Premarital agreements

Administrative contracts

Administrative contracts

The Egyptian legal system, similar to most civil law legal systems, the French Civil Code (Code Napoléon) system, which is based on a civil code that covers human rights, contract law, obligations and elements of civil liability. And ever since human beings created the idea of ​​contracts as a legal means of defining the scope, content and effects of their agreements, this idea has been confined to the civil law framework. All contracts are subject, without exception, to the provisions of this law, regardless of the persons of the contracting parties, and consequently all contracts concluded by the State or one of its legal persons are subject to the same legal regime and applicable to the rest of the contracts. But as the modern state moved away from the idea of ​​the custodial state towards the intrusive idea of ​​the state in most areas, it became necessary to establish rules specifically governing contracts administrative, even if the rules differed from those of civil law.

In 2018, a new law was enacted in Egypt on the regulation governing contracts entered into by public authorities (Law no. 281 of the year 2018 on October 3, 2018) and which had intrinsic objectives such as:

The organization of procedures for the planning and execution of public power contracts and monitoring the execution of these contracts;
Develop harmonized methods of sales and purchases and more modern and efficient methods in order to have the capacity to meet contemporary needs;
Achieve efficiency and improved control of public funds;
Reinforcement of governance principles, application of publicity standards, transparency, integrity, freedom of competition, equality and prevention of conflicts of interest;
Prevent practices of collusion, fraud, corruption and contempt
Application of modern management methods and beginning to computerize contracting methods;

Thanks to this reform, we have seen a remarkable progress in the matter by seeing all the new projects that the government is finalizing by contracting with companies either national or international, especially in the five previous years.

At ALZAYAT Law Firm, we advise on all categories of contracts such as, for example, contracts with competition law issues, including the review of potential anti-competitive agreements and practices, advice on the implications of agreements and assisting customers by preventing their suppliers, customers and competitors from engaging in anti-competitive activities, strategies and/or practices against their businesses.

In addition, our advice to our clients covers a wide range of public law contracts, including concession contracts, supply contracts, transport contracts and public procurement. We believe in strategic alliance as a means of doing business, we understand its importance to our clients’ businesses and have significant experience in implementing strategic alliances through joint ventures.

Further, pursuant to the Egyptian Civil Code No. 131 of 1948 (the “Civil Code”), the legal effect of a contract applies only to parties in which the rights and obligations arising from such contract are enforceable only to these parties. That being said, said legal effect will not be applied to a third party whether these effects are rights or obligations and whether the source of the obligation is a formal or informal act, unless there was a consent to the contrary between the parties. . This general principle is also confirmed by several judgments. Therefore, failure to meet contractual obligations engages the responsibility of the offending party and our team is ready to help you claim said contractual obligation regardless of the category of contract.

On the other hand, the new Importer Registry Law (Law No. 7 of 2017) has liberalized the Egyptian market for foreign investors. The new law opens the door for foreigners to import and trade in Egypt by giving them the right to hold up to 49% of the shares of trading companies. Prior to 2017, importers had to be 100% Egyptian-owned by law. We represent our clients in applying for import and export licenses with the General Organization for Export and Import Control (GOEIC). Our lawyers also represent factories, manufacturers or brand owners of regulated products with registration with GOEIC in order to continue exporting to Egypt. The record