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Arbitration in Oman: Enforcing Foreign Awards

Foreign arbitral awards are decisions issued by arbitration tribunals seated outside the Sultanate of Oman, usually in disputes with an international or cross-border element. The enforcement of such awards is crucial because it determines the extent to which international commercial resolutions can be recognised and executed within Oman’s jurisdiction. The primary legal framework governing this process is the Civil and Commercial Procedures Law, promulgated by Royal Decree 29/2002, alongside the 1958 New York Convention, which Oman ratified via Royal Decree 36/98. This blog post provides an overview of the legal basis and key requirements for enforcing foreign arbitral awards in Oman.

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Article

Single Person Companies In Oman: Formation, Liability, and Dissolution

The Single Person Company (SPC), or alternatively known as the One-Person Company, represents a distinctive business legal structure blending the autonomy of a sole proprietorship with the protective veil of limited liability enjoyed by Limited Liability Companies (LLCs). Enacted under articles 291 to 297 of the Commercial Companies Law of 2019, the SPC caters to individual entrepreneurs and corporate entities seeking to isolate particular business activities within a single-owner framework. This blog post will provide details on the formation, liability, and limitations of SPCs under Omani law.

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Announcements

Introducing: Decree Mobile App

We are releasing today the Decree mobile app, a major new expansion of Decree’s platform that allows Decree members to bring the full power of Lex AI with them wherever they go.

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Article

Annual Leave in Oman: Carry-over, Postponement, and Compensation

Annual leave is a statutory right under Omani Labour Law. Although this right is well established, many employers and employees remain uncertain about its practical management, particularly when work requirements necessitate postponement or in cases of leave accumulation. This blog post provides practical insights on managing annual leave, explaining the statutory entitlements, the conditions governing postponement and carry-over of leave, and the circumstances under which compensation is required by law.

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Article

Ultimate Beneficial Ownership (UBO) in Oman: Identification and Disclosure Requirements

As money laundering and terrorist financing methods become more sophisticated, criminals are increasingly using multi-layered corporate structures to hide the individuals behind the business. This lack of transparency makes it difficult for authorities to trace illicit funds. In response, governments across the Middle East are shifting toward stricter transparency measures to align with international standards that require companies to disclose the identity of the ultimate beneficial owners, or UBOs, and maintain a register for the government to inspect at any time. This blog post will highlight the Omani legal framework in this regard and the key UBO obligations in Oman.

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Law Updates

Oman’s New Financial Free Zone: The International Financial Centre of Oman

His Majesty issued last week a royal decree establishing the International Financial Centre of Oman (IFCO) as a new financial free zone. IFCO will operate as an independent legal jurisdiction with its own executive authority, regulatory body, and court system that is not subject to oversight by the Council of Ministers, the Council of Oman, or the Omani judiciary. The location of IFCO is designated by royal decree as Madinat Al-Irfan. This blog post explains what a financial free zone is, the criteria for registering a company in IFCO, why companies might wish to register there, the key limitations for operating out of IFCO, and the next steps before this new financial free zone actually operates.