Trusts & estate structuring

Begin with the family’s objectives

The establishment of a trust or foundation should begin with the people, assets and responsibilities it is intended to serve. Hyam El Hachem Law Firm supports the legal assessment, structuring and documentation of such arrangements within an agreed mandate, drawing on experience in family, inheritance and cross-jurisdiction matters.

Identify the intended beneficiaries, the assets concerned and the degree of control, discretion and continuity sought. The suitability of a structure depends on the relevant jurisdictions, existing ownership and the family’s circumstances.

Understand the distinction between a trust and a foundation

ADGM describes a trust as a legal relationship in which a trustee holds and administers assets for beneficiaries or a purpose. A foundation, by contrast, has separate legal personality. These differences affect the ownership and governance questions that need to be addressed.

DIFC and ADGM provide distinct legal frameworks. Selection should follow a review of the intended arrangements and the applicable rules, rather than an assumption that a particular structure is universally appropriate.

Put the governing arrangements into considered documents

The legal work may include reviewing or preparing the relevant governing instruments, identifying reserved powers, defining decision-making and addressing changes in family circumstances. Trust deeds, letters of wishes, foundation charters and related governance documents should be considered according to the selected structure.

• The roles of the settlor or founder, trustees, council members and any protector or guardian.
• The identification of beneficiaries and the intended approach to distributions.
• Succession to administrative roles, incapacity and replacement arrangements.
• Information rights, record-keeping and the process for resolving disagreements.

Coordinate implementation across jurisdictions

The legal structure and the transfer of assets into it are separate questions. Property, company interests and financial accounts may each require different documentation, consents or professional input. Tax residence, succession rules and recognition in the country where an asset is located also merit individual advice.

The firm’s legal mandate is distinct from acting as trustee, administrator or regulated company service provider. Any such appointment, and any required local-law or tax advice, must be expressly arranged with appropriately authorised professionals. No structure provides an unconditional guarantee against claims or taxation.

Prepare a confidential initial brief

Start with the objectives and a high-level description of the family and assets. Detailed identity, financial and ownership records can be requested through an agreed process once the scope of the matter is understood.

• Countries of residence and locations of the relevant assets.
• Existing wills, ownership structures, trusts or family agreements.
• The intended beneficiaries and governance priorities.
• Any immediate transaction, succession issue or deadline.
• Consultations in English, French or Arabic, online or in Dubai by arrangement.