UAE Legal Consultant Exam cheat sheet

The UAE is a federal state formed on 2 December 1971; the Constitution (Federal Supreme Council Decision 1/1971) was made permanent under Constitutional Amendment 1/1996.

Article 7 of the Constitution declares Islam the official religion and Sharia a principal source of legislation; Article 6 declares the Union part of the greater Arab nation.

The Federal Supreme Council (rulers of the seven emirates) is the highest federal authority; it elects the President and sets general policy (Articles 46-50).

The President appoints the Prime Minister and Council of Ministers; the Federal National Council has 40 members, half appointed by rulers and half elected through electoral colleges (Articles 68-77).

Federal laws are issued by the President after approval by the Federal Supreme Council and the Council of Ministers; decrees by the President and cabinet decisions are subordinate instruments.

The Federal Supreme Court (Article 99) rules on disputes between emirates, between the Union and emirates, constitutionality of laws, and interprets constitutional provisions; its judgments bind all.

Judicial authority is independent (Article 94); the Union has a single legal personality, and each emirate retains residual powers not assigned to the Union (Article 116).

Local emirate legislation is valid unless it conflicts with federal law; federal law prevails on matters within exclusive federal jurisdiction (Article 121).

Constitutional amendments require a two-thirds vote of the Federal Supreme Council, with the President's ratification (Article 144).

Federal Law 5/1985 (Civil Transactions Law) governs obligations and contracts; the UAE Civil Code is the default law unless a special statute displaces it.

A contract requires offer (ایجاب), acceptance (قبول), and mutual consent; consent must be free from mistake, fraud, duress, and unconscionable exploitation (Articles 120-137).

Persons have full capacity at 21 lunar years (Article 44); minors' transactions are voidable through their guardian.

Obligations arise from contract, unilateral will, unlawful acts (tort), enrichment without cause, and law (Article 106).

Tort liability under Article 282 requires harm, fault, and causal link; liability is presumed for dangerous activities and for things in custody (Articles 288, 316).

A contract may be rescinded for breach (فسخ) or specific performance may be ordered; damages cover actual loss and lost profit (Articles 292, 300).

A penalty clause is adjustable by the court to the actual harm (Article 390); a debtor is liable for harm from non-performance unless caused by external cause (Article 287).

Statute of limitations for contractual obligations is 15 years, 5 years for periodic dues, and 3 years for commercial obligations (Articles 473-475).

Federal Decree-Law 32/2021 (Commercial Companies Law) governs public and private companies; it replaced the former Companies Law 2/2015 with effect from 2 January 2022.

Permitted forms include LLC (ذ.م.م), joint stock company (ش.م.ع), simple commandite, partnership, and holding companies; single-member LLCs are permitted.

LLCs require minimum capital of AED 150,000 unless a lower amount is agreed; the 51% UAE/GCC ownership requirement for onshore companies was abolished in 2021, with strategic-impact activities reserving foreign-ownership limits.

Joint stock companies require a minimum capital of AED 30 million (public) or AED 5 million (private) and a board of directors of at least 3 members.

Commercial transactions are governed by Federal Decree-Law 50/2022 (Commercial Transactions Law), which replaced the 1993 Commercial Code; it covers traders, commercial obligations, and commercial sale.

A trader must keep commercial books and register in the Commercial Register; commercial agency agreements must be registered with the Ministry of Economy to be enforceable.

Bankruptcy is governed by Federal Decree-Law 9/2016 as amended; restructuring, preventive composition, and bankruptcy proceedings are available.

A holding company may not hold shares in a company for less than 51%; a company's board may not exceed 11 members and a director's term may not exceed 3 years.

The Penal Code is Federal Law 3/1987 (as amended); the Criminal Procedure Code is Federal Law 35/1992 (as amended).

Penalties include hudud, qisas, diya, and ta'zir; discretionary ta'zir penalties range from warning to imprisonment and fines (Article 1 Penal Code).

Criminal liability requires a voluntary act, intent (or negligence where the law provides), and capacity; a minor under 7 lacks capacity, and 7-18 is juvenile jurisdiction.

The Public Prosecution (النيابة العامة) conducts investigation; a suspect may be detained for up to 48 hours before referral to prosecution, extendable by judicial order.

A suspect has the right to counsel, to remain silent, and to be informed of charges; confessions obtained under duress are inadmissible.

The Criminal Procedure Code allows appeal within 15 days of judgment, and cassation to the Federal Supreme Court within 30 days.

Prescription periods: 20 years for felonies, 5 years for misdemeanours, and 1 year for contraventions (Article 20 Penal Code).

Money laundering is governed by Federal Decree-Law 20/2018; the Financial Intelligence Unit (FIU) receives suspicious transaction reports and has prosecutorial functions under Federal Decree-Law 26/2021.

Civil Procedure is governed by Federal Law 11/1992 (as amended); the Evidence Law is Federal Decree-Law 35/2022, which replaced the evidence provisions of the Civil Procedure Code.

Jurisdiction is determined by the defendant's domicile, the place of performance, or the location of the property (Articles 31-35).

A statement of claim must include the parties, the subject, and the evidence; the court may dismiss a claim that is not substantiated.

Evidence includes written documents, testimony, presumptions, admissions, and oaths; electronic evidence is expressly admissible under Decree-Law 35/2022.

The burden of proof lies on the claimant; a defendant must prove affirmative defences (Article 1 Evidence Law).

Judgments become enforceable after becoming final; a judgment may be appealed within 30 days, and cassation is available within 60 days for judgments in absentia.

Arbitration awards are enforced as judgments under the Arbitration Law; a party may seek annulment within 30 days of notification.

A court may order a stay of proceedings pending criminal determination of a preliminary issue; a judgment is binding only on the parties.

Federal Decree-Law 33/2021 (Labour Relations Law) governs private-sector employment and replaced Federal Law 8/1980, effective 2 February 2022.

Employment contracts may be fixed-term or unlimited; fixed-term contracts are capped at 4 years and automatically renew if the parties continue performance (Article 8).

Probation is capped at 6 months; during probation, the employer may terminate with 14 days' notice, and the employee may resign with 14 days' notice (Article 9).

Notice period for termination is 30 days unless the contract provides otherwise, with a maximum of 90 days (Article 43).

End-of-service gratuity is 21 days' basic wage for each of the first 5 years and 30 days for each subsequent year, capped at 2 years' total wage (Article 51).

Unlawful dismissal entitles the employee to compensation of up to 3 months' wage or reinstatement, at the court's discretion (Article 47).

Maternity leave is 60 days (45 paid, 15 at half pay); parental leave is 5 days; sick leave is 90 days per year (15 full, 30 half, 45 unpaid) (Articles 30, 31, 33).

The Wage Protection System requires salaries to be paid through an approved system by the contractual due date; non-payment can trigger a labour complaint and suspension of the establishment's file.

Working hours are 8 per day or 48 per week; overtime is paid at 125% of normal wage (150% for night work), and 150% for rest days (Articles 65, 19 of Ministerial Resolution 43/2022).

Real property law is largely emirate-level; Dubai Law 7/2006 and Law 26/2007 govern registration and ownership in Dubai, while Abu Dhabi Law 19/2005 governs Abu Dhabi.

The Real Property Register (السجل العقاري) records ownership, mortgages, and other rights; registration is constitutive for transfers of ownership in most emirates.

Freehold ownership is available to UAE and GCC nationals generally; foreign ownership is limited to designated investment areas (e.g., Dubai freehold zones).

A sale contract must be in writing and registered; a sale of immovable property is not effective against third parties until registered.

Tenancy in Dubai is governed by Law 26/2007 (as amended by Law 33/2008); Abu Dhabi tenancies are governed by Law 20/2006.

Rent increases require 90 days' notice and must comply with the Dubai Rental Index or the Rental Dispute Centre's criteria (Article 9, Law 26/2007).

Eviction requires a 12-month notice for sale or personal use, and 30 days for non-payment of rent, with the notice served through a notary or registered mail (Article 25).

The Rental Dispute Centre (RDC) has exclusive jurisdiction over Dubai tenancy disputes; judgments are enforceable through the Dubai courts.

Off-plan sales in Dubai require registration with the Real Estate Regulatory Agency (RERA) and escrow account compliance under Law 8/2007.

Personal status for Muslims is governed by Federal Law 28/2005 (Personal Status Law); non-Muslims in Abu Dhabi may opt into Law 14/2021 (Civil Personal Status Law).

Marriage requires offer and acceptance, two male witnesses, and the bride's consent; the minimum age is 18 lunar years (Article 5).

Mahr (dowry) is a mandatory element; it may be prompt (معجل) or deferred (مؤجل).

Divorce may be by talaq (repudiation), khul' (divorce by mutual consent with the wife returning mahr), or judicial divorce (tafriq).

Custody (حضانة) for a mother ends at 11 for boys and 13 for girls under Federal Law 28/2005; custody is determined by the child's best interests.

Inheritance follows Sharia rules: a son receives twice the share of a daughter; a spouse receives one-eighth (wife) or one-quarter (husband) where there are children.

A will (وصية) may dispose of up to one-third of the estate to non-heirs; a will to an heir requires the consent of other heirs.

Non-Muslims in Abu Dhabi under Law 14/2021 may marry without guardian consent, and custody is based on the child's best interests without a fixed age limit.

Advocates must be UAE nationals, hold a law degree, complete a training period, and be registered with the relevant bar (Advocates Law, Federal Law 23/1991 as amended).

A lawyer may not represent conflicting interests or act for both parties in the same matter; a conflict must be disclosed and the retainer declined (Article 22, Law 23/1991).

Client confidentiality is a professional duty and survives termination of the retainer; disclosure is permitted only with consent or where required by law.

A lawyer may not advertise in a misleading manner; comparative or sensational advertising is prohibited by the Advocates Regulation.

Fees must be agreed in writing; a contingency fee (quota litis) is generally prohibited in criminal matters and restricted in civil matters.

A lawyer may not communicate directly with an opposing party who is represented by counsel; communications should go through counsel.

A lawyer must maintain a client account and keep client funds separate from office funds; commingling is a disciplinary offence.

Disciplinary proceedings are brought before the Advocates Disciplinary Board; sanctions range from warning to suspension or striking off.

Arbitration is governed by Federal Law 6/2018 (Arbitration Law), modelled on the UNCITRAL Model Law; it applies to domestic and international arbitration seated in the UAE.

An arbitration agreement must be in writing; it may be a clause in a contract or a separate agreement, and it is separable from the main contract (Article 6).

The number of arbitrators defaults to one if not agreed; the default appointing authority is the court (Article 11).

An arbitral tribunal may rule on its own jurisdiction (competence-competence) and on objections to the arbitration agreement (Article 16).

An award may be set aside only on limited grounds, including lack of a valid agreement, due process violations, and exceeding the scope of the submission (Article 53).

The New York Convention (1958) applies in the UAE; foreign awards are enforced under the Convention and the Arbitration Law.

The UAE is a party to the CISG (Vienna Convention 1980) and the Riyadh Arab Agreement on Judicial Cooperation (1983).

Dubai International Arbitration Centre (DIAC) and Abu Dhabi Commercial Conciliation and Arbitration Centre (ADCCAC) are the principal institutional arbitration centres.

Mediation and conciliation are recognised; a settlement agreement may be recorded and enforced as an award or court judgment.

Free zones are established by emirate-level law (e.g., Dubai Law 1/2000 for JAFZA, Dubai Law 9/2004 for DIFC) and are outside the onshore customs and immigration regime.

Free zone companies are 100% foreign-owned and are not subject to the 9% federal corporate tax on qualifying income if they meet the qualifying free zone person conditions under Federal Decree-Law 47/2022.

Free zone entities may trade within the zone and abroad; sales into the UAE mainland require a local distributor or a mainland branch and attract customs duties (5% generally).

The DIFC has its own English-language common-law courts (DIFC Courts) and its own contract, company, and employment laws; DIFC Courts have jurisdiction over DIFC-related disputes and may opt into federal jurisdiction.

Offshore companies (e.g., JAFZA Offshore, RAK ICC) cannot conduct business in the UAE mainland and are used for holding and international structuring.

The Abu Dhabi Global Market (ADGM) has its own courts and legal framework, applying English common law directly under ADGM Law.

Free zone employees are sponsored by the free zone authority, not the Ministry of Human Resources and Emiratisation; labour disputes are heard by the free zone authority or the DIFC/ADGM courts.

A free zone company converting to a mainland company requires approval from the free zone authority and the Department of Economic Development, and must meet mainland licensing and ownership requirements.