Page 707 - MOE ENGLISH PR REPORT - JULY 2024

7/2/24, 4:39 PM Ministry of Economy: New law on combating commercial fraud bolsters UAE's legislation and protects consumers in line with best gl…
H.E. said: “The introduction of this new law aims to enhance the competitiveness of the business environment for
both companies and trademark owners in the country, replacing the previous law on combating commercial fraud.
Additionally, it seeks to foster innovation in businesses and provide support for the protection of intellectual property.

The law aligns with federal laws on ‘Consumer Protection', ‘Trademarks', ‘Copyright and Neighbouring Rights', and
‘Commercial Agencies'. Its provisions have been developed with a forward-thinking and adaptable approach that
takes future developments into account.”

“In the past stage, the Ministry of Economy has collaborated with partners of federal and local government entities,
as well as the private sector, to enhance law concerning commercial fraud. This effort has been instrumental in
creating a competitive environment for the establishment of businesses, increasing flexibility in economic and trade

activities, and strengthening the UAE's status as a leading global hub for commerce, business, and innovation.” H.E
added.

The Ministry has emphasized the law's crucial role in fostering a competitive trade and business environment. It will

drive the growth and improvement of the domestic trade system and enhance the retail sector. The law will promote
sound commercial practices and effectively combat the sale of counterfeit, adulterated, and corrupt products. This,
in turn, will attract major brands and positively impact their economic performance. Additionally, it will encourage
research, development, and innovation, benefiting consumers and the UAE's overall economy.

The MoEc highlighted the significant outputs of the new law, which encompassed:

Creating a conducive and secure purchasing environment for purchases by effectively combating counterfeit,
fraudulent, and corrupt goods. The law applies to all types of commercial deceit across the country's markets,
including free zones.
Violations of the law result in the imposition of administrative penalties designed to encourage greater
compliance among businesses by deterring them from selling counterfeit, adulterated or corrupt products

within the country.
Strengthening collaboration between the local and federal authorities and empowering local authorities to
address counterfeit and adulterated products, thereby promoting investments and business activities in the

country.
Implementing regulations to eliminate counterfeit, adulterated, or corrupt products from markets and
warehouses. This includes reimbursing their value and ensuring that suppliers comply with mandatory
commercial records and requests for product release.
Establishing the Supreme Committee for Combating Commercial Fraud to effectively implement measures

against commercial fraud across UAE markets by collaborating with federal and local authorities.
Prohibiting any involvement in the importation, exportation, production, manufacturing, display, sale, storage,
transportation, marketing, trading, promotion, disposal, or possession with the intention to sell counterfeit,

corrupt or adulterated products. Similarly, undertaking any of these activities is forbidden. This aligns with the
best international standards and reinforces the UAE's reputation as a country with robust legislation against
such practices. This comprehensive approach aims to protect the interests of both businesses and
consumers alike.

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