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BookP804E 978-92-842-0520-2

A Guide to Arbitration in the UAE

Over the past ten to fifteen years, the UAE has moved to the forefront of arbitration in the MENA, having built a modern state-of-the-art arbitration infrastructure.  To consolidate its position as a leading arbitration hub, the UAE has seen the adoption of the Federal Arbitration Law, which entered into effect on 16 June 2018.

This publication aims to shed light on how the new law operates through the lens of five chapters which – in addition to a thematic overview – guide the reader through a set of core arbitration principles that lie at the heart of the new Law: from the arbitration agreement and legal capacity, to the powers and duties of the arbitrator, to public policy, and finally the recognition and enforcement of both domestic and foreign arbitral awards.

The contributions by leading arbitrators will help give all arbitration practitioners – from in-house counsels, lawyers and arbitrators –  valuable insights into how to conduct their arbitral proceedings in a manner that preserves their integrity in line with the applicable laws and the regulations at the seat.

 Code ISBN : 978-92-842-0520-2
 Weight : 0.3500 kgs
 Number of pages : 92
 Publishing date : 2020
 Language : English

Foreword by Alexis Mourre…. 7

Introduction by Ali Al Aidarous…. 9

Chapter 1

The UAE Arbitration Law by Philip Punwar…. 11

I. Scope…. 11

II. Positive Steps…. 11

III. Other Noteworthy Provisions…. 14

IV. Conclusion…. 15

Chapter 2

Arbitration Agreement and Legal Capacity by Hassan Arab…. 16

I. Introduction…. 16

II. Arbitration Agreements under UAE Law…. 17

II.1. Requirements for Arbitration Agreements…. 17

II.2. Types of Arbitration Agreements…. 18

A. Separate arbitration agreement or reference to an arbitration clause in the main contract…. 18

B. Submission agreements…. 18

C. Arbitration clause incorporated by reference…. 18

II.3. Multi-tier Arbitration Clauses…. 19

II.4. The Doctrine of Separability…. 19

A. The Doctrine of Separability under UAE Law…. 20

II.5. Arbitrability under UAE Law…. 20

II.6. Compétence-Compétence…. 21

II.7. UAE Courts’ Approach towards Arbitration Agreements…. 21

II.8. Appointment of Arbitrators by UAE Courts…. 22

II.9. Presumption of Authority to Arbitrate…. 22

II.10. Arbitration Agreements in Government Contracts…. 23

A. Dubai Law No. 6 of 1997…. 23

B. The Cabinet Resolution No. 406/2 of 2003…. 23

III. Legal Capacity to Enter into Arbitration Agreements…. 23

III.1. Provisions under UAE Law…. 23

III.2.  Legal Capacity—Sole Establishment, Limited Liability Company and Joint Stock Company…. 24

A. Sole Establishment…. 24

B.  Limited Liability Company…. 25

C.  Joint Stock Company…. 25

IV. Conclusion…. 25

 

Chapter 3

Powers and Duties of Arbitral Tribunals in the UAE by Alain Farhad…. 30

I. Introduction…. 30

II. The Tribunal’s Powers and Duties in relation to its Composition…. 30

III. The Tribunal’s Powers and Duties in relation to the Parties’ Agreement to Arbitrate…. 31

IV. The Tribunal’s Powers and Duties in relation to the Conduct of the Proceedings…. 33

IV.1. Choice of Law…. 33

IV.2. Choice of Procedure…. 33

IV.3. Choice of Seat…. 34

IV.4. Conduct of Hearings…. 35

IV.5. Power to Order Interim Relief…. 35

IV.6. Decision-making Power on Questions of Procedure 36

V. Award…. 36

VI. Conclusion…. 38

Chapter 4

The Historical Genesis of the Doctrine of Public Policy and its Influence on UAE’s International Commercial Arbitration by Mahmood Hussain…. 47

I. International Commercial Arbitration…. 47

I.1. History of Arbitration…. 47

I.2. Conflict of Laws…. 48

II. The Doctrine of Public Policy…. 48

II.1. Application of Public Policy Doctrine under Different Legal Systems…. 48

A. Civil Law System…. 48

B. Common Law System…. 48

II.2. Principles by Jurists on the Concept of Public Policy…. 49

III. International Commercial Arbitration in the UAE…. 50

III.1. New Federal Law No.6…. 50

III.2. The Concept of Public Policy in UAE…. 51

IV. Sharia Law…. 51

IV.1. Sharia as Substantive Public Policy…. 51

IV.2. Sharia as Procedural Public Policy…. 52

V. Application of Public Policy Exception in the UAE courts…. 53

V.1. Influence of the Doctrine of Public Policy in the Enforcement of Domestic Awards in the UAE…. 53

V.2. Influence of the Doctrine of Public Policy in the Enforcement of Foreign Awards in the UAE…. 53

VI. Conclusion…. 53

 

Chapter 5

Recognition and Enforcement of Domestic and Foreign Awards under the UAE Federal Arbitration Law by Gordon Blanke…. 57

I. Introduction…. 57

II. Recognition and Enforcement under the UAE Federal Arbitration Law…. 58

II.1. Recognition and Enforcement of Domestic Awards…. 58

A. Action for recognition and enforcement…. 58

B. Recourse against an order for recognition and enforcement…. 60

II.2. Recognition and Enforcement of Foreign Awards…. 61

A. Enforcement under Articles 235 and 236 CPC pending adoption of Cabinet Decision No. 57 of 2018…. 61

B. Cabinet Decision No. 57 of 2018…. 62

C. Enforcement under the New York Convention…. 63

D. Enforcement under other bi- and multi-lateral instruments…. 64

III. Challenges of Domestic Awards under the UAE Federal Arbitration Law…. 64

III.1. Challenging Domestic Awards…. 64

III.2. Grounds for Challenge…. 66

A. Absence, invalidity or termination of arbitration agreement…. 66

B. Lack of or insufficient capacity…. 67

C. Insufficient opportunity to present a party’s case, lack of proper notification and violation of due process…. 67

D. Failure to apply the governing law on the merits…. 68

E. Deficiencies in the appointment or the composition of the tribunal…. 68

F. Invalidity of the arbitral proceedings or award rendered out of time…. 69

G. Extrapetita…. 70

H. Ex officio grounds…. 71

IV. Conclusion….. 71

About the Authors…. 81

Table of Cases…. 83

Index…. 90

ICC Dispute Resolution Publications…. 92

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