New UAE Insolvency Law04-02-2020
Last year, the UAE Cabinet announced the Federal Decree-Law No (19) of 2019 on Insolvency which came into force in January 2020. This new law does not apply to persons who fall under the scope of Federal Law No 9 of 2016 (the “UAE Bankruptcy Law”), it applies to natural persons and their personal or commercial debts incurred in their personal capacity.
This Law aims to reduce the number of people who leave the UAE without settling their debts and to regulate these personal insolvency cases by providing them the opportunity to settle their debts and protect them from legal prosecution.
It also introduces two new mechanisms, (1) a Settlement Procedure and (2) an Insolvency or Liquidation procedure, which include submitting an application with the Authorities along with all the required documentation(s) and evidence as part of the multi-step process.
How TLG can help?
Our Corporate and Commercial department would be pleased to assist you with evaluating your personal insolvency case in terms of the most effective course of action to be taken and applying for the Settlement or Liquidation procedure as well as preparing all the relevant required documents.
Should you have any questions and/ or queries, please feel free to contact TLG’s Corporate and Commercial department at firstname.lastname@example.org, for further information and assistance you may require.