1. UAE LEGAL SYSTEM Tony Maalouli Managing Director ProConsult Advocates & Legal Consultants

2. OVERVIEW OF THE UAE LEGAL SYSTEM Overview of the UAE Legal SystemOverview of the UAE Legal System Islamic Shari’a as Source of LegislationIslamic Shari’a as Source of Legislation Federal Courts 1978 OnwardsFederal Courts 1978 Onwards Civil Code JurisdictionCivil Code Jurisdiction Federal Laws versus Local LawsFederal Laws versus Local Laws

3. COURT SYSTEM Courts of First Instance Federal Supreme Court Courts of Appeal Court of Cassation Courts of Appeal Courts of First Instance

4. DISPUTE RESOLUTION IN THE UAE UAE Courts’ JurisdictionUAE Courts’ Jurisdiction Enforcement of Foreign Judgments: Article (21) and Articles (235-238) of the UAE Civil Procedure CodeEnforcement of Foreign Judgments: Article (21) and Articles (235-238) of the UAE Civil Procedure Code The Federal Laws dealing with Trading, Shipping and Commercial DisputesThe Federal Laws dealing with Trading, Shipping and Commercial Disputes Arrest and Attachment of AssetsArrest and Attachment of Assets Provisional AttachmentProvisional Attachment

5. DISPUTE RESOLUTION IN THE UAE Interest and Legal Costs:Interest and Legal Costs: Pre-judgment InterestPre-judgment Interest Post-judgment InterestPost-judgment Interest Court FeesCourt Fees Lawyers’ FeesLawyers’ Fees

6. DISPUTE RESOLUTION IN THE UAE Arbitration in the UAE:Arbitration in the UAE: Articles (203-218) of the UAE Civil Procedure CodeArticles (203-218) of the UAE Civil Procedure Code New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards 1958New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards 1958 Dubai International Arbitration CentreDubai International Arbitration Centre New draft Arbitration LawNew draft Arbitration Law

7. DISPUTE RESOLUTION IN THE UAE Dubai International Financial Centre CourtDubai International Financial Centre Court

8. Regulatory Environment of Foreign Investment  51/49 rule (the Contribution Restriction in UAE Laws).  Anti-Fronting Law.  Draft Investment Law under Preparation.  Agencies law.  Ownership of real estate.  Employment of Foreign Citizens (the Local Sponsor Restriction).

9. Regulatory Environment of Foreign Investment United Arab Emirates / Dubai  Dubai promotes investments by setting up specialized economic zones

10. Conclusion The foregoing analysis of the legislation and policies of the UAE shows that this country made an outstanding progress in liberalizing foreign investment regulation. Further liberalization is expected due to the worldwide processes of globalization and integration as well as requirements that might be imposed by WTO. The foregoing analysis of the legislation and policies of the UAE shows that this country made an outstanding progress in liberalizing foreign investment regulation. Further liberalization is expected due to the worldwide processes of globalization and integration as well as requirements that might be imposed by WTO. It should be remembered that one of the most important factors for successfully working in the UAE through an agent is the proper selection of a local agent as litigation is often not a viable solution for disputes because, practically speaking, the foreign principal may have to litigate in courts of the agent’s country. It should be remembered that one of the most important factors for successfully working in the UAE through an agent is the proper selection of a local agent as litigation is often not a viable solution for disputes because, practically speaking, the foreign principal may have to litigate in courts of the agent’s country. To be successful on the UAE market it is also crucial for foreign investors to acknowledge that a mere knowledge of the laws and regulations of the country would not be sufficient. They should dedicate much of their time and efforts to establishing good personal relationships with local business partners who are a key factor to achieving a satisfactory outcome of any business venture in the UAE. To be successful on the UAE market it is also crucial for foreign investors to acknowledge that a mere knowledge of the laws and regulations of the country would not be sufficient. They should dedicate much of their time and efforts to establishing good personal relationships with local business partners who are a key factor to achieving a satisfactory outcome of any business venture in the UAE.