Legal Services

Application requirements

Key eligibility requirements for new applicants include:

1) Senior responsible leadership (Managing Partner / equivalent)

An applicant must have a managing partner (or equivalent standing) operating under the legal services licence who:

• has at least 8 years of relevant post-qualification experience;
• holds a recognised professional qualification from a recognised professional body; and
• is a member in good standing of a recognised professional body.

2) Compliance arrangements

Applicants must ensure compliance with obligations applying to the applicant and connected persons under any ADGM legislation or other applicable law, including any rules applying to the applicant and connected persons via membership in a recognised professional body, and maintain suitable arrangements to ensure ongoing compliance

3) Disqualifying events

The applicant, licensed legal service provider and connected persons must not be subject to the events specified in the Commercial Licesing Regulations (Conditions of Licence and Branch Registration) Rules 2025(B) (the “Conditions of Licence Rules”) (including imprisonment/penalty in criminal proceedings, inability to attend to business, or abandonment of the business in ADGM).

Interaction with other professional services requirements

Legal service providers are distinct from other controlled activities (e.g., company services, tax services, audit services). If a firm proposes to offer multiple controlled activities, it may need to be licensed for each relevant activity and may need to demonstrate appropriate conflicts of interest policies and procedures to the Registrar prior to any additional licensing.

Conditions of Licence for Legal Service Providers

Once licensed, firms must comply with ongoing requirements, including:

• Schedule 2 conditions for legal service providers – see next section;
• Client Money Rules (Commercial Licensing Regulations 2015 (Client Money) Rules 2021);
• the terms of the licence and any conditions/requirements/directions specified by the Registrar;
• obligations under applicable ADGM laws and (where applicable) laws outside ADGM and rules implemented by the relevant recognised professional body; and
• the firm’s policies, controls and procedures adopted to ensure compliance.

Schedule 2 – Conditions of Licence (Legal service providers)

1) Professional Indemnity Insurance (PII)

A firm must, either before or promptly upon the grant of a licence but before the firm engages in client work, obtain and maintain professional indemnity insurance appropriate to the nature and size of its business, including cover for (among other matters) negligence, dishonesty/fraud, loss or damage to documents/records, applicable territories, breaches, persons insured, claims-made basis, run-off, and legal/professional costs.

• Minimum PII: USD 1,000,000 per single claim.
• Evidence must be provided to the Registrar upon request.

2) Prudent operation, resources and staff qualifications

Licensed legal service providers must:

• conduct business in a prudent manner;
• maintain and demonstrate resources to conduct and manage its affairs in a prudent manner (financial, systems and human);
• ensure each member of staff providing legal services holds a recognised professional qualification and is a member in good standing of a recognised professional body;
• occupy an ADGM office and sponsor/obtain an ADGM work permit for at least 1 full-time qualified employee (recognised qualification + good standing membership) in the registered office;
• keep the registered office open during ordinary business hours; and
• ensure at least one qualified staff member (as above) is generally physically present during ordinary business hours (subject only to the specified prohibitions).

3) Annual Legal Services Provider Return (Annual LSP Return)

Effective from 1 January 2027, licensed legal service providers must submit an Annual LSP Return to the Registrar no later than the end of April each year, covering the preceding calendar year and including client numbers, limited service details, employee/qualification evidence, compliance confirmation, and other information the Registrar specifies.

4) Principles (conduct standards)

From publication of the Rules, licensed legal service providers must comply at all times with the principles of:

• Integrity
• Due skill, care and diligence
• Confidentiality
• Transparency
• Conflict of Interest
• Relations with the Registrar

Supervision and Compliance Expectations

The Registration Authority supervises legal services firms on a risk-based and proportionate basis, monitoring ongoing compliance with the conditions of licence and applicable ADGM legislation, and may specify additional conditions/requirements in writing.

 What the RA looks at (examples):

• adequacy of professional indemnity insurance;
• staffing, presence and office requirements in ADGM;
• managing partner (or equivalent) and staff qualifications and professional standing;
• firm governance, systems and compliance arrangements; and
• timely annual filings (including Annual LSP Return from 2027).