By Nizar Kochery /Doha
QUESTION: A partner in a company in Qatar, I am leaving the country as I have lost my job here. Because of this, I must issue a power of attorney to another partner for specific purposes on personal behalf. My question is: if the power of attorney holder does anything (if he signs a contract) that is not mentioned in the deed, will I be liable personally?
TR, Doha
ANSWER: According to Article 87 (1) of the Qatar Civil Code if a person concludes a contract on behalf of another without authority or he has exceeded in concluding that contract the limits of his powers, the effects of this contract shall not attach to the principal unless ratified in accordance with law.
Moreover, Article 87 (2) of the Civil Code provides that if “the dealing has not been ratified, the other contracting party may pursue whoever has used the capacity of representation or exceeded its limits for compensation, unless he had known of the non-existence of the representation or the exceeding of its limits, or should have known of the same”.
Accordingly, if any contract entered into by the attorney without proper authority will not be binding on the appointer.
When a lessee refuses to pay rent
Q: We are a company which lease and manage rental properties in Qatar. We have rented a property to a company. The tenant company issued post-dated cheques against rent. On submitting, the cheques were dishonoured, however. We are not interested in filing a cheque case against the lessee. Even after repeated requests, its management is not paying the rent. How can we evict the lessee from the building? Do we need to suffer the entire term? The contract says it is valid throughout the term as per law.
HG, Doha
A: The lessor can get the leased property vacated for non-payment of rent. As per laws regulating lease relationships, lessee is legally obliged to pay rentals in seven days. In the event of non-payment within that period, the lessor can file a rental case before the Rental Dispute Settlement Committee to claim for the rent and termination of the contract.
Maternity leave benefits
Q: I have been directly recruited by the company where I have been working from 2012. I am four months pregnant now. What are the provisions of labour law about maternity leave? Is there a provision in the law for childcare after delivery?
PW, Doha
A: A female worker, who completed one year in service, shall be entitled to maternity leave with full pay for a period of 50 days, including the period preceding and the period following her confinement, on condition that she has been in her employer’s service for continuous period of not less than one year.
A medical certificate issued by a licensed physician stating the probable date of delivery to be submitted to the employer for granting such leave. The leave shall include the period before and after the delivery provided that the period following the delivery shall not be less than thirty five days.
Availing of the delivery leave shall not prejudice a female worker’s entitlement to her other leave.
According to Article 97 of the Labour Laws, in addition to the normal rest time the nursing female worker shall be entitled to a nursing interval of not be less than one hour per day for one year. The female worker shall make the fixing of the nursing times. The nursing interval shall be calculated as part of the working hours and shall not result in a deduction of wage.
Tax for companies
Q: I am a partner in a newly-established company in Doha. How much should we pay as tax? If we had suffered losses in the first year, would it be possible to carry forward our tax to the next year? When should a new company obtain a tax card?
BC, Doha
A: Article 10 of the Law No 21 of 2009 - Income Tax Law provides that the tax payer may deduct losses incurred during a taxable year from the net income of subsequent years, subject to losses may not be carried forward from more than three years as of the end of the taxable year during which they are incurred; and losses resulting from an exempt or non-taxable source of income may not be deducted.
The tax rate shall be 10% of the taxable income during a year. Every taxpayer carrying on activities in the state shall submit an application to the government for a tax card within 30 days from the commencement of the activity.
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LEGAL SYSTEM IN QATAR
According to Article 248, the deposit in public warehouses is a contract whereby warehouseman undertakes to receive and store the goods on behalf of depositor or any person to whom ownership or possession of the goods under the instruments issued by the public warehouse.
The warehouseman shall not engage in any commercial activity dealing with goods, which he is licensed to retain in the warehouse and issue the instruments. No public warehouse may be established or operated with the right to issue instruments representing deposited goods except under a licence issued by the competent authority in accordance with the terms and conditions.
Public warehouses may offer loans pledging the goods retain and may deal in instruments of pledge that represent them.
The depositor is obliged to provide all the particulars regarding the type, speci?cation and value of the goods to the public warehouse. The depositor has the right to inspect the goods delivered to the public warehouse for his bene?t and take samples or specimens of them.
According to Article 254, the warehouseman shall be responsible for maintaining the goods deposited and shall be liable for the damage, other than inherent defect or force majeure, to an extent of value of goods estimated by the depositor. In the event of threat of damage, the warehouseman shall seek the permission to sell the goods and court shall define the means of sale.
The depositor shall be provided with a receipt for the storage stating all necessary particulars to identify the goods and the depositor.
A warehouse receipt and instrument of pledge may be issued in the name or to the order of the depositor. As per Article 263, if the debt guaranteed is not settled at its maturity date, the holder of the instrument of pledge may request for sale of the pledged goods by following the procedures.
The holder of the instrument of pledge may not have recourse to the pledgor or the endorsers except after levying execution on the pledged goods and the price is insufficient to settle the debt.
Recourse against endorsers shall be within ten days from the date of sale, otherwise the right to have recourse against debtor shall abate. In all cases, the right of the holder to have recourse against the endorsers shall abate if holder fails to perform the procedures for enforcement against the pledge goods within thirty days from the maturity date.
According to Article 266, if the goods covered under the accident insurance policy, the holder of the warehouse receipt and instrument of pledge shall be entitled to the insurance amount.
