How to Issue a Special Corporate Power of Attorney in Dubai [6 Easy Steps]

Assigning someone to carry out tasks related to a commercial license requires issuing a corporate power of attorney, which grants them the necessary authority to complete the tasks. Thoses Tasks include drafting and attesting the memorandum of association (MOA). To learn how to obtain a special power of attorney for companies in Dubai and key details about it, continue reading this article, which will explain everything in detail.

What is a Special corporate power of attorney in Dubai?

A special corporate power of attorney in the Dubai is a document granted by the owner of a commercial license to another person, authorizing them to represent the owner in all matters related to the license.

The importance of this power of attorney lies in allowing the company owner to delegate routine tasks or other non-major responsibilities, or authorize someone experienced to handle commercial license procedures, thereby benefiting from their expertise.

A corporate power of attorney helps the grantor (the license owner) save time and effort by delegating tasks related to the license to others, especially when there are numerous transactions that require dealing with governmental and non-governmental entities. Moreover, it enables the owner to benefit from the expertise of others in managing commercial license matters.

Powers Granted to the Attorney

The grantor of a commercial license has the right to give the attorney many powers, including:

• Completing transactions with governmental and non-governmental entities, such as the Ministry of Human Resources and Emiratisation (MOHRE), the Department of Economic Development (DED), the Department of Urban Planning, the Federal Authority For Identity, Citizenship, Customs & Port Security (ICP), and others.
• Hiring and terminating employees, signing their contracts, paying salaries, issuing visas, cards, and residency permits.
• Managing services needed for the license, such as phone, fax, internet, electricity, and water, signing application forms, paying fees and fines, and settling service bills.
• Handling bank-related matters, such as opening and closing accounts, signing checks, obtaining bank facilities, loans, and providing guarantees.
• Concluding various contracts, gifting, transferring assets, and receiving payments.
• Handling court-related matters for the license, including the right to file complaints with police stations and the public prosecution, and to drop cases or waive rights in court.
• If permitted, the attorney can further delegate these powers to others, with the grantor specifying which authorities may be delegated.

Steps to Obtain a Special Corporate Power of Attorney in Dubai

To obtain a special corporate power of attorney for companies in Dubai, follow these steps:

1. The grantor and the attorney visit a notary public office, which our office provides with expertise.
2. This service can also be done online, and is available at our office.
3. Both the grantor and the attorney must present their personal details, including ID cards and other necessary documents, especially a valid copy of the commercial license.
4. The power of attorney is formally notarized by a notary.
5. Afterward, the attorney or grantor must register the power of attorney with the UAE Ministry of Economy, either by submitting the application directly to ministry offices or electronically via the ministry’s website.
6. After paying the applicable fees, the special power of attorney for the commercial license is approved.

Types of Special corporate Powers of Attorney in Dubai

There are various types of special powers of attorney for companies, including:

1. Power of Attorney for Company Formation

This power of attorney allows the attorney to draft and notarize the memorandum of association (MOA). in accordance with UAE corporate law. The grantor must clearly specify the powers given to the attorney; otherwise, they will bear all consequences of the company’s formation.

2. Power of Attorney for Company Management

This power of attorney is granted by company partners according to the required legal quorum as specified in the company’s bylaws. It authorizes an individual, who may be one of the partners or an outsider, to manage the company, detailing their managerial powers and responsibilities.

3. Power of Attorney for Share Sale

Shareholders may authorize others to buy or sell shares through a special power of attorney. It’s crucial that both parties in the sale or purchase of shares have full legal capacity; otherwise, the transaction will be void.

4. Power of Attorney for Company Vehicles

Company vehicles are owned by the company itself, not its partners, as the company has its own legal identity. A special power of attorney is required to handle transactions such as selling or buying company vehicles.

5. Power of Attorney for Partner Delegation

This power of attorney allows a partner to authorize another person to represent them in general assemblies, handle profit distribution, or bear losses.

6. Power of Attorney for Bank Accounts

Bank accounts are confidential, and banks only accept transactions authorized by a special power of attorney explicitly stating the right to manage the company’s bank accounts.

7. Power of Attorney for Court Representation

This power of attorney is essential for representing a company in court. It’s often granted to a lawyer specializing in company cases, allowing them to handle all legal matters.

Contact Us to Issue a Special Corporate Power of Attorney in Dubai, UAE

Our office is licensed to provide private notary services in Dubai, with years of experience assisting hundreds of clients in drafting and notarizing powers of attorney. We provide our services across the UAE.

To obtain top-tier legal services related to issuing a special power of attorney for companies in Dubai, UAE, contact us through the details provided on our “Contact Us” page.

This concludes our article on how to issue a specialcorporate  power of attorney in Dubai, in which we explained its importance, types, and the powers granted to the agent. We emphasize that our office is licensed to draft and notarize these powers of attorney as a private notary office.

Sources:

• UAE Corporate Law
• Federal Decree-Law No. 20 of 2022 regarding the Regulation of the Notary Profession