UAE and Dubai Legal System - Research Paper Example

EAU During this current regime of globalization the huge growth of the world market, the economy of Dubai and the growth in culture is defined by the set legal framework which has most definitely played a very significant role in mobilizing both international and local investors in Dubai thus fostering further growth and development in Dubai. Basically, the core intention of this framework is establishing appropriate places of staging a particular type of business. The legal framework has played a very significant role in ensuring that the international world has the trust and will of setting up business in Dubai. The EAU is made up of seven different federals of emirates; namely Abu Dhabi, Dubai, Ajman, Fujairah, Ras Al Khaimah, Umm Al Quwain and Sharjah. The United Arab Emirates was formed in 1971. There are strategies laid by the EAU to ensure that each federal state is given full mandate over its government (Walker, J. et al, 2010). Though Dubai is a member of the EAU is have the full rights and powers of running its internal affairs separately among other privileges. On the other hand the federal union does not necessarily take part in decision making of certain members of the union with regard to governmental matters. The legal system of Dubai was basically drafted from the Egyptian civil law and mostly with the Islamic for of law commonly known as the Sher’a. Later these drafts become the major basis and reference of principle of guidance; in addition it was also the major source of important law in the entire Dubai and other related jurisdictions of civil law. Generally during different occasions this for of law was referred to as a major source of guidelines with regard to matters related to law. There has been a larger increment in the number of investors in Dubai both local and international thus forcing the quick expansion of the legislation federal with the core aim of establishing laws related to federal codes. The federal laws and codes plays a very vital role in Dubai and other affiliated emirate members, they have a closer link to most fundamental and crucial law and its principles; with the inclusion of immigration, civil, intellectual property of companies, procedure of civil law, commercial, maritime, immigration, and laws related to banking, on the contrary majority of the laws which were put in place by the rulers of Dubai are generally inclined to matters related to administration, for instance matters concerning government operation. The constitution of the United Arab Emirates gives all of its affiliated members the authority of setting up their own judicial systems, however Ras Al Khaimah and Dubai have no yet complied with this act of the constitution therefore they have brought their entire judicial systems to the authority of the United Arab Emirate judiciary (Walker, J. et al, 2010). On the other hand Dubai has been able to keep its own old courts and its affiliated judges, ideally these judges are not part of the federal judicial authority of the United Arab Emirates. The courts of Dubai usually apply the laws of the federal, for instance the company law or the code of civil; these laws are administered together with the decrease laws which were initially enacted by the then Dubai leaders but these laws are only applicable in the absence of the federal law. The courts of Dubai are unified; this implies that they are made up of more than one court, basically the Dubai court comprises of the cassation court, the court of appeal and the first instance court. In addition each court has been further sub-divided into three sections and each section has its own specific duty to perform; they comprise of the civil division, the division related to criminal and the division of Shari’ a. the core responsibility of the civil division is to hear and give a verdict on cases which are related to civil or civil claims; the role the division of criminal is given the full mandate of settling all the criminal matters within the jurisdiction Dubai. The division of Sheria has the duty of ensuring that all matters which are related to Muslims. These issues normally involve family related cases like inheritance and divorce of a husband and wife. Other communities which live and do personal business in Dubai are basically required to have total respect towards the Shari’ a law and they are also expected to contact themselves with dignity and accordingly. Other types of courts in Dubai include the court of Labour which has the full mandate of presiding over all cases in Dubai related to workers and their employers. There is also a court which is refereed to as the property court; it has the constitutional authority of settling all issues or disputes which are usually linked to property within Dubai and its immediate jurisdiction (Walker, J. et al, 2010). The number of judges deployed to hear a particular case varies; the case can be presided over by an individual judge or a panel of prominent judges however in these cases there is no involvement or inclusion of juries to aid in settling the cases. During some specific cases heard the high courts, the final judgment or verdict is usually published with the intention of keeping specific and useful evidence which will most definitely be used further in the interpretation of the judicial matters and critical practices but not because of the whish to bind low courts. It should also be noted all cases in Dubai courts are totally handled and heard in Arabic, on the other hand those who prefer to hire lawyers to advocate for them, the it is advisable to higher a lawyer who is well conversant in Arabic both at listening and speaking, however the hired lawyer must be licensed and therefore eligible to carry out his or her services in a very professional and effective manner. Landmarks have been greatly developed in the entire Dubai with regard to laws and many regulations. The most memorable one is the establishment of the free zone which had very differentiated degrees, laws which were totally different from the non-free zone regions. Examples of the free zones in Dubai include the Dubai international financial centre and the Dubai media city. The environmental condition of contacting business on the free zone region in Dubai if very conducive and friendly. The percentage preserved for foreign based investors sum up to 49% however this is applicable to those companies which have other affiliates outside the free-zone. In addition there are so many other privileges of setting up business in this region which include capital repatriation, no currency restrictions and import duties freedom. The free zone has played a very significant role especially when it comes to creation of an attractive reputation to foreign investors to put up more investments in Dubai. Ideally whoever wishes to set up certain business in the free zone must come up with a clear strategic plan which stipulates the indented physical place of setting up the business, and it should the demarcated boundaries of the specific free zone. This implies that all willing investors must draft means of rooting their business firmly within the region to enhance longevity and proper sustainability this will facilitate devotion to the free zone (Sultan, 2011). The DIFC is basically regarded to be one of the world biggest “onshore’ centers for finance, the core intention of its establishment was to specifically create a link between the world biggest financial centers, therefore it acts as a Huber for financial institutions and also be the regional attraction of both investment and capital. DIFC was officially formed in 2004; it has its independent regulations and laws however it has set up courts equipped with facilities and judges to contact arbitrations in an effective way. There are laws which were enacted with the aim of governing the daily actives which are usually carried out by the institutions of finance, single business persons and companies which are located in DIFC. The laws are made on the basis of principality thus it enables further creation of subsidiary laws, for instance rules and rules and regulations. All the rules which are put in place works towards constituting the code of commerce. On the other hand there is other enacted law which operates within the civil commerce; this ensures that application and enhancement of all civil commerce laws are in relation with the DIFC. The have been a lot of flocking to the DIFC by international business and many institutions of finance, basically the core reason which acts as a motivation factor is the set rule and regulation which govern this region. On the other hand DFSA has put in place working measure to outsmart any money laundering acts thus international investors are assured of full monetary security and portrays a positive image of Dubai in terms of taking its social, ethical and corporate duties in a very serious manner. The fast growth of international stock exchange within a short span of time plays a crucial role in attracting more investors In DIFC (Moens, 2009). Its name was recently changed to NASDAQ Dubai and more significant growth has been noted since then, developing from a market that inclined on equality to solely concentrate on offering good platforms to carry out trade on financial products. References Moens, G. (2009). International trade and business law review: Volume XII. New York: Routedge-Cavendish. Sultan, N. (2011). The new post-oil Arab Gulf: Managing people and wealth. Chicago: Saqi Books. Walker, J. et al. (2010). Oman UAE & the Arabian Peninsula. London: Lonely planet. Read More