Personal Guarantee Validity Explained

Summary

Personal guarantees in Dubai are generally valid if they meet specific conditions, such as being in writing and having clear terms. By agreeing to a personal guarantee, you become personally liable for the companys debts, and your personal assets can be used to settle these liabilities. This means you cannot claim limited liability protection. Ensure you fully understand the implications before agreeing to such terms.

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pl explain on below that personal guarantee is valid
Hi ****! In Dubai, personal guarantees are generally valid and enforceable under UAE law, provided certain conditions are met:
- The guarantee must be in writing.
- The guarantor must have the legal capacity to enter into such an agreement.
- The terms of the guarantee should be clear and specific.
Do you need information on a specific type of personal guarantee or any particular situation?
I/We hereby undertake not to plea to the limited liability of the guaranteed company and accordingly agree to pay to Al Masraf all moneys and liabilities due to Al Masraf, whereupon this Guarantee extends to be considered as personal guarantee and be enforced against my/our personal assets, notwithstanding assets, rights, or capital of the said c o m p a n y.
Hi ****! Based on the statement provided, it looks like you are agreeing to a personal guarantee. This means:
- You are personally liable for the debts of the company.
- Your personal assets can be used to pay off the company's liabilities.
- You cannot claim limited liability protection.
Is there a specific aspect you need more clarity on or any other questions?