Bail in the UAE

Bail is the procedure of giving temporary release to the person accused of the crime on deposit of some guarantee to the court.

The UAE bail procedure is the same as everywhere with no change in definition and has the same importance for the clients that is to get their members out on bail as soon as possible.

For being charged with minor crime public prosecution has the right to release the accused on bail but for serious crimes like murder or robbery where verdict is a death penalty or jail sentence for life then only bail or release is not applicable as per article 111 of UAE criminal procedures law.

The temporary release of the accused on bail requires that he or she provides some guarantee to confirm their appearance in the court proceedings. The guarantee may involve retaining the passport of the accused or their family members and friends. Furthermore money can also be deposited in the courts as a guarantee or a solvent person can be the guarantee as well for a certain amount to be paid if the accused violates the bail provisions.

The violation of bail provisions can lead to takeover of the guarantee by the government before the final verdict, similarly if the case has ended; the guarantee given by the accused will be returned in full and also will be released from any undertaking.

Franchise Dispute & Arbitration Advantages in UAE

Arbitration is an alternate dispute resolution whereby the parties recourse to a private court with nominated judges known as arbitrators.

It is widely used all over the world for resolving international disputes such as franchise due to their nature being neutral and unbiased.

The basis of its neutrality is all dependent on the selection of the arbitrator which is done so with the consent of both parties. It is flexible too with time, place and procedures even in some cases giving judgment on the basis of documents alone without summoning parties or their lawyers.

The court proceedings carried out by state courts are public whereas in arbitration there is privacy and confidentiality.

Furthermore verification of enforcement of the court judgments or the arbitral award is of prime importance prior to dispute resolution due to the fact that court judgment is not recognized in some countries where as arbitral award under New York convention is recognized and can be enforced internationally within 156 countries of New York convention.

The clauses under arbitration are to be enforced as written to avoid waste of money and time of both the parties.

Franchise Dispute & Litigation in UAE

Litigation is the proceedings in the local courts to defend or enforce the legal rights with help of an attorney.

The dispute will go in the hands of the litigation or arbitration after direct negotiation and mediation failure. However to proceed with arbitration the parties must have agreed to arbitration proceedings in the contract if not then the local courts or litigation is the option to resolve their dispute.

There can be an exception if both parties commit to proceed with arbitration even if not mentioned in the contract can do so but to be precise it is impossible because of damaged goodwill.

For international disputes such as franchise, both parties don’t prefer the litigation method as it might be biased in their proceedings. The local court proceedings favor one party in different ways such as language, procedures, and the advocates.

In litigation, the stronger party is, of course, the locals which is why most parties don’t agree with the litigation method and end up with arbitration for their disputes.

Franchise Dispute & Mediation in UAE

Mediation has become a popular method in resolving international business disputes which includes franchise dispute and many more.

Mediator is a third party who will get involved once direct negotiation fails in resolving a franchise dispute. The failure will cost both parties as appointing a third party comes at a price.

The job of the mediator will be to assist the parties in reaching a settlement without making any decision instead helping them understand each other’s point of view.

The mediator will summon both parties and listen to their arguments and the case itself furthermore if required will summon each party alone as well.

Their role will include working on sorting out the disputed case areas and areas where they can compromise and agree. The stronger party has of course more chances of winning as compared to weaker party but that can hurt the good will and cost money and time if not settled earliest.

Franchise Dispute and Negotiation in UAE

Franchise is the extension of a business which is distribution of goods and services in countries with their name and license.

Disagreements happen at some point in time in any relationship but what will happen next? Will it get resolved or become worst.

Like any other dispute franchise dispute is also due to the disagreement between franchisee and franchisor which if not resolved can lead to a costly path.

Franchise dispute may happen if the franchisee disagrees with high price for the products and services or the new product line or lacks adequate support or is too controlling.

The easy and economical solution or the way out is that both parties discuss the issues and try to resolve prior to getting third party involved.

If third party gets involved so do emotions and money! The best way to go about it is to be open and making some compromises. Goodwill of the parties is likely to lead to a fair settlement.

It should not be about who wins or who losses in a dispute when it arises instead it should be about understanding each other’s concerns and compromising on equal terms.

Labor Dispute in UAE

Any dispute that arises between the employer and the employee shall be dealt by,

A complaint is filed either by the employer or the employee in the labor department as per Article 6 of labor law which will then summon both parties and settle the dispute. In case the dispute does not get resolved it is then referred to the courts within two weeks of submission of complaint.

The labor court has two circuits which is

a- Minor Circuit
The cases which are worth less than one hundred thousand dirhams (AED100, 000) are dealt by one judge including counter cases regardless of their value

b- Major Circuit
The cases which value exceeds one hundred thousand dirhams (AED 100, 000) are dealt by three judges led by one judge including counter cases regardless of their value

There is a time limitation of one year to initiate an employment case. No complaint from both parties will be eligible for a claim if brought after a year or if they did not follow the procedures.

The court holds a meeting within three days of complaint in which they review and consider the claim from both parties. Furthermore, they might summon a representative of the labor department to investigate more and a notice is sent to both parties

Limited and Unlimited Contract in UAE Labor Law

It is important as an employee that you should familiarize yourself with the labor laws of UAE so you know what you are committing yourself too.

There are two types of labor contracts which are as follows,

1- Limited Contract

This type of contract is for a limited time period which has a start date and an end date which is for two years and cannot exceed the term. It also must mention the notice period either it be a minimum of one month or maximum three months.

The contract will end once it completes two years term, or if both employer and employee mutually agree to end it, or if the employee commits any illegal act as per Article 120 of labor law.

In case if the employer singly wants to terminate the contract or renewed contract earlier with the reason not stated in Article 120 of labor law then the compensation to be given is of three months advance salary or the remaining period of the contract whichever is a lesser amount.

Same applies for the employees if they decide to resign with the reason not stated in Article 121 of labor law then they have to compensate with a half months salary for a period of three months or the remaining period of the contract whichever is a lesser amount.

2- Unlimited Contract

This type of contract has a start date but no end date known as an open contract. It can be terminated by any of the parties either be it the employer or the employee honoring the requirements of the notice may it be the notice period of minimum one month or maximum three months. However with the consent of both parties the contract may be terminated without notice requirements (notice period).

In case if the terminating party does not comply with the notice requirements for the early termination then they will have to face legal charges and compensate the other party.

Interpol Notices

Interpol notices refer to different types of notices which are issued by countries sharing key information about criminal offenders or suspects. By exchanging cooperation between Interpol countries, there is a higher likelihood of ensuring security and law and order. These types of notices which Interpol countries draw to effectively maintain law and order are:

1- Blue Notice
When the requesting country does not know the identity, location or activities of the criminal offender then Blue notice is issued through Interpol. Upon the criminal offender being found, the country informs the requesting country about it.

2- Orange Notice
Orange Notice is primarily issued when a country is in possession of genuine information that an individual or suspect is likely to constitute a threat to a country or commit an act of terror, thereinafter the other country is informed about the suspect being a danger to its security.

3- Red Notice
Red Notice is issued when the person has committed a serious grave criminal offence. Upon request of country, the criminal is placed under surveillance and arrested till extradited to the requesting country.

4- Green Notice
To provide warning and intelligence about the criminal offence committed by the offender.

5- Black Notice
Black Notice is issued in the event that there is a dead body of a person in a member country of Interpol; thereinafter this type of notice is made so as for individuals to identify the dead human body through Black notice

6- Yellow Notice
The notice is issued to locate and identify the missing or unidentifiable person

7- Purple Notice
The issuance of this notice is to seek and identify the methods and equipment’s used by the criminals.

Trademarks in the UAE

Trademark can be described in the form of drawings, signs, shapes or words notwithstanding voices which are used primarily by companies and businessmen for the protection of its products and services.

Each company has a specific designed trademark. Possessing a trademark is highly beneficial to businessmen and companies as it convinces a consumer to make a purchase which in return increases demand for a product or service. A trademark additionally helps customers to have an overview of the products of established companies.

To acquire a trademark, an application has to be duly made to the UAE Ministry of Economy by a local or foreign individual or entity. However in the event the trademark is already in existence and identical to other trademarks, the application shall be rejected. The only exception is if the trademark was removed from records then the other party may request for its use after three years of deletion.

After approval from the Ministry of Economy, the trademark has to be advertised within two newspapers before registration. Individuals have 30 days from the first date of approval being published, to contest. However, the trademark applicant may also challenge any objection raised within the 30 days.

The submitted request if rejected can be challenged within 30 days and if not accepted again, thereafter the trademark applicant can submit an application to the court to object any rejection within 60 days.

Purchasing Property in Abu Dhabi

UAE property laws differ within cities or provinces such as property laws in Abu Dhabi are not the same as in Dubai. This relates to the sale and purchase by expats and it could be said that the conditions in Abu Dhabi for expat purchases have not evolved to the same extent as those for expats in Dubai.

As per Abu Dhabi Law 19 of 2005, UAE nationals are permitted to buy and sell property whereas GCC nationals and expats will also be able to own a property in selected areas such as Investment Zones where they can purchase flats, villas or land, however the main difference will be that GCC nationals can sell or purchase freehold.

The Investment Zones include areas such as Yas Island, Saadiyat Island, Reem Island, Al Reef, Raha Beach and more.

The types of ownership for non-GCC nationals or expats include,

1- Usufruct
Under this ownership they may hold only the rights to their flat or apartment but not the land. The person can benefit from the property owned by the third party, as per Article 4(1) the person can benefit till the lease of up to 99 years.

2- Musataha
This method is more commonly used to purchase villas or land as under this ownership one can make full use of land owned by the third party. As per Article 4(1) the right can be exercised for 50 years further extendable once for up to 50 years.