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Federal Law 20 Amending Provisions of Federal Law 6 of 1974 Concerning Public Utility Associations

LAW NO. (14) OF 2017 REGULATING AWQAF AND ENDOWMENTS IN DUBAI

WE, MOHAMMED BIN RASHID AL MAKTOUM, THE RULER OF DUBAI

o HAVING REVIEWED the UAE Civil Transactions Law promulgated by the Federal Law No. (5) of 1985
as amended;
o The Law of Evidence in Civil and Commercial Transactions promulgated by the Federal Law No. (10) of
1992 as amended;
o The Civil Procedure Law promulgated by the Federal Law No. (11) of 1992 as amended;
o The Federal Law No. (28) of 2005 Concerning the Personal Status;
o The Federal Law No. (2) of 2015 on the Commercial Companies;
o Law No. (6) of 1997 concerning the contracts of government departments in the Emirate of Dubai as
amended;
o Law No. (9) of 2007 Establishing Awqaf and Minors Affairs Foundation;
o Law No. (2) of 2011 Concerning the Department of Islamic Affairs and Charitable Activities;
o Law No. (21) of 2011 Concerning the Judicial Fees in Dubai Courts;
o Law No. (1) of 2016 Concerning the Financial System of Dubai Government;
o Law No. (13) of 2016 Concerning the Judicial Authority in Dubai;
o Law No. (17) of 2017 Establishing Mohammed Bin Rashid Global Center for Endowment Consultancy;
o The Decree on Establishment of the Board of Directors of Ja’fariya Endowment Charitable Council of
Dubai;
o The Decree No. (9) of 2015 Regulating fundraising in the Emirate of Dubai; and
o The Executive Council Resolution No. (25) of 2013 Concerning the Mosques and Religious Activities in
the Emirate of Dubai

HEREBY ENACT THE FOLLOWING LAW:

Chapter One
Title of Law, Definitions, Objectives and Scope of Application

Title of Law
Article (1)
Title of this Law shall be ” Law No. (14) of 2017 Regulating Awqaf and Endowments in Dubai”.

Definitions
Article (2)
The following words and phrases, wherever mentioned herein, shall have the meanings assigned thereto
respectively, unless otherwise indicated by the context:

State: The United Arab Emirates
Emirate: The Emirate of Dubai
Foundation / AMAF: Awqaf and Minors Affairs Foundation
Center / MBRGCEC: Mohammed Bin Rashid Global Center for Endowment Consultancy
Competent Court: Dubai Courts
Endowed Property: The property and funds whose ownership or the right to dispose of belongs to the Endower,
including without limitation the movable and immovable property, shares, stocks, bonds, securities, usufruct and
Ijara rights as well as other personal, in-kind and intangible rights which can be endowed.
Endowment: To make the benefit accessible to all while safeguarding the original endowed property from loss.
Endower: A person who allocates the endowed property through endowment with the aim of liquidating its benefit
for the benefit of any person, category, entity, initiative or project.
Endowment Beneficiary: Any individual, category or entity in whose benefit the endowment or its proceeds are
allocated.
Custodian: A natural or legal person named to manage the endowment.

Deed of Endowment: A document issued by the competent court to certify the endowment.
Register: A register created at the Foundation for registration of the endowment according to the endowment deed.
Dubai Endowment Sign: A slogan granted by the Center to individuals, public and private bodies which have
endowment-related community contributions.
Endowment Establishment: A non-profit establishment that has legal personality, is licensed by the Foundation and
its funding sources are limited to endowment proceeds, and seeks to exploit these proceeds for financing the
programs, initiatives and activities assigned thereto.
Gift: Movable and immovable property donated according to the applicable legislation for the benefit of any
individual, category, entity, initiative or project in accordance with the provisions of this Law.

Objectives of Law
Article (3)

This Law aims to achieve the following:
1. Activating the UAE vision on consolidating the values of charity and humanitarian efforts and providing
good to all at no cost.
2. Developing a comprehensive legal framework that keeps abreast with the requirements of the modern era
and the community need for the regulation, management, operation and protection of endowment and
awqaf.
3. Providing a conducive environment for charity and community contribution in the fields of education,
health, culture, arts, environment, sport, social solidarity and other fields.
4. Encouraging the endowments and awqaf within creative initiatives that are aligned with the needs of
communities, individuals and various categories.
5. Defining the roles of concerned entities and setting the regulations and procedures that govern the
management and development of Awqaf and endowments, and assigning them to the individuals,
categories, entities, initiatives and project of utmost priority.
6. Diversifying the forms and channels of awqaf and endowments through adopting both conventional and
innovated approaches.
7. Developing a clear governance system for the endowment establishments established in the emirate.

Scope of Application
Article (4)
The provisions of this Law shall apply to:
1. All endowments existing in the emirate on the effective date of this law or those established later by
Muslims or Non-Muslims.
2. All gifts provided in the emirate according to the provisions of this Law and applicable legislation.

Chapter Two
Endowment Provisions

Creation & Binding Force of Endowment
Article (5)
A. The endowment shall be established by legal will of the Endower under the deed of endowment and shall be
entered on the register.
B. The deed of endowment shall include a description of the Endower’s will to allocate the endowed property and
make it beneficial to the selected persons under the conditions he sets, along with all information related to the
Endower, endowed property, Endowment Beneficiary and custodian, in addition to the term of endowment.
C. The deed of endowment shall be binding upon all, including the Endower, his universal and particular
successors.
D. The endowment created prior to the effective date hereof may be proven by all means of evidence.
E. Each endowment created in violation of the provisions hereof shall be invalid and shall not give rise to any legal
effect.

Types of Endowment

Article (6)
A. The endowment shall be classified as follows according to the Endowment Beneficiary:
A. Family endowment, which is the property endowed by the Endower upon himself, his children or other persons
designated by person or descriptions, whether relatives or others.
B. Charitable endowment, which is an endowed property the proceeds of which are allocated to the public or a
particular initiative or project.
3. Joint endowment, which is an endowed property the proceeds of which are allocated to both the offspring and
charity.

B. Depending on its term, the endowment is classified into the following:
1. Permanent endowment which has no specified duration.
2. Temporary endowment is a type of endowment for which the Endower specifies a particular duration or class of
his offspring.

C. Depending on its scope, the endowment varies as follows:
1. The endowment for a particular purpose, for which the Endower defines a particular purpose.
2. The endowment for charitable activities, which is the property endowed by the Endower to achieve multiple
purposes or the charitable and good activities in general.

Term of Endowment
Article (7)
A. Endowment shall be temporary for the period specified by the Endower in the deed of endowment, and such
period may not be less than one year.
B. Endowment shall be perpetual in the following cases:
1. If the deed of endowment includes an express text indicating that it is perpetual.
2. Endowment of the mosque.
3. Endowment of the tomb.
4. The endowment whose deed of endowment does not stipulate a specified period.

Acceptance of Endowment
Article (8)
A. For validity of the endowment, the Endowment Beneficiary must accept the endowment; if he is a minor or
placed under guardianship, his guardian or caretaker shall be admitted to represent him.
B. It is not a prerequisite for validity of the endowment that the Endowment Beneficiary accepts the
endowment if it is an unnamed entity or the acceptance cannot be expected from it.

Requirements for Endowment
Article (9)

A. The endowment may be immediately due or postponed after death, and may also be conditional, unless the
condition thereof is prohibited, so where the endowment is associated with a prohibited condition, the
endowment shall be valid while the condition shall be null.
B. The condition set by the Endower takes effect just like the text of legislation to such extent which does not
violate the provisions hereof, and the Endower’s will shall be construed according to the implications of
words and intent of the Endower.

Revocation & Amendment of Endowment
Article (10)
A. If stipulated by the Endower in the Deed of Endowment, he may revoke the endowment during his lifetime.
In addition, he may also amend the Deed of Endowment, and the Endower may add new conditions to the
endowment, revoke or amend any of which, so where two sound conditions are conflicting, they shall be
combined whenever possible; otherwise, the later conditions of them shall apply.
B. Revocation or amendment of the endowment or any of its conditions shall be established under a written
deed to be authenticated with the competent court, and registered in the register.

Requirements for the Endower
Article (11)
For a valid endowment, the Endower shall:
1. Have full legal capacity with no legal prohibition for making endowment.
2. Be the owner of the property to be endowed or has the right to dispose of the same legally.
3. Not have a debt preceding the endowment which consumes all his property or the remaining property after
making endowment is not sufficient to pay off the debt, unless the creditor permits the endowment.
4. The conditions of the Endower or purpose of endowment are not intended to evade a debt or preemption
or circumvent the inheritance provisions, or involves violation of the applicable legislation, public order
or morality.

Requirements for Endowed Property
Article (12)
The endowed property shall:
1. Not be of such type whose benefit is dependent on its damage.
2. Be capable of benefit by law.
3. Be owned by the owner or the latter has the right to dispose of it by law, and is not prohibited to dispose of
the same.
4. Not be mortgaged.

Requirements for Endowment Beneficiary
Article (13)
The endowment beneficiary shall:
1. Be designated; however, if not designated by the Endower, the endowment beneficiary shall be deemed
among the poor people, and, in such a case, the Endower shall have the right to designate another
endowment beneficiary up to his death, but if he dies with no beneficiary designated, the proceeds of
endowment shall continue to be disbursed to the poor people.
2. Have a legal interest in the endowed property.
3. Be existing or of potential existence in the future, and the Endower may, during his lifetime, transfer the
proceeds of endowment from one endowment beneficiary to the other.
4. Be legally permitted to be the beneficiary of endowment.
5. Not have a conflict of interest between his interest and the public interest.

Endowment Proceeds Exceed the Need of Endowment Beneficiary
Article (14)
If the proceeds of endowment exceed the need of the beneficiary, the Endower may, during his lifetime, designate a
second beneficiary. If the Endower dies, the excess shall be disbursed to a second beneficiary under the supervisor
of the custodian. In such a case, the heirs of beneficiary and heirs of the Endower shall take priority if they meet the
purpose of endowment intended by the Endower.

Binding Force of Endowment
Article (15)
If the endowment is created as stipulated in this Law, it shall be deemed legally valid and effective, and the endowed
property may not be disposed of throughout the endowment period by any method involving transfer of title or
restricting benefitting from its proceeds; e.g. sale, mortgage or gift.

Legal Effects of Endowment
Article (16)
A. The legal effects of endowment shall come into existence once it is entered on the register, and the
endowment may be entered on the register only after the deed of endowment is issued.
B. Making an endowment entry on the register shall result in the following:
1. Make the endowment acquire legal personality, financial and administrative autonomy, and the right to
sue or be sued in such capacity.

2. Title to the endowed property and its possession shall be transferred to the endowment.
3. The Endower’s stipulations shall apply.
4. The endowment shall acquire the binding force before all bodies.

Appointment of Endowment Custodian
Article (17)
A. Each endowment shall have one custodian.
B. The custodian shall be appointed by the Endower or his appointment method shall be defined under the
Deed of Endowment.
C. The custodian may be the Endower himself, and may also one or more natural or legal persons.
D. If the custodian is not appointed by the Endower under the Deed of Endowment or if his method of
appointment is not defined under the Deed of Endowment, the Foundation shall assume custodianship
works.

Requirements for the Custodian
Article (18)
A. The custodian shall:
1. Have full legal capacity.
2. Have good conduct and reputation, and has never been convicted for a crime involving moral turpitude or breach
of trust unless rehabilitated.
3. Be able to manage the endowment according to the Endower’s conditions.
4. Meet any other requirements set by the Endower.

B. The conditions referred to in Paragraph (A) of this Article shall apply to the legal person to such an extent which
is proportionate to the nature of such person.

Obligations of Custodian
Article (19)
The Custodian shall abide by the following:
1. The conditions of endowment in terms of time and place.
2. Keep the endowed property protected from loss and damage, while repairing or maintaining the endowed
property shall take priority over disbursement of its proceeds to the beneficiary.
3. Manage and safeguard the endowment and disburse its benefits to the eligible persons as provided for in
the Deed of Endowment and this Law as well as decisions issued by the Foundation.
4. Make due diligence for increasing the endowed property and investing the same either himself or by
assigning some other person of experience and specialty to do the same.
5. Not to dispose of the endowed property in a manner involving transfer of title or making any mortgage
over it unless there is an interest in safeguarding it, and subject to the approval of the Endower or the
competent court of the same; otherwise, the disposition shall be deemed null and void.
6. Exploit, use and avail of the endowed property for the intended purpose.
7. Not to lease or exploit the endowed property at an amount lesser than the rent of an equal property or the
proceeds thereof.
8. Prepare the annual budget of the endowment as well as its final account at the end of each fiscal year,
prepare and keep the accounting books and financial documents, and submit necessary financial reports
on the status of endowment either to the Endower or any person designated by him in the Deed of
Endowment or to the Foundation, as the case may be, according to the Deed of Endowment as well as the
rules and procedures adopted by the foundation in this respect.
9. Deposit the proceeds of endowment at an account of a bank licensed in the State in the name of the
endowment.
10. Disburse the proceeds of endowment in the endowment channels as stipulated by the Endower and
required by the interest.
11. Perform the obligations falling on the endowment; e.g. debts and dues, within the limits of the interest.
12. Take the actions stipulated by the Endower under the Deed of Endowment whenever valid.

Rights of Custodian
Article (20)
A. The custodian shall manage the endowment as deemed appropriate, provided that no conflict takes place
between the management of endowment and the Endower’s stipulations and the provisions of this Law and
rules and procedures laid down by the Foundation.
B. Unless a volunteer, the custodian shall be entitled to a fee as determined by the Endower; but if not
determined by the Endower, the Foundation shall determine such fees according to the applicable controls
in this respect.

Responsibility of Custodian
Article (21)
The custodian shall be a trustee over the endowment and representative thereof before third parties, and his
statement as to the disbursement over endowment affairs or the beneficiary shall only be effected under a deed
except for actions established under custom not to rely upon a deed. Moreover, the custodian shall be responsible
for his gross default, negligence or violation towards the endowment and its proceeds.

Investment & Replacement of Endowment
Article (22)
A. The custodian may invest the property held for the endowment until the construction date falls due.
B. The custodian may borrow funds for the purpose of construction and repair of the endowment; however,
the endowment may not be mortgaged as security for repayment of debt.
C. If the endowment proceeds are not sufficient for making good the damaged parts of the endowed property,
the custodian may sell any part thereof in order to repair the other part thereof if there are no excess
proceeds of some other endowment subject to the approval of the Endower or competent court.
D. Whoever destroys an endowment in whole or in part shall be required to get the same back to its original
state; otherwise, he shall be required to compensate the value of property and damage, and whoever
damages the endowment in whole or in part shall compensate the same either in equal value.
E. The Endower may stipulate replacement or change of the endowment.
F. The endowment may be replaced if movable and there is no entity to make expenditure on it, and there are
concerns of damage or destruction and becomes of no use for the purpose of seizure, and if the same is
sold, the price thereof shall be equal to that of a similar property if possible.
G. The endowment may be sold if real estate and may also be replaced if damaged and is no longer fit for
use, so that its price shall be equal to a similar property.
H. The custodian may, subject to permission of the Endower or competent court, purchase new property with
the funds of substitute property to replace the replaced property or invest the same in any of the legally
permissible aspects of investment, and disburse the proceeds in the channels of original endowment.

Assignment or Delegation of Custodianship
Article (23)
The Custodian may not assign custodianship to third parties, and he may not delegate the same to third parties
unless so permitted by either the Endower or foundation.

Removal of Custodian
Article (24)
The Endower may remove the custodian if appointed by him, and the Competent Court may remove the custodian
appointed by the Endower upon considering his acts or the endowment-related case if he is proven to have violated
his duties.

Custodian’s Breach of Duty
Article (25)
Either the Endower or the Foundation, as the case may be, may take any of the following measures against the
Custodian:

1. Suspend him from work and appoint a substitute custodian if the event of repeated delay in submitting the
annual budgets of endowment, final accounts and documents supporting the collection of the endowment
proceeds and disbursement thereof.
2. Deprive him of the custodian fees, whether in whole or in part, if his custodianship is of a paid nature in
case of negligence or default in custodianship over the endowment.
3. Remove him in case of proven encroachment upon the endowed property, negligence or default in
management of the endowment.
4. Claim compensation from the Custodian in case of proven destruction of or damage to the endowed
property.
5. Refer him to the competent judicial bodies if he commits any act that may adversely affect the endowed
property or its proceeds in any way whatsoever.

Custodianship by the Foundation
Article (26)
The Foundation shall assume custodianship over the endowment if the Endower fails to appoint a custodian, or in
case the endowment has no custodian. In consideration of such custodianship, the Foundation shall charge a ratio
to be determined by its Board of Directors from the annual proceeds of the endowment.

Death of Endower
Article (27)
In the event of death of a Endower who stipulates custodianship for himself during his lifetime, his heirs shall
appoint a new custodian and enter the same on the register within thirty (30) days from the Endower’s death;
otherwise, the Foundation shall assume custodianship over the endowment.

Endowment Report
Article (28)
A. The Custodian shall submit to the Foundation, on the dates set by the latter, a periodic report on the status
of endowment with supporting documents along with the proceeds disbursed to the beneficiary, the
proceeds kept in the endowment’s bank account, the expenses spent for the sake of safeguarding and
maintaining the endowment and any other data required by the Foundation.
B. The former custodian of endowment shall submit to the new custodian a final report on all matters related
to the endowment, setting out the data specified by the Foundation, and shall deliver to him the property,
funds, papers and documents in his possession in connection with the endowment within thirty (30) days
from the expiry date of his custodianship, and the former custodian shall be a trustee of the endowment
until the endowment is delivered to the new custodian.

Penalty for Destruction of Endowment Property
Article (29)
Without prejudice to any more severe penalty provided for in any other legislation, a custodian who is proven to
have destroyed or brought damage to the endowed property or its proceeds or violated his obligations and
responsibilities prescribed under this Law or the Deed of Endowment or the decisions issued by the Foundation
shall be penalized with prison sentence for a term of not less than one year and/or a fine of not less than fifty
thousand dirhams (AED 50,000) and be ordered to give back the same if necessary.

Chapter Three
Endowment-Related Provisions

Family Endowment
Article (30)
The Foundation shall draw up a list of the family endowments entered on its registers with no eligible persons, and
shall publish all their details in two widely distributed daily newspapers, and shall post the same at its premises for
sixty (60) days and the premises of police stations in whose jurisdiction the endowment property is located. In
addition, the concerned parties may claim their dues in the proceeds of such endowment within two years from the
publication date; otherwise, the share of each person who fails to claim his dues shall be deemed an endowment the
proceeds of which are allocated to charity. Moreover, the Foundation shall deliver back the original endowment
property excluding its proceeds for the former period to its true owners or their heirs when they appear at any time.

Eligibility of the Endowment Beneficiary
Article (31)
A. The endowment proceeds shall be spent on the endowment beneficiary named by the Endower, depending
on the nature of the endowed property, and as stipulated in the Deed of Endowment of herein.
B. Rights of the endowment beneficiary on the endowed property shall related to its proceeds rather than its
assets.
C. Proceeds of charitable endowment may be directed to channels not mentioned in the Deed of Endowment
if the same is beneficial to the public, subject to the approval of the Endower if living, or, if dead, the
approval of the Foundation shall be a must.
D. If any of the Endower’s ascendants, descendants, spouse or relatives up to the fourth degree suffers a
financial need, such needy relative shall be entitled to a share in the proceeds of charitable endowment
which meets their basic needs within the limits determined by the Foundation.
E. The Custodian may make disbursements from the proceeds of charitable endowment or charitable share in
the joint endowment, or use the property of which so as to relieve the consequences of public disasters
subject to the approval of the Endower if living, or, if dead, the Foundation’s approval shall be a must.
F. Proceeds of the endowment shall be directed to charitable channels in the following cases:
1. The endowment for which the Endower specifies no channel of disbursement.
2. The endowment whose disbursement channels cannot be identified.
3. The endowment with no beneficiary of the beneficiary of which no longer exists.
4. The endowment rejected by the endowment beneficiary.
G. If the endowment is of a joint nature with no text in the Deed of Endowment providing for allocation of
shares, the proceeds thereof shall be equally allocated to eligible persons and charity.
H. Males and females shall benefit from the proceeds of family endowment on equal footing, unless the
Endower otherwise stipulates in the deed of endowment.
I. If the family endowment has an order of classes, and an eligible person dies or is deprived of the
endowment proceeds, the Endower’s stipulations, if any, shall apply in respect of his share; otherwise, his
share shall pass down to his descendants. If he has no descendant, his share shall move on to the eligible
person in the same class, but if there is no eligible person in his class, his share shall pass to the next
class. If a newborn is added to such class, the eligibility of share shall fall due as of his birthdate. In case
the Endower’s offspring perishes, the Foundation shall take hold of the endowed property for charity
purposes.
J. The non-class family endowment shall come to an end upon extinction of the endowment beneficiary,
unless otherwise provided in the Deed of Endowment.
K. Heirs of the endowment beneficiary shall benefit from the endowed property after his death, unless
otherwise provided in the Deed of Endowment. If the endowment beneficiary’s progeny no longer exists,
the endowed property shall devolve back to the Endower or his heirs after his death; in the absence of any
of them, the endowed property shall devolve upon the Foundation to be directed to charity.

Ineligibility
Article (32)

The endowment beneficiary shall be denied eligibility for the endowment proceeds if he commits premeditated
murder or is convicted under a final court judgment of having killed the Endower, person receiving the proceeds
from him, eligible person or any other person whose death increases the endowment proceeds or speeds up the
endowment beneficiary’s eligibility for the same. Ineligibility in such case shall not affect the eligibility of the
murderer’s offspring, who have not been involved in the murder, for endowment proceeds if they are entitled to such
proceeds.

Prescription of Eligibility
Article (33)
In case of denial and absence of a legal excuse, the legal proceedings related to the eligibility for proceeds of an
endowment shall not be heard if the interested person fails to file the same two years prior to the date of having
knowledge of eligibility or ineligibility.

Division, Sorting, Pledge and Attachment of Endowed Property
Article (34)
A. The endowed property may neither be divided or sorted among the endowment beneficiaries, and they may
not dispose of or pledge the same. In addition, no execution or any principal or ancillary right in rem may
be established over the endowed property for the benefit of a third party, and any action is this regard
shall be null and void unless otherwise prescribed in Law.
B. The endowed property shall not be included in the bankruptcy of either the Endower or Beneficiary, and
the same may not be attached in satisfaction of a debt owed by any of them.
C. The endowed property may neither be confiscated or encroached upon, and may be expropriated only as
prescribed in Law. In addition, neither the endowed property or the proceeds thereof may be seized except
where the beneficiaries or the Endower’s offspring no longer exist; in such a case, the endowed property
shall devolve upon the Foundation to be used for charity purposes.

Liens over Charitable and Joint Endowment
Article (35)
A. The debts of charitable endowment as well as a charitable share in the joint endowment shall have a lien
over the debtors’ property just like the public funds, and the same shall be collected in the same methods
prescribed for collection of public funds.
B. The charitable endowment as well as a charitable share in the joint endowment shall be exempt from taxes
and fees of whatever type, including litigation expenses.
C. Upon applying the provisions of penal legislation, the charitable endowment as well as a charitable share
in the joint endowment shall be classified as public funds, and their papers, records, books and documents
whether in paper or electronic form shall be deemed official papers, and the endowment custodian and
personal shall be deemed as civil servants.

Chapter Four
Termination of Endowment
Endowment Termination Cases
Article (36)
Subject to the provisions of this Law, endowment shall be terminated in any of the following cases:
Subject to the provisions hereof, the endowment shall be terminated in any of the following cases:
1. Expiration of the endowment term set out in the deed of endowment
2. Fulfillment of the purpose of endowment set out in the deed of endowment.
3. Absence of the endowment beneficiaries.
4. The Endower’s revocation of the endowment.
5. Destruction and non-replacement of the endowed property.
6. If the endowment is invalid, and such case shall be established under a final court judgment.

Effects of Endowment Termination
Article (37)

A. Termination of the endowment shall not affect the rights of third parties in respect of the endowment
during the period preceding its expiration; if such third party is acting in bona fide.
B. If the endowment expires, the endowed property shall devolve upon the Endower is living, and upon his
heirs after his death. If the Endower’s offspring perishes or there is no remaining heir for him or his heirs,
the endowed property shall devolve upon the Foundation to be used for charity purposes.

Chapter Five
Dubai Endowment Sign

Granting Dubai Endowment Sign
Article (38)

The Center shall grant Dubai endowment sign to the individuals, public and private entities having initiatives,
projects or sustainable contributions related to the endowment, and such sign shall be granted in accordance with
the controls and standards applicable at the Center in this respect.

Benefits of Granting Dubai Endowment Sign
Article (39)
A. The entity awarded Dubai Endowment Sign may use such sign in all marketing means in order to introduce to
the public its community efforts.
B. Dubai Endowment Sign shall be deemed an advantage that entitles the awarded entity preference in the
government procurement, and the government entities in the Emirate shall take Dubai Endowment Sign as an
additional standard upon selecting the contracting parties, provided that the same does not conflict with the
remaining standards related to price and quality.

Obligations of Dubai Endowment Sign Holder
Article (40)
A. The entity awarded Dubai Endowment Sign shall submit an annual report to the Center on the activities
for which it has been granted such sign, and such report shall contain the details required by the Center.
B. The entity awarded Dubai Endowment Sign shall cease using such sign in case the Center withdraws the
same from it, and such sign shall be withdrawn according to the controls adopted by the Center in this
respect; otherwise, the authority having the competence to license such entity may revoke the license
thereof.

Chapter Six
Endowment Establishments
Licensing the Endowment Establishments
Article (41)

A. The Foundation shall license the endowment establishment in coordination with the Center.
B. The endowment establishment shall have the legal personality, financial and administrative autonomy in a
way which enables it to achieve the purposes of its establishment.

Organizing the Work of Endowment Establishments
Article (42)
The Foundation shall set the following regulations in coordination with the Center:
1. Endowment establishments licensing regulations, including the substantive and objective rules required
for licensing these establishments.
2. Endowment establishments licensing regulations setting out the working mechanism of such
establishments, their management and obligations, and the measures to be taken against the violator of
the licensing conditions and obligations thereof.

Control over Endowment Establishments
Article (43)

The Foundation shall supervise and control the endowment establishments, and take necessary measures against the
violating establishments according to the applicable regulations in this respect.

Chapter Seven
Gift

Gift Provisions
Article (44)
In respect of all matters related to the gift elements, conditions, enforceability and legal effects thereof with regard
to the Donor, Donee as well as revocation and termination of gift shall be subject to the provisions of Federal Law
No. (5) of 1985 referred to hereinabove.

Allocation of Gifted Property
Article (45)
The gifted property shall be allocated according to the Donor’s stipulations if any, or as determined by the
Foundation in coordination with the Center in this respect.

Endowment Provisions Apply to Gift
Article (46)
The provisions of endowment set forth herein shall apply to the Gift to such extent which does not conflict with the
nature thereof and the provisions of Federal Law No. (5) of 1985 referred to hereinabove.

Endowment & Custodianship of Mosques
Article (47)
Notwithstanding the provisions hereof, the following shall be observed in respect of the endowment and
custodianship over mosques:
1. The endowment of a mosque shall be recorded in the name of the Department of Islamic Affairs and
Charitable Activities and under its management and custodianship.
2. The Board of Directors of Ja’fariya Endowment Charitable Council of Dubai shall have custodianship
over the Ja’fariya Endowments allocated to the sect as well as the worship places, Husseinade Funerals
and the management thereof.

Chapter Eight
Final Provisions

Jurisprudential Fundamentals
Article (48)
Matters not specifically stipulated in this Law shall be subject first to the applicable legislation in the State, then to
the well-established rules in Imam Malik School of Jurisprudence, Imam Ahmed Ibn Hanbal School of
Jurisprudence, Imam Al Shafiy School of Jurisprudence, Imam Abi Hanifa School of Jurisprudence and finally the
principles of fairness and equity.

Fundraising
Article (49)
The provisions hereof shall not prejudice the provisions of above-referenced Decree No. (9) of 2015 in respect of all
matters related to fundraising in the Emirate.

Adjustment of Status
Article (50)
The custodians of endowments established prior to the effective date hereof shall adjust their statuses in conformity
with the provisions hereof within one year from the effective date hereof, including the following:
1. Issuance of Endowment Deed and registration thereof in the Register.
2. Providing all information required by the Foundation about the endowment

Responsibility of Government Bodies
Article (51)
All government bodies in the Emirate shall be required to:
1. Provide required support to both the Center and Foundation to help them apply the provisions hereof.
2. Amend the title registers of endowed property in conformity with the provisions hereof.

Endowment at DIFC
Article (52)
The provisions hereof shall not prejudice the applicable endowment provisions of Dubai International Financial
Center or the jurisdiction of DIFC Courts on the endowments registered therein.

Issuance of Implementing Resolutions
Article (53)

The Foundation’s Board of Directors, in coordination with the Center, shall issue the resolutions required for
enforcing the provisions hereof, and the same shall be published in the Official Gazette.

Repeals
Article (54)
Any text in any other legislation shall be repealed to the extent it contradicts with the provisions hereof.

Publication and Entry into Force
Article (55)
This Law shall be published in the Official Gazette and shall enter into force as of the publication date hereof.

Mohammed Bin Rashid Al Maktoum
The Ruler of Dubai

Issued in Dubai on 18 October 2017, Corresponding to 28 Muharram 1439 AH

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