Use Agreement Template for the United Arab Emirates

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What is a Use Agreement?

The Free Use Agreement serves as a critical legal instrument in the United Arab Emirates for situations where one party wishes to grant another party the right to use assets, property, or services without monetary compensation. This document type is commonly used in various contexts, including community initiatives, educational programs, corporate social responsibility projects, and institutional collaborations. The agreement must comply with UAE Civil Code (Federal Law No. 5 of 1985) and relevant emirate-specific regulations, while incorporating Sharia law principles. It includes essential provisions for protecting both parties' interests, defining usage terms, establishing maintenance responsibilities, and managing liability. The Free Use Agreement is particularly relevant in the UAE's diverse business environment, where organizations often engage in collaborative arrangements that involve sharing resources without financial consideration.

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Reviewed by

Swetha Meenal

Legal Engineer, GenieAI

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A lawyer, legal researcher and legal tech founder, Swetha has built AI products deployed inside Tier 1 firms and enterprises. She ensures GenieAI's alignment with the latest regulation and executes testing on the legal robustness of Genie output.

Reviewed by

Imad Mohammed Nazar

Legal Engineer, GenieAI

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A Skadden-trained M&A lawyer, Imad advised on cross-border transactions and contractual risk before moving into legal AI. He reviews GenieAI's output for compliance and enforceability across our 150+ supported jurisdictions, as well as facilitating external benchmarking.

Jurisdiction

United Arab Emirates

Publisher

GenieAI

Sector

Business

Cost

Free to use

Last updated

About the Use Agreement

A Use Agreement is a legally binding document that allows property owners, asset holders, or service providers to grant usage rights to individuals, organizations, or institutions without requiring payment. Under UAE law, this agreement must comply with the Civil Code and incorporate Islamic legal principles while protecting the interests of all parties involved.

When do you need this document?

You need a Use Agreement when granting access to property, equipment, or services for community benefit, educational purposes, or corporate social responsibility initiatives. Common scenarios include allowing schools to use corporate facilities for events, permitting non-profit organizations to access office space, or enabling government entities to utilize private assets for public programs. The agreement is also essential when sharing intellectual property, technology platforms, or specialized equipment with partner organizations. In the UAE's collaborative business environment, these arrangements often support Emiratization programs, sustainability initiatives, and community development projects.

Key legal considerations

Your Use Agreement must clearly define the scope of permitted use, duration, and specific restrictions to avoid disputes. Include detailed provisions for maintenance responsibilities, insurance requirements, and liability allocation. Address intellectual property rights if applicable, ensuring any created works or improvements are properly attributed. Specify termination conditions and procedures for ending the arrangement early. Include force majeure clauses covering events beyond either party's control, and establish dispute resolution mechanisms preferring mediation or arbitration as commonly practiced in UAE commercial law. Consider including moral and ethical obligations that align with Islamic principles and UAE cultural values.

Legal requirements in United Arab Emirates

Under UAE Civil Code (Federal Law No. 5 of 1985), your Use Agreement must demonstrate clear offer, acceptance, and lawful consideration, even when no monetary payment is involved. The agreement must comply with Sharia law principles, ensuring the arrangement serves legitimate purposes and doesn't involve prohibited activities. If the agreement involves property use, check emirate-specific property laws and obtain necessary approvals from local authorities. For electronic assets or digital platforms, ensure compliance with Electronic Transactions and Commerce Law (Federal Law No. 1 of 2006). Include Arabic translation or ensure the document meets local language requirements if mandated by the relevant emirate. Consider registration requirements with local authorities, particularly for long-term property use arrangements or agreements involving government entities.

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