DCC 11/2006
Key Legal Questions:
What the definition of a commercial agency contract is according to Article 1, 4 and 5 of Federal Law No. 18/1981.
According to Article 3 of Federal Law No. 18/1981, any trade agency which is not registered in the Commercial Agency Register of the Ministry of Economy & Commerce is not considered, and legal cases on it cannot be heard.
What are the breaches of obligations which arise from the concept of an exclusive distribution contract.
Background Facts
The Plaintiff was a single person company and the first Defendant was an Austrian company which was a limited liability company and owned an Austrian brand number registered in the United Arab Emirates.
On 13/5/2001, the first Defendant signed a Memorandum of Understanding with the Plaintiff in which the Defendant appointed the Plaintiff as an exclusive distributor to sell beverages in the Emirate of Dubai.