Doha, Qatar: The Ministry of Commerce and Industry (MoCI) highlighted the obligations and rights of partners in commercial companies, contributing to enhanced transparency, reduced disputes, and a fair and stable business environment.

In a post on its X platform, the Ministry stated that awareness of partners' obligations and rights contributes to strengthening justice and transparency, reducing disputes and conflicts and improving the company's financial and administrative performance.

In an infographic shared by the ministry it explained partners obligations which include:

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• Carefully reading the company's Memorandum of Association before signing and seeking clarification from a specialist in case of any ambiguity.
• Clearly defining the company's capital, the method of profit distribution, and the mechanism for bearing losses.
• Ensuring that no amendments are made to the company's incorporation document, and that the capital is not modified, except with the approval of partners representing at least three quarters of the company's capital, unless the Memorandum of Association requires a higher majority.

The post also explained the rights of partners which include:

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• Obtaining a copy of the company's Memorandum of Association from the company manager.
• Exercising the right to profits and bearing losses in accordance with the provisions set out in the Memorandum of Association.
• Attending general assembly meetings or delegating another partner (other than the manager) to represent them.
• Suspending deductions for forming the legal reserve once it reaches half of the company's capital.

·       Requesting an inspection of the company in the event of serious violations, provided that the requesting partners own 10% or more of the capital, by submitting a formal request to the Minister of Commerce and Industry.

Compliance with regulations protects companies and promotes a fair and competitive business environment, it further said.

The Ministry of Commerce and Industry Strategy 2024-2030 represents an ambitious roadmap that supports Qatar's sustainable development goals to achieve balanced and inclusive economic growth.

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