Month: November 2020

Dubai is back and fashion is back: insights into the legalities of the industry.

Fashion is back in Dubai and all the talented designers are blooming. And we’re not talking only about abayas, hijabs and kaftans or only about big European brands. Fashion in Dubai now goes beyond that, attracting both haute couture and prêt-à-porter.

Haute couture and retail brands are increasingly being sold online however most ladies still want to touch and try the outfits. It’s a matter of feeling the fabric – when we talk about silk, cashmere, jacquard, wool or lace, they have to meet the certain demands.

“Before registration of the trademark we need to run a comprehensive search that covers all federal trademark registrations, business names, domain names, social media accounts and websites“

Luminita Rizescu is a European lawyer and partner in Al Safar and Partners Advocates and Legal Consultants,

Our law firm is well known and our team has some of the pioneers in the industry for trademark registration. We have worked with some of the biggest European, American and Asian brands in UAE. If you are a member of fashion industry it is vitally important to understand the different types of intellectual property protection in order to protect your business and this is what makes the difference sometimes between success and failure.

Before registration of the trademark we need to run a comprehensive search that covers all federal trademark registrations, business names, domain names, social media accounts and websites – to define if there is someone already in the market using a similar mark or who could raise their rights against you.

Infringement is a breach and a violation and it can be one many types such as trademark infringement, a patent infringement or a copyright infringement. Another company can profit from your trademark without approval, using the logo or trademark of your business and you have the right to sue and request compensation for your losses from the other party.

The agreements between the designers and the event organisers and the agreements between the designers and retail shops are also very important.

Dubai welcomes many foreign brands from Europe, Asia and the USA to showcase their collections and we can assist with legislation for both franchisees and franchisers relating to the establishment of new franchised brands in the UAE.

Luminita Rizescu is a European lawyer and partner in Al Safar and Partners Advocates and Legal Consultants, providing advice to the fashion sector, corporate commercial, M&A, joint ventures, and is a wills specialist at DIFC.

Ensuring your property investments are secure and protected

Al Safar and Partners has more than 20 years of legal consultation experience in the UAE and beyond. The law firm has also been litigating property disputes since 2006 and the business has helped more than 4,000 individuals solve their property-related issues. Al Safar is listed among one of the top firms in the Dubai Courts for the number of cases registered.

In the real estate legal sector, Al Safar and Partners offer dispute resolution, property purchase and investment advice and well as sale and purchase services.

Real estate transactions are one of the most disputed legal issues in Dubai and Kavitha S. Panicker, Managing Partner of Al Safar and Partners, says that every measure is taken from the very beginning to avoid all future disputes. In the event that there are legal proceedings, she says that Al Safar and Partners work tirelessly and diligently to ensure that clients’ investments can be refunded with the least disruption.

“When the SPA clearly states the brand name of the property and at the time of signing the SPA that the property will be a famous brand name, on handover, if the brand name is changed, you have the right to request the court to terminate the SPA and get full refund as well as claim compensation.“

Kavitha S. Panicker, Managing Partner of Al Safar and Partners

Panicker says that the majority of real estate legal services they provide are for sale and purchase agreements (SPAs) and also, in some cases, reservation agreements.

She says that due to the UAE’s highly transparent legal system, Al Safar and Partners can often help clients terminate SPAs on contractual grounds, especially when the delivery of property is delayed. “First we would need to review the SPA. If it stipulates the date of handover for a property and the extension period but if there was no notice issued to confirm a further extension of handover date, you have the right to request the court to terminate the SPA and ask for full refund and compensation thereof,” she says.

She also says that often disputes arise when clients are misled over the size of the property they are investing in and that this needs to be accurately stipulated in the SPA. “On review of the SPA, if the floorplan signed by both parties and the value paid in accordance to the sq. ft. on handover has a difference of more than 6 per cent, and that difference is officially authenticated by the court appointed engineering expert then, in the above case, you have the right to request the court to terminate the SPA and you will receive a full refund as well as the opportunity to claim compensation,” she says.

Another area of legal dispute can arise when clients invest in hotel apartments but on handover they receive a residential unit. “If the SPA clearly states that the property is a hotel apartment and both parties have signed the agreement and there is no addendum signed by both parties agreeing otherwise, you have the right to request the court to terminate the SPA and receive a full refund,” says Panicker. She says that Al Safar and Partners will also seek compensation in such cases.

Panicker says that fraud can be a common issue with property transactions in Dubai, so her and her colleagues work to study contracts and remove any discrepancies that could present a risk to clients. She refers to situations where investors believe they are buying properties associated with famous or prestigious brands, only to discover this is not the case on handover. Yet, with proper diligence and the correct paperwork, refunds and compensation can be obtained through legal channels.

“When the SPA clearly states the brand name of the property and at the time of signing the SPA that the property will be a famous brand name, on handover, if the brand name is changed, you have the right to request the court to terminate the SPA and get full refund as well as claim compensation.”

For real estate transactions, Al Safar and Partners take care of all the documents required for the legal and governmental procedures and the various governmental approvals required with respect to the real estate/property transactions.

To learn more, contact: property.dispute@alsafarpartners.com

Most international corporations in the region choose Dubai as the main seat of arbitration.

While the UAE provides some of the best and the most lucrative business opportunities to entrepreneurs all over the world, such opportunities come with their own set of disputes between employees, competitors and other corporate entities. Usually, mediation and negotiation techniques help in such matters. However, in disputes where mediation and negotiation techniques do not work, arbitration is often the most effective option being one of the less expensive ways to settle a dispute between parties.

A good legal team has to analyse the arbitration clause, which is part of the contract, and present all possible options to their clients, explaining what each option entails.

Eduard P. Nedelcu, Head of Arbitration, Al Safar and Partners

Arbitration is used as the major platform in settling real estate disputes. Depending on the jurisdiction, the disputes could be ventured either under DIAC following the UAE laws or DIFC-LCIA, following the English laws. The language of the proceedings can be at the choice of the parties, with English as the preferred language of arbitration. Many centres at the request of the parties are also able to provide arbitrators that speak the native language of the parties involved.

Due to COVID-19, there have been a lot of disputes between contractors and subcontractors with mediation and arbitration being used as a peaceful means of settlement.

The oil sector and its related activities, the parties usually prefer arbitration in their agreements to maintain the confidentiality and settle the disputes out of courts as the arbitral awards are final and binding and they are not to be contested in the court.

The financial institutions including currency trading and financial instruments opt to include in their contracts all ADR mechanisms: negotiations, mediation and arbitration, the latter being ideal due to the enforceability and confidentiality at the same time.

The investors and the investment-related agreements, whether the investment takes place in the corporate world or the real estate sector, arbitration is the favourite form of dispute resolution to ensure the confidentiality of the investors, while the proceedings are in compliance with the IBA guidelines.

It is worth mentioning that ADCAC (Abu Dhabi Arbitration Centre) is the pioneer, being not just cost effective but delivering the awards in a timely fashion, thereby concluding the disputes between the parties faster than expected.

Considering Dubai as the hub of the Middle East, most of the international corporations are choosing Dubai as the main seat of arbitration, showing a lot of trust in the UAE legal system and its practices, aimed at making investors feel at home.

To learn more, contact: arbitration@alsafarpartners.com; 
You may also send your inquiry on https://dubailawyers.ae/uae-arbitration/

Taking the appropriate legal steps can help avoid delays and lawsuits

Popularly known as “the land of opportunities,” the UAE is home to not just the locals but millions of expats from all over the world. To take advantage of the available opportunities, people often rely on debt in the UAE.

While creditors and debtors aim to have a mutually-rewarding relationship, there are several cases when the creditors require debt recovery services.

Be it debt recovery or negotiating debt with an individual or a company, it is important to engage a local firm which understands the UAE legal framework. In the majority of the cases, debt recovery in the UAE is an amicable process.

“In cases where an amicable outcome is not reached, legal proceedings have to be initiated.“

– Haitham Elfadaly, Head of Debt Collection & Enforcement, Al Safar and Partners

In most cases, initially a payment notice is sent to the debtors. If the debt remains unsettled, the debt collection lawyers will then contact the debtor and convey the terms of the recovery following appropriate discussions with the creditor. This follows the correct legal framework in order to accelerate the recovery of the debt. The measures are taken to ensure that the recovery process does not lead to any kind of lawsuits, and that debt is recovered as soon as possible.

What if the debtor fails to clear the debt?

In cases where an amicable outcome is not reached, legal proceedings have to be initiated. In most cases, a legal petition is filed in the UAE Courts to recover the outstanding debt. Once the petition is filed, the court will then send a demand letter to the debtor to clear the outstanding debt, along with the late payment fees, within 15 days.

If the debtor is unable to repay the debt within 15 days from receiving the demand letter from the court, a trial is initiated against the debtor. The court will then help the creditor with the debt recovery. Trials regarding debt recovery also allow the creditor to claim additional compensation.

It is important that the attorneys involved in the process are engaged with their clients at every step to ensure they can recover the debt in the most hassle-free and time-efficient manner.

What are debt buyers in the UAE?

The debt buying agencies buy outstanding debt from the creditors in the UAE. Debts that are yet to be recovered fully can be sold by creditors to such agencies for a certain percentage of the total outstanding balance. It is then the responsibility of the debt buying agency to recover the debt from the debtor.

We can help credit providers decide whether or not selling debt is the right choice for them. Our vast experience in the industry has made us well aware of the entire debt collection procedure in the UAE. Our expertise can help creditors make decisions that ensure cost-efficiency and legal compliance.

Al Safar and Partners has been in the UAE debt recovery business for a very many years. Be it fast-tracking debt recovery, filing a lawsuit, or verifying the ongoing payments, our legal experts can provide all the help you need.

If you are looking for debt collection services in the UAE, we’d like to hear from you. Contact us to know more about our services and understand how we can help.

To learn more, contact: debt.collection@alsafarpartners.com