RAK offshore companies provide a strong estate planning feature by offering its investors/shareholders to protect their asset through Wills registered with the DIFC Wills Service Centre (DIFC WSC) either in Dubai or Ras Al Khaimah. These Wills are written in accordance with the DIFC Wills & Probate Registry Rules which are based on the principles of English law. This feature is available to Non-Muslims only.
These Wills provide the shareholders an option to choose their beneficiaries in accordance with their own wishes. The Wills can be registered remotely through a video conference call with the DIFC WSC from any location in the world.
The main types of Wills that may be relevant to the shareholders of RAK offshore companies are described below:
Related: 4 Key Differences Between Offshore and Free Zone Companies in UAE
1. DIFC Full Will
A DIFC Full Will is suitable for any individual who owns shares in a RAK offshore company along with any other assets in the UAE (such as personal bank accounts or real estate). The Will covers all the immoveable and moveable assets situated in the UAE and provides an option to the testator to cover any assets outside the UAE based on the legal advice on the enforceability of the DIFC Will in the relevant jurisdiction.
A DIFC Full Will also provides flexibility to the testator to include multiple layers of beneficiaries.
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2. DIFC Business Owners Will
A Business Owners DIFC Will is suitable for the investors/shareholders who do not own any assets other than shares in a RAK offshore or other legal entity in the UAE. This type of Will covers shares in up to five (5) legal entities owned by the testator in the UAE.
This Will does not cover any assets outside the UAE.
Single Will vs. Mirror Wills
Once the investor/shareholder has selected the DIFC Full Will or Business Owners Will, they can choose one of the following two (2) types of Wills depending upon their personal situation:
(a) DIFC Single Will
This Will is suitable if the testator is the sole owner of shares/assets in the UAE. Each of DIFC Full Will and DIFC Business Owners Wills can be written as Single Wills by individuals.
(b) DIFC Mirror Wills
DIFC Mirror Wills are suitable if the testators are married individuals and each of the spouses own shares/assets in the UAE either in their individual names or joint names. The UAE law does not recognize the survivorship rights and any married individuals owning joint assets should have mirror wills to protect each other if one spouse passes away.
Each of DIFC Full Will and DIFC Business Owners Wills can be written as mirror wills by individuals.
We are duly registered with DIFC WSC as a law firm and prepare and register all types of DIFC Wills for our clients.