Document background
The Asset Purchase Agreement is a critical transaction document used in the United Arab Emirates for the transfer of business assets from a seller to a buyer. It is particularly relevant in scenarios where parties wish to acquire specific assets rather than entire corporate entities, offering flexibility in transaction structuring while complying with UAE legal requirements. The agreement must address unique aspects of UAE commercial law, including federal and emirate-specific regulations, potential requirements for economic substance, and where applicable, free zone regulations. It typically covers all aspects of the asset transfer, from initial conditions precedent through to post-completion obligations, and must be structured to ensure enforceability under UAE law, including consideration of Arabic language requirements for official submissions.
