Legislation Details
- Full Title: Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees
- Law Type: Cabinet Resolution
- Law Number: No. (141) of 2023
- Issued Date: 29 Dec 2023
- Effective Date: 16 Jan 2024
- Official Gazette: No. 767
- Sector: Finance and Banking
- Status: Active
- Number of Articles: 26
- Chapters/Parts: 0
- Amendments: 0
Summary
This Cabinet Resolution sets out the minimum requirements for licensing professional legal persons and professional trustees in the UAE. It aims to regulate the licensing of entities that provide trust services and manage assets on behalf of clients. The Resolution is significant for businesses and individuals in the UAE finance and banking sector, as it establishes a framework to ensure professional competence and integrity in the provision of trust and asset management services. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 1-2)
What is the scope and purpose of this law?
The Resolution applies to the licensing of "Professional Legal Persons" and "Professional Trustees" in the UAE. It establishes the minimum requirements and procedures that must be followed by the designated Licensing Authority in each Emirate when issuing licenses for these entities. The purpose is to ensure a consistent and robust framework for regulating the provision of trust and asset management services in the UAE. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 2)
What are the key definitions under this law?
The Resolution provides the following key definitions:
- Decree-Law: Federal Decree-Law No. (31) of 2023 Concerning Trust.
- License: The licence of the Professional Legal Person and/or Professional Trustee, depending on the context.
- Licensing Authority: The competent authority appointed by each Emirate in the UAE to issue licences for Professional Legal Persons and Professional Trustees.
- Senior Management Positions: General Manager, Executive Board Member or equivalent in relation to these positions.
(Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 1)
What are the main obligations and requirements?
The Resolution imposes the following key obligations: 1. Professional Legal Persons must not be bankrupt or subject to financial reorganization, and must have a Professional Trustee or professional custodians on staff. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 3(1)) 2. Professional Trustees must be fully qualified, at least 21 years old, have a university degree, and have at least 3 years of relevant practical experience. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 4(1)) 3. Professional Legal Persons and Professional Trustees must submit a license application with supporting documents to the Licensing Authority. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 3(2), Art. 4(3))
What licensing, registration, or approval requirements exist?
The Resolution outlines the following licensing requirements: - Professional Legal Persons must apply for a license with the Licensing Authority in the relevant Emirate. The application must include details about the legal person, its trustees, management, finances, and compliance. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 3(2)) - Professional Trustees must apply for an individual license with the Licensing Authority, providing personal details, qualifications, and experience. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 4(3)) - The Licensing Authority must review and decide on license applications within 10 working days, either granting or rejecting the license based on the requirements. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 6)
Which authorities or bodies are responsible for enforcement?
The key authorities and bodies responsible under this Resolution are: - The Licensing Authority: The competent authority appointed by each Emirate in the UAE to issue licenses for Professional Legal Persons and Professional Trustees. The Licensing Authority is responsible for reviewing and deciding on license applications, as well as enforcing the requirements of the Resolution. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 1, Art. 6)
What fees, charges, or financial provisions are specified?
The Resolution states that the Licensing Authority in each Emirate shall set the fees for licensing Professional Legal Persons and Professional Trustees. However, it does not specify any exact fee amounts. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 5)
What are the key deadlines and time limits?
The Resolution outlines the following key deadlines and time limits: - The Licensing Authority must complete the review of a license application within 10 working days of receiving the complete application. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 6(1)) - License renewal applications must be submitted within 30 days before the expiration of the current license. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 7(2)) - Professional Legal Persons and Professional Trustees must notify the Licensing Authority of any amendments to their license data within 15 days. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Art. 9)
How does this law interact with other UAE legislation?
The Resolution references the following related UAE legislation: - The Constitution of the UAE - Federal Law No. (1) of 1972 Concerning the Competences of Ministries and Powers of Ministers, and its amendments - Federal Decree-Law No. (31) of 2023, Concerning Trust (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Preamble)
When did this law come into effect?
This Cabinet Resolution was issued on 29 December 2023 and came into effect on 16 January 2024, the day following its publication in the Official Gazette No. 767. (Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees, 2023, Issued Date, Effective Date)
Source Documents
This article analyses Cabinet Resolution Concerning the Requirements for Licensing Professional Legal Persons and Professional Trustees for legal research and educational purposes. For the purpose of interpretation and application, reference must be made to the original Arabic text. In case of conflict, the Arabic text prevails. This does not constitute legal advice.