Entire Section

  • Schedule 1 Schedule 1 — Interpretation

    • 1. Rules of Interpretation

      (1) In the Law, a reference to:
      (a) a statutory provision includes a reference to the statutory provision as amended or re-enacted from time to time;
      (b) a person includes any natural person, body corporate or body unincorporate, including a company, partnership, unincorporated association, government or state;
      (c) an obligation to publish or cause to be published a particular document shall, unless expressly provided otherwise in the Law, include publishing or causing to be published in printed or electronic form;
      (d) unless stated otherwise, a day means a calendar day. If an obligation falls on a calendar day which is either a Friday or Saturday or an official state holiday in the DIFC, the obligation shall take place on the next calendar day which is a business day;
      (e) a calendar year shall mean a year of the Gregorian calendar;
      (f) a reference to the masculine gender includes the feminine; and
      (2) The headings in the Law shall not affect its interpretation.

    • 2. Legislation in the DIFC

      References to legislation and Guidance in the Law shall be construed in accordance with the following provisions:

      (a) Federal Law is law made by the federal government of the United Arab Emirates;
      (b) Dubai Law is law made by the Ruler, as applicable in the Emirate of Dubai;
      (c) DIFC Law is law made by the Ruler (including, by way of example, the Law), as applicable in the DIFC;
      (d) the Law is the Trust Law, DIFC Law No.10 of 2005 made by the Ruler;
      (e) the Rules are legislation made by the DFSA under the Law and are binding in nature;
      (f) Guidance is indicative and non-binding and may comprise (i) guidance made and issued by the Chief Executive as notations to the Rules; and (ii) any standard or code of practice issued by the DFSA Board of Directors which has not been incorporated into the Rules; and
      (g) references to "legislation administered by the DFSA" are references to DIFC Law and Rules conferring functions and powers on the DFSA.

    • 3. Defined Terms

      In the Law, unless the context indicates otherwise, the defined terms listed below shall have the corresponding meanings:

      Term Definition
      beneficiary means a person entitled to benefit under a trust or in whose favour a discretion to distribute property held on trust may be exercised.
      breach of trust means a breach of any duty imposed on a trustee by the Law or by the terms of the trust.
      charitable trust means a trust or portion of a trust, created for a charitable purpose described in Article 28.
      Court DIFC Court as established under Dubai Law No. 12 of 2004.
      DFSA the Dubai Financial Services Authority.
      DIFC the Dubai International Financial Centre.
      DIFC trust means a trust whose governing law is DIFC law.
      discretionary trust is a trust in which the settlor has delegated complete or limited discretion to the trustee to decide, amongst other things:
      (a) when and how much income or property is distributed to a beneficiary; and
      (b) which of the beneficiaries may benefit.
      enforce in relation to a trust means to require or compel trustees to execute, carry out and perform their duties under the trust instrument in relation to its non-charitable purposes and to bring and prosecute proceedings to enforce the terms of the trust.
      enforcer shall be construed in accordance with Article 29.
      express trust is a trust created with the settlor's express intent declared in writing or a written declaration of trust by the trustee.
      foreign law any law other than DIFC Law
      foreign trust is a trust whose governing law is the law of a jurisdiction other than DIFC.
      governing law has the meaning given in Article 12.
      heirship right means any right, claim or interest in, against or to property of a person arising, accruing or existing in consequence of, or in anticipation of, that person's death, other than any such right, claim or interest created by will or other voluntary disposition by such person or resulting from an express limitation in the disposition of the property of such person.
      income includes rents and profits.
      Law the Trust Law 2005.
      minor means a person who has not attained the age of majority under the governing law of trust or the law of his domicile.
      non-charitable trust (or purpose trust) has the meaning given in Article 29.
      person has the meaning given in Article 1 of the Schedule.
      personal relationship includes every form of relationship by blood or marriage, including former marriage and in particular a personal relationship between two person which exist if:
      (c) one is the child of the other, natural or adopted, whether or not the adoption is recognised by law, legitimate or illegitimate;
      (d) one is married to the other, whether or not the marriage is recognised by law;
      (e) one cohabits with the other or so conducts himself or herself in relation to the other as to give rise in any jurisdiction to any rights, obligations or responsibilities analogous to those of parents and child or husband and wife; or
      (f) personal relationships exist between each of them and a third person,
      but no change in circumstances cause personal relationship once established to terminate.
      President the president of the DIFC appointed by a decree of the Ruler pursuant to Dubai Law No. 9 of 2004.
      property means any movable or immovable property, and includes rights and interests, whether present or future and whether vested or contingent.
      protective trust is a trust that is designed to protect the trust property to ensure the continued support of the beneficiary.
      protector shall be construed in accordance with Article 77.
      Ruler the ruler of the Emirate of Dubai.
      Rules has the meaning given in Article 2 of Schedule 1 to the Law.
      Schedule a schedule to the Law.
      settlor means a person who provides trust property or makes a testamentary disposition on trust or to a trust.
      terms of the trust means the written or oral terms of a trust or any other terms applicable under its governing law.
      trust is a right, enforceable solely in equity, to the beneficial enjoyment of property to which another person holds the legal title
      trust instrument means an instrument by which a trust is created and includes a unilateral declaration of trust and any instrument varying the terms of the trust.
      trust property means the property for the time being held in trust.
      trustee means a person appointed to act as a trustee of a trust in accordance with the provisions of this Law.
      unit trust means any trust established for the purpose, or having the effect, of providing, for persons having funds available for investment, facilities for the participation by them as beneficiaries under the trust, in any profits or income arising from the acquisition, holding, management or disposal of any property whatsoever.