Home >> Law No. 1 of 2000 of the Emirate of Dubai establishing the Dubai Technology, Electronic Commerce and Media Free Zone.

 

Law No.1 Of 2000 Of The Emirate Of Dubai

The Dubai Technology, Electronic Commerce & Media Free Zone Law


We, Maktoum Bin Rashid Al Maktoum, The Ruler of Dubai, do hereby enact the following Law:

Article 1

This Law shall be known as "Dubai Technology, Electronic Commerce and Media Free Zone Law No. (1) of 2000".

Article 2

The following words and phrases shall have the following meaning appearing opposite each of them, unless the context implies otherwise.

The Ruler  H.H. The Ruler of Dubai
The Government The Government of Dubai
The Emirate The Emirate of Dubai
UAE The United Arab Emirates
Free Zone  Dubai Technology, Electronic Commerce and Media Free Zone
Authority The Free Zone Authority
Chairman The Chairman of the Authority
Director General The Director General of the Authority
Electronic Commerce business which is conducted by an electronic medium predominantly on the Internet
Technology all aspects of computing, data recording, television, video, telecommunications, storing, retrieval and sending of information by the use of technology, computer equipments, computer hardware and software, telecommunications systems and networks, including, without limitation, those referred to in Article 10 herein.
Media human and technological methods available for the communication and distribution of printed or digital, audio and visual information to specified or unspecified parties, including, without limitation, cable and satellite television broadcasting, and television production.
Products all goods including, without limitation, materials, equipments and merchandise of all types whatsoever. 
Free Zone Establishment any natural or corporate person licensed to carry on business in the Free Zone pursuant to this law and regulations issued in relation thereto, including all kinds of commercial companies.
Other Free Zones  Jebel Ali Free Zone, Dubai International Airport Free Zone, and any other zone or zones established in the Emirates.

Article 3
There shall be established by this Law:

a. a free zone to be known as Dubai Technology, Electronic Commerce and Media Free Zone, which location, area and boundaries shall be as set out in the map attached to this Law.

b. a corporate entity known as Dubai Technology, Electronic Commerce and Media Free Zone, which shall be financially and administratively independent and may sue or be sued in this capacity. Its main premises shall be in the Free Zone, and it shall be part of the Government.

Article 4
The Free Zone Authority shall be constituted of:

a. a chairman

b. a director general

c. an executive body.

Article 5

The Chairman shall be appointed by the Ruler, and shall undertake the supervision of the Free Zone. The Chairman shall have the power and authority to issue rules and regulations necessary for the operation and administration of the Free Zone, and for the implementation of this Law.

Article 6

The Director General shall be appointed by the Ruler, and shall undertake the administration of the Free Zone, under the supervision of the Chairman in accordance with the provisions of this Law and the rules and regulations issued in relation thereto and shall represent the Authority towards third parties.

Article 7

The Chairman shall issue a special regulation governing the recruitment and appointment of employees of the Authority’s Executive Body, and the terms and conditions of their employment, dismissal, salaries, duties, rights and other matters involving them.

Article 8

The objects of the Authority shall be:

a. to draw up strategies and policies, and methods of implementation thereof, in order to promote Dubai as a centre for Technology, Electronic Commerce and Media.

b. to prepare researches and advise the Government in relation to laws appropriate to the regulation and encouragement of Technology, Electronic Commerce and Media in the Emirate, including but not limited to:

1. data protection
2. protection of intellectual property right.
3. control of crimes associated with Electronic Commerce

c. to establish, own and promote, either solely or with others, establishments in the Free Zones, including but not limited to, a University and a research centre.

d. to co-ordinate with the other Free Zones in relation to matters of mutual interest.

Article 9
To achieve its objects, the Authority shall undertake the following functions and responsibilities:

1. procure infrastructure, buildings, management and any other services required to achieve the Authority’s objects.

2. regulate business and activities within the Free Zone.

3. provide telecommunications and Internet services.

4. authentication of Internet and Electronic Commerce sites and issuing of the necessary terms and conditions in relation thereto. The Authority may also license other establishments within the Free Zone to perform the authentication process of such sites.

5. establish and license establishments in the Free Zone.

6. regulate commerce between establishments in the Free Zone and any other parties outside the Free Zone.

7 enter into agreements with other Free Zones to enable the Free Zone establishments to carry on business in those other zones.

8. provide the Free Zone establishments, upon request, with executives, managers technicians, craftsmen and other workers in accordance with the provisions of this Law, the regulations issued in relation thereto, and any terms and conditions agreed upon by the Authority and these establishments.

9. enter into leases of plots and buildings that may extend to periods up to (50) years, with any establishment in the Free Zone, to enable it to carry on its activity according to terms and conditions agreed upon.

10. provide of all kinds of services.

11. levy and charge fees for the services it provides.

12. establish an investment fund for providing capital to the Free Zone establishments, and for investing the Authority’s funds in the manner and method, and in the activities and projects, which the Chairman deems fit.

Article 10
The business and activities carried on in the Free Zone shall include the following:

1. the design, development, use and maintenance of everything relevant to Information Technology.

2. business of Electronic Commerce

3. Telecommunications and media services

4. provision of services through the Internet or through any other medium including banking, financial services, insurance, education, call centres, marketing operations, information and recreation services .

5. integrated marketing and public relations services.

6. assembly and packaging of products manufactured within or outside the Free Zone.

7. import, export and storage of products.

8. the development and manufacture of products.

9. warehousing, logistics, distribution and redistribution services.

Article 11

Subject to the provisions of Article (23) of this Law and the regulations issued in relation thereto, the Free Zone shall be open to all kinds of products from all sources, whether local or foreign.

Article 12

The products brought, manufactured, produced or developed in the Free Zone shall be exempt from customs duties, and shall not be subject to any customs duties or any other fees when exported.

Article 13

Products kept in the Free Zone, used in any process, or integrated in the manufacturing of any product in the Free Zone shall be exempt from customs duties.

Article 14

Products exported from the Free Zone to the "Customs Zone" in Dubai shall be deemed to have been exported from abroad for the first time, and shall be subject to customs duties.

Article 15

Free Zone establishments and employees shall be exempt from all taxes including income tax with regard to their operations within the Free Zone. They shall also be excluded from any restrictions on repatriation and transfer of capital, profits or wages in any currency to any place outside the Free Zone for a period of (50) years. This period may be renewed for further similar periods by a resolution issued by the Chairman. Such period shall be calculated from the date of the beginning of work of such establishments or employees.

Article 16

Assets or activities of the Free Zone establishments shall not be subject to nationalization or any measures restricting private ownership, throughout the period of their activities in the Free Zone.

Article 17

Free Zone establishments may employ or hire whomsoever they choose in their operations in the Free Zone, provided that such employees are not subject to any countries politically or economically boycotted by the UAE.

Article 18

The operations of Free Zone establishments or employees, within the Free Zone, shall not be subject to the laws and regulations of Dubai Municipality, the Department of Economic Development of the Government of Dubai, or the powers and authority falling within their jurisdiction.

Article 19

Companies with limited liability may be incorporated in the Free Zone in accordance with the Free Zone Regulations, and shall be considered as Free Zone establishments. These companies may have one or more shareholders, whether natural or corporate persons, local or foreign.

Article 20

The Authority shall have the power to approve the establishment and registration of the Free Zone establishments, and to regulate all procedures and matters relating thereto, including incorporation and registration of companies referred to in Article (19), levying registration fees, setting out terms and rules governing such companies, regulations regarding their liquidation or any other matters as the Authority deems necessary for the proper supervision and control of such companies.

Article 21

Every limited liability company incorporated in accordance with Article (19) of this Law, shall set out beside its name the following particulars, in all its activities, contracts, notices invoices, correspondence and publications:

a. that the company is incorporated in accordance with this Law, and that it is a limited liability company.

b. that it is a company in the Free Zone.

in the cases where clause (a) and/or clause (b) of this Article are disregarded, the company’s owner or owners shall be personally liable for the obligations of the company.

Article 22

The Chairman, the Director General or the employees and workers of the Authority shall not be liable to any third party for the operations or obligations of the Free Zone Establishments or their employees.

Article 23
The following products, goods and services shall be prohibited in the Free Zone:

a. goods and services in violation of intellectual property law, including those in violation of laws and rules relevant to trademark, patent, copyright and design rights.

b. products boycotted by the UAE

c. all goods, products and services prohibited under the laws in force in the Emirate and/or the UAE. The Authority shall have power to specify or amend the list of prohibited products and services in accordance with the laws of the Emirate, as well as the power to grant exemptions from such prohibitions.

Article 24
The following activities shall be prohibited within the Free Zone:

a. any unlicensed activity by any natural or corporate person, which requires a license within the Free Zone:

b. any activity contrary to the Free Zone Regulations.

c. any wilful activities designed to disrupt computer networks &software such as the creation and distribution of computer viruses.

Article 25

Assignment of the license issued by the Authority, to another party, shall be prohibited without the prior written consent of the Authority.

Article 26

The Authority shall have the power to control and inspect the activities of Free Zone establishments which are suspected to be in breach of the provisions of this Law or any other regulation.

Article 27

The Ruler may establish a court and/or an arbitration tribunal with the jurisdiction of hearing claims and suits arising out of, or in connection with, activities carried out by Free Zone Establishments within the Free Zone, including claims and suits between these establishments and any other parties outside the Free Zone.

Article 28

The Director General may impose civil penalties on any person who is in breach of any provision of this Law and the Regulations issued in relation thereto, or in breach of the terms and conditions of the license issued by the Authority, all in accordance with a special regulation to be issued by the Chairman.

Article 29

Any provision of any other law or legislation which conflicts with this Law is hereby repealed to the extent to which it is in conflict with the provisions hereof.

Article 30

This Law shall be published in the Official Gazette and shall come into effect on the date of its publication.

Maktoum Bin Rashid Al Maktoum
Ruler of Dubai

Issued in Dubai on 31 January 2000
Corresponding to 25 Shawwal 1420 AH