His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister, may God protect him, in his capacity as Ruler of the Emirate of Dubai, issued the “Parkin” company incorporation law No. (30) of 2023, which stipulated that it is a public joint-stock company with a legal personality, Financial and administrative independence, and legal capacity to carry out its activities and achieve its purposes, in accordance with the provisions of its establishment law, its statute, and the legislation in force in the Emirate of Dubai.
The law stipulates that the company’s term shall be ninety-nine (99) years, starting from the date of its registration in the commercial registry in accordance with the legislation in force in the Emirate of Dubai, and automatically renewed for a similar period in accordance with the company’s bylaws, provided that this law is effective from the date of its issuance and published in the Official Gazette. .
The company’s purposes include establishing, planning, designing, developing, managing and supervising public parking lots, and implementing the legislation regulating them, including Executive Council Resolution No. (5) of 2016 regarding regulating vehicle parking in the Emirate of Dubai and its amendments, in accordance with the concession contract concluded with the Dubai Roads and Transport Authority, as well as the permit. For persons to participate in, exploit, operate and reserve public parking in accordance with what is determined by the Dubai Roads and Transport Authority in accordance with the concession contract concluded with the “Parkin” company, in addition to managing, constructing, developing and designing private parking, investing in it and commercial activities related to it, and concluding contracts with the competent authorities regarding these parking lots in the Emirate. Dubai and abroad, and conducting studies and research related to situations, whether public or private, and providing consultations and advisory services regarding them.
Board of Directors
In addition, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Executive Council of the Emirate of Dubai, issued Executive Council Resolution No. (121) of 2023 to form the Board of Directors of “Parkin” Company, headed by Ahmed Hashem Bahrozyan, and with the membership of: Ahmed Hassan. Mahboob, as Vice President, Mona Abdul Rahman Al-Osaimi, Nasser Hamad Bushahab, Professor Dr. Alawi Ali Al-Sheikh, Mona Muhammad Bajman, and Al-Anoud Thabet Al-Amiri. The decision shall be effective from the date of its issuance and shall be published in the Official Gazette.
The law detailed the powers and powers of the company’s board of directors, the most prominent of which are approving the company’s strategic plans and policies, issuing the company’s financial, administrative, technical, and purchasing regulations, managing its assets, approving its organizational structure, and approving the contracts and agreements concluded by the company.
Outsourcing rights and obligations
Law No. (30) of 2023 stipulates that the Roads and Transport Authority in Dubai shall outsource all or some of its powers related to public parking and private parking and grant the relevant permits, as specified in Executive Council Resolution No. (5) of 2016 regarding regulating vehicle parking in the Emirate of Dubai and its amendments. And the legislation in force in the emirate, in a way that enables the company to achieve the purposes for which it was established, pursuant to a concession contract concluded by the Authority with “Parkin” Company.
The Roads and Transport Authority may allow “Parkin” to transfer the concession granted to it in accordance with the conditions and controls determined by the Authority. The Authority, in turn, coordinates with the Department of Finance, to determine the rights, assets, funds, material and moral assets, privileges, obligations, guarantees and pledges belonging to it, which will be transferred to the company. .
According to the law, the ownership of all assets, funds, rights, privileges, obligations, guarantees and pledges is transferred and registered in the name of the “Parkin” company or in the name of any company owned or affiliated with it, and the relevant government authorities in the Emirate of Dubai must, upon the company’s request, take the necessary measures to complete the transfer and registration process.
The company's capital
Law No. (30) of 2023 stipulated that the company’s capital be determined
Issued and paid in accordance with the company’s articles of association, and all the company’s shares are wholly owned by the Government of Dubai, and the Executive Council of the Emirate may determine a percentage of the shares whose ownership may be transferred to others, through public or private subscription, and the company’s responsibility is limited to its paid-up capital, and the responsibility of its shareholders is limited. The nominal value of the shares they own.
The law permits the ownership of shares in the company, by natural and legal persons, in the event that the shares are offered for public or private subscription, and the Dubai Government’s ownership percentage may not be less than (60%) of the company’s capital, in the event that its shares are offered for public subscription.
The company’s powers to achieve its purposes
The law defines the powers of the “Parkin” company to achieve its objectives, including:
Contracting with others and establishing companies that are wholly or partially owned by it, or contributing to companies related to its purposes in Dubai and outside it, and owning, possessing, exploiting, renting and leasing lands, real estate, vehicles, equipment and necessary machinery and disposing of them. The company also has the right to invest and employ its funds in any commercial, financial or service fields. Or industrial, and borrowing funds, in accordance with applicable legislation.
The powers of the “Parkin” company, as stated in the law, also include granting usufruct rights or any other in-kind rights over the assets and funds owned by it to any entity or company that contributes to the company’s field of work, and collecting fees and fines in accordance with Executive Council Resolution No. (5) of 2016 regarding regulating vehicle parking. In the Emirate of Dubai.
Primary law
Law No. (3) of 2023 stipulates that the bylaws of the “Parkin” company must be approved by the Chairman of the Executive Council of the Emirate of Dubai. The law detailed the issues that must be included in the company’s bylaws, first and foremost the mechanism for increasing and reducing the company’s capital, determining the number of shares into which the company’s capital is divided, the nominal value of each share, forming the company’s general assembly, determining its powers, the company’s budget, its financial year, and the distribution mechanism. Profits and losses, and other basic regulatory matters, while the same law authorized the Chairman of the Executive Council to amend the bylaws in the event that the company’s full ownership remained by the government, while the company’s general assembly is responsible for amending the bylaws in the event that the company’s shares were offered for subscription.
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The law permitted the transfer of some employees working for the Roads Authority
And transportation in Dubai on the effective date of this law to the “Parkin” company, and they will be determined by a decision of the Director General and Chairman of the Board of Directors of the Roads and Transport Authority, without prejudice to their acquired rights. A special system for human resources affairs that is approved by the company’s board of directors applies to the company’s employees, in a manner that does not conflict with the legislation in force in the Emirate of Dubai.
Cooperation with the company
The law obligates all government agencies to fully cooperate with the company for the purposes of enabling it to achieve its objectives and carry out the powers assigned to it in accordance with the legislation in force in the emirate.
Any text in any other legislation shall be repealed to the extent that it conflicts with the provisions of Law No. (30) of 2023, which is effective from the date of its issuance.
And published in the Official Gazette.
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