The Law Trade Agency and the Commercial Code together form the main legal framework for agency relationships by which foreign companies offer products and services in the United Arab Emirates. The choice of British or American law to circumvent the agency`s laws is often ineffective. Most national courts in the region will ignore such an agreement if it means that the rights of the agent have been circumvented under national law. Under the provisions of the code, a bribe would be anything that provides a benefit to a public or private sector employee, if that may be the case, with the intention of getting that worker to act in a manner that violates the obligations entrusted to him, or to commit an act that is not within those obligations. It is therefore important that the parties consider the provisions of the code as part of a distribution agreement. While trade agency agreements appear to be very beneficial to the main party, an understanding of the intricacies of local trade agency practices and laws would ensure that parties entering into agency contracts stay away from misunderstandings or complications. Distributors, supplier and distributor based in the United Arab Emirates enter into a distribution agreement subject to Federal Law 5 of 1985 on civil transactions; Creating a land-based company to import and distribute its products directly to UAE markets ashore; The conclusion of a distribution agreement with a unit of the United Arab Emirates granted for the importation and marketing of products in the United Arab Emirates. The distribution agreement is governed by Federal Civil Transactions Act 5 of 1985; The appointment of a representative under the relevant legislation of the commercial agency has the advantage that the client has an agent who may require the law enforcement agencies to act against the importation or supply of genuine products put on the market in the territory without the consent of the client. This can give the principal more control over the price he calculates for his goods in each country in the region. However, this benefit generally does not predominate over commercial risks (i.e. protection against dismissal and associated risks) when the agent is designated under these conditions for the territory concerned.

While this may not be useful for each country to minimize the risk of an agent who is protected from termination (and associated risks), the client may: the termination of a distribution contract, governed by Federal Law 5 of 1985 on civil transactions, is governed by the general principles of contract law. , the payment of damages by the raping party being paid to the innocent party in the event of a breach of contract. It is important to note that the UAE Agency Law does not provide for specific remedies in disputes relating to non-registered commercial agency agreements. Therefore, such disputes would not fall within the scope of the UAE Agency`s law and would most likely fall under the Commercial Transactions Act (Federal Law 18 of 1993) (for example. B for traders). An agreement on the registered agency can only be terminated by mutual agreement between the two parties, except that the client may terminate the registered agency agreement if it has a legitimate “essential reason”. The Court held that the respondent`s arguments under section 6 were well founded: “The trade agency agreement applies in the common interest of the contracting parties and the state courts decide any litigation that may arise as a result of its enforcement between the contractor and the agent.