The Role of Arbitration in Resolving Breach of Contract Disputes in MEA

In the complex world of business, contract disputes are almost inevitable. One such dispute that often arises is a breach of contract, where one party fails to fulfill their obligations as outlined in the contract. In such situations, it’s critical to have an effective mechanism to resolve disputes and ensure fair outcomes.

This is where arbitration comes into play. Arbitration is a form of alternative dispute resolution where a neutral third party, known as an arbitrator, makes a decision on the dispute after considering all the facts presented by the parties involved.

The Middle East and Africa (MEA) region, with its thriving business landscape, is no stranger to these kinds of disputes. Given the potential complexities of litigation in this region – varying laws, languages, and cultural norms – arbitration has emerged as a preferred method for resolving breach of contract disputes.

The following post delves into the role of arbitration in resolving breach of contract disputes in the MEA region, demonstrating its importance and effectiveness.

Understanding Breach of Contract

A breach of contract is a legal term describing the violation of a contract or an agreement that occurs when one party fails to fulfill its promises according to the provisions of the agreement. It’s an act of breaking the terms and conditions set out in a contract. The breach can occur when one party fails to perform on time, does not perform in accordance with the terms of the agreement, or does not perform at all.

The types of contract breaches commonly seen in the MEA region are no different from those globally recognized. They include minor breaches, material breaches, fundamental breaches, and anticipatory breaches.

The consequences of a breach of contract can vary greatly depending on the specifics of the contract and the breach. Generally, the law provides remedies for the injured party, usually in the form of damages to compensate for the losses incurred due to the breach.

In some cases, if money cannot adequately compensate, a court may order performance or injunction to prevent further breach. However, it’s worth noting that all breaches can lead to serious legal and financial repercussions, damage business relationships, and impact reputation.

The Role of Arbitration

Arbitration is a method of resolving disputes outside the traditional courtroom setting, where an impartial third party, known as an arbitrator, makes a decision after considering all the relevant information. It’s often used in commercial disputes and is a common method of dispute resolution in the MEA region, especially in breach of contract cases.

Arbitration works by allowing both parties to present their case in a less formal setting than a court. Each party has the opportunity to present evidence and arguments to the arbitrator, who then makes a decision, known as an award. In many jurisdictions within the MEA region, this award is legally binding and enforceable, much like a court judgment. The process is often quicker and more flexible than court proceedings, and it can be confidential, which can be particularly beneficial in commercial disputes where privacy is a concern.

The use of arbitration in breach of contract cases comes with several benefits. Firstly, it can be a faster and more efficient process than going through the courts, saving both time and money. Secondly, the parties have the freedom to choose their arbitrator, which means they can select someone with specific expertise in the area of law relevant to their dispute. Lastly, because the arbitration process is less formal, it can help preserve business relationships by avoiding the adversarial nature of litigation. 

Arbitration in MEA

Arbitration laws and practices vary across the Middle East and Africa (MEA) region, but there is a common trend towards reform and modernization. In the Middle East, countries like the United Arab Emirates, Saudi Arabia, and Qatar have been updating their arbitration laws to align with international standards. The UAE, in particular, is recognized as a popular seat of choice for arbitration proceedings. Many of these reforms are influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law, which is considered the gold standard in international arbitration.

The practice of arbitration in resolving breach of contract disputes has seen some notable cases in the MEA region. For instance, in the UAE, the Dubai International Financial Centre (DIFC) and the Abu Dhabi Global Market (ADGM) have emerged as leading arbitration centers handling complex commercial disputes, including high-profile contract breaches. 

While specific cases are often kept confidential due to the private nature of arbitration, it’s clear that arbitration plays a crucial role in the region’s dispute resolution landscape. It’s also worth noting that regional arbitral institutions are proliferating, demonstrating the increasing use and acceptance of arbitration in the MEA region.

MEP

World-Class MEP Services

MEP

Arabian MEP Contracting is a grade A and ISO-certified MEP company in Qatar, approved by Kahrama for electrical works and QCDD for firefighting and fire protection systems. It provides a complete range of mechanical, electrical and plumbing services through a highly experienced engineering and project management team fully compliant to time, cost and quality requirements of projects. MEA Markets magazine has recognised the company as 2022’s Leading Experts in MEP Engineering – Qatar, so we take a closer look at how this is the case.

Since 1998, Arabian MEP has been providing clients with world-class service in engineering, design, quality construction, exceptional product knowledge professionalism, and full resources capability to carry out mechanical and electrical building services. Market sectors benefiting from its services include infrastructure, medical care, high rise towers, commercial, and education.

Its inhouse engineering and design personnel have proven expertise in engineering, design and quality construction with exceptional product knowledge to carry out engineering works such as design review (IFC and project specification); technical material submittals for MEP systems including the equipment selections and shop drawings; technical queries; heat load; ESP; pump head calculations; cable sizing; voltage drop calculation; and project handing over documentation.

Under the supervision of the engineering manager and with the help of design software and AutoCAD/BIM technology, speed is ensured, along with accuracy and high quality of operations.

To begin a project, all client expectations are clarified so the team can arrange manpower resources and raw materials as required. During the project execution, the team will focus on getting the work done as per the client’s plan, holding regular meetings with them and consultants throughout to ensure they remain up-to-date with regards to project progress. Should any revisions to the plan arise, the team will work to fulfil these.

Arabian MEP General Manager, Mutasim Al Ghadir commented, “We are not finished with your project until you are completely satisfied. This includes guaranteeing a smooth and worry-free delivery of MEP services, proper testing and commissioning followed by DLP period.”

Arabian MEP believes that its employees are the most important factor in its economic success. To ensure their wellbeing, it follows best practices in human resource management, supporting best practices in job design, employee selection, performance management, employee compensation, and employee training. Mutasim said, “We believe that employee development, motivation and training enable managers to achieve expected organisational performance and competitiveness by achieving desired employees.”

Arabian MEP’s in-house Technical Training & Testing Center facility closely monitors and measures its Manpower’s capability, productivity, and effectiveness in performing their duties. Right training enables employees to always perform well on their jobs and be safe in doing so! “It is a struggle to reach the top, but the real art is to maintain the top position! We are achieving this by implementing such quality standards and training programs, thereby ensuring the quality of MEP works” Mutasim added.

With the help of its team, Arabian MEP is striding towards its vision of becoming the regional market leader within the MEP construction industry, consistently providing engineering excellence to its valued clients through commitment in delivering best practices in corporate governance and transparency.

For further information, please contact Mutasim Al Ghadir or visit www.arabian-mep.com

Career Opportunities

Best EB-5 ResidencyProgramme LawSpecialists – Middle East

Career Opportunities

The main driver for interconnectedness of the world is free trade and human immigration. People are constantly seeking avenues to migrate to different parts of the world for building a future for their families, better employment opportunities, access to better resources, and various other reasons. This is what makes well-grounded immigration programmes vital for countries that offer them. The United States. EB-immigrant investor programme is an example of a programme that was created for the mutual benefit of the people that need it along with the U.S. government.

 

The team at The American Legal Center in Dubai have filed the most EB-5 applications within the Middle East and North Africa region. With over one hundred families served, there is a breadth of experience as they maintain their position as the preeminent think tank when it comes to the United States EB-5 program.

The United States EB-5 immigrant investor program was created for the mutual benefit of foreign nationals and the U.S. government. Under the EB-5 immigrant investor program prospective investors must invest in an approved commercial enterprise. Up until 23 June 2021, the required investment amount was $900,000. However, the positive verdict from the groundbreaking Behring Regional Center case against the Department of Homeland Security allowed for the reversal of the $900,000 rule to $500,000 required capital investment.

This monumental change in the required capital investment led to an influx of applications in a noticeably short time. The team had less than two weeks to file as many qualified applications as they could, before the June 30 government deadline. While many were skeptical on whether this enormous task would be possible in such a short period, the team of U.S. licensed lawyers at The American Legal Center were more than capable and prepared. They had been communicating the possibility of a reduction and amendment to the law since February 2021, thus this allowed them to create awareness and ensure that their potential clients were ready to submit their petitions as soon as the announcement was made. This proactive approach clearly shows how the team is always one step ahead.

Since the program’s inception in 1990, it has received great popularity and growth among families that wish to relocate to the U.S., predominantly investors from Asian nations such as China and India. Evidently, due to the state of the U.S. economy and how investing in a reliable and strong economy is beneficial for any investor. On approval of an investors’ petition, an investor will receive a U.S. Green Card and residency for themselves, spouse and children under the age of 21. As Green Card holders they have access to the same U.S. resources available to U.S. citizens such as, free lower primary education, better health facilities, lower tuition costs and better job opportunities.

While some may argue that there is a long waiting period prior to obtaining a green card, in 2020 the United States Citizenship and Immigration Services announced an increase in the number of available visas for applicants. This means that the program has the capacity to take an increased number of applicants. The team at The American Legal Center are excited about how the program has grown. Having filled the most EB-5 applications in the Middle East, they have witnessed the changes that the program has undergone. Their legal staff are well equipped to handle all dynamics of this government program and have been successful in obtaining approvals from our offices in Dubai, United Arab Emirates for nearly a decade.

Shai Zamanian, Managing Director of The American Legal Center, says “In the years working with the EB-5 program I have seen the plethora of opportunities that this program presents to families. It is truly rewarding to see successful applicants start their lives in the United States and benefit from all the resources and opportunities presented to them.” 

As of June 30, 2021, the program reached its sunset date and was not reauthorized by Congress. However, this does not mean that prospective investors cannot start the journey towards obtaining their U.S. Green Cards and residency. The team at The American Legal Center has a way forward for you and your family.

Contact the team to discuss how your family can still capture this opportunity to file under the $500,000 rule.

Intellectual Property

Dubai Customs and the Emirates Intellectual Property Association Discuss More Cooperation in Combating Counterfeits

Future cooperation and arrangements for the 10th Regional IP Crime Conference for the Middle East and North Africa’s law enforcement agencies in December 2021 were also discussed

Dubai Customs continues to support efforts for protection and enforcement of intellectual property rights by strengthening cooperation and coordination with the Emirates Intellectual Property Association (EIPA). HE Ahmed Mahboob Musabih, Director General of Dubai Customs, welcomed Major General Dr. Abdul Quddus Al Obaidli, Chairman of the EIPA. Present at the meeting from Dubai Customs were Mansour Al Malik, Executive Director for Customs Policies and Legislation, Yousef Ozair Mubarak, Director of IPR Department, Kholoud Al Hosani, IP awareness and education officer, while the visiting delegation included Colonel Dr. Abdulrahman Al-Muaini, EIPA’s Secretary General, and Fatima Khalaf Al-Hosani, member of the EIPA’s Board of Directors.

During the meeting, a visual presentation was delivered on the joint participations and cooperation between Dubai Customs and the Emirates Intellectual Property Association. Future cooperation and arrangements for the 10th Regional IP Crime Conference for the Middle East and North Africa’s law enforcement agencies in December 2021 were also discussed.

Ahmed Mahboub Musabih said: “We are committed to boosting cooperation with the Emirates Intellectual Property Association to achieve the best results in terms of combating counterfeit goods and ensuring the rights of trademark owners, creators and innovators. We are organize joint events and activities with the EIPA to raise the public awareness of the importance of protecting intellectual property rights and its role in safeguarding people’s health and safety of individuals, as well as its economic significance in providing a safe, fair business environment that protects the interests of rights holders and those of consumers.”

He added: “Our IP protection efforts have gained momentum in light of the ongoing economic recovery from the repercussions of COVID-19 pandemic. For the first quarter of 2021 we have resolved 81 intellectual property dispute cases for counterfeit goods worth approximately Dh11.3 million, while 255 cases of intellectual property disputes were resolved in the entire 2020, with an estimated value of Dh62.2 million.”

Major General Dr. Abdul Quddus Al Obaidli praised Dubai Customs’ positive support for the Emirates Intellectual Property Association and its active participation and engagement in conferences and events organized by the association over the past years. He reaffirmed their commitment to enhancing cooperation and coordination to serve the national economy and protect society from the dangers of piracy and counterfeiting.

Dubai Customs joins hands with the EIPA in an integrated effort to address the major challenge of illicit trade in fake goods through involving all segments of society and business community in protecting intellectual property, and promoting awareness of the perils of counterfeit products for health and economy, said Yousuf Ozair Mubarak.

Qatar Airways

Landmark Music Copyright Infringement Case Against Qatar Airways To Be Heard In English Courts

The High Court has ruled in favour of the Performing Right Society in a question over whether a landmark copyright infringement case against Qatar Airways should be heard by the English courts.

The Performing Right Society is seeking damages from Qatar Airways for using its members’ repertoire without a music licence in place. The airline, which operates over 200,000 flights per year, and offers music as an integral part of its in-flight service with up to 4,000 entertainment options, has never remunerated PRS members, songwriters, composers, and music publishers, for the use of their intellectual property.

With no equivalent representative collective management organisation situated in Qatar, Qatar Airways has for decades evaded licensing the performing right in copyrights used in its in-flight services. After having sought to license Qatar Airways through customary business channels without response, PRS for Music started legal proceedings against Qatar Airways in December 2019. The jurisdictional judgment, which is the first milestone in an important case for PRS members, was handed down by Mr Justice Birss of the High Court of Justice in London on 17 July 2020.

In his 25-page decision Mr Justice Birss noted the case is “really a global copyright dispute between a UK holder of those global rights and a Qatari user of the protected content who is using it all over the world” but agreed with PRS’ position that jurisdiction of the English court had been properly established. The decision was based on the application of well-established principles known as the ‘Spiliada-test’, as set out by the House of Lords in 1987. Subject to any appeal, the case will now proceed to a trial on liability unless Qatar Airways takes the necessary licence to cover the use of PRS repertoire, both retrospectively and moving forwards.

Sami Valkonen, Chief International and Legal Officer, PRS for Music, said: “Over the years, Gulf-based airlines have spent more than a billion Pounds on various sports endorsements, yet refuse to remunerate our members for the use of their music on the airlines’ award-winning in-flight services. Today’s ruling is an important first step in our unyielding quest to correct this long-standing injustice and ensure fair compensation for our members from these airlines. We hope to resolve this matter as efficiently as possible on behalf of our members.”

One of PRS for Music’s key missions is to ensure its members’ music is licensed by users, and it has sought to license the various Gulf-based airlines for years. The organisation started these legal proceedings against Qatar Airways prior to the Covid-19 pandemic with a focus on the long-standing past infringement of its members’ rights by the airline, and it now seeks to ensure that Qatar Airways and other unlicensed airlines will be set up with necessary licences once air travel resumes after the pandemic.

Al-Ajaleen Legal Consultants & Intellectual Property

Al-Ajaleen Legal Consultants & Intellectual Property

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Seeking to offer award-winning IP Law services, Al-Ajaleen Legal Consultants & Intellectual Property was founded by a group of experienced legal and IP practitioners who have in-depth experience in the Middle East and Gulf region in the field of legal and intellectual property. We profile the firm to find out how these experts have driven the firm to the success it enjoys today.


Established in 2007, Ajaleen works tirelessly to achieve long term representation of corporate clients to form a close working knowledge of its client’s business, long-term goals and competitive position.

Striving towards excellence for every client, the firm is focused on client satisfaction, providing high quality representation in a very timely manner.

As part of this focus, Ajaleen’s dedicated staff are committed to high ethical and professional standards, as well as state-of-theart technology, so as to provide a comprehensive range of Legal and IP services tailored to meet their clients’ needs. All of the firm’s expert team work hard to ensure that clients receive the support they need that is tailored to meet their exact requirements.

Supporting clients from throughout the corporate landscape, the practice can provide a wide range of services, including trademarks, copyright protection, patents, IP watch services and renewal support. As a result, clients know that they are in safe and experienced hands when they work with Ajaleen.

Overall, moving forward Ajaleen’s goal is to build a better future by adopting technology to the legal industry and providing quality services to clients. This will remain the firm’s core focus as it looks towards a bright and exciting future.


Web Address: www.ajaleen.com

Turkish Intellectual Property Law

Turkish Intellectual Property Law

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Turkish Intellectual Property Law ‘ An Overview

By, Nigar Guliyeva, is an Associate at K?l?n’ Law & Consulting and has experience and expertise in corporate and commercial law.

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Turkish Intellectual Property Law is closely aligned with EU Law and international norms. However, it has many unique features which those doing business in Turkey need to be mindful of, to ensure their IP remains secure. Nigar Guliyeva is an Associate at K?l?n’ Law & Consulting, an Istanbul-based commercial law firm, and she provides a fascinating overview of the market today.

Turkish Intellectual Property Law was dramatically updated by the introduction of the Industrial Property Code No. 6769 (the ‘IP Code’) in January 2017. The new IP Code replaced a patchwork of older laws and decrees. The Code also made significant procedural and substantive changes. These included provisions bringing Turkish Patent Law into line with the European Patent Convention.

The IP Code operates alongside the Law on Intellectual and Artistic Works No. 5846, Turkish Commercial Code No. 6102 and the relevant international agreements to which Turkey is a signatory. These include the Paris Convention, the Berne Convention, the Madrid Protocol, the Hague Agreement and the Patent Cooperation Treaty.

Turkish IP laws are broadly harmonised with the EU’s ‘acquis communautaire’. As a country keen to encourage foreign direct investment, Turkey operates a modern and robust IP regime. Both registered and unregistered IP are protected.  As regards unregistered IP, Turkish Law recognises copyright in respect original works. The IP Code also protects unregistered design rights for novel designs of individual character for 3 years from when the design was made public. 

However, it is preferable to register IP rights. For instance, while an unregistered design is protected for 3 years, a registered design is protected for 5 years, renewable to a maximum of 25 years.

 

Trademarks

The registration of a trademark in Turkey is valid for 10 years from the date of application. A trademark can be renewed indefinitely for additional ten-year periods.

An applicant must submit a completed trademark application form, with the relevant fees, to the Turkish Patent and Trade Mark Office.

The form is in the Turkish language and, if the applicant is based overseas, they must use an authorised Turkish trademark attorney. Multi-class applications are permitted. An initial review is conducted to determine whether the procedural requirements are met. The application then proceeds to an ex officio examination, resulting in a determination as to whether the application meets the absolute requirements. If so, the application is published for opposition.

A third party may oppose an application on absolute grounds, such as that it is insufficiently distinctive. An application may also be opposed on relative grounds, for example by arguing that the trademark is likely to cause confusion.

If no opposition is raised within two months, the application is granted and proceeds to registration. In this case, the entire process would typically take 9 to 12 months.  If opposed, opposition proceedings may take an additional 6 to 8 months.

If an application is refused, it is possible to appeal within two months. If a trademark application is granted, it is published in the Official Trademark Bulletin.

Trademarks can be cancelled if they have not been used for 5 years. Any third party claiming a prior right can also make a court application to cancel a trademark. However, if they have not done so within 5 years of the granting of the trademark, any rights they may have may be deemed forfeited.

 

Patent applications

In order to obtain a patent in Turkey, an applicant has to prove the novelty of their design, that it involves an inventive step and that it is capable of industrial application.

Certain categories are excluded from patent protection. These include scientific theories, mathematical methods and artistic works.

The patent application process involves applying to the Turkish Patent and Trademark Office with the appropriate fees and documents. If a decision to grant a patent is made, this is published in the Official Bulletin. Third parties then have six months to object. The grounds for objection include that the patentability conditions have not been met and that sufficient details of the invention have not been disclosed. Once granted, a patent lasts for 20 years.

 

Utility models

Registering a utility model is an alternative way to protect a new invention. Like a patent, a utility model requires an invention to be new and capable of industrial application. However, a utility model does not need to involve an inventive step. These less onerous requirements make utility model registration easier to obtain. The registration process is simpler and quicker. However, a disadvantage is that utility model registration will only protect an invention for 10 years, whereas a patent lasts for 20 years.

 

Geographic indications

Signs indicating the geographic origin of a product ‘ such as Champagne or Scotch Whisky – can be registered in Turkey under the IP Code. This means that products with a reputation for quality linked to a region or country can obtain protection.

 

Licences

Licences for the use of IP may be registered with the Patent and Trademark Office, but this is not compulsory. Registering a licence can however make it easier and quicker for a licensee to enforce their rights.

 

Enforcement

Specialised courts are available to hear cases of patent and trademark infringement. The Courts of Industrial and Intellectual Property Rights are based in Ankara, Istanbul and Izmir. Elsewhere in Turkey, the local civil courts deal with IP infringement. A patent holder must take legal action within 10 years of the infringing act. A trademark holder must ordinarily take legal action within five years of the infringement. However, if the infringement is in bad faith, there is no limitation period.

The available remedies include preliminary injunctions, damages, seizure of goods and court orders prohibiting infringing acts.

Further general protection is offered by the Turkish Commercial Code No. 6102, which prohibits unfair competition, including unlawfully benefiting from the IP of a third party. Both civil and criminal penalties are set out.

There are also specific criminal remedies for trademark infringement in the IP Code. Anyone commercially selling infringing goods is liable to a prison sentence of between one and three years and a fine.

As international investment increases, Turkish IP Law is increasingly relevant to global companies and anyone selling products into Turkey, or doing business there.

Creating a GDPR Compliance Framework

Creating a GDPR Compliance Framework

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Creating a GDPR Compliance Framework with Security Technology as one of the Pillars

By: Rabih Itani, Regional Business Development Manager, Security, Middle East and Turkey at Aruba, a Hewlett Packard Enterprise company

Cyber criminals today are attempting to penetrate your organisation’s network to try to get hold of critical assets with most looking for the valuable personal identifiable information (PII). It is a fact that cybersecurity attacks are on the rise all over the world, and the Arab world is no exception. There are even some recent reports stating that the Arab countries are among the ones facing the highest number of attacks. Meanwhile in EU, GDPR was launched back in May 2018 to create a new benchmark for personal data protection, and its influence was felt far and wide. It is now the template for privacy laws throughout the world. So how can organizations in the Middle East create a framework to ensure attacks are dealt with in a GDPR-aware manner, minimising fines, reducing breach-related costs, and ultimately better protecting the personally identifiable information?

 

There has been a lot of talk of GDPR over the last year, so organizations today understand the serious repercussions of non-compliance and many have put basic frameworks in place with a focus on two pillars – ‘people’ and ‘process’.

 

People – GDPR stipulates the appointment of a data protection officer (DPO) for any organisation that is a public authority that has a core activity involving the monitoring of individuals on a large scale, or the processing of large volumes of sensitive data. The DPO needs to have a thorough knowledge of GDPR and have an independent voice within the organisation.

 

Process – Many organizations’ GDPR approach so far has been data mapping ‘ identifying where, why and how personal data is being used, while also eliminating any unnecessary data processing. Once this is done, each organisation has a foundation  from which to ensure secure policies and processes are in place.

 

While the two GDPR pillars ‘ ‘people’ and ‘process’ have been looked at, there has been a bit of lag in the use of the third pillar – ‘technology’ ‘ which plays an important role in detecting attacks and crucially, responding to attacks. Do organisations need to rip and replace existing cybersecurity tools?

 

Let’s now look at the technology aspects of data protection and GDPR:  

 

Technology: Security Solutions to the rescue

A GDPR security strategy should look at 4 technology areas. By applying good quality security solutions to each of these areas, security teams and the DPO can together manage the inevitable exposure to the risk of cyberattack:

 

Network Access Control (NAC)
Businesses today embrace the idea of anywhere, anytime connectivity, but have largely ignored the need for secure NAC. Many employ a laid-back ‘connect now, secure later’ NAC philosophy. Others simply choose the same vendor for security that they use for network infrastructure. Both of these approaches give the illusion of security’even compliance’but in reality, leave extensive security gaps.

 

Network access control (NAC) offers, at a minimum, authentication of a user or device. With mobile access now the norm and Internet of Things devices connecting to the network, the only way to ensure proper access is maintained is to go beyond simply validating credentials. The next level beyond this is to tightly control who and what is authorised to access IT assets, including personal information.

 

With advanced NAC, the IT team knows where personal data is located. They can use NAC to stipulate who is entitled to access that information and under what circumstances. In an ideal world, NAC and policy management solutions will provide device discovery, role-based access to IT assets and a closed-loop, policy-based attack response. For complete convenience, it should also integrate seamlessly with existing network infrastructure, perimeter security systems and service and support offerings.

Assurance
The next level of protection relies on the fundamental security of the underlying network infrastructure. If data can be easily tapped off the network in normal day-to-day business flows and process, the chances of a breach increase.

 

This is where technologies such as equipment tamper-proofing, encryption, key management and secure network administration are critical to the overall security strategy.

Breach Detection
GDPR requires the reporting of a data breach within 72 hours. Many existing systems can take almost all of this time to detect and generate the required event information.

 

While prevention is better than cure, early detection of a breach is a close second. There’s a huge range of different technologies and products available that find attacks before they do damage.

 

Today more and more attacks are specifically designed to breach traditional defences. It is because these exploits almost always result in the loss of personal information (and a quick sale on the Dark Web) that new approaches to attack detection are required. For example, a high volume of breaches make use of valid credentials, which means phishing attacks and social forensics are one of the biggest risks. The result is the bad actor using legitimate credentials to execute an attack that may take days, weeks or even months to unfold. How do you stop an ‘attack’ using valid credentials to tap information the real user has a valid reason to access?  

 

Because these are previously unknown attacks, it’s no use to look for a signature or pattern to detect them. This means IT and security teams introducing an additional level of monitoring that complements existing defences, one that uses new types of attack detection such as machine learning to detect small behavioural changes that suggest an attack has occurred. Actions can range from requiring re-authentication or quarantining to totally blocking network access.

 

Machine learning can establish a ‘risk score’ based on the characteristics of suspected unusual behaviour and how these characteristics differ from the norm. This helps organisations to prioritise their resources and investigate suspected attacks before they do damage.

 

Response to Breach
The GDPR’s breach notification requirements are very clear when it comes to what an organisation must do when a personal data breach occurs. These include notifying the regulator within 72 hours of being ‘aware of the breach’ and notifying impacted individuals ‘without undue delay’. The notifications must include details of the breach including:

The type of data, type of exposure and the number of individuals involved
The probable consequences of the breach
Any mitigation actions taken
 

So, in the unfortunate event that a breach occurs, the DPO and his team need to rapidly gather the facts: what happened, the scope of the damage, and a plan of containment and remediation. This all has to be communicated to the regulators and authorities in a clear, concise manner. It is vital they have the tools and solutions to deliver this information efficiently. Any delays in gathering this information could cost the organisation dearly, both reputational and financially.

 

In conclusion, GDPR ‘compliance’ is not fully defined by the law and will be determined in part by rapidly advancing security technology capabilities and evolving best practices. Only  technologies that are open and interoperable will make it through to the next generation of cybersecurity defences.

GDPR & Israeli Privacy Law - Key Differences

GDPR & Israeli Privacy Law – Key Differences

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GDPR & Israeli Privacy Law – Key Differences

Yoheved Novogroder-Shoshan & Miriam Friedmann of Yigal Arnon & Co. outline the key differences between GDPR & Israeli Privacy Law.

Summary

Due to recent changes in global privacy and data protection laws, certain entities may be subject to both Israeli data protection laws and the European Union’s General Data Protection Regulation (“GDPR”). There exist substantial differences between GDPR compliance and Israeli law, and certain key obligations under Israeli law exceed GDPR requirements. Companies that adopt a comprehensive GDPR compliance programme may result in partial compliance with Israeli data protection laws, but additional actions must be taken in order to be fully compliant.  Increased penalties for data protection violations are likely to come into effect in Israel, which, if passed, will increase the risk profile of non-compliance substantially, and random audits by the Israeli authorities are expected to become a feature of the new environment.

Key Differences between Israeli Data Protection Requirements and GDPR

While a full comparison of Israeli data protection laws and the GDPR is beyond the scope of this article, the list below identifies certain areas in which Israeli laws exceed requirements under the GDPR.  Companies that have implemented robust GDPR compliance programmes will still need to undertake additional efforts in order to be compliant under Israeli law. 

Data Security. The GDPR requires controllers and processors to take appropriate technical and organisational measures to ensure the level of security that is appropriate to the level of the risk. By contrast, the Israeli Data Security Regulations (2017) impose specific, granular requirements with respect to personal data collected and maintained in databases. For example, these regulations include detailed requirements for controlling, monitoring and recording database access. They also impose specific requirements and timeframes for performing PEN testing and rotating passwords.

Data Export Restrictions.  Subject to specific derogations, the GDPR permits exports of data outside the EU to entities that are determined by the European Commission as having an adequate level of protection of personal data (i.e., appear on the EU ‘white list’) or when the data exporter provides adequate safeguards. Under Israeli law, in addition to the exporter and importer executing a data transfer agreement, in many cases data subjects will either need to consent to data export, or the data recipient will need to commit to protect the information in accordance with Israeli law.  Other grounds legitimising export under the GDPR are not available under Israeli law. In addition, while the GDPR permits data recipients to transfer data to sub-processors in certain cases, these subsequent transfers may violate Israeli law.  

Data Protection Officer. Under the GDPR, controllers and processors must designate a Data Protection Officer (‘DPO’) under certain circumstances.  Similarly, under Israeli law, entities must appoint a “data security officer” (whose role is roughly equivalent to that of a DPO) in certain cases. However, Israeli requirements will require appointment of a data security officer where no comparable obligation exists under the GDPR, for example, in the case of entities holding five or more databases requiring registration.  

Outsourcing. Under the GDPR, processing of data may be outsourced by a controller to a processor, subject to specific written agreements ensuring that the processor will process the personal data on behalf of and under the instructions of the controllers and subject to specific data protection obligations.  Additional specific terms must be added to agreements for the outsourcing of data processing activities in order to comply with Israeli law.

Database Registration.  The GDPR does not include the requirement of registration of a database.  Israeli law requires that certain databases be registered with the Database Registrar, and for data exports and other activities to be notified to the Registrar.

Who is subject to Israeli Data Privacy Laws?

The GDPR by its terms stipulates that the law applies to organisations (including those situated outside the EU) which offer goods or services to, or monitor individuals in, the EU.  Israeli law and court decisions do not definitively define the scope of geographic applicability of Israeli data privacy laws.  Depending on the circumstances, it is possible that Israeli law may apply where any of the following are true: (i) servers are located in Israel, (ii) an Israeli person or entity controls how data may be accessed or used; (iii) data is processed in Israel, or (iv) data of Israelis is processed.

Enforcement and Penalties

Violations of Israeli privacy laws are subject to civil and criminal penalties and may be the subject of individual tort claims.  In addition, proposed Amendment 13 to the Israeli Protection of Privacy Law (1981), expected to become law in the near future, will vest Israel’s data protection authority with enhanced supervisory powers, and will also result in exponentially higher penalties for Privacy Law violations, including fines up to NIS 3.2 million (approximately US$910,000), two percent daily increases for uncured breaches of law, double fines for repeat offenders and personal liability for officeholders.  

Recommendations

Entities that are subject to Israeli data protection laws are advised to take steps to ensure compliance with Israeli data protection laws, even where a robust GDPR compliance program exists.

Creating a GDPR Compliance Framework with Security Technology as one of the Pillars

Creating a GDPR Compliance Framework with Security Technology as one of the Pillars

Creating a GDPR Compliance Framework with Security Technology as one of the Pillars

By Rabih Itani – Regional Business Development Manager, Security, Middle East and Turkey at Aruba, a Hewlett Packard Enterprise company

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Cyber criminals today are attempting to penetrate your organisation’s network to try to get hold of critical assets with most looking for the valuable personal identifiable information (PII). It is a fact that cybersecurity attacks are on the rise all over the world, and the Arab world is no exception. There are even some recent reports stating that the Arab countries are among the ones facing the highest number of attacks. Meanwhile in EU, GDPR was launched back in May 2018 to create a new benchmark for personal data protection, and its influence was felt far and wide. It is now the template for privacy laws throughout the world. So how can organizations in the Middle East create a framework to ensure attacks are dealt with in a GDPR-aware manner, minimising fines, reducing breach-related costs, and ultimately better protecting the personally identifiable information? 


There has been a lot of talk of GDPR over the last year, so organizations today understand the serious repercussions of non-compliance and many have put basic frameworks in place with a focus on two pillars – ‘people’ and ‘process’.

 

People – GDPR stipulates the appointment of a data protection officer (DPO) for any organisation that is a public authority that has a core activity involving the monitoring of individuals on a large scale, or the processing of large volumes of sensitive data. The DPO needs to have a thorough knowledge of GDPR and have an independent voice within the organisation.

 

Process – Many organizations’ GDPR approach so far has been data mapping ‘ identifying where, why and how personal data is being used, while also eliminating any unnecessary data processing. Once this is done, each organisation has a foundation  from which to ensure secure policies and processes are in place.

 

While the two GDPR pillars ‘ ‘people’ and ‘process’ have been looked at, there has been a bit of lag in the use of the third pillar – ‘technology’ ‘ which plays an important role in detecting attacks and crucially, responding to attacks. Do organisations need to rip and replace existing cybersecurity tools?

 

Let’s now look at the technology aspects of data protection and GDPR:


Technology: Security Solutions to the rescue

A GDPR security strategy should look at 4 technology areas. By applying good quality security solutions to each of these areas, security teams and the DPO can together manage the inevitable exposure to the risk of cyberattack:

 

Network Access Control (NAC)
Businesses today embrace the idea of anywhere, anytime connectivity, but have largely ignored the need for secure NAC. Many employ a laid-back ‘connect now, secure later’ NAC philosophy. Others simply choose the same vendor for security that they use for network infrastructure. Both of these approaches give the illusion of security’even compliance’but in reality, leave extensive security gaps.

 

Network access control (NAC) offers, at a minimum, authentication of a user or device. With mobile access now the norm and Internet of Things devices connecting to the network, the only way to ensure proper access is maintained is to go beyond simply validating credentials. The next level beyond this is to tightly control who and what is authorised to access IT assets, including personal information.

 

With advanced NAC, the IT team knows where personal data is located. They can use NAC to stipulate who is entitled to access that information and under what circumstances. In an ideal world, NAC and policy management solutions will provide device discovery, role-based access to IT assets and a closed-loop, policy-based attack response. For complete convenience, it should also integrate seamlessly with existing network infrastructure, perimeter security systems and service and support offerings.

Assurance
The next level of protection relies on the fundamental security of the underlying network infrastructure. If data can be easily tapped off the network in normal day-to-day business flows and process, the chances of a breach increase.

 

This is where technologies such as equipment tamper-proofing, encryption, key management and secure network administration are critical to the overall security strategy.

Breach Detection
GDPR requires the reporting of a data breach within 72 hours. Many existing systems can take almost all of this time to detect and generate the required event information.

 

While prevention is better than cure, early detection of a breach is a close second. There’s a huge range of different technologies and products available that find attacks before they do damage.

 

Today more and more attacks are specifically designed to breach traditional defences. It is because these exploits almost always result in the loss of personal information (and a quick sale on the Dark Web) that new approaches to attack detection are required. For example, a high volume of breaches make use of valid credentials, which means phishing attacks and social forensics are one of the biggest risks. The result is the bad actor using legitimate credentials to execute an attack that may take days, weeks or even months to unfold. How do you stop an ‘attack’ using valid credentials to tap information the real user has a valid reason to access?  

 

Because these are previously unknown attacks, it’s no use to look for a signature or pattern to detect them. This means IT and security teams introducing an additional level of monitoring that complements existing defences, one that uses new types of attack detection such as machine learning to detect small behavioural changes that suggest an attack has occurred. Actions can range from requiring re-authentication or quarantining to totally blocking network access.

 

Machine learning can establish a ‘risk score’ based on the characteristics of suspected unusual behaviour and how these characteristics differ from the norm. This helps organisations to prioritise their resources and investigate suspected attacks before they do damage.

 

Response to Breach
The GDPR’s breach notification requirements are very clear when it comes to what an organisation must do when a personal data breach occurs. These include notifying the regulator within 72 hours of being ‘aware of the breach’ and notifying impacted individuals ‘without undue delay’. The notifications must include details of the breach including:

The type of data, type of exposure and the number of individuals involved
The probable consequences of the breach
Any mitigation actions taken
 

So, in the unfortunate event that a breach occurs, the DPO and his team need to rapidly gather the facts: what happened, the scope of the damage, and a plan of containment and remediation. This all has to be communicated to the regulators and authorities in a clear, concise manner. It is vital they have the tools and solutions to deliver this information efficiently. Any delays in gathering this information could cost the organisation dearly, both reputational and financially.

 

In conclusion, GDPR ‘compliance’ is not fully defined by the law and will be determined in part by rapidly advancing security technology capabilities and evolving best practices. Only  technologies that are open and interoperable will make it through to the next generation of cybersecurity defences.

 

About the author

Rabih Itani is the regional business development manager for Aruba security solutions across Middle East and Turkey at Aruba, a Hewlett Packard Enterprise Company. In this role he works closely with Aruba channel, customers and alliances and across almost all industry verticals including education, healthcare, government, financial services, and banking to design networks that are immune and responsive to internal threats. Rabih is an ICT and Telecom industry veteran with more than 25 years of experience. Rabih joined Aruba in 2012 carrying the mix of a multi-discipline engineer who enjoys a profound understanding of technology and has deep business analysis of the industry trends, markets, business drivers, and business models.

Spring is coming for real estate registration in Israel

Spring is coming for real estate registration in Israel

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Spring is coming for real estate registration in Israel

 By, Lee Maor Real Estate Partner at Yigal Arnon & Co

Israel may be the ‘Start-up Nation’ and a world-renowned center of technological innovation, yet for many years the procedures and conduct of the Israeli Land Registry have been trapped in the past.

 

The Ottoman Land Code of 1858 was enacted in Israel by the Ottoman regime. The new Ottoman law allowed for land to be transferred by a deed of ownership and required that all property rights be recorded with the Land Registrar of the district in which the relevant lands were located. The Ottoman Land Registry, which still exists today, marked the beginning of land registration in Israel. Property rights under the Ottoman law were registered in chronological order (a separate registry for each month would be maintained by the Land Registrar), and the parties to the transactions were required to physically report to the Land Registrar and to specify the nature of the transaction and all of its identifying details, such as  the geographical location and the size of the land in question and a description of its physical boundaries, the particular part of the land which was impacted by the transaction, its value, etc.

 

The cumbersome bureaucracy and paperwork which were characteristic of the Ottoman Empire remained until recently a prominent feature of the various Israeli Land Registry offices.

 

In order to transfer property rights in Israel, from the seller’s name to that of the buyer, the parties to the transaction are required to sign a deed of transfer, to submit tax certificates issued by the Israel Tax Authority (ITA) and to provide confirmations from the municipal authorities that there are no outstanding encumbrances on the property. If any of the parties is a registered company, it is additionally required to submit a certified copy of its Certificate of Association, certified by the Companies Registrar, and the corporate resolutions authorizing the transaction. These requirements, which involve various authorities and processes, cause the process of registering property rights in Israel to be a long and arduous process.

 

However, in the past few years the Israeli authorities have been undergoing a deep transformation, which includes the introduction of many new tools aimed at simplifying and expediting the real estate registration process by making use of technological advancements. Registration procedures are published regularly on the website of the Land Registry and Settlement of Rights Department. One example of the new technological advancements is a recently launched online registration system which allows for transfers of rights in certain properties to be carried out online. Another example of this trend is a direct interface between the Land Registrar and the main commercial banks, which is currently in the initial stages of implementation, which will enable recordings of paid-up mortgages to be removed without the parties having to proactively apply to the bank or the Land Registrar in order to do so.

 

The Ministry of Justice is working on additional procedures to improve its services, including services which will create direct interfaces between the electronic records of the Land Registrar and those of the other government agencies which generate documents or certificates required by the Land Registrar ‘ thus sparing the parties the need to apply for individual clearances.

 

These developments will make the current cumbersome requirement of providing the actual documentation to the Land Registrar – obsolete.

 

Until recently, the requirement that original documents be provided to the Land Registrar was considered a critical condition for registration of property rights, which naturally resulted in massive amounts of printed materials. The technological improvements described above reflect nothing short of a revolution in this field. Although some of these systems are in early or trial stages, their development and introduction into practice provide a clear indication for the future. Soon, almost all transactions that require registration will be carried out with a few simple online commands.

 

The results of these changes speak for themselves. According to the Land Registrar’s data, the nationwide average registration time has been reduced from 45 to 13 days. In most cases, registration of property rights takes only a few days. This revolution has the potential not only to shorten the process of the registration of real estate rights, but also to simplify and shorten negotiations and the execution of documents in real estate transactions (such as electronic signature of documents), which will ultimately bring the registration of real estate rights in Israel into the 21st century.

 

 *Lee Maor is a Real Estate Partner at Israeli law firm, Yigal Arnon & Co. Yigal Arnon & Co. provides a full range of corporate legal services. With its focused practice groups, Yigal Arnon & Co. combines the expertise of a specialty boutique practice with the advantages of a large, multidisciplinary law firm.

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The Leading Experts in Legal Residency Investment Solutions

The Leading Experts in Legal Residency Investment Solutions

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The Leading Experts in Legal Residency Investment Solutions

RIF TRUST Investments is a company dedicated to providing private clients with innovative investment management, second citizenship and legal residency solutions in order to help them achieve their long-term financial goals. In July, RIF Trust were named among the winners of the 2018 MEA Excellence Awards programme as the Leading Investment Advisor of the Year. On the back of their success, we spoke to the firm’s CEO, Mimoun Assraoui, to find out more about their inspiring approach to investment.

RIF Trust Investments have built a reputation on the back of a practised excellence in the investment industry. Since their inception, they have forged an undeniable expertise in second citizenship and legal residency investment solutions that few, if any, can match. Based out of Dubai, they have secured themselves as the go-to experts in a market that offers plenty of opportunity for growth and expansion in the years to come.

To start the interview, Mimoun gives a brief overview of RIF Trust and their operations: ‘RIF Trust is a Dubai-based company dealing with high net worth individuals for all of their citizenship by investment and wealth management needs. We provide a roadmap of the process to gaining a second passport of residence, and then guide our clients through the whole process. We have recently merged with Latitude Consultancy, a leading European firm in the Investment Migration industry who offer industry-leading insight and expertise in private clients and governments. Together, we have expanded our services to encompass CIPs, and also auxiliary services, such as company incorporation, and taxation.’

Ultimately, clients remain a top priority for RIF Trust, as it ensures that their services remain utterly client-centric to their core. As Mimoun highlights: ‘clients are our first priority and our philosophy behind our services is in our name: TRUST. We have a culture of excellence in our organisation where we find the best solutions for our clients based on our strong relationships with governments, lawyers and industry partners. Because we are trusted, and our clients trust us in turn, most of our client based is comprised of returning business and family and friends of previous clients.’

The discussion soon moves to the unique challenges and opportunities of working within the United Arab Emirates. The region is known as a hub of business innovation, but, more importantly for Mimoun and RIF Trust, it is the ideal location for those wanting to access CIP services. ‘The UAE is largely an expatriate community, similar to many of the Gulf Cooperation Countries, with many third country nationals wishing to access CIP services for ease of travel and for business purposes. This naturally presents an opportunity for our industry, but it is also challenging to ensure that we tailor our services for the individual needs of the clients.’

With regards specifically to Dubai, Mimoun understands the importance of the city in driving RIF Trust’s growth: ‘Dubai has changed drastically over the past three decades, turning into a worthy business focus with a unique and expanded economy. It is also strategically located, business is booming and there’s a strong international presence.’

Mimoun continues, speaking for a moment on future developments in the UAE. ‘The UAE Government recently announced some changes to its immigration sector with long-term Business Investor visas. This will certainly open up the UAE as an attractive business hub to operate out of and allow more investment into the country and region. There are, of course, new residency by investment programmes that have been announced in Moldova and Montenegro, and so we will ‘ in turn – invest energy, time and effort to the residency options.’

In his closing comments, Mimoun discusses the future of RIF Trust as it looks to capitalise on their merger with Latitude Consultancy: ‘Our recent merger means we are growing from strength to strength. Beyond its growing private client practice, Latitude also provides government advisory services, helping countries attract these global elites and their capital to their shores. We are therefore looking at working more on that level, but also across the board with real estate developers and banks, for example. With the support of its international partners and institutional relationships, RIF Trust and Latitude aims to provide genuinely innovative products, competitively priced services and customer-driven, hands-on delivery.’

Mimoun Assraoui has over 18 years of international banking experience. In his role as CEO of RIF TRUST Investments he is a sought-after expert in Second Citizenship, Legal Residency programmes, wealth protection and company formations in tax-optimised jurisdictions.

David Regueiro is the COO and Managing Partner at RIF Trust, with over nine years of international experience in business development in the technology and investment industries. He is an innovator with a proven track record of successful marketing and sales performance in the Middle-East, South America, Europe and Asia.

Contact: Mimoun Assraoui and David Regueiro, CEO and COO 

Company: RIF Trust Investments

Address: 902, U BORA Tower, Business Bay, Dubai, PO BOX: 35195, UAE

Web Address: www.riftrust.com