Addition of the ‘Purchase and Sale

On 13 October 2019, the Ministry of Trade and Industry Decision No. 827 of 2019 (the “Decision”)[1] was published in the Egyptian Gazette, slightly amending the categories of registrants on the Commercial Agents and Brokers Register (the “Register”). As per the Executive Regulations[2] of the Commercial Agency and Brokerage Law (the “Law”), two categories may be on the Register: commercial agents and commercial brokers. The new Decision, which went into effect on 14 October 2019, slightly amends the definition of the latter, such that it includes explicit reference to real estate purchases and sales as examples of commercial brokerage. Accordingly, commercial brokerage is limited to the searching for or negotiating with a contracting party (even if such activity is done once) – including for the purpose of contracting the sale or purchase of real estate – as well as the undertaking of the activities of commercial agency (even if once) or having a work-contractual relationship with producers, traders, or distributors. It is worth noting that in 2009, the Ministry of Trade and Industry’s Decision No. 1094 of 2008[3] was published to specifically regulate the field of real estate brokerage in the commercial brokerage market. Both commercial agency and commercial brokerage fall mainly under the supervision of the Ministry’s General Organization for Export and Import Control, wherein the Register is held.   [1] Ministry of Trade and Industry Decision No. 827/2019 amending the Executive Regulations of the Commercial Agency and Brokerage Law issued by virtue of Minister of Trade and Industry Decision No. 342/1982, Egyptian Gazette, Issue No. 228, 13 October 2019. [2] Ministry of Trade and Industry Decision No. 342/1982 enacting the Executive Regulations of Law No. 120/1982 on Commercial Agency and Brokerage, Egyptian Gazette, Issue No. 275 (cont.), 4 December 1982. [3] Ministry of Trade and Industry Decision No. 1094/2008 regulating the field of real estate brokerage in the commercial brokerage market, Egyptian Gazette, Issue 76, April 1, 2009.