Legislation Details
- Full Title: Cabinet Resolution Regulating the Trust Register
- Law Type: Cabinet Resolution
- Law Number: No. (70) of 2021
- Issued Date: 01 Jul 2021
- Effective Date: [not specified]
- Official Gazette: No. 706
- Sector: Finance and Banking
- Status: Active
- Number of Articles: 37
- Chapters/Parts: 0
- Amendments: 1
Summary
This Cabinet Resolution regulates the Trust Register in the United Arab Emirates. It establishes the Emirates Integrated Registries Company (EIRC) as the manager of the Trust Register and outlines the services it must provide, including recording trust instruments, maintaining the register database, and issuing certificates. The resolution also specifies the data required for trust registration, the procedures for registration and search, and the fees charged for the register's services. Overall, this legislation aims to create a centralized system for documenting and accessing information about trusts established in the UAE. (Cabinet Resolution Regulating the Trust Register, 2021, Arts. 1-17)
What is the scope and purpose of this law?
The scope of this Cabinet Resolution is to regulate the Trust Register in the UAE, as established under Article 47 of Federal Decree-Law No. (19) of 2020 Concerning Trust. The purpose is to provide a centralized system for recording and accessing information about trusts created in the UAE. The resolution applies to any person or entity seeking to register a trust instrument in the UAE. (Cabinet Resolution Regulating the Trust Register, 2021, Arts. 1-3)
What are the key definitions under this law?
The Cabinet Resolution provides the following key definitions:
- State: The United Arab Emirates
- Minister: The Minister of Finance
- Decree-Law: Federal Decree-Law No. (19) of 2020 Concerning Trust
- Trust: The process of allocating property under a trust instrument for the beneficiary to achieve an interest or for achieving a charitable or personal objective
- Trust Property: Any movable or immovable property and objects related thereto or classified among its requirements, and any existing or potential right inside or outside the State
- Trust Creator: A person who creates the Trust and provides its property
- Trust Holder: A person appointed to realize the beneficiary's interest or the Trust objective
- Beneficiary: A person for whom a personal right is created under the Trust Instrument
- Trust Instrument: A written or electronic document executed by the Trust Creator to create the Trust
- Register: The e-register outlined under this Resolution to record and document the Trust Instrument
- EIRC: Emirates Integrated Registries Company, the company managing the Trust Register
(Cabinet Resolution Regulating the Trust Register, 2021, Art. 1)
What are the main obligations and requirements?
The main obligations and requirements under this Cabinet Resolution are: 1. Any person wishing to register a trust instrument must create a client account on the Register's website and provide the required data. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 6) 2. The Register must issue an electronic confirmation when a trust instrument is registered, including the registration date and time, registration number, and the data recorded. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 6) 3. The Trust Creator, Trust Holder, and Trust custodian may apply to the Register to obtain an authenticated certificate of the data recorded in the registered trust instrument. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 7) 4. The Register must reject the registration of a trust instrument if required data is missing or illegible, but may not reject it for other reasons. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 8)
What licensing, registration, or approval requirements exist?
This Cabinet Resolution does not specify any licensing, registration, or approval requirements beyond the obligation to create a client account on the Register's website in order to register a trust instrument. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 6)
What rights and protections does this law provide?
The Cabinet Resolution provides the following rights and protections: 1. The Beneficiary may request access to the Register's database to the extent of their share of the trust revenue, unless otherwise specified in the trust instrument. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 13) 2. The Register may only disclose data recorded in the database in compliance with an order issued by a competent court. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 13) 3. A material or partial error in data related to a beneficiary, the trust purpose, or trust conditions does not lead to the ineffectiveness of the registration. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 11)
Which authorities or bodies are responsible for enforcement?
The Cabinet Resolution establishes the Emirates Integrated Registries Company (EIRC) as the manager of the Trust Register, responsible for managing its affairs, supervising it, and bearing the expenses of its management and service provision. The Minister of Finance is also empowered to issue resolutions necessary for implementing the provisions of this Resolution. (Cabinet Resolution Regulating the Trust Register, 2021, Arts. 2, 15)
What are the penalties for non-compliance?
The Cabinet Resolution does not specify any penalties for non-compliance.
What fees, charges, or financial provisions are specified?
The Cabinet Resolution states that fees will be charged for the services provided by the Trust Register, as indicated in a schedule attached to the resolution. The Cabinet is authorized to introduce any modifications to these fees. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 14)
What exemptions or exceptions apply?
The Cabinet Resolution does not specify any exemptions or exceptions.
How are disputes resolved under this law?
The Cabinet Resolution does not specify any dispute resolution mechanisms.
What are the key deadlines and time limits?
The Cabinet Resolution does not specify any deadlines or time limits.
How does this law interact with other UAE legislation?
This Cabinet Resolution is issued pursuant to Federal Decree-Law No. (19) of 2020 Concerning Trust, which established the Trust Register. The Resolution regulates the operations of the Trust Register in accordance with the Decree-Law. (Cabinet Resolution Regulating the Trust Register, 2021, Preamble)
When did this law come into effect?
The Cabinet Resolution states that it shall enter into force on the day following the date of its publication in the Official Gazette, but does not specify the effective date. (Cabinet Resolution Regulating the Trust Register, 2021, Art. 17)
Source Documents
This article analyses Cabinet Resolution Regulating the Trust Register 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.