Authorization Letter For Transaction for United Arab Emirates

Authorization Letter For Transaction Template for United Arab Emirates

An Authorization Letter for Transaction is a formal document used in the United Arab Emirates to delegate specific transaction-related authority from one party to another. Governed by UAE Federal Law, particularly the Civil Code and Commercial Transactions Law, this document enables individuals or entities to authorize representatives to conduct specific transactions on their behalf. The letter must comply with UAE legal requirements, including proper authentication and notarization where required. It serves as a critical tool in business operations, particularly in situations where the principal party cannot be physically present to execute transactions.

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What is a Authorization Letter For Transaction?

The Authorization Letter for Transaction is a fundamental document in UAE business practice, essential for delegating specific transaction authority in compliance with UAE Federal Law. It is commonly used when an individual or entity needs to authorize another party to conduct specific transactions on their behalf, such as banking operations, property dealings, or government transactions. The document must clearly specify the scope of authority, duration, and any limitations, while meeting UAE legal requirements for authentication and notarization. This type of authorization is particularly relevant in the UAE's business environment, where many transactions require personal presence or explicit authorization, and is frequently used by both local and international businesses operating in the UAE market. The letter's format and content must align with local legal requirements and business practices, often requiring supporting documentation to establish the identity and authority of the parties involved.

What sections should be included in a Authorization Letter For Transaction?

1. Letter Header: Date, reference number, and formal letterhead including full contact details of the authorizing party

2. Addressee Details: Full name and address of the person/entity being authorized

3. Subject Line: Clear indication that this is an Authorization Letter for Transaction

4. Authorizing Party Details: Complete identification details of the person/entity giving the authorization, including Emirates ID/passport number for individuals or trade license for companies

5. Authorization Statement: Clear and specific description of the powers being granted and the transaction(s) covered

6. Duration of Authority: Explicit statement of the time period for which the authorization is valid

7. Signature Block: Space for authorizing party's signature, with name and title clearly printed below

What sections are optional to include in a Authorization Letter For Transaction?

1. Special Conditions: Used when the authorization is subject to specific conditions or limitations

2. Revocation Clause: Include when there's a need to specify conditions under which the authorization can be revoked

3. Multiple Party Authorization: Required when multiple parties are granting authorization or when authority is being granted to multiple parties

4. Consideration Clause: Include when the authorization involves financial compensation or fees

5. Governing Law Statement: While UAE law applies by default, this section may be included for additional clarity especially in cross-border transactions

What schedules should be included in a Authorization Letter For Transaction?

1. Identity Documents: Copies of Emirates ID, passport, or trade license of the authorizing party

2. Transaction Details: Specific details of the transaction(s) being authorized, if too detailed for the main letter

3. Power of Attorney: If the authorization letter is supplementary to a power of attorney

4. Corporate Documents: If the authorizing party is a company, include board resolution or other corporate approvals authorizing the delegation

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Publisher

Genie AI

Document Type

Letter of Authority

Sector

Banking

Cost

Free to use
Relevant Industries

Banking and Finance

Real Estate

Import/Export

Manufacturing

Retail

Healthcare

Construction

Logistics

Professional Services

Tourism and Hospitality

Education

Technology

Energy

Trading

Relevant Teams

Legal

Finance

Administration

Operations

Compliance

Corporate Secretariat

Human Resources

Business Development

Project Management

Risk Management

Customer Service

Procurement

Relevant Roles

Chief Executive Officer

Managing Director

General Manager

Finance Manager

Legal Counsel

Operations Manager

Business Development Manager

Administrative Officer

Company Secretary

Compliance Officer

Department Head

Project Manager

Account Manager

Property Manager

Human Resources Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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