New Civil Transactions Law brings in legal and contractual reforms.

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The law reduces the age threshold for managing assets and introduces provisions for judicial assistance.

Dubai Courts has outlined key amendments under the United Arab Emirates’ new Civil Transactions Law No. 25 of 2025, including a reduction in the age of majority to 18 Gregorian years and the introduction of new legal mechanisms to strengthen contractual clarity and protect vulnerable individuals.

The change lowers the age of majority from 21 lunar years to 18 Gregorian years, aligning the age of civil responsibility with the age of criminal responsibility in the United Arab Emirates, according to the court’s social media statement.

The legislation also reduces the minimum age at which a minor can apply for permission to manage their own assets from 18 Hijri years to 15 Gregorian years.

Dubai Courts said the amendment is intended to encourage greater participation by young people in economic activities, while ensuring it remains within a clearly regulated legal framework in the United Arab Emirates.

Among the new provisions is the introduction of a judicial assistance system for individuals unable to express their will, allowing courts to appoint a judicial assistant to help manage their legal affairs.

The law also introduces a “framework agreement” mechanism designed to regulate recurring or long-term contractual arrangements with greater efficiency and legal clarity. Dubai Courts said this is expected to strengthen contractual stability and streamline transactions in the United Arab Emirates.

The updated legislation further clarifies rules on legal capacity and domicile, stating that full legal capacity is acquired at 18 Gregorian years, provided the individual has full mental capacity and is not subject to legal restrictions.

It also defines the age of discernment as seven Gregorian years, with children below that age considered incapable of independently exercising civil rights. Those above the age of discernment but below majority, along with adults deemed legally imprudent, are classified as having limited legal capacity under the law.

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