Personal Status Law
Federal Decree-Law No. 41 of 2024 allows non-UAE citizens to apply the law of their home country as permitted by the law of the Emirate — greater flexibility for expatriate succession planning.
Overview
Preserving wealth, protecting legacies, planning for the future
The UAE has established itself as one of the world’s leading
jurisdictions for private wealth. With an estimated USD 1 trillion
generational wealth transfer approaching by 2030, families are
increasingly seeking robust structures to preserve, manage and
transition their assets.
FLC provides sophisticated, confidential and bespoke advice to
high-net-worth individuals, families and family offices. Our team
combines deep expertise in UAE succession law, foundation structuring
and family governance with a global perspective on wealth preservation.
01
Probate & inheritance
We assist with the administration of deceased estates, coordinating
the process end to end so that families are not navigating it alone.
- Estate administration. Management of all administrative and legal tasks arising on death.
- Powers of attorney. Drafting the instruments needed to act on the estate’s behalf.
- Document attestation. Attestation through the Ministry of Foreign Affairs and the Ministry of Justice.
- Expedited probate. Working with local counsel to move the probate process forward.
- Foreign wills. Enforcement of foreign wills before the UAE courts.
02
Foundations & trusts
Foundations in the UAE financial free zones have become a
cornerstone of private client structuring, offering asset
protection, succession planning and family governance within a
predictable legal environment.
| Benefit | Description |
|---|---|
| Asset segregation | Family wealth is held separately from family-business operating risk. |
| Multi-generational continuity | The structure survives generational transitions without forcing redistribution of assets. |
| Sharia compliance | Properly drafted articles align with Sharia forced-heir share allocations while retaining flexibility. |
| International recognition | DIFC, ADGM and RAK ICC foundations are recognised by global banks, custodians and counterparties. |
Key foundation jurisdictions
| Jurisdiction | Legal framework | Key features |
|---|---|---|
| DIFC | Foundations Law No. 3 of 2018 | Global financial centre with robust firewall provisions; recognised as a premier jurisdiction for foundations. |
| ADGM | Foundations Regulations 2017 | Flexible, agile structuring for private wealth. |
| RAK ICC | Foundations Regulations 2019 (amended 2025) | Cost-effective international structuring, enhanced firewall provisions, three-year limitation period and a strengthened arbitration framework. |
RAK ICC enhancements, effective 31 July 2025
- Firewall provisions. Stronger protection from foreign judgments that conflict with the RAK ICC Regulations.
- Three-year limitation. Challenges to establishment or to asset transfers are limited to three years.
- Creditor protection. Fraud claims are limited to the specific asset involved, and only where the transfer rendered the founder insolvent.
- Arbitration framework. Disputes can be resolved privately with court-level powers.
- Private trustee provisions. Clarified asset segregation and fiduciary integrity for property held in trust by a foundation.
03
Tax transparency for family foundations
A Family Foundation may elect to be treated as fiscally transparent
— as an Unincorporated Partnership — under Article 17 of the UAE
Corporate Tax Law.
Ministerial Decision No. 261 of 2024
The Foundation itself is not taxed; income is attributed directly
to beneficiaries; and income attributed to natural persons may
remain outside the scope of Corporate Tax where it would have
constituted personal investment income.
04
Family office structuring
The UAE has established sophisticated regulatory frameworks for
family offices across multiple jurisdictions. We advise on
establishing and structuring single-family offices to centralise
asset management, governance and succession planning.
| Jurisdiction | Framework | Minimum assets | Key strength |
|---|---|---|---|
| DIFC | Family Arrangements Regulations 2023 | USD 50 million | Comprehensive SFO framework; can be structured as a limited company, partnership or foundation. |
| DMCC | Specific family office licence | No statutory minimum | Cost-effective; restricted to a single family. |
| DWTC | Specific family office licence | No statutory minimum | Must be owned by a single family; board 51% family-controlled. |
| ADGM | Restricted scope company structure (proposed reforms) | Under consultation | Flexible SPV structure with a streamlined company law regime. |
Corporate tax considerations
- Registration. SFOs are generally taxable persons and must register with the Federal Tax Authority.
- Free zone rate. An SFO operating from a free zone may benefit from the 0% rate on Qualifying Income where it is subject to regulatory oversight.
- Single-family services. SFOs managing assets for a single family generally fall outside the regulatory framework, and so would not qualify for the 0% rate on those services.
- Third-party services. Extending services beyond the family would recharacterise the entity as a multi-family office.
05
Asset protection
Protecting family wealth from future risk requires structuring done
before the risk materialises, not after.
- Asset ring-fencing. Isolating assets from personal, business and matrimonial claims.
- Creditor protection. Structuring assets to withstand future creditor claims.
- Matrimonial property. Advising on division of assets in the event of divorce or separation.
- Confidentiality. Ensuring the confidentiality of family wealth structures.
- Cross-border wealth. Coordinating structures across multiple jurisdictions.
06
Philanthropy & legacy planning
Philanthropy and legacy-building play an important role in UAE
succession planning. Many families incorporate charitable giving
into their strategies, particularly where there is a desire to
support community development, healthcare, education or cultural
preservation.
- Waqf endowments. Structuring charitable endowments for community and religious purposes.
- Philanthropic foundations. Establishing charitable foundations in DIFC, ADGM or RAK ICC.
- Structured philanthropy. Ensuring continuity of giving across generations while preserving family values.
What changed
Key developments in 2026
Four regulatory shifts that change how private wealth should be structured in the UAE this year.
RAK ICC enhancements
Effective 31 July 2025, amendments to the Foundations Regulations bring strengthened asset protection, improved governance and a robust dispute resolution framework.
Corporate tax & family vehicles
Family Foundations may elect tax-transparent treatment; SFOs are generally taxable persons; qualifying investment funds are exempt where interests are widely traded or marketed.
DIFC Family Arrangements
The DIFC's comprehensive 2023 framework for single-family offices continues to attract families seeking robust governance and asset protection.
Insights & publications
Latest insights
UAE Labour Law 2026: fixed-term contracts
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