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LOI Extension Letter for United Arab Emirates

LOI Extension Letter Template for United Arab Emirates

A Letter of Intent (LOI) Extension Letter under UAE law is a formal document that extends the validity period of an existing Letter of Intent. This document operates within the framework of UAE civil and commercial laws, incorporating relevant provisions from Federal Law No. 5 of 1985 (Civil Code) and Federal Law No. 18 of 1993 (Commercial Code). It serves to maintain the binding elements of the original LOI while establishing new timelines and potentially modifying certain terms. The document must comply with UAE legal requirements regarding contract modifications and extensions, including adherence to good faith principles under Article 246 of the UAE Civil Code.

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What is a LOI Extension Letter?

The LOI Extension Letter is a crucial document used in UAE commercial practice when parties require additional time beyond the original Letter of Intent's expiry date. This document type is particularly relevant when due diligence, negotiations, or external factors necessitate an extension of the initial timeline. The LOI Extension Letter typically includes references to the original LOI, specific extension period, confirmation of existing terms, and any modifications required for the extended period. Operating under UAE law, it must comply with both civil and commercial code requirements, particularly regarding contract modifications and good faith obligations. This document is essential in maintaining the momentum of commercial transactions while providing legal certainty during extended negotiation periods.

What sections should be included in a LOI Extension Letter?

1. Letter Header: Date, addressee details, and reference to original LOI including its date

2. Reference to Original LOI: Clear identification of the original LOI being extended, including its date and key parties

3. Extension Purpose: Brief explanation of why the extension is needed and reference to any relevant discussions

4. Extension Period: Clear statement of the new expiry date or duration of the extension

5. Confirmation of Terms: Statement confirming that all other terms and conditions of the original LOI remain unchanged

6. Execution Block: Signature blocks for all parties involved

What sections are optional to include in a LOI Extension Letter?

1. Modified Terms: Section needed if any terms from the original LOI are being modified along with the extension

2. Additional Conditions: Any new conditions specific to the extension period

3. Progress Update: Brief status update on the transaction or project, if relevant to justifying the extension

4. Costs and Expenses: Section needed if there are any cost implications related to the extension

5. Regulatory Compliance: Required if the extension needs to address any regulatory requirements or approvals

What schedules should be included in a LOI Extension Letter?

1. Updated Timeline: Revised schedule of key dates and milestones for the extended period

2. Original LOI: Copy of the original Letter of Intent being extended

3. Amendment Log: Summary of any modifications made to the original LOI terms, if applicable

4. Supporting Documents: Any relevant correspondence or documents supporting the need for extension

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Document Type

Letter of Intent

Cost

Free to use
Relevant legal definitions




















Clauses




















Relevant Industries

Real Estate & Construction

Energy & Resources

Manufacturing & Industrial

Technology & Telecommunications

Healthcare & Pharmaceuticals

Financial Services

Retail & Consumer

Infrastructure & Transport

Hospitality & Tourism

Education

Relevant Teams

Legal

Corporate Development

Mergers & Acquisitions

Commercial

Business Development

Project Management

Investment

Risk & Compliance

Finance

Corporate Secretariat

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Chief Legal Officer

Managing Director

Commercial Director

Legal Counsel

Corporate Development Manager

Business Development Director

Project Manager

Investment Manager

Transaction Manager

Due Diligence Manager

Risk Manager

Company Secretary

Compliance Officer

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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