The Essentials
Foundation setup in RAK ICC provides a secure and flexible framework for wealth preservation and legacy planning. The 2025 amendments enhance governance, asset protection, creditor safeguards, and dispute resolution, reinforcing RAK ICC foundations as a trusted vehicle for long-term family and investor planning. With MS’s end-to-end advisory and implementation services, clients can establish well-structured, compliant, and future-ready foundations that align with their strategic wealth, succession, and philanthropic goals.
Preserving wealth across generations demands foresight, structure, and legal certainty. Foundations have become an indispensable tool for families and investors aiming to safeguard assets, manage succession, and retain control over long-term wealth strategies.
The Ras Al Khaimah International Corporate Centre (RAK ICC) offers a sophisticated and secure foundation framework in the UAE. With robust governance standards, comprehensive asset protection measures, and flexible structuring options, RAK ICC foundations empower founders and families to implement strategic legacy and wealth planning while ensuring stability and continuity across generations.
In July 2025, RAK ICC introduced significant amendments to its Foundations Regulations, effective from 31 July 2025, under the RAK ICC Foundations Regulations 2019, Amendments 2025.
These reforms further enhance legal certainty, shield assets from external interference, and streamline dispute resolution. By combining strong governance, robust protection, and international enforceability, Foundation setup in RAK ICC remain one of the most secure and flexible vehicles for cross-border wealth planning, setting a new benchmark for legacy and family governance in the UAE.
Key 2025 Amendments for Foundation Setup in RAK ICC
The 2025 reforms strengthen the legal, governance, and dispute-resolution framework for foundations, focusing on international enforceability, creditor protection, and arbitration. Key highlights include:
1. Firewall Provisions
Foundations are now shielded from enforcement of any foreign judgment or legal action inconsistent with RAK ICC law. This effectively bars recognition of foreign rulings that contradict UAE legal principles or interfere with foundation assets.
2. Three-Year Statute of Limitations
A new three-year limitation period applies to any legal action challenging a foundation’s establishment or the transfer of assets into it, enhancing certainty and protecting assets from late-stage claims.
3. Creditor Claim Restrictions
Fraudulent transfer claims are only valid where the founder intended to defraud creditors and the transfer rendered the founder insolvent. Any liability is limited to the specific asset involved protecting other foundation holdings from exposure.
4. Duress Protections
Actions taken under foreign coercion or legal pressure are invalid. Foundation officers are instructed to disregard non-UAE orders to maintain autonomous decision-making.
5. Reinforced Arbitration System
Disputes may now be privately arbitrated with tribunals granted powers equivalent to the RAK or DIFC/ADGM courts. This strengthens confidentiality and simplifies cross-border dispute resolution.
6. Private Trustee Foundations (PTFs)
The amendments clearly separate trust assets from foundation property, confirming fiduciary integrity and asset segregation where a foundation holds trust property.
Foundation Setup in RAK ICC: Strengthening Governance and Asset Protection for Generational Wealth
The 2025 amendments underscore RAK ICC’s commitment to providing a robust, secure, and internationally aligned foundation regime. By enhancing governance, reinforcing asset protection, and streamlining dispute resolution, these reforms ensure that foundation setup in RAK ICC continues to serve as a trusted vehicle for legacy preservation and strategic wealth planning. For families, founders, and investors seeking long-term certainty and control over their assets, RAK ICC foundations offer a stable, flexible, and future-ready solution in the evolving landscape of UAE wealth management.
How MS Supports Foundation Setup in RAK ICC?
MS offers end-to-end advisory and implementation services for Foundation setup in RAK ICC, guiding clients in structuring their foundations to achieve asset protection, succession planning, and philanthropic objectives. We oversee the full setup process, including drafting the Charter and By-laws, coordinating Council and Guardian appointments, completing all registration formalities with RAK ICC, and ensuring ongoing regulatory compliance. With MS’s expertise, you can establish a secure, well-governed, and future-ready foundation aligned with your long-term wealth and legacy goals. appointments, completing all registration formalities with RAK ICC, and ensuring ongoing regulatory compliance.