Commercial laws
(1) Law Regulating Restructuring, Protective Composition and Bankruptcy
The Law No. 11 of 2018 regulating restructuring, protective composition and bankruptcy specified mechanisms and controls that regulate the restructuring process for companies, and stipulated that every trader whose capital is not less than one million pounds, and who practiced trade continuously during the two years preceding the submission of the application and did not commit fraud, may request restructuring, nor The company may be restructured while it is in liquidation, and according to this law of the commercial laws, the activity or funds of the trader may be restructured after his death at the request of his heirs during the year following his death, provided that all heirs agree, and it is not permissible to apply for restructuring in the event of a judgment declaring the trader bankrupt or a judgment opening proceedings Protective reconciliation.
The submission of the restructuring application shall result in the suspension of the bankruptcy and protective composition applications until the completion of the decision on the restructuring application, and another restructuring application may not be submitted until three months have elapsed from the rejection or preservation of the previous application, and the restructuring aims to develop a plan to reorganize the trader’s financial business.
The administrative includes how to get out of the stage of financial and administrative turmoil, and pay its debts with an indication of the proposed sources of financing, and this is in several ways, including the revaluation of assets, the restructuring of debts, including state debt, increasing capital, increasing internal cash flows, and reducing cash flows.
In accordance with the law of the commercial laws, an application for restructuring shall be submitted explaining the causes of the financial turmoil, the date of its inception, the measures taken in this regard to avoid its occurrence or address its effects, and the necessary measures to get out of it.
The commercial laws stipulates that the application must be accompanied by the following documents:
- (a) Documentation supporting the data mentioned therein.
- (b) A certificate from the Commercial Registry Office attesting to the fact that the trader has carried out the provisions of the Commercial Register during the two years preceding the restructuring request.
- (c) A certificate from the Chamber of Commerce stating that trade has been carried on continuously during the two years preceding the restructuring request.
- (d) A copy of the balance sheet and income statement for the two years preceding the reorganization proposal.
- (e) A statement of all personal expenses in the two years preceding the submission of the reorganization proposal, excluding the movement of ordinary shares.
- (f) Details of movable and immovable property and its approximate value at the time of the reorganization request.
- (g) A list of the names and addresses of creditors and debtors, the amount of their rights or debts and the guarantees they guarantee.
- (h) A certificate showing that you have not previously filed an application for reorganization or that you have already filed an application for reorganization and that a period of three months has elapsed since then.
Commercial laws of registration
(2) Law of Registration
Law No. 198 of 2020 amending some provisions of Law No. 34 of 1976 regarding the commercial laws of register is one of the important legislations approved by the House of Representatives to support workers in the industrial sector and grant them the right to be registered in the commercial laws of register after suffering with the law before the amendment, which prevented the registration of workers in the field.
The law entered into force after its ratification by the President of the Republic, promulgation and publication in the Official Gazette.
Whoever is registered in the commercial laws of register must be an Egyptian national and have obtained approval to practice trade from the competent chamber of commerce for individuals and companies established to practice a commercial activity, or to have obtained approval to practice the industrial activity from the competent industrial chamber for Companies established to practice an industrial activity.
This amendment comes because the Commercial Registry Office of the Federation of Industries, in accordance with the law before its amendment, refused to register individuals in the commercial laws of register for industrial activity, on the basis that the text of Article (3) only allows the registration of companies operating in industrial activity, while thousands of workers in this activity are not allowed to be registered.
There is no doubt that this wastes their right to registration, hence the need to introduce a legislative amendment to remedy this situation, as individuals who own industrial activity have suffered many difficulties to register in the commercial register since the issuance of the previous amendment to the law in 2017, although most applications for registration are submitted by individuals.
The new law added to the commercial laws relied on the definition of an industrial establishment contained in Law No. 15 of 2017 issuing the Law to Facilitate Licensing Procedures, as it defines it as any facility, company or industrial shop that carries out a physical or chemical conversion of the raw material, or makes changes to any product, regardless of its size, including:
- Collection
- Classification
- Packaging
- Sorting
- Recycling
- Other operations
Attachments for these commercial laws can be viewed …
Executive Decree of the Companies Registration Law No. 34 of 1976 pdf
Amending Some Provisions of the Companies Registration Law 1996.pdf
Amending Some Provisions of the Commercial Register Law to Law No. 198 of 2020.pdf
Amending Some Provisions of the Commercial Register Law by Law No. 75 of 2017 .pdf
Commercial laws of Intellectual Property
3) Intellectual Property Law
Law No. 82 of 2002 stipulates that the following acts shall be fined at least EGP 20,000 and not more than EGP 100,000
Imitation of the subject matter of inventions or utility models registered under this Law for the purpose of commercial distribution.
Any person who sells or promises to sell, distribute, import or possess with the intention of trading in counterfeit products, knowing that a patent or patent for a utility model or its production process is valid in the Arab Republic of Egypt.
Anyone who illegally places data on products, advertisements, trademarks, packaging tools or other things to make people believe that they have obtained a patent or a utility model patent
If returned, the penalty is imprisonment for no more than two years and a fine of not less than £40,000 and not more than £200,000.
In all cases, the court shall order the confiscation of the subject matter of the counterfeit crime and the tools used in counterfeiting or the publication of the guilty verdict in one or more daily newspapers at the expense of the offender.
Attachments of these commercial laws can be viewed …
Executive Regulations of Law 82-2002 .pdf
Amending some provisions of the Intellectual Property Protection Law by Law 178 of 2020.pdf
Law No. 82 of 2002 on the Protection of Intellectual Property Rights. pdf
Commercial laws for Real Estate Registration
4) Real Estate Registration Law and its new amendments:
The new draft real estate registration law submitted by the government aims to amend some provisions of Law No. 114 of 1946 regulating real estate registration, and the draft law submitted by the government included the possibility of limiting registration to the extent that a final judgment proves the right to the original real estate property or part of it, and also included the possibility of submitting the registration application electronically, in order to save administrative expenses, as the Minister of Justice issues a decision without the need to stipulate it in the body of the article.
The new amendments to the law stipulated reducing the documents required for the month to a minimum, setting time limits to verify the availability of ownership conditions, and setting a specific fee for the application instead of the proportional fee, and also provided for addressing the problem of submitting more than one application for one property by not allowing the procedures to examine any subsequent application until after the adjudication of the application that precedes it, and the new amendments to the Real Estate Registration Law indicated that the draft law prohibited the registration of the application in the event that Failure to complete data and documents, which is a solution to the problem of prolonging the registration period and entering into obstacles to completing the application, and the new law has reduced the documents required for the registration of the right of inheritance.
