Shoppers face legal consequences for knowingly buying fake goods under new anti-fraud law

The UAE has rolled out new Executive Regulations of the Anti-Commercial Fraud Law under Cabinet Decision No. 107 of 2026, warning that both buyers and sellers who intentionally engage with counterfeit, adulterated, or spoiled goods could face penalties. The Ministry of Economy and Tourism confirmed that all parties knowingly engaging in fraudulent trade face consequences, with a graduated penalty approach including warnings, temporary license cancellations, and administrative penalties. Penalties may be imposed on traders proven to have known or ought to have known that goods were adulterated, spoiled, or counterfeit, particularly for pharmaceutical drugs, agricultural produce, organic food products, or misleading marketing. The regulations require public announcements of fraudulent goods withdrawal within 48 hours (shorter if health or safety risks exist). Consumers can report suspected fraud through the ministry's communication channels. Conciliation is allowed in cases of mistake or negligence rather than bad faith, provided no similar penalty was imposed in the past 12 months.