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For expatriates with assets in the UAE, estate planning is an important part of responsible long-term planning. While it is often assumed that assets will pass automatically to family members, succession in the UAE operates within a defined legal framework that relies on formal rules and evidentiary requirements. Taking proactive steps, including putting in place a properly drafted and enforceable will, can help ensure clarity, facilitate orderly administration, and align personal intentions with the applicable legal processes.
Many expatriates assume that, on death, their UAE-based assets will automatically pass to their spouse or family members. From a legal perspective, that assumption is not always reliable. Succession in the UAE is governed by formal rules of law and evidence, not informal expectations, and recent legislative developments underline the importance of proactive estate planning.
From 1 January 2026, according to public announcements, a new Civil Transactions Law is expected to clarify the treatment of UAE-based financial assets where a foreigner dies and no legally identifiable heirs are established. In such circumstances, those assets may be transferred into a supervised charitable endowment and managed by the competent authority. While these developments remain subject to implementing regulations, they highlight the potential consequences of leaving succession arrangements unplanned.
A will remains the primary legal instrument linking assets to identified beneficiaries. In the absence of a valid will, establishing entitlement can be difficult, particularly where heirs reside in different jurisdictions, documentation is incomplete, or procedural requirements cannot be met promptly. In such cases, an estate may be treated as heirless in law, regardless of the deceased's intentions.
This risk is not confined to exceptional cases. It may arise simply because no will was prepared, or because heirs are unable to act in time or satisfy evidentiary requirements. The law does not operate on assumptions or informal family understandings; it relies on legally valid and enforceable documents.
Expatriates should also be aware that different will regimes apply in the UAE. Mainland wills are subject to federal law and local court procedures, while wills registered with the DIFC or ADGM operate under separate common-law-based frameworks, each with its own scope, formalities, and enforcement considerations.
In addition to wills, UAE foundations can form part of an effective estate planning strategy. Foundations established in jurisdictions such as the DIFC or ADGM are separate legal entities that can hold and manage assets during an individual's lifetime. Assets transferred to a properly established foundation are generally removed from the individual's personal estate, reducing reliance on post-death succession processes and helping ensure continuity, particularly for complex or cross-border assets.
Foundations and wills are not mutually exclusive. Used together, they can provide a structured approach that combines lifetime asset management with clear post-death instructions.
For expatriates with assets in the UAE, estate planning should not be viewed as a formality. Taking advice and putting appropriate structures in place whether wills, foundations, or a combination of both can significantly reduce uncertainty, facilitate smoother estate administration, and increase the likelihood that assets ultimately benefit the intended people or causes.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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