Abu Dhabi Global Market enacts Electronic Transaction Regulation 2021

March 13, 2021by Admin0
Digital

ADGM enacted the Electronic Transactions Regulations 2021 to provide greater certainty for electronic dealings. As a result, ADGM’s regulatory framework is in line with international standards on e-commerce and electronic dealing. The objective is to confirm that electronic signatures, contracts, records and documents are legally valid as the traditional non-electronic versions.

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The need for this electronic medium was mainly because of the present digital advancement and also due to the COVID social distancing. The new Regulations are based on the United Nations Commission on International Trade Law (UNCITRAL) Model Laws on Electronic Commerce. The main principles taken into account are non-discrimination, technological neutrality and functional law equivalence of electronic documents as compared to documents in a tangible written form.

The law also provides for the electronic witnessing of documents. Witnessing can be done in real-time by observing the affixing of the signature of that person on the document or record in real-time by audio-visual electronic means.

The Regulations will not apply in certain cases such as:

  • Powers of Attorney;
  • Wills, codicils or testamentary trusts;
  • Certain real estate transactions;
  • Documents requiring Notarization

To know more please read: https://www.adgm.com/media/announcements/adgm-enacts-electronic-transactions-framework

About ATB Legal

ATB Legal is a full-service legal consultancy in the UAE providing services in dispute resolution (DIFC Courts, ADGM Courts, mainland litigation management and Arbitrations), corporate and commercial matters, IP, business set up and UAE taxation. We also have a personal law department providing advice on marriage, divorce and wills & estate planning for expats. Please feel free to reach out to us at office@atblegal.com for a non-obligatory initial consultation.

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