Commercial Transactions Law · Federal Decree-Law 50 of 2022
Article 650
Book Four: Commercial Papers > Part Three: Cheques > Chapter Three: Payment of Cheques
English translation
If the Cheque is drawn between two countries of different calendars, the date of its issuance shall be the corresponding day in the calendar of the country of payment.
Official translation, as published by the portal.
Official Arabic text
إذا سحب الشيك بين بلدين مختلفي التقويم أرجع تاريخ إنشائه إلى اليوم المقابل في تقويم بلد الوفاء.
What it means when you sign
This article deals with a cheque drawn between two countries that use different calendars. In that case the issue date of the cheque is taken to be the corresponding day in the calendar of the country where the cheque is to be paid. The article does not say anything else about cheques, interest or fees; it is only a rule for converting the date.
When you are about to sign or accept a cheque that crosses borders and involves different calendars, this article means that the date used for the cheque is the matching day in the calendar of the paying country. That matters because other rules about cheques, such as when a cheque falls due and when it can be presented, rely on the issue date. The points to look at are the date written on the cheque, which calendar it uses, and where it is payable. A contract that relies on a cheque from abroad may need those details to be clear, so that everyone reads the date the same way.
Not yet cited in a Fahm report; shown because it sits in the same chapter as one that is.
Related articles
- Article 648Cited in Fahm reportsThis article governs when a cheque can be paid.
- Article 649Cited in Fahm reportsThis article sets the period within which a cheque must be presented for payment.
- Article 86This article deals with interest on late payment of commercial debts.
- Article 87This article lets a creditor ask for extra compensation on top of delay interest, but only where the creditor proves that the loss beyond that interest was caused by the debtor's deception or serious error.
- Article 88Cited in Fahm reportsThis article bars a creditor from claiming compound interest, meaning interest charged on interest that has already built up and remains unpaid.
- Article 89This article covers instruments for paying money or delivering goods.