Legislation Details
- Full Title: Federal Decree by Law Concerning the Regulations of Public Welfare Association
- Law Type: Federal Decree-Law
- Law Number: [50] of 2023
- Issued Date: 02 Oct 2023
- Effective Date: 31 May 2024
- Official Gazette: No. 762
- Sector: Family and Community
- Status: Active
- Number of Articles: 156
- Chapters/Parts: 0
- Amendments: 0
Summary
This Federal Decree-Law regulates the establishment and operation of public welfare associations in the United Arab Emirates. It defines the different forms of public welfare associations, the scope of permissible activities, and the requirements for their establishment and management. The law aims to promote and facilitate the work of non-profit organizations engaged in social, cultural, educational, and other public welfare initiatives across the UAE. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 1-72) The law is significant for businesses, non-profits, and individuals involved in the public welfare sector in the UAE. It provides a comprehensive legal framework to govern the registration, operations, and oversight of public welfare associations. This includes requirements for membership, board composition, financial management, and penalties for non-compliance. The law also establishes a national society and union structures to coordinate public welfare activities at the federal and local levels. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 1-72)
What is the scope and purpose of this law?
The Federal Decree-Law applies to all public welfare associations licensed and operating within the UAE, including in free zones. It excludes associations established under local decrees or laws, but requires them to comply with certain provisions related to record-keeping, prohibitions, and oversight. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 2) The purpose of the law is to regulate the establishment, management, and activities of public welfare associations in the UAE. It defines the permissible forms of such associations, the scope of public welfare activities they can engage in, and the requirements and procedures for their licensing and operation. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 1-5)
What are the key definitions under this law?
The law provides the following key definitions:
- State: United Arab Emirates
- Ministry: Ministry of Community Development
- Minister: Minister of Community Development
- Local Authority: Local government authority responsible for licensing, supervising, and controlling public welfare associations
- Competent Authority: Local authority or the Ministry in emirates without a local competent authority
- Public Welfare Associations: Private legal persons licensed to practice one or more public welfare activities without primarily aiming to achieve profit
- Public Welfare Activities: Activities in the social, cultural, scientific, educational, professional, creative, artistic, recreational, and environmental fields, as well as providing humanitarian services and achieving a purpose of righteousness or solidarity
- Association: Group of natural persons established to practice public welfare activities without aiming to achieve profit
- National Society: Legal person created by one or more natural person founders to practice public welfare activities without aiming to achieve profit
- Union: Group of at least five national societies or associations practicing similar public welfare activities
- Social Solidarity Fund: Fund created by legal persons to enhance solidarity and interdependence among its members
- Register: Ministry's central database for public welfare associations in the UAE
(Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 1)
What are the main obligations and requirements?
The law imposes the following key obligations and requirements on public welfare associations: 1. Associations must be licensed by the competent authority and approved by the Ministry before practicing any public welfare activities. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 5) 2. Associations must have by-laws that comply with the provisions of the law and its executive regulations. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 9) 3. Associations must maintain proper records and documents as specified in the law. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 19) 4. Associations must comply with controls and procedures to combat money laundering and terrorist financing. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 52) 5. Associations must submit their final accounts and draft annual budget to the competent authority. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 39)
What licensing, registration, or approval requirements exist?
The law requires public welfare associations to be licensed by the competent local authority and approved by the Ministry of Community Development before they can commence operations. The application for establishment must include specific documents and information, and the competent authority reviews the application according to the procedures and controls in the executive regulations. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 12) The competent authority is responsible for renewing the association's license in accordance with the procedures and controls in the executive regulations. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 12) The law also requires associations to register in the Ministry's central database (the "Register") and provide all relevant data and information about their activities. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 7)
What rights and protections does this law provide?
The law does not explicitly outline any specific rights or protections granted to public welfare associations or their members. However, it does provide for an appeal process if an association's declaration application is rejected by the competent authority. In such cases, the temporary committee can appeal to the Minister within 30 days, and the complainant has the right to resort to the court within 60 days if the appeal is rejected or not decided upon. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 13)
Which authorities or bodies are responsible for enforcement?
The key authorities and bodies responsible for the enforcement of this law are: 1. The Ministry of Community Development, which is responsible for approving the establishment of associations, maintaining the central register, and coordinating with local authorities. 2. The local authorities in each emirate, which are responsible for licensing, supervising, and controlling public welfare associations within their jurisdiction. 3. The competent authority, which is either the local authority or the Ministry in emirates without a local competent authority, and is responsible for the day-to-day oversight and enforcement of the law's provisions. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 1, 7, 12)
What are the penalties for non-compliance?
The law does not specify any penalties for non-compliance. It states that the executive regulations will regulate violations and administrative sanctions, but the source text does not provide any details on the actual penalties. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 64)
What fees, charges, or financial provisions are specified?
The law does not specify any fees, charges, or other financial provisions related to public welfare associations. It only states that the associations' financial resources can include membership fees, donations, grants, and other sources determined by the executive regulations. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 35)
What exemptions or exceptions apply?
The law provides the following exemptions and exceptions: 1. Public welfare associations established pursuant to local decrees or laws are excluded from the provisions of this federal decree-law, except for certain articles related to record-keeping, prohibitions, and oversight. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 2) 2. The Cabinet may, based on the Minister's proposal and in coordination with the local authority, exclude certain conditions for the establishment of associations or determine other forms of public welfare associations. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 8, 3)
How are disputes resolved under this law?
The law does not specify any dispute resolution mechanisms or procedures for public welfare associations. It only provides for an appeal process if an association's declaration application is rejected by the competent authority, as mentioned in the "Rights and Protections" section above. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 13)
What are the key deadlines and time limits?
The law specifies the following key deadlines and time limits: 1. The competent authority must issue a resolution announcing the establishment of an association within 10 working days of approving its license. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 12) 2. The temporary committee can appeal the rejection of an association's declaration application within 30 days of receiving the notification. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 13) 3. The complainant has the right to resort to the court within 60 days of being notified of the rejection of the appeal or the deadline for deciding the appeal passing without a response. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 13)
How does this law interact with other UAE legislation?
The law references the following related UAE legislation: 1. Federal Law No. 1 of 1972 on the Jurisdictions of Ministries and Powers of Ministers, as amended. 2. Federal Law No. 2 of 2008 on Public Welfare Associations and National Societies, as amended. 3. Federal Decree-Law No. 20 of 2018 on Combating Money Laundering and the Financing of Terrorism and Illegal Associations, as amended. The law repeals Federal Law No. 2 of 2008 on Public Welfare Associations and National Societies. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 71)
When did this law come into effect?
This Federal Decree-Law No. 50 of 2023 Concerning the Regulations of Public Welfare Association was issued on 02 October 2023 and will come into effect on 31 May 2024. (Federal Decree by Law Concerning the Regulations of Public Welfare Association, 2023, Art. 72)
Source Documents
This article analyses Federal Decree by Law Concerning the Regulations of Public Welfare Association 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.