We all have been witnessing major steps taken by the government of UAE in order to prevent negative impact of coronavirus on our economy. COVID-19 has just made wide-scale interruption to various ventures both locally and internationally.
Patrick Gearon and Roger Elford, Charles Russell Speechlys
This is an extract from the 2020 edition of GRR's the Europe, Middle East and Africa Restructuring Review. The whole publication is available here.
In summary
This article appeared in Gulf Business on 22 June 2019
In a region where there has traditionally been an inherent stigma attached to business failure, the inevitable by-product is a decreased appetite for risk.
However, as the UAE’s economy has matured and become more global in its outlook, a more sophisticated and less risk-averse insolvency regime is required - one that can deal with volatile economic cycles and at the same time promote an entrepreneurial business environment.
Year in Review - United Arab Emirates Law in 2016
Understanding bankruptcy laws in the UAE and DIFC in the context of COVID-19-related financial pressures.
Given the absence of any mandatory set-off rights on insolvency in the current UAE Bankruptcy Law, the application and effectiveness of netting provisions in financial market contracts made with a UAE counterparty has historically been uncertain.
On May 30, 2019, Dubai’s ruler, Sheikh Mohammed bin Rashid al-Maktoum, signed DIFC Insolvency Law, Law No. 1 of 2019 (the “New Insolvency Law”) into law, thereby repealing and replacing DIFC Law No. 3 of 2009. The New Insolvency Law, and supporting regulations (the “Regulations”), became effective on June 13, 2019, and govern companies operating in the Dubai International Financial Centre (the “DIFC”).
In a noteworthy first decision, the Judicial Tribunal for the Dubai Court and DIFC Court (JT), established to decide conflicts of jurisdiction between the two courts, has ruled on 27 January 2017 that Daman Real Capital Partners Company LLC v. Oger Dubai LLC case should be remitted for trial by the Dubai Court, and that the DIFC Court should cease from entertaining the case entirely.
Patrick Gearon and Roger Elford, Charles Russell Speechlys
This is an extract from the 2020 edition of GRR's the Europe, Middle East and Africa Restructuring Review. The whole publication is available here.
In summary
We all have been witnessing major steps taken by the government of UAE in order to prevent negative impact of coronavirus on our economy. COVID-19 has just made wide-scale interruption to various ventures both locally and internationally.