In the most recent years, there has been a significant rise in the overall arbitration cases in the UAE. This particularly increased in the region of Dubai. This has surged a prominence in commercial litigation cases. In commercial litigation cases, arbitration clauses are now standard and fixed. They are set for resolving disputes, spanning real estate, construction, and commercial contracts.
Moreover, in the year 2021, significant alterations were introduced to the arbitration landscape in the country. DIAC is the sole arbitral chamber in the region of Dubai.
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The Decree’s Impact was officially effective from September 2021. By establishing The Dubai International Arbitration Centre, it was set as the primary hub for dispute resolution in Dubai. This is a remarkable move that intends to streamline the arbitration process in the UAE.
Nevertheless, this will mark a departure from the previous system associated with DIFC-LCIA. The application of UAE Arbitration Law is of foremost significance. It is crucial to explore international arbitration in the UAE.
Most importantly, this law extends to international commercial arbitrations as well. This will take place outside the UAE if the disputing parties mutually agree upon it. This has showcased the resilience and adaptability of international arbitration. Besides, it was successfully employed due to technology.
They will also examine expert witnesses via videoconferencing to serve the purpose. This signifies a modern strategy for resolving disputes. Advance notices are given. Arbitral tribunals are required to provide parties with sufficient notice containing important information. This may include the date, time, and location of oral hearings.
Witness Examination is also part of the process.Witnesses and shreds of evidence including experts, can be heard and examined. This is done as per the tribunal’s guidelines stated. Most of the time hearings are generally private. Now camera hearings are encouraged where parties can mutually agree to do so. This will be called public hearings.
Witness Retirement is also conducted. The tribunal can request witnesses to step aside during other witnesses’ testimonies. Telecommunication Examination is crucial. Witnesses such as the experts, can be examined through telecommunication methods. This may include videoconferencing and other modes of communication.
The arbitration framework introduced in UAE is especially drawn from the international UNCITRAL model. According to the rules of arbitration, there is a need for both parties to agree. It should be in writing as per the guidelines. Furthermore, as per the DIAC Arbitration Rules 2017 stipulates that the tribunal can administer oaths and conduct examinations.
During the pandemic era, a great deal of flexibility and Resilience was brought through this.
These provisions grant significant flexibility to the tribunal. It offers them the leverage to choose a suitable setting for arbitration. They can also select virtual platforms as well.
These rules have displayed a high degree of effectiveness during the COVID-19 times. This demonstrated that international arbitration in the UAE can efficiently adapt and implement. Besides, it has the potential to meet challenging circumstances. Therefore, by looking at the success, it was implemented even beyond the pandemic. Henceforth, the adoption of virtual processes becomes a valuable tool in the arbitration toolkit in the country.
The surge in arbitration cases has resulted in the prominence of arbitration as a way to dispute resolution. With the undergoing growth, this method gained immense popularity in the UAE. It was further solidified with DIAC. An alignment with international norms was introduced for more productive outcomes. Nevertheless, by embracing the technology advancement it has been proven to be flexible, productive, adaptive, and resilient. Additionally, this effectively resolves the disputes and issues in an innovative and creative approach.
Note: Please consult the Advocates and Legal Consultants, before taking decisions or legal actions. No assurance or responsibility is taken.