Sara Ibrahim Advocates and Legal Consultants

22/03/2023

We wish you and your loved ones a blessed Ramadan Kareem!
Please be informed that our Ramadan office timings as follows:

Sunday to Thursday: 9:00 AM - 4:00 PM
Fridays: 9:00 AM - 12:00 PM

30/12/2022

Happy New Year!

On the occasion of the New Year, please be informed that our office will be closed on Sunday, 1st January 2023. Our regular working hours will resume on Monday, 2nd January 2023.

Thank you for your continued support and we wish you all a prosperous & Happy New Year!

30/11/2022

Happy UAE National Day!

In commemoration of the 51st UAE National day, please be informed that our office will be closed from December 1, 2022, until December 3, 2022. We have limited access to our email; rest assured, we'll attend to your inquiry at the earliest. Our regular office timings will resume on Sunday, December 4, 2022.

Thank you for your continued support and trust in our Firm.

11/11/2022

Step by step guide for a gratuity calculation under the UAE Laws

Gratuity, in common language, means an amount that is paid by the employer to the employee at the end of his service, in lieu of the services provided by him to the company.

Under the United Arab Emirates, a foreign employee who works full term and has completed one year or more is entitled to receive an end-of-service gratuity upon the end of his service, in accordance with Federal Decree Law No. 33 of 2021 On the Regulation of Labour Relations (Labour Law).

How to Calculate Gratuity
According to Article 51 of the Labour Law, the gratuity is to be calculated in accordance with the basic salary in the following manner.

Remuneration of 21 days for every year of service for the first five years.

Remuneration of 30 days for each year after the first five years.
In accordance with Article 51/5, the end-of-service gratuity will be calculated according to the last basic salary that the worker has received.

The foreign worker is entitled to gratuity for fractions of the year in proportion to the period he has worked during the year, provided that he has completed one year of continuous service (Article 51/3). Additionally, the days of absence without pay shall not be included in the calculation of the length of service (Article 51/4).

What is the maximum amount that can be paid to an employee as gratuity?

In accordance with Article 51/7 of the Labour Law, the end-of-service gratuity payable to the foreign worker will not exceed two years remuneration in total.

Can the employer deduct any amounts from the gratuity amount payable to the employee?

Yes, the employer is entitled to deduct any amounts due, legally or by judicial ruling, from the end-of service gratuity, in accordance with the implementing regulations of the Labour Law.

In accordance with Article 29 of the Cabinet Decision No. 1/2022 On the Implementing Regulation of Federal Decree-Law No. 33/2021 Regarding the Regulation of Employment Relationships (Implementing Regulations), the employer may deduct the amounts:

to recover the loans or other amounts paid to him in excess of his right; for violations committed by the worker
for repairing the damage caused by the worker, due to his fault or the employer’s instruction, leading to damage or destruction of tools, machines, products, material owned by the employer.
to recover the amounts deducted for the purpose of calculating reward, retirement pension and insurance contributions.

As debts owed in implementation of a court ruling issued against the worker.

What about the end-of-service benefits for non-full term employees?

In accordance with Article 30 of the Implementing Regulations, the end of service benefits for workers working in part time jobs and not on a full time basis will be calculated in the following manner.
The number of working hours set out in the employment contract per year divided by the number of working hours in the full-time contract per year multiplied by 100 equal to the percentage
multiplied by the value of the end of service benefit for the full-time employment contract.

However, it should be noted that the end of service benefit shall not apply in the case of temporary employment if its duration is less than one year.

Read More: https://www.thecounsels.ae/blog/step-by-step-guide-for-a-gratuity-calculation-under-the-uae-laws/

Blog Step by step guide for a gratuity calculation under the UAE Laws Gratuity, in common language, means an amount that is paid by the employer to the employee at the end of his service, in lieu of the services provided by him to the company.  Under the United Arab Emirates, a foreign employee who...

28/10/2022

Regulations of News Agency & media as per the UAE Law

Commercial liabilities are understood to mean liabilities of a business. In today’s world, given how much investment one puts into the business and the risks associated with it, it is very common for a business to obtain a coverage which protects the business.
Some of the matters which are generally protected from legal liabilities in commercial liabilities policies may include: property damage, bodily injury, personal injury and product or operations of the business or injury that occurs on the business premises. These have been briefly explained in the following paragraphs.

Property Damage:

Property has been defined as any object or right that has a negotiable value under Federal Law No. 5/1985 On the Civil Transactions Law of the United Arab Emirates State (Civil Transactions Law). It is further understood to mean anything that may be subject to physical or legal possession, may be exploited lawfully and is not by nature or by law non-negotiable and can constitute the subject-matter or proprietary rights.

Property is typically classified as movable and immovable property. Article 101 of the Civil Transactions Law defines immovable property as anything which is settled and fixed in space and cannot be moved without deterioration or alteration of its shape. Everything else is movable property.

Article 300 of the Civil Transactions Law also states the following, “Without prejudice to the general provisions on damages, whoever damages or destroys the property of another, shall be liable to replace it, if fungible, or pay its value, if ad valorem.”

Bodily Injury:

This is understood to cover physical bodily injury, including sickness or disease that is caused to a person.

Under Article 299 of the Civil Transactions Law, damages are compulsory due for prejudice to the person. Unless otherwise agreed between the parties, either blood money or compensation for defect of sold value, in cases they are due, may not be added to damages.

Personal & Advertising Injury:

This is generally understood to mean protection from actions which harm a person’s reputation, or right to privacy, such as libel, slander, defamation, disparagement of a person’s goods, products or services, etc., infringing upon another person’s copyright, trade name or slogan in the advertisement, amongst others.

A commercial liabilities coverage may cover such actions. Under the UAE laws, moral damages may be claimed by a person if he has suffered distress which has harmed his honour, dignity, reputation, social standing or financial position. This has been provided under Article 293 of the Civil Transactions Law.

Article 293 of the Civil Transactions Law states as follows.

“1-Damages shall include moral damages. Shall be considered moral damages, trespassing against others in their freedom, honour, dignity reputation social standing or financial position.
2-Spouses and closet relatives of the family may be adjudged damages for the moral prejudice sustained by them as a result of the death of the injured.

3-Recovery of moral damages is not transferable to others unless its amount is fixed by agreement or a final court judgment.”
The commercial liability policy may provide for a claims-based policy, which means that the insurer will pay those sums that the insurer becomes legally obligated to pay as damages for bodily injury, property damage, etc. only after a claim has first been made against an insured during the policy period.

Conclusion

For a business operating in the region, a commercial liability coverage may be essential to obtain in this day and age, and could help protect your business in the event of an unfortunate incident.

Read More: https://www.thecounsels.ae/blog/regulations-of-news-agency-media-as-per-the-uae-law/

Blog Regulations of News Agency & media as per the UAE Law The United Arab Emirates regulates media and news agency through various federal laws and authorities. We have explained some of the key ones in this article below. What are the laws applicable? Federal Law No. 15 of 1980 Concerning Publicat...

16/10/2022

Explained: Forging of Credit Card Data and its Punishment in the UAE

Forgery is considered a crime under the UAE laws and is punishable with imprisonment and/ or fines, depending upon the type of forgery.

What is Forgery?

Under the UAE Penal Code (Federal Decree Law No. 31 of 2021 On the Issuance of the Crimes and Penalties Law), forgery of a document is defined as any alteration of the truth of the documents by undertaking certain specified actions, which may cause harm, with the intention of using the forged document as a genuine one.

The following actions, as specified under Article 251 of the UAE Penal Code, will be considered as forgery.

1. Altering a document, by making changes to what is written in document, including numbers, writing, marks or pictures in the document. Any removal of the above will also be treated as alteration.
2. Placing a forged signature or seal on a document or altering a genuine signature, seal or fingerprint.
3. Taking the signature, seal or fingerprint of a document without valid consent, or being aware of the contents, through fraud or surprise.
4. Creating a fake document or imitating a document and ascribing it a third party.
5. Filling a blank paper containing a signature, or a seal, or a fingerprint, without the approval of the person to whom the signature, seal, or fingerprint belongs.
6. False impersonation or changing the identity in a document intended for such purpose.
7. Altering the truth in a document intended as a proof, immediately upon preparation.

While the UAE Penal Code provides the general definition of forgery in a document, Article 252 also prescribes penalty of imprisonment forging an unofficial document.

Are there any punishments under the Cybercrime Law?

Yes, there are. The United Arab Emirates issued a new law on cybercrime, called the Federal Decree-Law 34 of 2021 Concerning the Fight Against Rumours and Cybercrime (“New Cybercrime Law”) which repealed the previously existing Federal Decree-Law No. 5 of 2012 and came into force from 2 January 2022.

Article 14/2 of the New Cybercrime Law provides punishments for forging an electronic document of a body, pursuant to which, penalties including imprisonment and / or fines between AED 100,000 to AED 300,000 may be imposed on the perpetrator. In accordance with Article 14/3 of the New Cybercrime Law, any person who uses a forged electronic document, while knowing that it's forged, will be punishable with the same penalty as prescribed for the crime of forgery.

The text of Article 14 of the New Cybercrime is set out below for ease.

“1. Everyone forges an electronic document of the federal or local government, or the public federal or local authorities or institutions shall be sentenced to provisional imprisonment and to pay fine of not less than (150,000) one hundred fifty thousand Dirhams and not more than (750,000) seven hundred fifty thousand Dirhams.
2. If the forgery is committed in documents of a body other than the bodies described in Clause (1) hereof, the penalty shall be detention and/or payment of fine of not less than (100,000) one hundred thousand Dirhams and not more than (300,000) three hundred thousand Dirhams.

3. Everyone uses the forged electronic document, while informed of its forgery, shall be sentenced to the same penalty established for the crime of forgery.”

Forging a Credit Card

The New Cybercrime Law, in fact, specifically provides penalties for forging a credit card, debit card or any other e-payment method. The penalties for forging a credit card is imprisonment and / or fines between AED 200,000 to AED 2 million.

Article 15 of the New Cybercrime Law, which sets out the punishments for breach of electronic payment methods is set out below.

“Everyone forges, counterfeits or copies a credit card, debit card or any e-payment method or seizes the data or information thereof, by using information technology means or information system shall be sentenced to detention and/or payment of fine of not less than (200,000) two hundred thousand Dirhams and not more than (2,000,000) two million Dirhams.

Everyone commits the following shall be subject to the same penalty:

1. Manufacturing or designing any information technology method or information program to facilitate any of the actions provided in the first paragraph of this Article.
2. Unauthorized use of credit card, electronic card, debit card or any electronic payment method or any data or information thereof, for purpose of seizing for oneself or for others, the monies or properties of others or making benefit of the services offered by such cards and provided by third parties.
3. Before dealing with the forged, counterfeited or copied cards or other electronic payment methods or data of electronic payment methods illegitimately seized while knowing its illegitimacy.”

Read More: https://www.thecounsels.ae/blog/explained-forging-of-credit-card-data-and-its-punishment-in-the-uae/

07/07/2022

Eid Mubarak!

In the event of Eid Al Adha holidays, kindly be informed that our office will be closed from Friday to Monday, 8th of July to 11th of July 2022. Our normal working hours will resume on Tuesday, 12th of July 2022.
We wish you and your family an EID Mubarak!

14/05/2022

We in Sara Ibrahim Advocates is with greatest sadness of the passing of H.H Sheikh Khalifa bin Zayed Al Nahyan.

In this regard, and as the government announced of work suspension for public and private sectors for 3 days our office will be close from Saturday 14/05/2022 until Monday 16/05/2022.

Our regular timings will resume on Tuesday 17/05/2022.

Many thanks for your continues support.

29/04/2022

Happy EID!

In the event of Eid Al Fitr holidays, kindly be informed that our office will be closed from Sunday 1st May - Wednesday 4th May 2022. Our normal working hours will resume on Thursday, 5th May 2022.

We wish you EID Mubarak to you and your loved ones.

01/04/2022

We wish you and your loved ones a blessed Ramadan Mubarak!

Please be informed that our Ramadan office timings as follows:

Sunday to Thursday: 9:00 AM - 4:00 PM
Friday: 9:00 AM - 12:00 PM

If you have any questions please do not hesitate to contact us.

06/02/2022

The Property Developer must have an escrow account?

Dubai real-estate sector is significantly the most regulated and planned sectors in the country considering the huge amount of investment by multiple foreign investors. The laws in relation to governing the real-estate sector in Dubai are mandatory for the buyers and sellers to follow and failure of adherence will lead to legal complications. Property Lawyers of Dubai will discuss about one pertinent aspect of real-estate sector of Dubai that is the requirement of the property developers to establish an escrow account for all investments in the property. It is vital for all the buyers to be aware their rights and obligations under the sale and purchase agreement.

In the light of foregoing, the Dubai Law number 8 of the year 2007 obliges the seller to set up an escrow account for a particular project and shall also appoint an escrow agent (who shall be a bank or any financial institution approved by the Dubai Land Department). The Law of 2007 mandates the developer to deposit all the funds obtained from the selling the off-plan units and the credit obtained by the developer for funding the project. It is important for the readers to note that the amount in the escrow account is to be specifically used for the project construction or to pay-off the investor in case the project is cancelled by the government or in any other circumstances.

It is apparent that the law mandates the developer to set-up an escrow account, however, there still might be a possibility that an investor is facing a fraudulent property developer who has not set up an escrow account, the primary step for every investor is to register a complaint before Real Estate Regulatory Authority. The Authority is responsible for managing the real estate projects in the relevant Emirate and has the obligation to ensure the proper implementation of the real estate laws in the country. Upon registering the complaint, the Authority will conduct necessary investigation against the developer.

In furtherance, the investor has the right to either initiate or register the case before Dubai Courts or Dubai Arbitration Institutes as what is mentioned in the Sale and Purchase Agreement. In usual circumstances, the sale and purchase agreements suggest for arbitration in case of dispute. On the other hand, cases can be registered before the courts of Dubai, if the contract suggest to resolve disputes before Dubai Courts. It is always advised to appoint real estate lawyers who can legally represent you before the courts of Dubai as plaintiff shall meet the court requirements with all due respect such as submitting memorandums and all relevant documents in Arabic Language. As more and more properties are being developed in the country, we are witnessing increment in foreign investments in real estate sector, thus, it is always recommended to be aware of the rules and regulations issued by the government of Dubai to protect the interest of purchasers and sellers of off-plan properties in the Emirate.

Read More:https://www.thecounsels.ae/blog/the-property-developer-must-have-an-escrow-account

21/01/2022

Monitoring Employee Under UAE Law

Possibly most well-known data leaks are perpetrated by insiders. These insiders are none other than the employees of the company. Most employers, with an intention to resolve the issues of data leakage, deploy monitoring and surveillance techniques to critically examine the activities undertaken by employees of the company. However, it does sound like breach of privacy, well you should read this article by Corporate Lawyers of Dubai to understand whether or not monitoring employees in UAE is a breach of privacy.

There are different legitimate issues that are implanted in working environment monitoring and surveillance. For the most part, there are two fundamental ways of thinking that exist on this topic. From one perspective there are those that contend that employers or owners are the proprietors of the computers, assets and resources and they accordingly reserve a privilege to screen how their property is being utilized. On the other hand there are those that contend that employee’s privacy rights shall be considered before the ownership rights of the employer.

Discussing about the technology enabling the employers to monitor their employees when at workplace, there are multiple tools available for the employers to scrutinize the activities of the employees. However, the significant question is whether such monitoring or surveillance is legal under UAE laws. The UAE doesn’t have any explicit law that directs the privilege of businesses to monitor employees, albeit numerous provisions entailed in existing laws and guidelines in the UAE will affect how representatives can be administered by their employers. In addition, ADGM and DIFC has issued internal laws and regulations to protect the personal information of employees working in ADGM and DIFC or in companies registered in ADGM or DIFC.

Furthermore, the Ministry of Human Resources and Emiratization (MOHRE) is the supervisor authority for governing employer and employee relationship in the country. Nevertheless, the authority has not issued any pertinent guidelines allowing or not allowing the employers to monitor the activities of the employees. Additionally, considering the requirements of Federal Cybercrime Law, it is forbidden to record anyone’s telephonic conversation without the consent of the other person. Therefore, it is evident that even though the country has not issued any guidelines pertaining to monitoring of the employees, employers must take prior consent of the employees, in the event they wish to install monitoring tools in office computers.

A general rule suggests that companies reserve the option to screen and access the organization’s property which incorporate email of employees, gadgets, for example, mobiles, workstations, or tablets gave that:

• the workers are made mindful of this right; and
• the motivation behind getting to and checking the messages is carefully identified with work and not to private and family matters.

It is apparent that the email server belongs to the assets of the company which suggests that the company has full right to access the emails of all the employees. Yet, it is still advised to all employers to inform the employees of the company their rights and company’s intention to monitor the emails of the employees. In short, even though the country does not have specific laws regarding monitoring the employees of the company, yet the employers are obliged to seek confirmation or inform the employees prior to installing any monitoring tools.

Read More: https://www.thecounsels.ae/blog/monitoring-employee-under-uae-law/

Blog Monitoring employee under UAE law Possibly most well-known data leaks are perpetrated by insiders. These insiders are none other than the employees of the company. Most employers, with an intention to resolve the issues of data leakage, deploy monitoring and surveillance techniques to criticall...