As a South African national, having a valid Will is crucial to ensure that your assets are distributed according to your wishes after you die.
However, if you either reside in the UAE or have assets located in the UAE, it is important to consider creating a DIFC Will.
What is a DIFC Will?
The DIFC is a financial free zone located in Dubai, UAE. It has its own legal system and courts, separate from the rest of the UAE. The DIFC Wills Service Centre (the WSC) was established in 2015 to provide non-Muslim expatriates and investors with a mechanism for creating a Will that is recognised under DIFC law.
A DIFC Will is a formal legal document that specifies how an individual’s assets shall be distributed after they die. The WSC allows for both full and limited DIFC Wills. A full DIFC Will could cover all assets located anywhere in the world and may appoint guardianship over minor children, while a limited DIFC Will covers only specific assets or appointments located in the UAE.
What are the benefits of a DIFC Will for a South African?
- Avoids Sharia Law: The UAE is an Islamic country, and Sharia law applies to all Muslims in matters of inheritance. Therefore, without a valid Will, your assets located in the UAE may be distributed according to Sharia law. For non-Muslims, creating a DIFC Will ensures that if they reside in the UAE or where they have assets located in the UAE, then these are distributed according to their wishes, and not according to Sharia law. The new Personal Status law introduced in the UAE now makes this position clear.
- International recognition: A DIFC Will is recognised internationally, which means that under normal circumstances it should be honored in most jurisdictions worldwide. This is particularly beneficial for South African nationals who may have assets located in other countries besides the UAE.
- Faster probate process: The probate process for a DIFC Will is generally quicker and less expensive than the probate process for a Will in South Africa. This is because the WSC has a streamlined probate process that is designed to handle the distribution of assets located in the UAE as well as the appointment of Guardians to minor children.
- English language: A DIFC Will is created in English, which is beneficial for South African nationals who speak English as a first or second language. This ensures that there is no confusion or misinterpretation of the Will due to language barriers.
- Confidentiality: The WSC maintains a high level of confidentiality for all DIFC Wills. This means that your wishes and distribution of assets remain private and confidential.
- Appointment of Guardians: A DIFC Will is the only Will which solely allows the appointment of Guardians.
- Efficient Process: A DIFC Will is a straightforward, simple three step process. (i) Consult, (ii) Draft Will, (iii) Register Will. The Will is registered now so you have peace of mind that its validity should not be challenged when required.
A DIFC Will is a vital legal document for South African nationals who either reside in the UAE or who have assets located in the UAE.
It ensures that their assets are distributed according to their wishes, avoids Sharia law, is internationally recognised, has a faster probate process, is created in English, and maintains a high level of confidentiality.
If you are a South African national who either resides in the UAE or who has assets located in the UAE, it is highly recommended that you consider creating a DIFC Will.
Shallon CSP provide Private Wealth and Corporate Structuring, Company formation and succession planning both in the UAE and internationally.
Our DIFC Wills team are qualified and practicing Solicitors and have assisted many clients with their succession planning and estate administration.
Our knowledge of the law and international legislation extends well beyond the borders of the UAE.
We have a truly global legal network, provide a superior service, and ensure a transparent fee structure with no surprises.
Contact us at Shallon CSP today for our free initial consultation.
