Update to the Federal UAE Commercial Companies Law
The UAE Commercial Companies Law has been updated to no longer require all company Memoranda of Association to be attested by a UAE notary public.
On 31 July 2018, Federal Decree Law No. (7) of 2018 was issued by the President of the United Arab Emirates to amend Article 14(1) of the UAE Commercial Companies Law and extend the persons able to attest (authenticate) a UAE company’s Memorandum of Association, a pre-requisite for their validity. Whereas Article 14(1) currently requires all authentications to be undertaken by a UAE notary public, pursuant to the decree a UAE company will (except in specific cases) be able to apply also to “competent authorities” for such authentication services. The list of competent authorities remains to be confirmed but it is expected that this will include both the Abu Dhabi Department of Economic Development and the Dubai Department of Economic Development and that electronic authentication will be catered for. The specific cases in which authentication may only be carried out by a notary remains also to be confirmed.
Although the practicalities of these developments are yet to materialise, they will likely introduce significant efficiency in the UAE company incorporation process and that relating to documenting changes to UAE company constitutional documentation.
The Decree was announced in issue 634 of the UAE Federal Gazette.
