Oman's Legal Framework for Company Dissolution Ensures Fair Exit for Businesses
Oman's Commercial Companies Law, established under Royal Decree 18/2019, provides a structured legal framework for the dissolution and liquidation of companies. This process is designed to ensure transparency, fairness, and protection for all parties involved. According to Dr. Mohammed Ibrahim Al Zadjali, Founding Partner of Mohammed Ibrahim Law Firm, the dissolution process is initiated by specific triggers such as shareholder resolutions, severe capital loss, or bankruptcy. Once triggered, a licensed liquidator takes over to manage the company's assets and settle obligations. The law mandates that creditors are notified and given 180 days to submit claims, ensuring their protection. After settling debts, remaining assets are distributed to shareholders, and the company is formally removed from the commercial register. 
