The UAE has introduced a further package of legislative reforms that, from 1 January 2026, clarifies how estates are administered where a foreign resident dies without identifiable legal heirs. The updated framework is intended to reduce procedural uncertainty, shorten delays in probate steps, and provide clearer outcomes for assets situated in the UAE.
Under the new rules, assets in the UAE that form part of an “heirless” estate—such as bank balances, real estate interests and shares in local companies—may be transferred to approved charitable foundations as a Waqf endowment, following completion of the relevant court process.
From a corporate perspective, these changes are particularly relevant where employers hold end-of-service benefits, salary balances, equity-plan proceeds or other payments due to an employee at the time of death. Organisations should expect increased scrutiny around whether a registered will exists and should be prepared for the possibility that, where no heirs are established, funds may ultimately be directed to charitable entities in accordance with the statutory mechanism.
Key points for families, estate planning and HR teams
The reforms also adjust the position of minors in inheritance matters by reducing the age at which a minor may apply to the court to manage inherited assets to 15 (Gregorian) years, subject to judicial oversight and safeguards. In practice, this may enable earlier operational decision-making in family-owned businesses while maintaining court supervision over material transactions.
For non-Muslim expatriates, the legislation further consolidates a more uniform, gender-neutral distribution approach in intestacy scenarios, including allocating a defined share to a surviving spouse and distributing the balance among children without differentiation by gender.
Despite the greater clarity, individuals with assets or family connections in the UAE should continue to consider formal will registration through the relevant local channels to mitigate account freezes and reduce administrative delays. For employers and global mobility functions, practical steps include updating onboarding and benefits materials to highlight will-registration options, and reviewing internal procedures for final settlements to ensure funds are handled in a manner consistent with the updated rules—particularly where no heirs can be confirmed.