Under the guidance of Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and Prime Minister of the UAE and Ruler of Dubai, Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister, Minister of Finance, and Chairman of the Dubai Judicial Council, has issued a resolution to establish a ‘Family Business and Family Ownership Disputes Settlement Committee’ in Dubai.
The main aim is to safeguard the continuity and reputation of family businesses during dispute resolution, Emirates News Agency (WAM) reported.
Sheikh Maktoum’s decision aligns with Dubai’s ongoing efforts to bolster the sustainability of family businesses and ownership, thereby securing their pivotal role in the emirate’s economy.
New family business dispute settlement committee in Dubai
Sheikh Maktoum emphasised that this move reflects the vision of Sheikh Mohammed bin Rashid Al Maktoum, focusing on justice, rule of law, and a comprehensive legal framework to support family business and ownership sustainability in Dubai.
“Dubai is keen to ensure we have the right climate that helps family businesses grow and flourish generation after generation, contributing to the Dubai Economic Agenda D33’s objective of making Dubai one of the world’s top urban economies as well as the fastest-growing and most attractive business hub,” Sheikh Maktoum said.
“We continue to work to create a business environment that supports the sustainability of family businesses, ensures ownership continuity, and helps improve their governance and contribution to Dubai’s economy,” he added.
The newly formed ‘Committee for Dispute Settlement of Family Businesses and Ownership’ will consist of financial experts collaborating with judges to provide specialised judicial expertise.
The committee’s role is to address and resolve disputes while protecting the business’s operations, reputation, and financial position throughout the dispute resolution process.
Taresh Eid Al Mansouri, President of Dubai Courts, highlighted the committee’s formation as part of the leadership’s commitment to a just society and fair judiciary, strengthening the economic and social stability of Dubai, and solidifying the emirate’s global legal and judicial standing concerning family business development.
Professor Saif Ghanem Al Suwaidi, Secretary General of the Dubai Judicial Council, underlined that the committee would help enforce laws governing family businesses and family ownership in Dubai.
It will work towards prompt dispute resolution, balancing justice and the preservation of economic interests.
The resolution outlines the committee’s structure, with a judge of no less than an appeal judge serving as chairman.
The committee’s role is to resolve disputes, safeguarding the business’s operations, reputation, and finances. Image: Shutterstock
It also specifies the committee’s responsibilities, including handling disputes arising from family ownership contracts, family business partnerships, and related matters.
For disputes with the potential for amicable resolution, the resolution mandates referral to the Family Members Council before the committee’s intervention.
Moreover, it focuses on the committee’s authority to take necessary measures to preserve the continuity and reputation of family businesses during the dispute resolution process.
In keeping with principles of justice, the decision allows for the appeal of the committee’s decisions and rulings before the competent court within Dubai Courts, subject to the procedures stipulated in the Civil Procedure Law.
The committee is also required to submit regular reports to the Ministry of Economy for periodic review.
This move builds on Sheikh Mohammed bin Rashid Al Maktoum’s earlier decree establishing the Family Business Centre, which aims to support the sustainability and growth of Dubai’s family-owned businesses, ensuring a smooth transition of power and continued prosperity.
Follow us on
