The final Law Update of 2022 is here, and it’s packed full of articles. The double edition features two focus areas, first is a spotlight on Energy and Resources and second we feature a collection of articles on Transport and Logistics. The developments occurring in these sectors in the MENA region are unprecedented and our lawyers cover vast themes for you.
The Energy and Resources focus features topics such as diversifying energy resources, solar PV, mining in the Middle East, renewable energy and green hydrogen. From a transport perspective, we draw attention to the Bahrain metro project, discuss the challenges and remedies associated with the repossession of an aircraft, and there is advice on what to consider should a party vary the terms of a shipping contract.
This edition navigates you through updates from across jurisdictions such as, Oman, Jordan, Saudi Arabia, Egypt, Iraq, Qatar, and the UAE. Each article is timely and provides insights into legal issues and cases that are affecting these sectors across the region.Read the full edition
Becoming a director gives status and a direct impact on the strategy and success of a business. But at times when businesses face financial difficulties, directors are often faced with the challenge of balancing their obligations to shareholders, creditors and other stakeholders, while diligently performing their duties and keeping in mind potential personal liability.
Directors in the region will typically be under a general duty to:
But what changes in the context of insolvency: are there different considerations? As a starting point a heightened level of awareness and care is required in a potential insolvency situation. In certain jurisdictions like the United Kingdom, a director’s duty can effectively switch to be owed to the creditors of the relevant company as opposed to the shareholders. This is also the case in the UAE common law jurisdictions of the Dubai International Financial Centre and Abu Dhabi Global Markets. While this is not necessarily the case in the Middle East, directors must be aware of their obligations when potentially trading while insolvent and what steps should be taken to protect themselves and the company.
Relevant considerations include:
The need to consider these issues is amplified by the potential liability that can sit with directors. Looking at the region: