Commercial Agency Law

The new Commercial Agency Law (Federal Decree-Law No. 3 of 2022) introduces the ability, under specific conditions, for public joint-stock companies with foreign shareholding to act as commercial agents, loosening historic restrictions.

Key Updates

• Termination: Allows termination of agency agreements based on non-renewal or for "material reasons" upon notice.
• Dispute Resolution: Permits parties to agree on international arbitration rather than local courts exclusively.
• Foreign Ownership: Allows international companies to act as their own agents for products not already registered with a local agent.