The UAE Commercial Transactions Law has included provisions for the protection of the rights of the shop seller creditors who have debts related to its exploitation. Considering that the sale of the shop poses a threat to their rights because through this sale they lose the most important security for their debts, which is the “shop”. In order to achieve this goal, the UAE legislator approved the principle of the transfer of rights and obligations from the seller to the buyer in violation of the general rules, and obligated the two parties of sale contract to publish the summary of the sale and register it in the commercial registry to ensure that the sale incident came to the knowledge of the aforementioned creditors, and imposed on the buyer some obligations such as locking the price in his hands and offering settling the seller’s debts, and granted to creditors the right to object to the sale and offer to buy the shop at a higher price. In spite of this, the study proved that the creditors of the shop seller did not enjoy sufficient legal protection to ensure the collection of their rights. These provisions were marked by many shortcomings, and were punctuated by many loopholes, especially the method of publishing the sale summary, the length of legal deadlines, and the confusion between the terms of the validity formality of the sale and the conditions for its effectiveness between the contracting parties and towards third parties, the failure to stipulate the mechanism of providing guarantees for the seller’s receipt of the price before deciding on the objections, the lack of speed in the procedures for submitting and deciding objections, and so on. The study also came out with a set of results and recommendations, through which the researcher tried to draw the parameters of a new system to protect the rights of seller's creditors, more effective and flexible.
Fares, Dr. Omar Dr.
"Legal Protection for the Rights of the Commercial Store Creditors Under UAE Law: A Comparative Study,"
UAEU Law Journal: Vol. 2023:
95, Article 1.
Available at: https://scholarworks.uaeu.ac.ae/sharia_and_law/vol2023/iss95/1