UAE succession laws dictate how an estate is distributed on death.
It is not meant to be a scare tactic but it is a fact that whilst living in the UAE, Sharia Law is applied by the Courts of First Instance throughout the Emirates, which means that even if you have an existing Will that has been drawn up properly in your home country or domicile, it may not be upheld. Under the U.A.E. Civil Transactions Code (CTC), Article 17(1) states that “Inheritance shall be governed by the law of the deceased at the time of his death.” This would mean that all assets of an expatriate would, upon his demise, be distributed in accordance with his law of domicile. However Article 17(5) states “The law of the United Arab Emirates shall apply to wills made by aliens disposing of their real property located in the State.” which means that real estate could unfortunately be construed under the laws of U.A.E. Furthermore the Central Bank has issued regulations requiring all banks to apply Sharia Law. The courts have utilised Article 2 of the CTC, which states that “the rules and principles of Islamic jurisprudence (fiqh) shall be relied upon in the understanding, construction and interpretation of these provisions” to support their contention that distribution of real estate should be subject to Sharia Law. The principles of Islam dictate that assets are distributed as per these principles regardless of what is stated in the will of the deceased, which means that it does not matter what is stated in an Expatriate’s will, the courts will apply the Sharia principles of forced heirship.
Profile: Cynthia Trench - Principal of Trench Associates
Cynthia obtained her Licence on 10 February 1996 from the Rulers Office of the Government of Dubai as the first female expatriate licensed Legal Consultant.
In 2004, she was awarded Best Service Provider by H.H. Sheikh Mohammed bin Rashid Al Maktoum on behalf of his Establishment for young entrepreneurs.
Since 2008, Cynthia has spoken at many Seminars on the subject of Estate Planning in the UAE and on the effect of Sharia Law on the assets of expatriates in general. Seminars were given at many different forums including HSBC Premier Clients, STEP, large corporations based in the UAE, Wealth Managers and Financial Institutions.
In February 2011, Cynthia organised a Symposium on Asset Protection and Estate Planning which was sponsored by Emirates Airlines in Dubai and the Chamber of Commerce in Abu Dhabi. This Symposium brought together international experts who shared their knowledge and expertise in relation to inheritance and estate planning issues impacting expatriates living in the UAE.
