Establishing the
Family Companies Centre in the Emirate of Dubai[1]
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We, Mohammed bin
Rashid Al Maktoum, Ruler of Dubai,
After
perusal of:
Federal
Law by Decree No. (32) of 2021 Concerning Commercial Companies;
Federal
Law by Decree No. (37) of 2022 Concerning Family Companies;
Law
No. (9) of 2020 Regulating Family Property in the Emirate of Dubai; and
Law
No. (1) of 2022 Establishing the Dubai Chambers,
Do hereby issue this Decree.
The
following words and expressions, wherever mentioned in this Decree, will have
the meaning indicated opposite each of them unless the context implies
otherwise:
|
Emirate: |
The
Emirate of Dubai. |
|
DC:
|
The
Dubai Chambers. |
|
Board
of Directors: |
The
board of directors of the DC. |
|
Chairman: |
The
chairman of the Board of Directors. |
|
Director
General: |
The
director general of the DC. |
|
FCC: |
The
Family Companies Centre established pursuant to this Decree. |
|
Director: |
The
director of the FCC. |
Pursuant
to this Decree, a centre named the “Family Companies Centre” is established at the
DC as a unit within its Organisational Structure. The FCC will perform its
functions under this Decree, the resolutions issued in pursuance hereof, and
other legislation in force in the Emirate.
The FCC will have the duties and powers to:
1. develop a comprehensive strategy for supporting and developing Family Companies and Family Property in the Emirate; propose innovative solutions to manage, and enhance the development, of these companies and property; and submit the same to the Board of Directors for approval;
2. make proposals on the policies and initiatives designed to enhance the sustainability and development of Family Companies and Family Property, including the incentives intended for these companies and property; and submit the same to the Board of Directors for approval in preparation for their submission to the competent entities in the Emirate to take the appropriate decisions in respect thereof;
3. build the
management skills and competencies of the Partners, founders, and board members
of Family Companies and their children, with a view to ensuring the development
of their managerial skills and achievement of smooth management succession and
leadership transition at these companies;
4. inform the owners
of Family Companies and Family Property and raise their awareness on the
government services available for these companies and property and on the
legislation governing the same; and raise their awareness of the importance of
adopting a sound governance system that ensures the sustainability of their
Family Companies and Family Property;
5. prepare guiding
templates for the Articles of Association of Family Companies and the
Governance Code of these companies, and for the Family Property Contracts, which
are governed by the above-mentioned Federal Law by Decree No. (37) of 2022 and
Law No. (9) of 2020 and by other legislation in force in the Emirate;
6. provide advice and
consultation on the procedures for establishment of Family Companies, and on establishing
and regulating Family Property, as required by their owners and in accordance
with the provisions of the above-mentioned Federal Law by Decree No. (37) of
2022 and Law No. (9) of 2020, the resolutions issued in pursuance thereof, and
other legislation in force in the Emirate;
7. propose solutions
for addressing the issues and overcoming the obstacles that Family Companies
and Family Property may face in dealing with government and private entities,
and submit the same to the Director General to give the relevant directives as
he deems appropriate;
8. coordinate with
the concerned organisational units of the DC to propose the means of connecting
the DC with the Family Companies to facilitate and regulate their commercial
operations for the benefit of both parties;
9. organise and
participate in events, exhibitions, and conferences that are related to Family
Companies and Family Property and that are conducive to the achievement of the
objectives of the DC;
10. explore, consider,
and analyse the situation of Family Companies and Family Property in the
Emirate, and prepare the relevant reports and submit them to the Director
General to give the relevant directives as he deems appropriate;
11. provide technical
and administrative support to Family Companies and Family Property with a view
to ensuring their sustainability and the smooth succession of their management
to next generations; and
12. exercise any other
duties or powers required for the achievement of the objectives of the DC, as
assigned to it by the Chairman.
a. A Director will be appointed to the FCC pursuant to a resolution of the Chairman issued upon the recommendation of the Director General.
b. The Director will, under the supervision of the Director General, manage the FCC and ensure that the FCC efficiently and effectively exercises its powers and duties under this Decree, the resolutions issued in pursuance thereof, and other legislation in force in the Emirate. In particular, the Director will have the duties and powers to:
1.
propose the
organisational structure of the FCC and submit the same to the Director General
for approval, in preparation for its final approval as part of the DC
organisational structure;
2.
submit the necessary
reports on the plans, projects, and programmes of the FCC, as well as periodic
reports on its achievements and activities, to the Director General to give the
relevant directives as he deems appropriate;
3.
develop the
operational and development plans of the FCC; prepare estimates of the financial
resources and expenditure required for their implementation; and submit the
same to the Director General for approval, in preparation for their approval by
the Board of Directors as part of the strategic plan and general budget of the
DC;
4.
promote
institutional relationships with the concerned organisational units of the DC
with a view to achieving the DC objectives; and
5.
exercise any other
duties or powers related to enabling the FCC to exercise its duties and
functions, as assigned to him by the Chairman or the Director General.
The
concerned Government Entities in the Emirate, and all other entities, must
fully cooperate with the FCC and provide it with
the required support to enable it to exercise its duties and powers under this
Decree, the resolutions issued in pursuance hereof, and other legislation in
force in the Emirate.
The
Chairman will issue the resolutions required for the implementation of the
provisions of this Decree.
Any
provision in any other legislation is hereby repealed to the extent that it
contradicts the provisions of this Decree.
This
Decree comes into force on the day on which it is issued, and will be published
in the Official Gazette.
Mohammed bin
Rashid Al Maktoum
Ruler
of Dubai
Issued in Dubai on 6 December 2022
Corresponding
to 12 Jumada al-Ula 1444 A.H.
©2023 The Supreme
Legislation Committee in the Emirate of Dubai
[1]Every effort
has been made to produce an accurate and complete English version of this
legislation. However, for the purpose of its interpretation and application,
reference must be made to the original Arabic text. In case of conflict, the
Arabic text will prevail.