As an expatriate in the United Arab Emirates (UAE), dealing with the complex landscape of local laws and regulations can be challenging. Making a will is one important step in estate planning that is frequently disregarded. This mistake could have severe consequences for your assets and your loved ones. In this guide, we’ll explore the importance of having a will as an expat in the UAE, look into the unique legal considerations, and equip you with the knowledge to protect your legacy in this vibrant Middle Eastern nation.

The UAE Legal Situation: Sharia Law and Expatriate Considerations

Based on our previous discussion of Sharia law, it is of paramount importance to fully understand how the demands of non-Muslim expatriates in the United Arab Emirates interact with this legal framework. Although the UAE’s legal system is based on Sharia law, the nation has acknowledged the need to accommodate its sizable expat population.

For non-Muslim expats, the UAE has introduced laws allowing greater flexibility in estate planning. The most significant of these is the ability to create a will that follows common law principles rather than Sharia law. This provision holds great importance, as it allows expatriates to distribute their assets according to their wishes, rather than following the fixed inheritance shares prescribed by Sharia law. However, it’s important to note that without a properly registered will, an expatriate’s assets in the UAE may still be subject to Sharia law by default. This underlines the importance of understanding and dealing with the UAE inheritance law for expats.

Why do expats need a will in the UAE?

If you’re an expatriate living in the UAE, you might wonder whether you need a will. The short answer is: most likely, yes. It is necessary for asset protection (distribute according to your wishes), family security (appoint guardians, make provisions for financial security), business continuity (ensure the smooth transition of your business interests) and to avoid conflicts between Sharia Law and your personal or cultural preferences for asset distribution. For expats with assets in multiple countries, a UAE will be part of a comprehensive estate plan that covers all your global assets.

Steps to Creating a Will in the UAE for Expats

The steps to create a will for expatriates are slightly different from those for residents (emiratis). While the residents have to follow inheritance based on Sharia Law, the expats can choose between Sharia Law and their home country’s law. While the residents have to register their wills with local UAE courts, expats have to register their wills with specialized centers like the DIFC.

Before drafting a will, an expat should have a good knowledge of the inheritance system in the UAE. You can seek legal advice from lawyers and choose the type of will you want from among the many that best suits your needs. Then, you list your assets, decide on the beneficiaries, and appoint an executor while also considering guardianship for the children, if any. And lastly, write your will, get it witnessed and notarised and finally register it with the appropriate authority. Your job doesn’t end here: you have to make sure to review your will and update it if there is a need.

Navigating the complexity: Special Considerations for Expats

Being an expat, you need to consider a few factors and challenges like the following: 

• Home Country Laws: Your UAE will should be compatible with inheritance laws in your home country to avoid potential conflicts.
• Dual Wills: Consider creating separate wills for your UAE assets and assets in other countries to ensure comprehensive coverage.
• Tax Implications: Understand how your UAE will might impact your tax obligations in your home country or other places where you hold assets.

Conclusion

As an expat in the UAE, creating a will is not just a legal formality but is a crucial step in protecting your assets and providing for your loved ones. By understanding the unique aspects of UAE inheritance law for expats and taking proactive steps to create a comprehensive will, you can ensure that your legacy is preserved and your wishes are respected, even in a foreign land.

Frequently asked questions:

1. Can an expat create a will in their home country for UAE assets?

While it’s possible, it’s generally recommended to create a separate UAE will for assets located in the UAE to ensure it complies with local laws and is easily executable.

2. What happens if an expat dies without a will in the UAE?

   Without a will, an expat’s UAE assets may be distributed according to Sharia law, which might not align with their wishes or home country laws.

3. How often should a UAE will for expats be updated?

   It’s advisable to review your will every 2-3 years or after any significant life event such as marriage, divorce, birth or adoption of a child, or acquisition of new assets.

4.Can the UAE will cover assets in other countries?

   While possible, it’s often more effective to have separate wills for different jurisdictions to ensure compliance with local laws and easier execution.