or in a number of emirates, provided that the distribution of …
- Article 8 — Article (8) Entitlement to the Agent's Commission
The Agent shall be entitled to receive commission for the transactions concluded by the Principal itself, or through others in the territory designated for the activity of the Agent even if such transactions are not conc…
- Article 9 — Article (9) Expiration of the Commercial Agency Contract
1. The Commercial Agency contract shall expire in any of the following cases: a. Upon the expiry of the contract term unless such term is renewed by the agreement of the contracting parties; b. By the will of either the …
- Article 10 — Article (10) Controls and Provisions Regarding the Termination or Non-Renewal of the Commercial Agency Contract
1. Termination of the Commercial Agency contract: Subject to Paragraph (b) of Clause (1) of Article (9) of the present Law, the party desiring to terminate the Commercial Agency contract, based on the terms and condition…
- Article 11 — Article (11) Claim for Compensation
1. Without prejudice to Clause (2) of Article (9) of the present Law and unless there is an express agreement to the contrary, if the Commercial Agency contract expires based on the provision of Clause (1/a) of Article (…
- Article 12 — Article (12) Submission of an Application for Registration in the Commercial Agencies Register
The application for registration in the Commercial Agencies Register shall be submitted to the Ministry. The Minister shall issue a resolution specifying the data to be included in the application. The application for re…
- Article 13 — Article (13) Consideration of the Application for Registration
The Ministry shall consider the application for registration in the Commercial Agencies Register and issue its decision thereon within ten (10) working days from the date of completion of the requirements for registratio…
- Article 14 — Article (14) Rejection of the Application for Registration
1. The Ministry may, if the application for registration submitted thereto is rejected, indicate the reasons for such rejection, and shall notify the person concerned of the rejection decision by registered letter or by …
- Article 15 — Article (15) Change or Amendment to the Commercial Agencies
1. The Agent, his legal representative or his heirs, in case of his death, shall submit an application to the Ministry concerning any change or amendment which may be made to the Commercial Agency in order to be annotate…
- Article 16 — Article (16) Striking off from the Commercial Agencies Register
1. The Agent or its legal representative shall, if it no longer meets any of the conditions set forth in the present Law or if the Commercial Agency has expired and has not been renewed, submit an application to the Mini…
- Article 17 — Article (17) Documents to be Submitted to Amend or Strike off the Commercial Agency
The application for amendment or strike-off shall be accompanied by the supporting documents. The Ministry may request the applicant for amendment or strike-off to complete any documents it may deem necessary for effecti…
- Article 18 — Article (18) Extract from the Registration Sheet in the Register
Any interested party may obtain from the Ministry an extract from the registration sheet in the Commercial Agencies Register and may also obtain a certificate indicating that the registration has not been made.
- Article 19 — Article (19) Duties of Agents
Agents shall: 1. Provide the spare parts, tools, materials, fittings and accessories necessary and sufficient for the maintenance of durable goods; and 2. Provide the maintenance services, the subject-matter of the agenc…
- Article 20 — Article (20) Prohibitions
1. Goods, products, manufactures, materials or other property, the subject-matter of any Commercial Agency registered in the Ministry may not be entered for the purpose of trading by means other than the Agent. The custo…
- Article 21 — Article (21) Release of Activities or Materials
1. The Cabinet may, upon the recommendation of the Minister and after coordination with the competent entities identified by the Cabinet, release any activities or materials from Commercial Agencies, in accordance with t…
- Article 22 — Article (22) Administrative Penalties
The Cabinet shall issue the regulations for violations and administrative penalties which shall apply to any person that violates any provision of the present Law.
- Article 23 — Article (23) Commercial Agencies Committee
A committee to be known as "the Commercial Agencies Committee" shall be established. The Cabinet shall issue a resolution determining its formation, its rules of procedure, its members' remunerations and fees for hearing…
- Article 24 — Article (24) Competences of the Committee
1. The Committee shall be competent to hear any dispute arising between the parties to a Commercial Agency registered with the Ministry. No action shall be admitted before courts in this regard before referral to the Com…
- Article 25 — Article (25) Seeking Assistance of Experts
In the course of carrying out its competences, the Committee may seek assistance of experts or specialized entities in accordance with the controls and conditions set in its rules of procedure.
- Article 26 — Article (26) Resorting to Arbitration
1. The provisions of the present Law shall not prejudice any agreement between the Agent and the Principal to refer any dispute which may arise between them to arbitration. 2. The above-mentioned arbitration shall take p…
- Article 27 — Article (27) The Capacity of Judicial Officers
1. The employees of the Ministry or the Competent Authority identified by a resolution of the Minister of Justice or the chairman of the local judicial authority, in coordination with the Minister or the chairman of the …
- Article 28 — Article (28) Repeals
1. Federal Law No. (18) of 1981 Regulating Commercial Agencies is hereby repealed. Moreover, any provision contrary to or contradicting the provisions of the present Law is hereby repealed. 2. The resolutions and regulat…
- Article 29 — Article (29) Implementing Resolutions
Without prejudice to the competences of the Cabinet set out in the present Law, the Minister shall issue the resolutions necessary for implementing the provisions of the present Law.
- Article 30 — Article (30) Final Provisions
1. The provisions of expiration of the Commercial Agency stipulated in Clauses (a) and (b) of Article (9/1) of the present Law shall not apply to Commercial Agency contracts in force at the time of issuance thereof, exce…
- Article 31 — Article (31) Publication and Entry into Force of the Law
The present Law shall be published in the Official Gazette and shall enter into force six (6) months from the date of its publication.