Abu Dhabi warns firms of hefty fines for violating terms of contracting social media influencers
- 20 Jun 2024
Abu Dhabi Department of Economic Development (ADDED) has called upon all licensed economic establishments in the Emirate of Abu Dhabi to comply with relevant controls and conditions when contracting with social media influencers
In a circular on Thursday, the ADDED has appreciated the efforts of all licensed economic establishments in the Emirate of Abu Dhabi to promote and create an ideal economic environment for business in the Emirate.
Accordingly, ADDED called upon all licensed economic establishments in the Emirate of Abu Dhabi to adhere to the following:
-The need for social media influencers to obtain a license from the department to practice the activity of advertising services through websites
- The need for economic establishments to obtain a permit from ADDED when carrying out any advertisements (advertising, promotional, or marketing);
- Economic establishments must ensure that they have a valid license issued by ADDED when contracting with influencers and social networking sites.
Non-compliance with the controls and requirements when contracting with social media influencers will expose the establishment concerned to the penalties and violations stipulated in the table of violations, and will expose the economic establishment to closure, due to its failure to comply with the circulars and controls issued by ADDED.
According to the circular, the penalty fees will start with Dhs3,000 and reach Dhs10,000.
This decision is in line with ADDED's efforts to enhance and create an ideal economic environment for businesses in the emirate, to regulate this sector, and to protect consumer rights.
In response to questions from the Emirates News Agency (WAM), ADDED said that the imposition of penalties and fines will also start from early July following the implementation of the decision.
Regarding the cost of obtaining a licence to practise advertising services, the department stated that the licence fee is Dhs1,250 for individual establishments and Dhs5,000 for businesses.
As for the mechanism for applying for the licence, the department explained that businesses and social media influencers can easily submit a request for licences and permits through the unified digital platform TAMM by accessing the ADDED Services and selecting the activities they wish to engage in, including advertising services on e-platforms.
ADDED indicated that foreigners from outside the UAE can obtain a licence to practise this activity, provided they have an Emirates ID card or a UAE Unified Number.
ADDED noted that according to the decision, there are no exceptions for government companies, which are included among the entities operating in the emirate and benefit from or practise advertising services via electronic platforms.
The department clarified that branches of companies from outside the emirate of Abu Dhabi must obtain the necessary permits from ADDED to practise the activity.
ADDED emphasised that having a permit from the UAE Media Council does not exempt social media influencers from obtaining the necessary licences and permits from ADDED to practise advertising services via electronic platforms, to avoid fines and penalties for violators.
The department stated that there are currently 543 licences for practising advertising services on electronic platforms and social media, with the number expected to increase after the decision comes into effect.
WAM