Agency Law in Oman: Analysis of Fraud, Incompetence, and Court System

This report delves into the intricacies of Oman's Agency Law, examining the issues of fraud, incompetence, and dishonesty within the context of universal agency law. It highlights the objectives of agency law and its shortcomings, referencing relevant Royal Decrees. The analysis explores how these shortcomings can be addressed in business practices. Furthermore, the report provides an overview of the structure and contribution of the Oman Court and Legal System, also citing pertinent Royal Decrees. The legal framework in Oman is a blend of Islamic and Anglo-Saxon law, with Royal Decrees forming the primary legislation. The legal system is well-organized, with codes of conduct guiding decisions in various aspects of life, including political, economic, criminal, civil, and environmental matters. All judicial decisions are executed under the authority of the Sultan. The report concludes by emphasizing the importance of understanding and applying the legal framework in Oman for effective business operations.

Q5. (a) Fraud, incompetence and dishonest are major problems in Agency Law. Analyse
this statement in relation to universal agency law, its objectives and how these
shortcomings can be overcome in business, quoting relevant Oman Royal Decree. (8 marks)
Explaining fraud, incompetence and dishonest in agency contracts and explaining the
objectives of agency law and its shortcomings will attract and quoting relevant Royal
Decree attracts 8 marks.
Oman Royal Decree stating Agency Law has major problems in cases of fraud, incompetence
and dishonest (Al-Shaqsi, 2009). In cases of fraud a person might gain an unfair advantage over
the other by omitting elements to do require intent. In cases of incompetence, the person lacks
contractual capacity and cannot be appointed as agent. Incompetent persons within Agency
relationships cannot be help for any liability or torts, hence can lead to problems in such
contracting. In cases of dishonest, liability or tort cannot be established when cases does not
involve civil wrong, leading to other party suffering. Oman Royal Decree no. 34/2014
Objectives of Agency Law is to perform duties of the principle by appointment of an agency
lawfully. Agency law in the country was established to successfully to form contracts and
execute them but there are various shortcomings in relation to attract. Shortcomings relative to
fraud, incompetence and dishonest can be overcome in business by including terms that could
lead to possible avoidance of fraud and dishonesty. Incompetence can be overcome in case of
including terms such that contracting parties are competent.
(b) Analyse the structure and contribution of the Oman Court and Legal System, quoting
relevant Royal Decree. (8 marks) An analysis of the structure and contribution of the
Oman Court and Legal System, quoting relevant Royal Decree attracts 8 marks.
The Sultanate of Oman in the Arabic Gulf constitutes a central Islamic Monarchy with Muscat as
its capital. It has four districts Musandam, sohar, Al Barimi and Muscat with five areas. Since its
independence gained on July 1970, it is governed by Sultan Qaboos (Baporikar, 2015). Legal
system within the country is codified in the Constitution by Royal Decree n101/96. Primary
legislation is termed as Royal Decree and secondary legislation is concerned with Ministerial
body. The legal system in the country is a mixture of Islamic and Anglo-Saxon law.

Conclusion
The Oman Royal Decree legislation includes all relevant laws and regulations with connection to
contract law, agency law, insurance law, labor law, Intellectual Property law and so on. All
legislation are well organised within Courts and the Judiciary with codes of conduct. these codes
acts as reference numbers and differs for political life, economic life, criminal affairs, civil
matters, environment and so on. All decisions are taken by judicial entities and executed in name
of His Majesty the Sultan.
Reference Lists

Al-Shaqsi, S. Z. 2009. EMS in the Sultanate of Oman. Resuscitation, 740-742.
Baporikar, N. 2015. Effect of national culture on development of international business in the
Sultanate of Oman. Handbook of Research on Global Business Opportunities, 268-288.