In a landmark legislative reform, the United Arab Emirates has enacted significant amendments to its Civil Transactions Law that fundamentally alter how minors can engage with financial assets. The revised legislation reduces the age at which young individuals may seek court authorization to manage their financial affairs from 18 Hijri years (based on the Islamic lunar calendar) to 15 Gregorian years (solar calendar), representing a substantial shift in legal capacity recognition.
The reform simultaneously lowers the age of majority from 21 lunar years to 18 Gregorian years, effectively streamlining the transition to full legal adulthood. This dual adjustment addresses previous complexities arising from the coexistence of different calendar systems in age calculations.
Judicial oversight remains the cornerstone of this new framework. Minors seeking financial management privileges must demonstrate sufficient maturity and capability through a formal court application process. Judges retain discretionary authority to impose specific conditions or limitations to safeguard the minor’s interests, ensuring each case receives individualized assessment rather than granting automatic financial independence.
According to legal expert Samara Iqbal, Founder of Aramas International Lawyers, these provisions specifically target scenarios involving inherited wealth, business interests, or investment portfolios rather than establishing blanket financial autonomy. ‘Judicial oversight remains key,’ Iqbal emphasized, ‘as the court assesses the minor’s competence and may impose limits or conditions to protect their interests.’
The amendments form part of broader legal modernization initiatives within the UAE, reflecting the nation’s commitment to aligning its legal framework with contemporary social and economic realities. Additional reforms within the same legislative package include updates to proprietary rights, enhanced protection of individual autonomy, expanded judicial assistance provisions, and adjustments to blood money regulations in certain cases.
This progressive legal evolution aims to foster youth participation in economic activities while maintaining appropriate safeguards, potentially supporting young entrepreneurs and enabling responsible financial management under supervised conditions.