Published: May 22, 2023

UAE Cabinet issues Executive Regulation on Federal Electronic Transactions and Trust Services Law No. 46 of 2021

A main objective of the  UAE ‘s Federal Decree by Law No. (46) of 2021 on Electronic Transactions and Trust Services (“ETTSL”) that came into force in January 2022 (UAE issues new Federal Electronic Transactions and Trust Services Law – Al Tamimi & Company) is to enhance trust, encourage and facilitate electronic transactions of all types, and protect the rights of customers.

Critical to this regime is the function of a Trust Service Provider (TSP), which is a person licensed by the Telecommunications and Digital Government Regulatory Authority  under the ETTSL and its executive regulations to provide Trust Services” under the law involved in the creation, validation and preservation of electronic signatures, electronic seals, electronic time stamps and electronic registered delivery services.

Cabinet Resolution No. (28) of 2023 on the Executive Regulations of Federal Decree by Law No. (46) of 2021 on Electronic Transactions and Trust Services (“Executive Regulations”), which was issued on 31 March 2023 and comes into force on 29 June 2023 (i.e. 90 days later), prescribes the process and procedures for the licensing of Trust Service Providers  and Qualified Trust Service Providers (i.e. TSPs that comply with additional measures to provide Qualified Trust Services that have higher integrity under the ETTSL), and outlines the standards for validation and retention of electronic documents, signatures and seals.

The Executive Regulations also provides for the creation of a  public list to be called  the “UAE Trust List” by the TDRA, which will include information on the licensed TSPs and Qualified Trust Service Providers,  the services provided by them, and their licence status – which is an essential element in building trust by allowing users to determine the status of TSPs and the services they are authorised to provide.

Additionally, provisions of the Executive Regulations that allow for the TDRA to set the standards related to the Qualified Trust Mark, which is a mark or logo that proves that the TSP is qualified by the TDRA to provide qualified electronic trust services are important for telling users that they can trust certain services for carrying out electronic transaction in a reliable and secure way, consequently, furthering another one of the ETTSL’s objectives, which is encouraging digital transformation.

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