The Inheritance Settlement Agreement is a crucial document used in the United Arab Emirates to formalize and document the distribution of inherited assets following a person's death. It is particularly important given the UAE's unique legal framework that combines civil law with Sharia principles for Muslims, while allowing non-Muslim expatriates to apply their home country's inheritance laws. This agreement becomes necessary when heirs need to formally document their agreed distribution of assets, especially in cases involving substantial estates, business interests, or real estate. The document must comply with UAE Federal Law No. 28 of 2005 and other relevant regulations, while potentially incorporating international elements for expatriate estates. It serves as a binding legal document that prevents future disputes and facilitates the smooth transfer of assets to rightful heirs.
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1. Parties: Identification of all heirs, beneficiaries, and executors involved in the settlement
2. Background: Details of the deceased, date of death, and basis for inheritance rights
3. Definitions: Key terms used throughout the agreement including asset categories, relevant laws, and technical terms
4. Acknowledgment of Rights: Recognition of each party's inheritance rights under applicable law
5. Asset Distribution: Agreed distribution of assets among heirs and beneficiaries
6. Settlement Terms: Specific terms and conditions of the settlement arrangement
7. Implementation: Procedures and timeframes for executing the settlement
8. Tax and Costs: Allocation of taxes, fees, and costs associated with the settlement
9. Representations and Warranties: Parties' confirmations regarding their rights and authority
10. Governing Law and Jurisdiction: Applicable law and courts having jurisdiction over the agreement
11. Execution: Signature requirements and execution formalities
1. Foreign Assets: Required when inheritance includes assets located outside the UAE
2. Business Interests: Required when inherited assets include business ownership or shares
3. Property Management: Required when ongoing management of inherited properties is needed
4. Minor Beneficiaries: Required when heirs include minors requiring guardianship arrangements
5. Dispute Resolution: Optional detailed dispute resolution procedures beyond court jurisdiction
6. Religious Requirements: Required for Muslim heirs to ensure Sharia compliance
7. Deferred Payments: Required when settlement includes installment payments or future distributions
8. Power of Attorney: Required when any party needs representation for implementation
1. Schedule 1 - Asset Inventory: Detailed listing of all assets forming part of the inheritance
2. Schedule 2 - Valuation Report: Professional valuations of significant assets
3. Schedule 3 - Distribution Calculation: Detailed calculation of shares and distributions
4. Schedule 4 - Implementation Timeline: Timeline for various actions required under the agreement
5. Schedule 5 - Required Documents: List of documents required for asset transfer
6. Appendix A - Death Certificate: Certified copy of the death certificate
7. Appendix B - Legal Heir Certificate: Official documentation of legal heirs
8. Appendix C - Power of Attorney: Any powers of attorney relevant to the settlement
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