New UAE Personal Status Law: Asset Distribution & Division

The new UAE Personal Status Law, No. 41 of 2024, introduces significant changes to the distribution of assets amassed by spouses during their marriage. Effective from April 15, 2025, this law explicitly recognizes contributions of each spouse toward the growth or acquisition of wealth during the marriage, a concept previously absent from the legal framework. It would appear that the form of spousal contribution is not only confined to financial contribution but rather presupposes other forms of contributions. Which could include time, intellectual property, other forms of resources and the like.

Key Provisions of Article 51
Article 51 of the new Personal Status Law provides for different scenarios as regards asset ownership and contributions:

1. Independently Owned Assets:

  • Assets acquired individually by one spouse are held to be separate property and not shared or mutually dependent.

2. Wife’s Assets:

  • Any assets or money accumulated solely by the wife remain entirely her property.

3. Assets Contributed to Jointly:

  • If one of the spouses contributes to an increase in wealth or to the acquisition of property during the marriage, both spouses have a claim against the contributed share. This claim exists not only against the other spouse but also against the inheritors or beneficiaries of the other spouse’s estate.

Implications of Article 51

1. Independent of Divorce Proceedings:

  • Article 51 is situated under the heading “Marriage” and not under “Divorce” or “Alimony,” which provides the right to a spouse to make claims independent of divorce.
  • However, it is envisioned that this article will, in practice, be invoked more often in divorce cases since the issue directly relates to the partition of estates and property.

2. Claims in Probate Proceedings:

  • The law has clearly provided that claims can be filed at the time of inheritance. In such a case, the spouse, or even an ex-spouse, can claim against the contribution made towards others’ wealth or estates.
  • This will amount to unjust enrichment if the inheritors of one spouse takes the contribution of the other spouse unduly. Article 253, Personal Status Law allows for criminal liability against persons concealing, damaging, or fraudulently taking for himself the whole or part of money forming part of an inheritance and provides for sanctions involving imprisonment and/or fine of AED 5,000 to AED 100,000.

Need to Identify Contribution

Historically, UAE law did not provide explicit recognition for contributions by one spouse toward the other’s assets. This means that even if a wife contributes 50% toward, say, some property, at the time of divorce, informal claims would become necessary to show her share of ownership. By introducing this rule, the law now formalizes such claims through clear legal entitlement of spouses with contributions, both financial and not, to protection of such participation.

Legal and Practical Implication

Article 51, along with other provisions, has marked an important milestone in the pursuit of equity in the distribution of both marital and post-marital assets. By giving formal recognition to spousal contributions, whatever their type may be, the law has provided a robust framework for addressing disputes relating to jointly amassed wealth with fairness and accountability in divorce and inheritance cases.

New UAE Personal Status Law: Child Support

The UAE’s new Personal Status Law, Federal Decree Law No. 41 of 2024, effective from April 15, 2025, updates and provides clarifications concerning child support obligations. Two important articles set the rules for financial responsibilities and how support may be claimed: Article 106 and Article 111.

Article 106: Father’s Financial Obligations
Under Article 106, the father’s fundamental responsibility is providing for their children financially. Despite the structure almost being similar as the old law, the new provisions have emphasized that a few salient amendments:

1. Coverage of Support

  • The father must support the children until they can support themselves.
  • Regarding girls, in particular, support terminates upon marriage or entering into an employment contract.
  • For boys, this is until they reach an age where they are able to work, unless they are studying with success.

2. Support for Adult Children with Disabilities

  • Fathers have to continue support for adult children who have disabilities if they cannot generate an income.

3. Ensuring Basic Needs

  • Even when a child is receiving an income, the father has to continue providing financial support if the income received is not adequate to cover the needs of the child.
  • If the mother is not in a position to breastfeed the child, then the father is obliged to pay for breastfeeding.

4. Parent Unable to Support

  • If the father is unable to support the child financially, the mother has to contribute if she is capable of doing so.
  • She could claim from the father, if he is able to pay later, provided the expenses she incurred were certified by him or by the court.

Article 111: Claim for Maintenance

Article 111 regulates how to file claims for child support and provides certain limitations to bring forth clarity and equity:

1. Retroactive Claims

  • The claims of support arrearages are limited to no more than one year before the date the case is filed.

2. Claims for Other Relatives

  • As to other relatives, such as parents or dependents, liability begins on the date of filing.

Key Takeways

The new Personal Status Law prioritizes the welfare of the children while introducing clearer guidelines on the financial responsibilities and claims of each party. By emphasizing that children’s basic needs must always be met and providing mechanisms for reimbursement and ongoing support, the law guarantees a more robust approach toward the rights of children in the UAE.

This revised law emphasizes that in all conditions, the welfare of the child has to be considered, while it also confirms the UAE’s approach to family stability and financial liability.

New UAE Personal Status Law: Divorce and Separation

The UAE has introduced significant changes to its Personal Status Law with the enactment of Personal Status Law No. 41 of 2024 (“New Law”), which comes into effect on April 15, 2025. The New Law replaces the UAE’s previous Personal Status Law No. 28 of 2005 (“Old Law”).

With regards to divorce and separation, the New Law provides greater clarity, equity, and codification of divorce-related provisions, which were either previously undefined or inconsistently applied. This bog focuses, specifically, on Section 4 of the New Law, detailing the various forms of separation, the rights of spouses, and the procedural changes, alongside a comparative analysis of the Old Law.

Forms of Separation Between Spouses

The New Law categorizes the dissolution of marriage into five (5) distinct forms:

  1. Talaq: default right granted to the husband; conditional right to the wife. Similar to the Old Law.
  2. Tatleeq: court-ordered divorce, which is a brand new provision codified in the New Law.
  3. Khul’aa: wife-initiated divorce, without the need to prove harm, however forfeiting of multiple financial rights
  4. Termination of the marriage contract
  5. Death of one spouse

Talaq (Guaranteed right to divorce for the husband)

Under both the Old and New Laws, Talaq is the husband’s guaranteed right to initiate the divorce, and the wife’s conditioned right to divorce via requesting a “Talaq”. Specifically, whereas the Old Law provided clarity on the husband’s right to request Talaq, it did not provide the same clarity for the wife’s right – despite conditioning it. Under the New Law, however, there is further detail and clarity with regards to Talaq.

Overall, the differences between a Talaq under the Old Law and Under the New Law begin at the outset, in the general definition of Talaq, as per the below articles.

  • Old Law (Article 99): Defined divorce as the dissolution of marriage by clear or explicit expressions.
  • New Law (Article 53): Expanded the definition to include demands that imply divorce, provided that the husband’s intent is clear.

Additionally, the New Law mandates that the husband document the divorce within 15 days before the court. Failure to do so may result in financial compensation to the wife, equivalent to a pro-rated alimony amount, for the period between the divorce and its official registration (Article 58).

Delegation of Talaq

The possibility to delegate proceedings for Talaq has been expanded under the New Law.

The Old Law gave the husband an exclusive right to delegate proceedings for “Talaq”; the delegation could be given by the husband to a representative, or the wife.

The New Law, however, explicitly recognizes the wife’s right to delegate “Talaq” proceedings as well. Furthermore, the New Law sets limitations to divorce proceedings initiated by power of attorney (“POA”) holders. The relevant articles from the Old Law and New Law are outlined below.

  • Old Law (Article 100): Allowed the delegation of divorce authority by the husband.
  • New Law (Article 55): Provides the wife with the explicit right to delegate it, but prohibits the husband from revoking the POA after the divorce is executed unless it can be proven that the POA was revoked prior to the divorce and the agent was aware of the revocation.

Tatleeq (Court-Ordered Divorce)

One of the most notable changes is the codification of Tatleeq, granting either spouse the right to petition the court for divorce under specific circumstances:

  • Husband not spending on Wife (Article 77):
    • If the husband fails to provide financial support, the court grants him 30 days to comply. Failure to do so results in divorce.
    • If the husband claims insolvency, he is given 90 days to remedy his financial situation and support/spend on his wife. Continued failure to spend on or support the wife results in divorce.
  • Drug or Alcohol Addiction (Article 80): Either spouse may request a court-ordered divorce if the other is addicted to drugs, alcohol, or mind-altering substances.
  • Sexual Abstinence or Neglect:
    • If the husband swears to not be intimate with his wife for more than four months or is not intimate with her for six months without valid reason, the wife may request a Court-ordered divorce (Article 78).

These provisions mark a departure from the Old Law, where fault-based divorce relied heavily on judicial discretion without specific guidelines.

Previously, there were no legally defined situations or codified standards as to what constitutes a fault on the basis of which a Court may grant divorce. Moreover, spouses had to prove the harm that they suffered as a result of the other spouse’s conduct, which often led to inconsistent rulings.

Khul’a (Wife-Initiated Divorce without Fault)

The New Law enhances the clarity and fairness of Khul’a, a divorce initiated by the wife in exchange for compensation:

  • Old Law (Article 110): Allowed Khul’a through mutual consent, with compensation for the husband generally being the dowry.
  • New Law (Article 65): Permits compensation to include any agreed-upon asset, ensuring greater flexibility for the wife.

The New Law also specifies that Khul’a results in irrevocable divorce, meaning that the husband can only remarry the wife under a new contract and with a new dowry, and prohibits any compensation that would waive the wife’s rights to child expenses or custody (Article 66).

Cases of Invalidity of Divorce

The New Law expands scenarios where divorce is deemed invalid:

  • Old Law (Article 103): Addressed invalidity in limited cases, such as conditional divorces or those tied to oaths without clear intent.
  • New Law (Article 56): Includes additional grounds, such as divorces declared during duress, extreme anger, or temporary mental incapacity, without proof of actual intent to divorce. It also invalidates divorces declared while the wife is in her divorce waiting period, or in an invalid marriage.

Fault-Based Divorce (also Tatleeq) (Article 71)

Both spouses have the right to request a fault-based divorce for ongoing marital problems that result in irreparable harm. If harm is not proven, the court may appoint arbiters to investigate and attempt reconciliation (Article 72). The arbiter’s report guides the court’s decision on compensation or separation (Article 74).

Termination of Marriage Contract

The termination of the marriage contract has been significantly expanded and codified under the New Law to address situations that were previously left to judicial discretion or undefined. Termination may occur under the following circumstances:

  • Illness or Disability (Article 69): If one spouse has a harmful or repulsive illness, such as insanity or impotence, the other spouse may petition the court for termination.
  • Non-Payment of Dowry (Article 76): If the husband fails to pay the agreed-upon dowry within 30 days of the court’s deadline, the wife may seek termination.
  • Dissolution Before Consummation (Article 75): A wife may request termination without proving harm if the marriage has not been consummated, provided she returns the dowry.

Key Distinctions between the New Law and the Old Law

Under the Old Law, generally, reasons and faults resulting in the termination of a marriage contract were not well-defined and were overall left to judicial interpretation and discretion.

The New Law codifies these grounds explicitly, providing clarity and reducing the burden of proof on spouses seeking termination. These changes align with general Islamic principles, emphasizing fairness and the protection of both spouses’ rights within marriage.

Notable improvements and enhancements in the New Law

The amendments to the UAE Personal Status Law represent a notable evolution in the legal framework for divorce and separation:

  1. Clearer Codification: The New Law codifies provisions that were previously reliant on judicial precedent, providing greater consistency and predictability.
  2. Enhanced Protections: The law explicitly recognizes women’s rights in marriage, including financial entitlements and the acknowledgment of sexual and emotional well-being.
  3. Expanded Grounds for Divorce: By broadening the circumstances under which either spouse can petition for divorce or termination, the law ensures a more equitable approach to marital disputes.
  4. Procedural Improvements: Mandatory documentation of divorce and reconciliation reduces ambiguity and protects the rights of both parties.

Conclusion

The New Law’s comprehensive updates to divorce and separation provisions mark a progressive step forward for personal status legislation in the UAE. By addressing ambiguities in the Old Law and expanding the rights of both spouses, the New Law provides a more balanced and transparent legal framework.

These changes not only reflect evolving societal values but also enhance the protection of individual rights within the institution of marriage.

For detailed legal guidance on navigating divorce or other personal status matters under the new UAE laws, our team at LYLaw is here to assist. Contact us for expert advice tailored to your specific situation.

Starting on the Right Foundation: Business Setups in the UAE

The business-friendly environment of the UAE attracts entrepreneurs and companies from every part of the world, with enormous opportunities in almost all sectors. At the same time, setting up a business in the UAE requires careful planning and well-informed decision-making since its regulatory environment is unique. Getting off on the wrong foundation can lead to serious operational and legal issues. Following are some of the most critical factors to consider when setting up a business in the UAE.

Choosing the Right Economic Zone

The selection of the right economic zone is among the first key decisions for any company aiming to set up in the UAE. There are two main options to choose from: the Mainland and Free Zones. Each has different legislation, mechanisms of operation, and benefits. Significantly, there is no “UAE-wide” business license, with companies needing to register in at least one emirate and then expand to other zones by opening branches or forming subsidiaries. Established free zones like the DMCC, JAFZA, and DIFC have modern infrastructure, consolidated online portals, and business-friendly processes that help foreign companies manage their operations remotely. Their mainland counterparts are more accessible for wider market access; however, they come with more regulatory restrictions, including an employee quota and less cohesive management systems.

Understanding the Complexities of Free Zones

Whereas some free zones have reputations for ease of procedure, others are cumbersome because they necessarily rely on third-party agents. These agents are middlemen that may also exercise control over critical aspects of business operations, such as the licensing and communication processes with the free zone authority. In such cases, a lack of direct access to the license may create inefficiency and conflicts of interest. For instance, there are instances where businesses have to suffer delays in trying to move to another free zone because the existing zones try to withhold NOCs in order to keep them behind. Such tactics reduce operational flexibility and create unexpected obstacles.

The Risks of Over-Reliance on Consultants

In most cases, consultants guide foreign businesses through the setup process. However, not conducting thorough due diligence while relying on consultants leads to suboptimal decisions. This includes consultants who have vested interests in certain zones they push businesses toward and those using some general templates, even for documents so significant, such as Memorandums and Articles of Association and employment contracts. Such pre-patterned solutions hardly aim at the singular needs of their business and place a business at significant risk from an operational efficiency viewpoint or legal fallout.

Negligence of Specific Legal Requirements of the UAE

The other frequent mistake is a failure to adapt business practices and agreements to the legal and regulatory environment in the UAE. Many businesses try to use documents drafted in their home countries, thinking that they should be adequate. However, such agreements are mostly unenforceable in the UAE and also fail to meet the local compliance requirements.

For instance, the UAE has employment laws that require contracts to meet their unique legal requirements, whatever the country of origin of the parent company is. Non-compliance with required contract structures can lead to legal and business disputes that can significantly damage a company’s operations.

Setting Up the Right Foundation

Businesses can avoid many of these common problems through the following ways:

  • Research: Understand the variation in economic zones to choose one that is suitable for the growth of your business model.
  • Direct Interface: Wherever possible, interface directly with free zone authorities and not necessarily only through third-party agents.
  • Specialized Documentation: All contracts and agreements should be prepared or vetted by UAE law-savvy lawyers.
  • Professional Expertise: Engage reputable advisors for legal, financial, and operational matters to achieve a compliant and efficient setup.

Conclusion

The structure in which the business has been set up will ensure that the business is stable and profitable in the long run. This involves the selection of the right economic zone, doing due diligence on working with consultants, and careful alignment with local regulations in the UAE. Any shortcuts to hasten the setup process will actually save some time initially but create considerable challenges later on. With a focus on informed decision-making and tailored solutions, businesses can position themselves for sustainable growth and success within the UAE’s competitive landscape.

New UAE Personal Status Law: Guardian Consent for Marriage

The Federal Decree-Law No. 41 of 2024 marks a significant step forward in accommodating the diverse personal status needs of Muslim residents in the UAE. For the first time, non-citizen Muslim women now have the option to apply the personal status laws of their home countries, allowing for greater flexibility in matters such as marriage. This development provides an avenue for Muslim women to marry without guardian consent if permitted under their home country’s legal framework, all while respecting the UAE’s cultural values and public order principles. For those who prefer to follow UAE law, traditional provisions, such as the guardian’s role, remain in place. This balance of inclusivity and respect for tradition ensures that the UAE continues to be a welcoming and progressive environment for its diverse population.

Key Provisions of the 2024 Law on Marriage

1. General Rule for Marriage:

  • Federal Decree-Law No. 41 of 2024 allows non-citizens (including Muslims) to request the application of their home country’s laws for marriage, divorce, and other personal status matters.
  • If no such request is made, the provisions of the UAE law will apply by default.

2. UAE Law’s Default Rule:

  • For Muslims, the marriage process under the default provisions is governed by Islamic Sharia principles, which traditionally require:

    • A male guardian (Wali) for the bride to consent to her marriage.
    • Exceptions to this rule being adjudicated on a case-by-case basis by UAE courts.

3. Flexibility for Non-Citizens:

  • Non-citizen Muslim women residing in the UAE may choose their home country’s laws for marriage, bypassing UAE’s default Sharia-based rules if their home country’s laws:

    • Do not require guardian consent.
    • Allow the bride to act independently in contractual agreements such as marriage.

4. Guardianship Waivers:

  • In cases where the bride applies UAE law but disputes the need for guardian consent, UAE courts retain the discretion to waive this requirement under certain conditions:

    • If the woman is considered mature, capable, and of sound mind.
    • If the guardian’s refusal to consent is deemed arbitrary or unjustified.

Key Changes from the Previous Law (Federal Law No. 28 of 2005)

  • 2005 Law:

    • Guardian consent was mandatory for Muslim women under Sharia principles.
    • Non-Muslims could apply their home country’s laws, but Muslim women (citizens and non-citizens) were strictly required to adhere to Sharia requirements.
  • 2024 Law:

    • Introduces greater flexibility for non-citizen Muslims to apply their home country’s laws, including provisions that may not require guardian consent for marriage.
    • Retains Sharia principles for those who do not explicitly request to apply foreign laws.

Scenarios for Muslim Women Residents

1. Non-Citizen Muslim Women Choosing Their Home Country’s Laws

  • Case: A Muslim woman from a country where the law permits her to marry without guardian consent (e.g., Turkey or the US or the UK).
  • Analysis:

    • The woman can request her home country’s laws to apply in the UAE.
    • If her home country’s laws explicitly allow independent marriage decisions, UAE courts are likely to recognize this.

2. Non-Citizen Muslim Women Applying UAE Law

  • Case: A Muslim woman resides in the UAE and does not request her home country’s law.
  • Analysis:

    • The marriage process will follow the UAE’s Sharia-based provisions.
    • Guardian consent remains the default requirement.
    • If the woman contests the guardian’s refusal, the court may:
    • Waive the guardian’s consent if deemed arbitrary or without valid Sharia justification.
    • Uphold the requirement if the court finds the guardian’s objection legitimate.

3. Non-Citizen Muslim Women in Interfaith Marriages

  • Case: A Muslim woman seeks to marry a non-Muslim man.
  • Analysis:

    • UAE law prohibits Muslim women from marrying non-Muslim men under Sharia principles, regardless of guardian consent.
    • Non-Muslim laws (if applied) may allow such marriages, but courts will reject them if they conflict with UAE public order.

Challenges and Practical Considerations

1. Court’s Role:
Even when applying foreign laws, UAE courts maintain oversight to ensure the provisions align with UAE public order and morals. This could limit the applicability of certain home country laws that contradict Sharia or UAE norms.

2. Documentation:
Non-citizen women requesting their home country’s laws must provide authenticated and translated versions of their legal provisions, which can delay or complicate the process.

3. Cultural Sensitivities:
Muslim families in the UAE may continue to adhere to traditional norms, regardless of legal flexibility, potentially discouraging women from pursuing independent marriage decisions.

Conclusion

Under Federal Decree-Law No. 41 of 2024, Muslim women who are non-citizens residing in the UAE have greater legal flexibility regarding marriage without guardian consent. Specifically:

1. By Applying Home Country Laws:

Non-citizen Muslim women can marry without guardian consent if their home country’s laws permit it. UAE courts are likely to honor these laws unless they conflict with UAE public order.

2. By Applying UAE Law:

Guardian consent remains the default requirement, but UAE courts may waive it if the guardian’s refusal is arbitrary or unjustified.

This legal reform represents a progressive step towards inclusivity for Muslim women residents in the UAE, although traditional Sharia-based principles still govern cases where no alternative law is invoked.

New UAE Personal Status Law: Muslim Residents Opt-out of Sharia

The Federal Decree-Law No. 41 of 2024 on Personal Status has introduced provisions that enable Muslim residents in the UAE to apply their respective personal status laws of their own countries, even if such laws are not based on Sharia principles. This, therefore, represents a radical change in approach, making the UAE’s legal framework more inclusive and accommodating for its multicultural expatriate population.

Key Provision: Choice of Law

1. Applicability of Home Country Laws

  • The law explicitly permits non-citizens, including Muslim residents, to request the application of their home country’s personal status laws with regard to marriage, divorce, custody, and inheritance.
  • This shall be requested by one or both parties and is subject to the acceptance of the court, provided that it does not conflict with UAE public order and morals.

2. Recognition of Non-Sharia-Based Laws

  • The law does not limit Muslim residents to Sharia principles when applying their home country’s laws, as long as these laws:
    • Are legally applied in the resident’s home country.
    • Do not conflict with the UAE’s public policy or basic principles of society.

Scope of Application

1. Marriage

  • 2005 Law:
    • Under the old law, Muslim marriages were required to conform to Sharia principles, which contain very specific provisions relating to dowry (Mahr), consent, and interfaith restrictions.
    • Muslim residents were unable to elect the application of their home country’s civil or non-Sharia-based marriage laws.
  • 2024 Law:
    • Muslim residents may now elect to apply their home country’s civil or personal laws in respect to marriage.
    • Consequently, UAE courts may recognize non-Sharia-based marriage contracts, such as civil unions, so long as they do not conflict with UAE public policy.

2. Divorce

  • 2005 Law:
    • Divorce for Muslims was governed by the Sharia, including:
    • The requirement of Talaq.
    • Khula (wife-initiated divorce) often required the wife to return her dowry or waive financial rights.
    • Many cases of judicial annulment required evidence of harm or fault.
  • 2024 Law:
    • Divorcing Muslim residents can avail themselves of their home country’s divorce laws that may provide for:
    • The ability to undertake civil divorce proceedings without having to rely on Talaq or Khula.
    • The sharing of assets based on equitable sharing rather than solely on financial contributions.
    • More gender neutrality in divorce proceedings.

3. Custody

  • 2005 Law:
    • Custody for Muslim families was granted based on Sharia.
    • Mothers retained custody until boys reached the age of 11 and girls reached the age of 13, at which point custody usually went to the father.
    • The non-monetary contributions of the custodial parent were frequently underestimated.
  • 2024 Law:
    • Muslim residents can apply the custody laws of their home countries, which may:
    • Prolong custody rights beyond the Sharia age limits.
    • Include joint custody or shared parenting arrangements.
    • The welfare of the child shall be the paramount consideration without strict adherence to Sharia principles.

4. Inheritance

  • 2005 Law:
    • Islamic inheritance laws (Faraid) were applied rigidly to Muslims, with fixed shares for heirs, such as males getting a share twice that of females.
  • 2024 Law:
    • Muslim residents can request the application of the inheritance law of their home country, which may:
    • Provide for equal division of assets irrespective of gender.
    • Allow for wills that distribute assets in a manner different from that provided under Faraid principles.
    • Give more flexibility in the appointment of beneficiaries.

Judicial Oversight

1. Role of the Court

  • The UAE courts should validate the application of the home country laws of a Muslim resident to ensure that they:
    • Do not conflict with the UAE’s public order and morals.
    • Do not contradict the UAE’s mandatory provisions of law, such as the protection of minors.

2. Public Order and Morals

  • While the UAE provides room for flexibility, any legislation that is at odds with the fundamentals of the UAE-for example, laws that permit practices contrary to public morality or in contradiction with societal mores will not be enforced.
  • For example, laws permitting same-sex marriage, or polygamy in excess of what Sharia allows could be discarded.

Advantages of the New Framework

1. Incorporation of Muslim Citizens

Recognizes the diversity within the Muslim community and the fact that many Muslim-majority countries have adopted civil or hybrid legal systems.

2. Alignment with International Standards

The UAE’s legal framework now aligns with global best practices, accommodating expatriates’ cultural and legal expectations.

3. Flexibility in Family Matters

Muslim residents can address personal status issues in ways that are more compatible with their cultural and legal backgrounds, reducing conflicts and misunderstandings.

4. Simplification of Legal Processes

Avoids cumbersome Sharia-based litigation, for those that wish to apply relatively straightforward, civil legal procedures.

Limitations and Challenges

1. Court Approval

The flexibility comes out to be conditional on court approval which may further be contested to cause delay or more litigation.

2. Conflicts with UAE Public Order

The term “public order” is defined and may give a restrictive scope to the recognition of home country laws particularly if they happen to be very different from Sharia principles.

3. Documentation and Proof

Muslim residents must provide authenticated translations and evidence of their home country’s laws, which may complicate proceedings.

Examples of Applicable Cases

1. Case of Civil Marriage

A Muslim couple from a country allowing civil marriages may register their marriage in the UAE under their home country’s laws, bypassing Sharia prerequisites.

2. Divorce with Equitable Asset Division

A Muslim resident from a country with civil divorce laws can request equitable division of marital assets instead of Sharia’s approach which focuses on the ownership of each individual

3. Inheritance Distribution:

A Muslim expatriate from a country allowing the equal distribution for sons and daughters is allowed to request this law instead of Sharia-based fixed shares.

Conclusion

Federal Decree-Law No. 41 of 2024 introduces a new development in allowing Muslim residents to apply the laws of their respective countries, even if they are not based on the Sharia. With this change, the UAE increases its legal inclusiveness, making it more accommodating to its population, while it balances such openness with adherence to its public order principles. Nevertheless, judicial oversight and the requirement for compatibility with UAE values remain critical safeguards.

New UAE Personal Status Law: Engagements

This is a detailed comparison of the engagement provisions under the Federal Decree-Law No. 41 of 2024 on Personal Status (the new law) and the Federal Law No. 28 of 2005 on Personal Status, as amended (the old law):

1. Definition and Scope

2005 Law:

  • Engagement was defined as a promise to marry between two parties.
  • It was considered a pre-contractual stage, with no binding legal obligations to proceed with the marriage.
  • Engagement could be terminated by either party without formal legal consequences.

2024 Law:

  • The new law retains the concept of engagement as a promise to marry, with no binding legal effect on the eventual marriage.
  • The focus remains on the non-binding nature of the engagement but introduces provisions to address disputes over financial consequences (e.g., gifts, dowry).

Key Difference:

  • Both laws treat engagement as non-binding, but the 2024 law provides clearer guidelines for resolving disputes related to engagement.

2. Termination of Engagement

2005 Law:

  • Either party could terminate the engagement at any time, without legal or financial penalties.
  • No explicit provision was included for the return of gifts, dowry, or compensation.

2024 Law:

  • Allows either party to terminate the engagement without penalties but includes specific provisions regarding:
    • Return of Engagement Gifts:
      • Gifts exchanged during the engagement (e.g., jewelry, cash) must be returned to the giver if the engagement is terminated, provided they are of significant financial value.
    • Dowry Reimbursement:
      • If a dowry (or part of it) was paid in advance, it must be refunded if the engagement ends before marriage.

Key Difference:

  • The 2024 law formalizes the return of gifts and dowry in cases of terminated engagements, ensuring greater financial fairness.

3. Dispute Resolution

2005 Law:

  • No specific provisions for resolving disputes arising from terminated engagements.
  • Courts generally relied on Islamic jurisprudence and discretionary judgment to settle disputes over engagement-related claims.

2024 Law:

  • Provides clear legal mechanisms for resolving disputes related to engagement termination, including:
    • The right to claim the return of valuable gifts or dowry through court proceedings.
    • Provisions to address situations where gifts were consumed or damaged.

Key Difference:

  • The 2024 law introduces structured and detailed rules for resolving disputes, reducing reliance on judicial discretion.

4. Financial Consequences

2005 Law:

  • Engagement carried no explicit financial consequences if terminated.
  • Claims for compensation or recovery of gifts were generally not entertained unless explicitly agreed upon during the engagement.

2024 Law:

  • Introduces provisions to address financial implications:
    • Return of Monetary Contributions:
      • Any significant monetary contribution by one party during the engagement can be claimed back if the engagement is terminated.
    • Exclusion of Consumables:
      • Gifts consumed during the engagement (e.g., flowers, meals, travel expenses) cannot be reclaimed.

Key Difference:

  • The 2024 law explicitly defines which financial contributions can or cannot be reclaimed, providing greater clarity and fairness.

5. Applicability to Non-Muslims

2005 Law:

  • Engagement provisions applied equally to Muslims and non-Muslims.
  • Non-Muslims were generally subject to Islamic principles unless they invoked the personal status laws of their home country.

2024 Law:

  • Offers flexibility for non-Muslims:
    • Non-Muslims can request the application of their home country’s laws for engagement-related disputes.
    • If no such request is made, the default provisions of the 2024 law apply.

Key Difference:

  • The 2024 law provides non-Muslims with greater options to apply their own legal frameworks, aligning with the UAE’s multicultural context.

6. Moral and Ethical Considerations

2005 Law:

  • Engagement was viewed as a moral obligation rather than a legal one.
  • A breach of engagement carried no enforceable consequences, focusing instead on cultural norms and family expectations.

2024 Law:

  • Retains the emphasis on the non-binding nature of engagement but introduces safeguards to prevent financial exploitation or unfair treatment.
  • Focuses on transparency and fairness in resolving disputes, particularly those involving significant financial contributions.

Key Difference:

  • The 2024 law formalizes engagement-related disputes, balancing cultural sensitivity with legal protections.

Summary of Key Differences

ASPECT

2005 LAW

2024 LAW

Binding Nature

Non-binding, moral obligation

Non-binding, with financial dispute provisions

Termination

Allowed; less explicit scenarios regarding the return of gifts

Allowed; requires return of significant gifts/dowry

Dispute Resolution

More discretionary; non-inclusion of potential contractual agreements regarding termination of engagements

Clearer mechanisms for returning gifts and contributions + recognition of specific scenarios and types of gifts

Financial Consequences

No explicit financial provisions

Defined rules for returning valuable gifts or dowry

Non-Muslim Applicability

Limited flexibility

Greater flexibility to apply home country laws

This comparison shows that Federal Decree-Law No. 41 of 2024 modernizes and formalizes engagement provisions, ensuring fairness in financial matters and providing greater clarity for dispute resolution.

Common Business Pitfalls and Lessons for Success in the UAE

The UAE is indeed the hotbed of innovation—a land of opportunity that invites business houses from across the world with open arms. While the soil is fertile for the business to thrive in this part, the environment does present some very exclusive challenges. Not very often will a startup or new venture collapse in a catastrophic fallout for potential fault lines, but some disastrous missteps within the initiation cycle. Being able to identify those pitfalls and learning from them is key to creating a sustainable and successful business.

Importance of Strong Financial Foundations

Scaling a business with external funding for which financial planning has not been rightly done is one of the major reasons for business failure. Businesses that grow too fast without having a strong financial backbone mostly face problems in sustaining the business in the long run. It is interesting to note herein that the key to sustainable growth is building within one’s means and avoiding undue financial dependencies. Success is not about immediate expansion; it is more about building a strong foundation that sustains gradual, progressive development.

Lack of Due Diligence

Common mistakes entrepreneurs make include complete failure or lack of due diligence. The excitement and drive that define entrepreneurship can lead to the commitment to decisions without sufficient investigation and deeper analysis behind promising surface-level information. It invites unforeseen difficulties since many challenges are unveiled afterward. Detailed investigation and claims verification beforehand is critical to not suffering from excessive error margins, which involve substantial costs through agreement or partnership engagements.

Unrealistic Planning—Lack of Business Acumen

A second, more general problem of unrealistic planning is that, disproportionately, entrepreneurs focus on marketing, branding, and creating fake appearances of success, while little or no attention is paid to actual development related to the core business operations. Over-optimistic budgeting and forecasting lead to a financial shortage and operational inefficiency. Business success requires both some kind of visionary idea and pragmatic strategies down the line, such as detailed financial planning combined with an operational excellence approach.

Warning Signs of Instability

Some practices raise an alarm with respect to instability in the business. Secrecy, inability to answer direct questions, and an over-smooth storyline are warning signals. Similarly, very complicated explanations for simple operations, such as delays in banking or compliance, should raise further inquiry. Transparency and frankness go a long way in building trust, both internally and externally, for stability.

The Role of Professional Guidance

Most businesses don’t get professional support, believing it to be an unnecessary expense. This, together with a string of other causes, results in unenforceable contracts, poor financial management, and even legal risks. At each step in law, finance, and operations, professional involvement provides the business with a good backbone on which risks are minimized and success well pronounced in terms of better longevity. While technology and tools will help bring better decisions, they cannot replace the depth that experienced professionals will bring to an organization.

Characteristics of Successful Ventures

Successful businesses do have some things in common. They care about due diligence, realistic financial planning, and substance over form. The businesses focus on operational fundamentals, the deployment of proper talent to deliver on the vision. The use of professional advisors and openness in business also characterizes businesses that achieve long-term success.

Key Lessons for Budding Entrepreneurs

An entrepreneur in the UAE will have to be duly built with a strategy if he or she is to thrive in this competitive business milieu. Knowing one’s limitations and seeking professional advice are key beginnings toward a resilient enterprise. Emphasizing due diligence, growth sustainability, and transparency in all aspects of operations can help a business navigate challenges into position and prosperity.

Success in the UAE is not all about innovation or rapid expansion. It is essentially about creating an organized and flexible business that can withstand challenges, capitalize on emerging opportunities, adopt these, and help the entrepreneurs realize their dream into a permanent reality.

Understanding Medical Malpractice in the UAE

Medical malpractice is defined as mistakes made due to negligence that lead to severe injury or damage to a patient. The UAE has a formal system for reporting, investigating, and acting on such incidents through various federal laws and regulations.

Reporting Medical Malpractice

A complaint about a medical procedure may be filed with the Dubai Health Authority or the Ministry of Health (“Health Authority”). The following steps are taken in the process:

  • Submission. A complaint is thrown to the Health Authority.
  • Investigation. A committee comprising seven to nine doctors investigates the complaint by interrogating involved medical practitioners and relevant medical tests and reports.
  • Result. The Health Authority issues a report categorizing the incident as:
    • No medical malpractice
    • Minor medical malpractice
    • Major medical malpractice

Categories of Medical Malpractice

Medical errors are considered major medical malpractice if they result in:

  • Death of the patient or infant
  • Accidental removal of an organ
  • Loss of organ function
  • Any other gross damage

For these errors to be termed medical malpractice, they must emanate from negligence to include:

  • Extreme ignorance of recognized medical principles
  • Following of unrecognized methods
  • Unjustified deviation from medical rules and practices
  • Practicing under the influence of anesthesia or psychotropic substances
  • Gross negligence, like leaving tools inside a patient’s body, incorrect dosage of medicines, and/or incorrect functioning of medical equipment

Appeal for Investigation Process

Within a span of thirty days, the result of the investigation can be appealed by the medical professional or the patient/family of the patient. It gets forwarded to the Supreme Medical Liability Committee, decisions of which cannot be further appealed.

Aftermath of Medical Malpractice

Once the committee determines the occurrence of medical malpractice, three kinds of redressal can take place:

  • Criminal Penalties. Financial fines and/or imprisonment, depending on the severity of the mistake.
  • Administrative Penalties. Sanctions, as provided under the 2019 Federal Law, in respect of the Practice of the Medical Profession.
  • Civil Liability. The patient, or relatives, if reasonably justified, can sue for civil damages against the concerned erring doctors.

Claiming Refund of Rental Deposit in Dubai

This article is going to show how tenants in Dubai can claim a refund of their rental deposit, especially in disputed cases with the landlord. We are going to break it down into simple questions and answers.

Q1: What to do if your landlord refuses to refund your rental deposit?
An RDC, therefore, needs such a request for refund of the deposit amount in case the landlord refused to return such deposit at all, partially, or in due form and in due time.

Q2: Why is this an important issue for tenants?
This is an important issue because the deposits are a big amount for most tenants. These funds create financial stress and disturb a tenant’s life when these funds are disputed, interfering with their ability to seek new housing. A specified process of claiming refunds exists to protect the rights of tenants and ensure fair treatment for them.

Q3: What are some common reasons why landlords refuse to refund rental deposits?
Landlords do not always refund deposits for various reasons. Common examples include:

  • Claiming the tenant caused damage to the property.
  • Alleging the tenant left the property in an unclean condition.
  • Disputing unpaid rent or utility bills.
  • Citing breach of lease terms.

These can also aid a tenant in building up a case for refund arguments.

Q4: On what basis, and under what circumstances, is a landlord permitted to dispute the refund of a deposit?
Landlords can also contest a refund if, to them, there is a legitimate reason for doing so. These may include:

  • Recorded evidence regarding property damage that is in excess of normal wear and tear.
  • Photographic or written evidence that the property was not left in the state agreed upon.
  • Unpaid rent or utility bills on record.
  • Proof of the violation of lease terms by the tenant.

These claims have to be supported with clear evidence to stand in dispute resolution.

Q5: When is the request of landlords to keep the deposit valid?
The request of the landlords to keep the deposit is valid only when landlords can provide solid evidence for their claims. This includes damage, uncleanliness of the premises, bills, and violation of the lease. Without clear evidence, the request to keep deposits is not justified and can be objected to by the tenant.

Q6: How often does it happen that the landlords are able to prove that the keeping deposit is valid?
While landlords may be sometimes able to prove their reason for retention, that is not always the case. Usually, disputes arise due to subjectivity or lack of adequate evidence. For such a case, it is incumbent upon the tenants to show that the evidence does not support the reason being forwarded by the landlord for retaining the deposit.

Q7: What are the steps to make a request with the RDC?
In cases between tenants and landlords, it is supposed that the tenants will request from the RDC a “Payment Writ.” Under the New Case tab in the RDC online portal this can be accessed.

Q8: Is it complicated?
No, the process is normally easily accessible, simple, and efficient. The tenants are allowed to file their cases without any legal representation. The RDC online portal is user-friendly and negates the need for physical visits or in-person court hearings.

Q9: Can tenants use the RDC website in English?
Yes, the RDC website can be navigated in English, but all petitions and submissions have to be in Arabic. Furthermore, any supporting documents that are not originally in Arabic should be legally translated.

Q10: What is the filing fee for a case involving a Payment Writ?
The payment for filing a case in the Payment Writ is 3.5% of the claimed amount, with a minimum payment of AED 500 and a maximum of AED 15,000.

Q11: How long will it take to get a decision on a Payment Writ case?
A decision in the case of Payment Writ usually takes one day if all required documents are provided.

Q12: What is the sequence of procedures to be followed to have a smooth process in filing a Payment Writ?

  • Login to the RDC online portal.
  • Click the New Case tab, then select “Payment Writ.”
  • Ensure all pleadings and supporting documents are in Arabic or legally translated.
  • Submit your case online and pay the required fee.
  • Wait for the decision, which is usually within one day.

Conclusion
Filing a request for the refunding of your rental deposit with the RDC is relatively easy and smooth. Your smooth processing depends on just following these steps and having all your documents ready. Good luck!