Article: Customs Law: Deal Maker or Breaker in Mergers & Acquistions? The UAE Perspective

Business sectors around the globe have recently seen rapid changes in the corporate world due to the ongoing pandemic. To financially and economically survive and strengthen their current footprints, businesses have merged and acquired other companies nationally and internationally. This article argues that whilst signing or negotiating an international or national transaction deal, the importance of Customs Law is significant, and should not be underestimated, as non-compliance of Customs Law by the target entity historically may serve significant risk to conclusion of a merger and acquisition deal in certain circumstances. The article discusses the scope of customs due diligence within the specific provisions of the Gulf Cooperation Council (GCC) Common Customs Law (applicable in the United Arab Emirates) and presents the consequences of non-compliance with the Customs Law. The article also presents some suggestions to avoid the trade related issues which may eventually turn into a merger and acquisition deal breaker, if not addressed appropriately. Customs Law, International Trade Law, Free Trade Agreement, Origin, Tariff Classification, Customs valuation, United Arab Emirates