introduction:
The UAE has made significant strides in promoting and regulating electronic commerce (e-commerce) to keep pace with technological advances and foster digital transformation. The two main laws governing e-commerce in the UAE are Federal Law No. 15/2020 of Consumer Protection Law and Federal Decree Law No. 46/2021 of Electronic Transactions and Trust Services. These regulations aim to increase trust, facilitate electronic transactions, and protect consumer rights. This article details the key provisions of these laws and how they affect e-commerce businesses in the UAE.
Federal Decree Law No. 46/2021: Strengthening trust and promoting electronic transactions
Federal Decree Law No. 46/2021 focuses on promoting electronic transactions, investments and the provision of electronic services to the public. This law establishes an authority responsible for regulating the activities of licensees, issuing rules and standards for electronic identification systems, and validating digital ID procedures. It also covers trust services and approved trust services, including rules for evaluating license applicants, compliance assessors, and licensees.
Regulators and responsibilities: This law establishes an authority responsible for regulating the activities of licensees, issuing regulations, and setting standards for electronic identification systems and digital IDs.
Regulation of electronic documents: This law emphasizes the legal validity and enforceability of electronic documents. It does not force individuals to use electronic documents without their consent, and certain information may be exempt from document retention requirements.
Electronic signatures and stamps: Signing and sealing electronic documents must meet legal requirements. Electronic signatures are recognized as equivalent to handwritten signatures, and contracts created using electronic documents remain valid and enforceable.
Automated Electronic Trading (AET): AET refers to agreements made between automated electronic media without direct human involvement. These agreements are legally valid and enforceable.
Formation and performance of contract: An electronic document is considered to have been issued by the creator if it is issued by the creator himself or by a person authorized to act on the creator's behalf. Recipients may consider documents issued by the originator, unless otherwise notified, following approved procedures.
Acknowledgment of receipt: The law allows acknowledgment of receipt by electronic or automated means. If explicitly stated, the legal effect of the document may be deferred until the author receives approval.
Trust services and authorized trust services: Trust services include electronic signatures, stamps, and certificates, and authorized trust services include authorized electronic signatures and stamps. These services must be accessible to individuals, including people with disabilities.
Liability, penalties and transitional provisions: The law establishes liability for failure to ensure the validity and enforceability of electronic identification systems and digital IDs. There are penalties for crimes such as forging electronic documents and divulging confidential information. Transition provisions give companies time to adjust and previous decisions remain in effect until replaced.
Federal Law No. 15/2020: Consumer Protection Law
The UAE has strong consumer protection laws in place to ensure consumer rights and safety in various areas, including e-commerce. Federal Law No. 15/2020 of Consumer Protection outlines supplier obligations, consumer rights and obligations, product safety requirements, warranties, advertising regulations and dispute resolution mechanisms.
Federal Law No. 15/2020 applies to all goods and services within the UAE, including those offered through e-commerce. This law aims to protect consumer rights, ensure the quality and safety of goods and services, promote healthy consumption patterns, and comply with international treaties and agreements.
Consumer rights: This law emphasizes consumers' right to an appropriate and safe environment in which to purchase goods and receive services. Consumers have the right to know accurate information about the products they purchase, choose products according to their preferences, protect their privacy and data security, and receive fair and prompt resolution of disputes. Furthermore, consumers have the right to fair compensation for damages incurred as a result of the use of goods or services.
Supreme Committee for Consumer Protection: This law establishes the Supreme Council for Consumer Protection, chaired by the Minister of Economy and consisting of representatives of relevant authorities and consumer protection associations. The Commission sets general policy, examines consumer protection reports, addresses obstacles, develops consumer education plans, and issues recommendations to ensure effective consumer protection. .
Obligations of suppliers, advertisers and commercial agencies: The Implementing Regulations of the Consumer Protection Act set out the obligations of suppliers, advertisers and commercial agents. These duties include:
Descriptive information: Suppliers must display and provide explanatory information about products and services to consumers in an easy-to-understand manner. Hazardous materials must be properly labeled.
Pricing: Suppliers must provide transparent and non-misleading pricing information. Invoices must be provided in Arabic or another language specified in the Implementing Regulations.
guarantee: The supplier is obliged to enforce the warranty, provide spare parts and maintenance, and provide after-sales service within the specified period.
Product Defects and Hazards: Suppliers must immediately notify the relevant authorities if they discover any defects or hazards in their products or services that may cause harm to consumers. You may be required to recall and publicize the dangers of the affected products.
Penalties and enforcement: Penalties under Federal Law No. 46/2021 and Federal Law No. 15/2020 include fines and imprisonment for violations. Offenses such as offering or selling substandard goods, monopolizing prices or charging higher prices than advertised can result in fines ranging from Dh3,000 to Dh200,000, imprisonment for up to six months, or both. There is a gender. Misleading advertising can be punishable by up to two years' imprisonment and a fine ranging from AED 10,000 to AED 2,000,000.
Consumer complaint and dispute resolution: The law provides a mechanism for consumers to file complaints and seek resolution of disputes. The Ministry of Competent Authority receives and processes consumer complaints and works with relevant authorities to ensure the protection of consumer rights.
Conclusion:
UAE regulations for e-commerce businesses are contained in Federal Law No. 15/2020 and Federal Decree Law No. 46/2021 and are designed to promote trust, facilitate electronic transactions and protect consumer rights. provides a solid framework for By providing accurate information, implementing guarantees and adhering to fair trade practices, e-commerce companies can build strong customer relationships and contribute to the growth of the UAE's digital economy. E-commerce companies operating in the UAE should be familiar with these. Adhere to regulations, ensure compliance, and prioritize consumer protection to succeed in the digital marketplace while adhering to legal standards.
