In a significant development, the United Arab Emirates (UAE) has recently introduced Federal Law No. (15) of 2023, amending key provisions of the Federal Arbitration Law No. (6) of 2018. These legislative changes usher in a new era for arbitration in the UAE.
Dubai: In a world where disputes can tie up resources & time, the United Arab Emirates (UAE) has just rolled out a legal red carpet for those seeking swift and efficient arbitration. Say hello to a revamped Arbitration Law that’s making waves in the legal realm!
Breaking Barriers with the Amendment Law
Imagine a world where arbitration isn’t limited to physical meetings.The UAE has officially entered that realm with Federal Law No. (15) of 2023, commonly known as the “Amendment Law.” It’s a legal makeover that’s turning heads and raising eyebrows, offering a fresh perspective on dispute resolution.
Breaking the Distance Barrier
Article 28 of the Amendment Law is the showstopper. It opens doors to both physical and virtual arbitration proceedings, aligning the UAE with the digital age. Parties can now opt for modern technological means or technical environments to conduct their arbitrations. Virtual proceedings aren’t just a nod to the pandemic-induced changes; they’re here to stay. Convenience, accessibility, and time-saving are the cherries on top.
But, it’s not all sunshine and rainbows. This shift brings its own set of challenges. The need to ensure the security, confidentiality, and reliability of remote arbitration processes is paramount. Enforceability of awards issued virtually is also a concern. The UAE invites parties and arbitrators to tread cautiously, ensuring compliance with applicable laws and rules.
Breaking the Stereotype
Arbitrators, those all-important decision-makers, are getting a makeover too. Article 10 of the Amendment Law flexes some muscle by relaxing the restriction on appointing arbitrators from the arbitration institution’s top brass. If certain conditions are met, like consent from parties and ensuring an arbitrator’s independence, they’re good to go. It’s a move aimed at expanding the pool of experienced arbitrators while maintaining transparency. But it comes with the risk of perception biases and the need to avoid challenges to arbitration awards.
Breaking Down the Procedure
Article 23 puts the power back in the parties’ hands. It reaffirms their right to set the procedures for arbitration, even referencing rules from arbitration organizations worldwide. Yet, if they can’t agree, the arbitration tribunal steps in, considering justice and international conventions. Article 33 complements this by letting the tribunal decide on hearings or opting for a “documents only” approach, aligning the process with civil law systems. Flexibility is the name of the game, ensuring each case gets the treatment it deserves.
These Amendments aren’t just about following global trends; they’re about leading them. The UAE, with its newfound arbitration prowess, is inviting both domestic and international stakeholders to experience a more modern, flexible, and attractive dispute resolution landscape.
For more legal guidance till it to your situation reach out to legal consultant in Dubai Law firms in Dubai can help you in navigating the new changes in the arbitration law