UAE is a vibrant and diverse country. The country has a global position for the investment opportunities.
People from around the world establish roots and financial portfolios in the country. No doubt United Arab Emirates is the land of opportunities and one of the best.
A great amount of foreign investment is generated from here. Therefore, this brings in the need for proper estate planning and laws.
Introduction to DIFC Wills and DIFC Foundations for Successful Succession Planning:
This article is dedicated to real estate planning in UAE and especially Dubai. It discusses the significance and the implication of it for the different stakeholders.
Moreover, the article examines the focus on the treatment and distribution of assets under the Dubai International Financial Centre (DIFC) and compares DIFC Wills with DIFC Foundations. You can search Lawyers for DIFC here as well.
UAE has laid stress on regulating the sector along with proper planning. Effective estate planning paves the way in ensuring that the assets are distributed according to an individual’s wishes to their loved ones. This is a way to secure your assets after they pass away.
DIFC Wills and Probate Procedures in Dubai, UAE:
Probation at DIFC Courts is considered to be a legal process. It addresses the validity of wills in Dubai. Furthermore, it also administers the estates for non-Muslims of Dubai.
In this, the Sharia law is bypassed. Sharia law is the Muslim law that applies to all Muslim individuals in the UAE.
There is a need to register with DIFC Wills & Probate Registry. To register the non-Muslim individuals who are residing in Dubai or Ras al Khaimah should draft a will.
The will needs to be in written form. Furthermore, it must be signed by the testator. Additionally, there is a need to include an appointed executor.
The executor is often a trusted individual or a professional services provider. The executor officer is held responsible for executing the testator’s instructions. He will adhere to the outlined guidelines in the will. Besides, the executor also applies for probate with the DIFC Courts.
He needs to submit some crucial documents including the original or a certified copy of the will, the testator’s death certificate, an inventory of assets and liabilities, an affidavit, and other documents if needed. An affidavit will confirm the death and the authority of the executor.
Functioning of DIFC Courts:
DIFC courts will be reviewing the application submitted to them. Once they have reviewed the application for probate, they will give a verdict on its authenticity. They will also ensure that it complies with the local UAE law.
Subsequently, they will issue a Grant of Probate. It will allow the executor to administer the real estate. This includes identifying and collecting assets along with settling debts and liabilities.
It also scrutinizes the distribution of the remaining assets to beneficiaries. Legal Consultants can also provide you the latest solution.
Dealing with disputes arising and the role of DIFC Courts:
Disputes do arise in such matters. Therefore, during the probate process, the issues may take place. The DIFC Courts adjudicate all such disputes.
Additionally, DIFC Courts will be collaborating with the other relevant authorities to address the disputes. Department of Economic Development (DED) and the Dubai Land Department (DLD) are approached for resolving such matters.
It is done to streamline the transfer of property assets. It will allow smooth transfer in an amicable manner. Additionally, the assets registered in entities are governed by the Department of Economic Development (DED).
DIFC Foundations in Dubai, UAE:
DIFC Foundations is a legal structure of Dubai, UAE. It is established by the reputable Dubai International Financial Centre. They are responsible for facilitating asset protection. They also encourage real estate planning and charitable purposes.
Foundations in DIFC offer a robust framework. It is responsible for wealth management, family succession planning, and philanthropy. This serves as a valuable tool. It is equally important to both non-Muslims and Muslims as it helps in planning their estates in Dubai.
The Foundation has a sturdy structure that allows individuals to maintain control over their assets. The individuals can exercise their control even after their death.
It is a way to eliminate the need for probate proceedings. Furthermore, it streamlines the process of transferring the assets.
Additionally, individuals can make sure that their assets are preserved and managed according to their desires and wishes. They can exercise control over distribution among their offspring.
DIFC Foundations also provide a greater degree of flexibility. They offer flexibility in structuring and managing assets from time to time. It also offers more privacy compared to wills.
Additionally, foundations can hold assets outside the individual’s estate. it will protect them from the inheritance laws of Dubai. It safeguards the individuals from potential creditor claims.
DIFC Foundations offers greater control, privacy, and protection which makes it an attractive and compelling option in real estate planning.
Choosing Between DIFC Wills and DIFC Foundations:
The choice between DIFC Wills and DIFC Foundations is dependent upon the individual’s circumstances. They account for specific scenarios and preferences.
Nonetheless, DIFC Wills offers a straightforward solution for the distribution of assets. Besides, it is a more suitable option for individuals with uncomplicated estates in Dubai.
On the other side, DIFC Foundations also provide added flexibility, control, and asset protection. This makes it an ideal choice. Therefore, individuals with more complex financial situations and long-term objectives can opt for this option.
Final Words:
Regardless of the option chosen, it is essential to seek professional legal advice. It is significant to ensure that the estate planning process is comprehensive, compliant with local laws, and customized as per the individual’s unique circumstances. This will ensure more structured and effective estate planning.
Anyone in Dubai can secure the future of the next generations by opting for such an option.