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Discover key laws on property guardianship in Dubai. Protect your child’s assets—learn what every parent must do. Read our expert blog now.
In the city of Dubai, where fortunes are made and futures are built, protecting your child’s assets isn’t just important—it’s essential. But did you know that as a parent, the way you manage your child’s property through property guardianship in Dubai is governed by strict legal rules that could have far-reaching implications? One wrong move, and you could lose control over your child’s financial future.
In this blog, we’re removing the curtain on the little-known but critical aspects of property guardianship in Dubai.
Guardianship of Property in Dubai
Who Can Be a Guardian?
In Dubai, the guardianship of a minor’s property is primarily entrusted to the father. If the father is unavailable or unsuitable, this responsibility can be passed to a designated trustee, the real grandfather, or the grandfather’s trustee. If none of these individuals are fit or available, the court can step in to assume guardianship. Importantly, no guardian can delegate their responsibilities to another without explicit court permission. Ensuring that the guardian’s role is taken seriously and not transferred arbitrarily.
Limitations and Restrictions on Guardianship
Dubai law imposes strict limitations on how a guardian can manage a minor’s assets to protect the child’s interests:
Exclusion of Certain Assets: If a donor specifies that particular property or assets given to the minor should not be managed by the guardian, this condition must be respected. The guardian cannot override these stipulations.
Prohibited Actions: Guardians are expressly forbidden from lending or donating the minor’s property. Any such actions are considered void, with the guardian held liable for any resulting damages or losses.
Court Approval for Major Decisions: The guardian must obtain court approval before disposing of any of the minor’s property. Whether through selling, transferring ownership, or similar actions. This ensures that all significant transactions are in the minor’s best interest and prevent the misuse of the minor’s assets.
Borrowing and Trading Restrictions: Guardians cannot borrow money or engage in trade using the minor’s assets without prior court approval. Additionally, they are prohibited from leasing the minor’s real estate for a period extending beyond one year after the minor reaches the age of majority without the court’s permission.
Acceptance of Donations: Any donations or bequests accepted on behalf of the minor that come with obligations require court approval, ensuring that the minor is not burdened with unfavorable conditions.
Asset Inventory and Management
Upon assuming guardianship, the guardian must compile a comprehensive inventory of the minor’s assets. This list must be submitted to the court within two months of the start of guardianship. Suppose the guardian fails to submit this inventory on time. In that case, the court may view this as a risk to the minor’s property. Further emphasizing the guardian’s duty to responsibly protect and manage the minor’s assets.
Conclusion
Property guardianship in Dubai is a legal responsibility that demands vigilance, transparency, and strict adherence to the law. Whether you’re a parent or designated guardian, understanding the legal framework is crucial to safeguarding a minor’s financial future. With defined roles, restrictions, and court oversight, guardians must act in the child’s best interest at all times. Familiarity with these laws empowers you to make informed decisions and ensures your child’s assets remain protected under Dubai’s legal system.
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