The Council of Ministers adopted a federal draft law amending some provisions of the Commercial Agencies Regulation Law, which comes in the framework of keeping pace with economic developments and development and investment needs in the country, in accordance with international best practices.
The draft law targets the business sector and public shareholding companies, citizens of the state and foreign investors, and its amendments contribute to enhancing the competitive environment for the UAE economy and increasing investments, ensuring the provision of a high level of services, and opening the way for family companies to transform into public joint stock companies so that they can continue for future generations.
It also aims to enhance the capabilities and continuity of family businesses, and to establish the rules of their governance and protect them from faltering, in addition to encouraging the citizens of the state to do business and invest in public shareholding companies and protect their interests.
The bill will provide opportunities for the financial market by transforming companies and listing them in the country's financial markets, and encouraging citizens of the state to do business and invest in public shareholding companies that have commercial agencies and have a commercial agency with the least possible risks, especially small shareholders, while protecting the interests of the country's citizens in The concession contracts granted to them, especially the owners of small and medium enterprises, from the arbitrariness of the client to terminate contracts without convincing reasons and justifications.