Arbitration Laws in UAE

There are many articles that describe the arbitration process that have been described above. We will briefly discuss these articles here and show the legal status of arbitration in UAE. The first article pertaining to arbitration mentions that a legally valid contract is necessary for independent arbitration in the country. It is also mentioned that a final decision can only be reached by the parties who are directly involved in a dispute. Opposing parties can decide to opt for arbitration in which case they would not have to file a law suit. The arbitration process is automatically cancelled if any party goes directly to court with a law suit. 

The second article in this matter provides information on the appointment of arbitrators if the opposing parties cannot agree on an arbitrator or their appointed arbitrator is unavailable due to any reason. It is also essential that an arbitrator must be in a legal position to assist and should not have the status of a person with revoked civil rights such as a criminal. For multiple arbitrators, their number must be odd to ensure a judgement with majority. Arbitrators can only be appointed with written documentation. They can also be asked for compensation if they leave an arbitration during the process. Disputing parties may agree for the removal of an arbitrator in which case a new one will be appointed according to the conditions of that particular arbitration. An arbitrator however cannot be removed once a judgement is made or the hearing is completed. An arbitrator also needs to start the arbitration process within a month of accepting appointment. If criminal proceedings or other such issues arise during an arbitration, the arbitrator is entitled to suspend all proceedings and refer the case to the relevant court of law. 

The arbitration takes place just like a proceeding in a court of law where opposing parties are required to take oath and back their information with solid proofs. The arbitrator can deliver and authorize a verdict just like done in a court and the opposing parties must agree to this arbitration which shall be done in writing and signed by disputing parties. The court can also start an arbitration in which case the arbitrator will issue their award and send its copy to the relevant court. A court can ask arbitrators to reconsider an award but it is ultimately the final body that makes a judgement. If the arbitration occurred through a court then it requires an approval before becoming active and binding on disputing parties. The award of arbitrators can become void if they were not selected according to the rules and regulations mentioned in the UAE laws. These are the main points that are covered in articles which explain the arbitration process in UAE. Local laws also come into play when the disputing party is the UAE Government.