Under the New DIFC Regime companies have until 12 November 2019 to revise the articles.
The Dubai International Financial Centre (DIFC) is calling upon has imposed an obligation upon DIFC companies to comply with numerous requirements, one of which is the alignment of your DIFC company articles with the New DIFC Regime.
In a statement, the DIFC stated that each DIFC company should revise its articles to align them with the New DIFC Regime.
DIFC companies are requested to start the implementation of the New Articles as soon as possible, failing to do that may result in the DIFC imposing a penalty of $15,000.
The existing articles of DIFC companies will continue to be valid to the extent that they do not conflict with the New DIFC Regime.
The regulator said that the following areas require particular attention when companies are re aligned their articles with the New DIFC Regime: overall format and terminology used throughout, licenced activities references as well as the extent of shareholder liability, share capital structure and share classes variety.
Additionally, the DIFC also said that lien over partly paid shares, calls on shares and forfeiture as well as a number of directors (minimum one) and conflict of interest framework areas require companies to pay attention when realigning their articles with New DIFC Regime.