+٩٧١٤٣٣٢٢٢٢٣
·
info@alsabhanlegalgroup.com
·
الاثنين - الجمعة ٨:٠٠-١٨:٠٠
استشرنا الآن

federal decree No. 14 of 2020 on the amendment of some provisions of the Commercial Transactions

Today we review the most important features and highlights of the provisions contained in the law by federal decree No. 14 of 2020 on the amendment of some provisions of the Commercial Transactions Act  , which came into force from January 2, 2022, relating to the provisions of the cheque, which generally aims to decriminalize the cheque in the Penal Code, especially with regard to the issuance of cheques without credit, as well as the aim of establishing the principles of justice, equity and equal opportunities through balancing The interest of the beneficiary in requiring his right as soon as possible and the interest of the tug at the end of the criminal case against him.

Please note that the criminalization of some of the cases that we will address later has been retained  to ensure that the objectives of decriminalization are achieved and replaced by civil measures.

 Therefore, the law has differentiated between two situations:

The first is the return of the check without credit, which removed the character of criminalization.

The second is the return of the cheque due to the withdrawal of the cheque or the closing of the account after issuing the cheque A and deliberately editing it or signing it in a way that prevents it from cashing or ordering the bank not to cash the cheque to damage the beneficiary, in addition to cases of criminalization in the crimes of falsifying and using cheques, where the penalties were maintained for these cases, which are punishable by imprisonment for at least six months and not more than two years and a fine that does not Less than 10% of the value of the cheque and a minimum of AED 5000 and not more than twice the cheque or one of these penalties for anyone who has committed an act

Therefore, it is clear that the legislator did not completely abolish the sanctions, but only abolished the penalty for editing a check without credit, and the penalties only affected the tug who wrote the check in bad faith or committed any of the above-mentioned acts.

With regard to the offences of cheques issued by the legal person, such as a company, the  law stipulates that in cases where one of the prescribed offences is committed, in the name and account of the legal person, the person responsible for the actual administration shall be punished only if he or she is found to be aware or involved in the crime first committed in the interest of himself or others.

As a result, the company manager does not ask about the act unless he is aware of it or committed it himself.

On the other hand, I address the fact that the bank must partially meet the  value of the cheque:

Article 617 of the Commercial Transactions Act obliged  banks and banks to partially meet the value of the cheque to the extent it has and to hand over the beneficiary a certificate so that he can refer the rest of the amount under this certificate in  accordance with the procedures regulating it, provided that the cheque withdrawn in or outside the state and due to be fulfilled within 6 months of the date of its issuance contrary to what was previously done where the banks rejected the partial exchange mechanism, which would have required the beneficiary to file a claim for the claim.  At full amount and incurring her legal expenses

On the other hand, what mechanism has the law put in place to obtain the value of the cheque:

The law develops civil alternatives leading to the receipt of the value of the cheque as soon as possible,  which is to oblige the bank to partially fulfill the cheque and make the cheque installed by the bank withdrawn on it that there is no balance for it or insufficient executive bond to be implemented directly through the execution judge without resorting to the legal procedures previously applicable from opening a report with the police or filing a complaint and following up the communication procedures and then the prosecution and the court, so the cheque has the power of the executive bond Which does not need a court ruling which would lead to speeding up the legal action which will enable the return of rights to their owners by submitting the order directly to the execution judge to obtain the executive version on the check and proceed with the execution procedures on the tug

In the end, it is clear that these pioneering amendments of their kind enhance the speed of implementation procedures in response to the development in business and will establish the principle of cheque as a means of fulfilling the protection of the legislator and the law in the event of misuse

Related Posts

Leave a Reply

Recent Articles

aehheesh
February 9, 2023
Deciding on Data Space Providers
February 8, 2023
How you can Prepare for The First Aboard Meeting
February 8, 2023

Text Widget

Nulla vitae elit libero, a pharetra augue. Nulla vitae elit libero, a pharetra augue. Nulla vitae elit libero, a pharetra augue. Donec sed odio dui. Etiam porta sem malesuada.