Business confidence in the legal system [Archives:2006/981/Business & Economy]
By: YemenTimes Staff
The role of legislation is promoting economic and business growth is more than crucial, as it provides the framework for business operation and the Dos and Don'ts, as well as the role and responsibility of a business to its partners and stakeholders. However, Yemen is ranked amongst the less attractive countries in the Doing Business, because the limited success in combating corruption, and the insufficient administrations of local authorities coupled with the poor performance of judiciary and enforcement of verdict, these factors coupled with the poor legislation and inadequate legal framework forces Businessmen to avoid resorting to the legal system in Yemen considering that expected output to consume a significant a lot of time and resources. The table indicates that in spite of the overall increase in business activities in Yemen, the number of lawsuits have decreased from 98,988 in 2000 to 69,503 in 2005.
YemenTimes investigated the reasons behind the decrease in number of lawsuits through a random sample of businessmen and legal specialists, Mr. Rami Abdullah, An Interpreter, said “I have been involved with three lawsuits with my suppliers who gave me unfit materials