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    Bounced cheques in Dubai now subject to fines under new order

    bounced cheque

    In a move intended to promote business confidence and aide those who find themselves in debt, Dubai Public Prosecution have launched a new Penal Order system that will allow minor misdemeanors, such as a bounced cheque, to be dealt with through fines rather than the court system. It is also intended that the move away from civil prosecution will ease the burden on the Dubai Courts, and allow greater time and resources to be devoted to more serious offences including money laundering, assaults and cybercrime.

    The new Order comes under Law No. (1) of 2017 which was approved by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, in March.

    Under the new Order, which comes into effect in December 2017, the current understanding is that any individual who issues a bounced cheque not exceeding the value of AED 200,000 will be subject to the following fines:

    • Bounced cheques not exceeding AED 50,000 –AED 2,000.
    • Bounced cheques between AED 50,000 and AED 100,000 –AED 5,000.
    • Bounced cheques between AED100,000 and AED 200,000 –AED 10,000.

     

    It is important to note however that any individual who finds themselves in debt may still have a civil case opened against them, and be liable for any interest on outstanding debts. It is therefore advisable to seek legal adviceshould you have any concerns regarding bounced cheques and/or personal or company debt.

    To find out how the Davidson & Co team could assist your specific requirements regarding any legal enquiries, please do not hesitate to get in touch.

  • Family Law/ Wills

    DIFC Wills and Probate Register release new Financial Assets Will

    Close up Human Hand Signing on Formal Paper at the Table on Black Background. Retro Filter Effect.

    The DIFC Wills and Probate Register (DIFC WPR) have introduced a new Financial Assets Will to encompass money and listed securities held in Dubai and/or Ras Al Khaimah bank and brokerage accounts. The new purpose Will can encompass up to 10 separate bank or brokerage accounts, or a share in 10 separate bank or brokerage accounts, and is available to register online or in person. The DIFC WPR have partnered up with the Emirates NBD to offer a discounted registration fee of AED 5,000.

    The addition of the new purpose Will now means that there are 5 different forms of DIFC Wills available for individuals, depending on their personal circumstances and the assets which they wish to protect:-

    1. Full Will
    2. Guardianship Will
    3. Property Will (limited to five separate properties or a share in up to five separate properties)
    4. Free Zone Company Will (limited to five separate shareholdings)
    5. Financial Assets Will (limited to ten separate bank or brokerage accounts or a share in 10 separate bank or brokerage accounts)

    A DIFC Will is available to any individual who is non-Muslim and over the age of 21, with assets based in Dubai and/or Ras Al Khaimah.  You do not require to be a resident of the UAE.

    There are a number of benefits to registering a DIFC Will including:-

    • Avoids the application of Sharia Law to your Dubai and/or Ras Al Khaimah assets.
    • Promotes certainty as a Will ensures your estate passes in accordance with your wishes.
    • Saves undue anguish, costs, and administration for your loved ones at time of probate.
    • Allows you to specify who you wish to act as a Guardian to any minor children under the age of 21.
    • DIFC WPR have a Memorandum of Understanding with the Dubai Land Department to ensure that at the time of probate, your property is passed in accordance with your Will.
    • No death tax applicable to Dubai and/or Ras Al Khaimah assets administered under the WPR rules.

    It is strongly advised that you seek legal advice and assistance when drafting either a DIFC or Common Law Will.

    For a free consultation, please get in touch to discuss your specific circumstances.