Introduction
A court is an
institution which has the authority to dissolve legal disputes among different
members of society as well as provide administration controls for observing the
laws of a country. All legal systems around the world use the system of courts
to solve legal disputes as well as to run cases for crimes against the state.
All persons accused have the right to defend themselves indiscriminately within
these legal bodies. Arbitration is a method of dissolving disputes among people
and organizations while remaining outside a legal institution such as a court.
The court on the other hand may offer arbitration services as well. There are
many cases where opposing parties are willing to find a settlement among common
grounds while remaining out of the public eye. Arbitration provides the best
method of settlement as it is generally negotiated by a neutral party.
UAE has a system
of courts that provides the best mix of Islamic Law and the traditional Western
Laws. UAE has a federal court structure
with a Supreme Court in Abu Dhabi but the Emirates of Dubai and Ras Al Khaimah
are separate from this system and have independent judiciary. The UAE courts
have three basic subdivisions of Sharia, criminal and civil courts. Civil
Courts usually deal with commercial matters while the criminal courts obviously
are associated with the prosecution of criminals. Although the legislation
lacks a direct clause that directs courts to use arbitration, there is the
presence of UAE Civil Procedure Code. The Chapter 3 of the Federal Law No. 11
of UAE Civil Procedure Code discusses arbitration in UAE legally. The Articles
starting from 203 to 218 discuss arbitration service and all its details. These
articles and other local laws form the basis for local courts to become
involved in arbitration services on civil transaction matters.
Arbitration
Arbitration is a
very important concept which is used in resolving disputes. It is a
particularly useful technique for dissolving monetary disputes. The main aim of
any arbitration is to provide a neutral point of view for both parties who are
involved in a conflict. The details of arbitration vary slightly from country
to country and there is always a margin of relaxed laws in arbitration since it
requires that the two opposing parties find a common ground of interest.
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