A trust law providing the basic framework for the creation of trusts in the Dubai International Financial Center (DIFC) was recently enacted. The new DIFC Law No. 11 of 2005, enacted by Sheikh Maktoum Bin Rashid Al Maktoum, Vice-President and Prime Minister of UAE, will enable the UAE financial and professional sectors to develop their trust services with increased security as well as flexibility, according to David Knott, CEO of the Dubai Financial Services Authority.
The law consists of ten sections which deal with choice of governing law, place of administration, creation, validity and modification of a DIFC trust, office of trustee, and duties and powers of trustees.
Knott told reporters at <i>Khaleej Times</i> that "The adoption of a legal framework for the creation of trusts will add an important new business dimension to the DIFC."
He added, "This proposal was made available for public comment in August and the new Trust Law reflects positive comments received from the financial and professional services sectors."
