UAE: New Civil Transactions Law

A new Federal Decree-Law has been issued amending the Civil Transactions Law regime established by Federal Law No. 5/1985.

The aim has been to simplify legal provisions in this area, unify legal references, and eliminate duplication with recently enacted specialist laws. The law has established an advanced framework governing pre-contractual negotiations, requiring the disclosure of any fundamental information to ensure informed and conscious contractual decision-making. It also introduces a framework agreement to regulate recurring or long-term contractual relationships by predefining essential terms, reducing time and cost, and ensuring consistent legal reference for subsequent contracts.

There are also provisions governing sale contracts, including clearer regulation of sale by sample and by model, protection of those lacking full capacity in cases of gross inadequacy in real estate sales, and enhanced rules on latent defects. In addition, where no statutory rule exists, explicitly or implicitly, judges will be able to refer to Islamic Sharia principles and select the solution that best achieves justice and public interest based on the circumstances in each case, without being bound by a specific school of jurisprudence or a single Sharia doctrine. The law also provides for the application of Sharia principles where there is no specialist legislation on matters relating to people of unknown parentage, missing persons, and absentees.

It has also reorganised the rules on usufructuary construction rights, requiring registration of the contract with the competent authority and providing for nullity in the absence of registration. It has introduced provisions on the obligations of holders of these rights and allows parties to determine their duration. It also states that financial assets located within the UAE which belong to a foreigner with no heirs will be treated as a charitable endowment, supervised by the relevant authority. It has also introduced a new framework governing assignment, including the assignment of rights, and established provisions for the protection of possession through preventive actions which aim to halt new encroachments before harm occurs.

Other changes include an alteration of the age of majority, from 21 Hijri years to 18 Gregorian years, and a lowering of the age at which a minor may seek judicial authorisation to manage their assets from 18 Hijri years to 15 Gregorian years.

The new Law also permits the combination of blood money or assessed compensation with additional damages where death or injury results in material or moral harm which is not fully covered by blood money or assessed compensation. Corporate provisions have also been modernised and the law now distinguishes between civil and commercial companies based on activity and legal form, permits single person companies, regulates partner withdrawal, continuation of companies and liquidation procedures. A special framework has also been introduced for non-profit companies, as has a modern regime for professional companies.

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UAE: National Media Authority Established to Oversee Media Sector

Gulf News, 18 December 2025: The UAE has announced the creation of a National Media Authority under a new Federal Decree-Law, consolidating key media entities and strengthening the country’s media governance framework.

The newly formed authority will operate as a federal public body affiliated with the Cabinet. It will have full legal personality and administrative independence. It will replace the Emirates Media Council, the National Media Office, and the Emirates News Agency (WAM), assuming all their responsibilities under a unified structure.

Key functions of the National Media Authority will include shaping strategic media directions, coordinating policies across media entities, and managing national messaging. The authority will also monitor stories, work to enhance the UAE’s global reputation, and oversee media crisis management in line with other relevant stakeholders.

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UAE: Amendment of Corporate Tax Law to Simplify Settlements and Enable Refunds

Gulf News, 15 December 2025: The UAE has altered its corporate tax framework, introducing clearer settlement rules and allowing businesses to claim refunds on unused tax credits.

A new Federal Decree-Law has been enacted, amending key provisions of Federal Decree-Law No. 47/2022 on the Taxation of Corporations and Businesses. The changes aim to streamline the calculation and settlement of corporate tax obligations and establish a formal process for refunding unutilised tax credits derived from eligible incentives and reliefs.

Under the amendment, corporate tax liabilities will be settled in a defined sequence. Businesses must first offset their liability using withholding tax credits under Article 46 of Federal Decree-Law No. 47/2022 on the Taxation of Corporations and Businesses, followed by foreign tax credits under Article 47 of Federal Decree-Law No. 47/2022. Additional reductions may then be applied using other approved incentives or relief balances as specified by the Cabinet. Any remaining tax due must be paid in accordance with Article 48 of Federal Decree-Law No. 47/2022 on the Taxation of Corporations and Businesses.

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UAE: Introduces Major Changes to Company Law Framework

The UAE government has issued a new Federal Decree-Law that brings significant changes to the country’s Commercial Companies Law, introducing new corporate structures and modernising business regulations.

Among the key changes is the creation of a new category of non-profit companies, which will be required to reinvest all net profits into their stated objectives rather than distributing them to shareholders. The decree also establishes multiple share categories with varying rights regarding voting, profit distribution, and liquidation priority.

Private joint-stock companies will now be permitted to offer securities for private subscription on national financial markets without converting to public status, subject to regulatory approval. The legislation also outlines procedures for companies to transfer their registration between emirates and financial free zones while maintaining their legal status.

The new law implements modern share management mechanisms, including tag-along and drag-along rights, and establishes clear procedures for handling ownership transitions following a shareholder’s death. Additional provisions set standards for valuing in-kind shares and accrediting appraisers.

The decree introduces specific requirements for company mobility within the UAE’s territories and establishes protective measures for minority shareholders. It also provides detailed guidelines for implementing various corporate governance mechanisms.

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UAE: New Fostering Law

Khaleej Times, 27 November 2025: Federal Decree-Law No. 12/2025 a new fostering law is to reshaping the eligibility criteria for foster families

The law allows expatriates to foster children of unknown parents in the UAE. It also grants the children legal identity and documents, and is expected to reduce the occurrence of abandoned or unregistered children. The amendments are expected to help ensure the preservation-of-identity agreement and protect children from cultural or religious assimilation, which aligns with the UAE’s Constitutional principle of freedom of belief.

It ensures the protection for children of unknown parentage, safeguarding them from neglect, loss, or exploitation, while providing adequate health, psychological, educational, and social care for them.

They grant children legal identity and documentation (such as a birth certificate), which will help support their integration into society. There will now be a clear legal frameworks for foster families, which protects children’s rights and minimises legal disputes.

By widening eligibility to become a foster to include non-Muslims and non-nationals, the law is adaopting a more inclusive and compassionate approach – ensuring that children of unknown parentage have greater access to stable, loving, and protective family environments.

A foster family is a couple the household must consist of a husband and wife who live together in the UAE and both spouses must be residents. Ensure each spouse must be at least 25 years old. They must have no prior convictions involving honour or trust, even if they have been rehabilitated.

They must also be free from infectious diseases or psychological disorders that may affect the child.

In addition they must demonstrate financial ability to support the child and must meet any additional conditions issued by the Ministry or local authority.

A single woman can also apply to foster if she resides in the UAE, is unmarried, divorced or widowed.

They must be at least 30 years old and have no convictions involving honour or trust.

They must also be medically fit, with no infectious or psychological conditions that may affect the child and be financially capable of supporting the child.

They must also comply with any further federal or local requirements.

All applicants must submit a written pledge to provide a stable home environment and are prohibited from influencing the child’s officially documented identity or beliefs. Oversight committees may take any measures necessary to verify compliance, including reviewing the child’s education and other requirements set by authorities.

Local authorities must also provide the Ministry with data, documents and statistics necessary for implementing the decree and its executive regulations.

Custody may be withdrawn if a foster family or woman loses any of the eligibility condition or violates obligations under the law. Withdrawal decisions will be based on social researchers’ reports and cannot be contested.

If there is a minor violation, the committees may impose a corrective plan with specific deadlines; failure to follow it will result in custody being withdrawn under the decree and its executive regulations.

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UAE: Gold Trade Controls Detailed in New Regulatory Statement

The UAE Ministry of Foreign Trade has outlined its comprehensive regulatory framework for gold trading operations, emphasising the stringent controls in place for precious metals imports, detailing specific measures governing the nation’s position as the world’s second-largest gold trading hub.

The ministry revealed that mandatory protocols now include anti-money laundering checks, customer verification procedures, and yearly audits across all entry points. Officials confirmed that current regulations match or exceed OECD guidelines for handling minerals from high-risk areas.

The statement highlighted enhanced due diligence requirements for precious metals dealers and refiners, particularly when sourcing from Conflict-Affected and High-Risk Areas. These measures include both on-site and off-site verification processes before supplier approval.

The ministry also disclosed the implementation of a comprehensive training programme to support regulatory compliance and maintain supply chain integrity. The framework includes coordination with international bodies to ensure alignment with global standards for enforcement and reporting.

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