Chapter One: Definitions and Applicability
- Article (1) Definitions
- Article (2) Applicability
- Article (3) International Character of Arbitration
Chapter Two: Arbitration Agreement
- Article (4) Capacity of Agree on Arbitration
- Article (5) Forms of the Arbitration Agreement
- Article (6) Divisibility of Arbitration Agreement
- Article (7) Writing of the Arbitration Agreement
- Article (8) Decision on the Dispute Covered by the Arbitration Agreement
Chapter Three: Arbitral Tribunal
- Article (9) Formation of the Arbitral Tribunal
- Article (10) BIS Conditions to be met by an Arbitrator from Members of Supervisory or Controlling Bodies at the Competent Arbitration Institution
- Article (10) Conditions to be Met by the Arbitrators
- Article (11) Method of Nomination of the Arbitral Tribunal
- Article (13) Breach of the Arbitral Tribunal Nominations Procedures
- Article (14) Challenge of the Arbitrators
- Article (15) Procedures for Challenging the Arbitrator
- Article (16) Termination of the Arbitrator Mandate
- Article (18) General Jurisdiction Over Arbitration Measures
- Article (19) Jurisdiction of the Arbitral Tribunal to Decide on its Jurisdiction
- Article (20) Time Limit of File a Plea to the Jurisdiction of the Arbitral Tribunal
Chapter Four: Arbitral Proceedings
- Article (22) Impleader and Intervention in Arbitration
- Article (23) Determination of the Procedures to be Followed
- Article (24) Service of Process
- Article (25) Waiver of the Right to Object
- Article (26) Equality of the Parties to Arbitration
- Article (27) Commencing the Arbitral Proceedings
- Article (28) Seat and Proceedings of Arbitration
- Article (29) Language of Arbitration
- Article (33) Arbitration Proceedings and Hearings
Chapter Five: Arbitral Award
- Article (37) Application of the Law of Choice to the Subject Matter of the Dispute
- Article (41) Form and Description of the Arbitral Award
- Article (42) Timing for the Final Award
- Article (45) Termination of the Arbitral Proceedings
- Article (46) Arbitration Expenses
- Article (47) Refrainment from Delivering the Award in Case of Non-Payment of the Expenses
- Article (51) Additional Arbitral Award
- Article (53) Appeal of the Award
- Article (54) Action for the Annulment of the Arbitral Award
- Article (55) Enforcement of the Arbitral Award
Chapter Six: Final Provision
Chapter One: Definitions and Applicability
Article (1) Definitions
For the purposes of this Law, the following terms and expressions shall bear the meanings assigned to them respectively, unless the context requires otherwise:
The State (UAE): The United Arab Emirates.
Arbitration: A method regulated by the law through which a dispute between two or more parties is adjudicated under a binding award rendered by the Arbitral Tribunal as agreed by the parties.
The Arbitration Agreement: The agreement of the parties to submit to Arbitration, whether such Agreement is made before or after the dispute.
The Arbitral Tribunal: The tribunal composed of a sole arbitrator or a number of arbitrators for the purpose of adjudicating the dispute under arbitration.
The Court: The federal or local court of appeal which is agreed by the parties or within the jurisdiction of which arbitration falls.
The Arbitral Entity: An entity or a center established for the purpose of conducting arbitral proceedings.
The Delegated Person: Any natural or legal person to whom the parties agreed to grant any of the powers prescribed in accordance with this Law.
The Body Concerned: The body delegated for arbitration or the Court.
The Parties: The claimant and the respondent whatever their number.
The Claimant: The party which requests to initiate the arbitral proceedings.
The Respondent: The party against which the claimant initiates arbitral proceedings.
Article (2) Applicability
The provisions of this Law shall apply to:
1. Any arbitration conducted inside the State, unless its parties agree to submit it to the provisions of another arbitration law, provided that it does not conflict with the public policy and public morals of the State;
2. Any International Commercial Arbitration conducted abroad, the parties to which agree to submit it to the provisions of this Law; and
3. Any Arbitration arising out of a dispute concerning a legal relationship of a contractual or non-contractual nature, regulated by the laws in force in the State, except as expressly excluded by a special provision.
Article (3) International Character of Arbitration
The Arbitration is considered international arbitration, even if it is conducted in the State, in any of the following cases:
1. If the two parties to Arbitration have their principal place of business in two or more different countries at the time of conclusion of the Arbitration Agreement. However, if one of the parties has several principal places of business, the place which is very much relevant to the subject matter of the Arbitration Agreement shall be taken into consideration. If one of the parties to the Arbitration does not have a principal place of business, the place of his domicile shall be taken into consideration.
2. If one of the following places is located outside the country in which the principal place of business of any of the parties exists:
a. The venue of Arbitration as determined by or pursuant to the Arbitration Agreement;
b. Any place where a substantial part of the obligations of the commercial relationships between the two parties is implemented; or the place most relevant to the subject matter of the dispute.
3. If the subject matter of the dispute covered by the Arbitration Agreement is connected to more than one country;
4. If the parties have expressly agreed that the subject matter of the Arbitration Agreement is connected to more than one country.
Chapter Two: Arbitration Agreement
Article (4) Capacity of Agree on Arbitration
1. Only the natural person, who has the capacity to exercise its rights, or the representative of the legal person, who is authorized to conclude the agreement on arbitration, may enter into an agreement on arbitration, otherwise the agreement shall be null and void.
2. The agreement on arbitration may not be concluded with respect to the matters where conciliation is not allowed.
3. In the circumstances under which this law permits the parties to opt for the procedure to be adopted on a specific matter, any of the parties may authorize a third party to choose or decide on such procedure. Within the meaning of this Article, a third party is:
4. Any natural person or Arbitral Entity based either in the State or abroad.Unless otherwise agreed by the parties, the Arbitration Agreement shall not be terminated by the demise or expiration of one of the parties or. It may be enforced by or against the legal successor of such party.
Article (5) Forms of the Arbitration Agreement
1. The Arbitration Agreement may be concluded prior to the occurrence of the dispute, whether in the form of a separate agreement or stipulated in a specific contract, concerning all or certain disputes which may arise between the parties.
2. The Arbitration Agreement may also be concluded after the dispute has arisen, even if an action has already been brought before a judicial body. In such case, the Agreement shall specify the issues subject to Arbitration.
3. Any reference made in a contract to any other document containing an arbitration clause shall be considered an agreement on arbitration, provided that the said reference is clear in treating such clause as an integral part of the contract.
Article (6) Divisibility of Arbitration Agreement
1. The Arbitration Agreement shall be treated as independent from the other conditions provided for in the contract. The nullity, rescission or termination of the contract shall not have any effect on the Arbitration Agreement contemplated in that contract, provided that the said agreement is valid per se, unless the same is pertaining to the loss of the legal capacity of one of the parties.
2. Claiming that the contract containing the Arbitration Agreement is invalid, rescinded or terminated shall not entail the suspension of the arbitral proceedings and the Arbitral Tribunal may decide on the validity of such contract.
Article (7) Writing of the Arbitration Agreement
1. The Arbitration Agreement shall be in writing; otherwise it shall be void.
2. The Arbitration Agreement shall be deemed to have met the writing requirements in the following cases:
a. If it is included in an instrument signed by the parties or in the letters or other means of written correspondence between the parties, or made by an electronic mail in accordance with the regulations in force in the State governing the electronic transactions.
b. If a reference is made in a written contract to a model contract, an international agreement, or any other document that includes arbitration clauses and the said reference is clear in treating such clause as an integral part of the contract.
c. If an agreement to resort to arbitration is reached while the dispute is being considered by a competent court, the court shall render its ruling to confirm the arbitration agreement and the litigants shall initiate the arbitration proceedings in the set place and time and under the clauses governing thereof, and the court shall also rule that the action is null and void.
d. If it is included in the written submissions exchanged between the parties during the arbitral proceedings or it is recognized before the courts, where one of the parties requests to refer the dispute to arbitration and the other party does not object to the same in its reply.
Article (8) Decision on the Dispute Covered by the Arbitration Agreement
1. The court, before which an action was instituted regarding a dispute in respect of which an Arbitration Agreement exists, shall dismiss the action, if the Respondent moves to dismiss on this ground before making any other motions or plea on the subject matter of the action, unless the court finds that the Arbitration Agreement is void, or unenforceable.
2. Initiation of the proceedings referred to in the foregoing clause does not preclude the commencement or continuation of the arbitral proceedings or rendering of the arbitral award.
Chapter Three: Arbitral Tribunal
Article (9) Formation of the Arbitral Tribunal
1. The Arbitral Tribunal shall be constituted, on the basis of an agreement between the parties, of one or more arbitrators. Failing such agreement, the number of arbitrators shall be three, unless otherwise deemed by the body concerned.
2. Where there are several arbitrators, their number must be odd, otherwise the arbitration shall be null and void.
Article (10) BIS Conditions to be met by an Arbitrator from Members of Supervisory or Controlling Bodies at the Competent Arbitration Institution
1. With exception to the provisions of clause (B.1) of Article (10) of this Decree by Law, the Parties may appoint an arbitrator from board of directors, boards of trustees, or those of the similar status, of the supervisory or controlling bodies at the arbitration institution competent with administration of the arbitral case, if the following conditions are met:
a. The regulations of the arbitration institution competent with the administration of the arbitral case does not prohibit it.
b. The arbitration institution competent with the administration of the arbitral case shall have governance regulations special for regulating the work of the mentioned arbitrator in a manner that ensures the segregation of duties and impartiality, prevents conflict of interests or preferential advantage of the said member compared to their counterparts, and which regulates the mechanism of appointment, dismissal, and withdrawal of the arbitration if any of the determined conditions – in this regard – are met.
c. The arbitrator shall not be member or the president of the arbitral tribunal.
d. The parties to the arbitration case shall declare, in writing, their knowledge of the arbitrator's membership in the board of directors, board of trustees, or the supervisory or controlling bodies at the arbitral institution competent with the administration of the arbitral case in the State, and they don't have any objection or reservation to such appointment.
e. The competent arbitration institution shall have a special mechanism for the safe reporting on the violations committed by arbitrators.
f. The number of arbitral cases to which the arbitration is a member shall not exceed (5) cases per year.
g. The arbitrator shall submit a written letter undertaking the following:
1. To refrain from exploiting his capacity in a manner that creates a conflict of interests or leads to him obtaining or enjoying a preferential advantage or interest compared to his counterparts.
2. Refrain from participating, deliberating, perusing, voting, attending meetings, or influencing in any way the proceedings of arbitration during the period of his appointment as arbitrator while he is a member of the board of directors, board of trustees, or those of a similar status of supervisory or controlling bodies at the arbitration institution competent with the administration of the arbitral case.
h. Any other conditions or requirements determined by the competent arbitration institution.
2. The violation of the conditions referred to in this Article shall result in the invalidity of the arbitral award issued in the arbitration case and in the right of the parties to claim any civil damages from the competent arbitration institution and the violating arbitrator in accordance with the applicable legislation in the State.
Article (10) Conditions to be Met by the Arbitrators
1. In addition to the requirements agreed upon by the parties, the arbitrator shall meet the following:
a. Shall be a natural person who is not a minor, interdict, or deprived of his or her civic rights for being declared bankrupt, unless he or she has been rehabilitated, or for having been convicted in a felony or misdemeanor involving breach of honor or trust, even he or she has been rehabilitated.
b. Shall not be a member of the board of trustees or executive management or administrative apparatus of the arbitration institution competent with organizing the arbitral case in the State.
c. Shall not have direct relationship with any of the parties to the arbitration dispute that impact his impartiality, integrity, or independence.
2. The Arbitrator is not required to be of a given gender or nationality, unless otherwise agreed upon between the parties to the Arbitration or provided for by law.
3. Any person nominated to be an arbitrator shall disclose in writing any circumstances which are likely to cast doubts on his or her impartiality or independence. Upon acceptance and throughout the arbitral proceedings, he or she shall immediately notify the parties and all the arbitrators of the occurrence of any circumstance that is likely to cast doubts on his or her impartiality or independence, unless he or she has previously advised them of such circumstance.
Article (11) Method of Nomination of the Arbitral Tribunal
1. The parties to Arbitration may mutually agree on the procedures to be followed to appoint the Arbitrator or Arbitrators, and on the period of time and method for effecting their appointment.
2. If the arbitration tribunal is composed of a sole arbitrator and the Parties fail to reach agreement concerning nomination of the Arbitrator within (15) fifteen days from the date of submission of a written request from one of the parties to inform the other party of the same, the body concerned shall appoint such arbitrator, at the request of any of the parties. Such decision shall not be subject to appeals in any way whatsoever, without prejudice to the provisions of Article (14) of this Law;
3. If three arbitrators are to be appointed, each party shall nominate one arbitrator. The two arbitrators thus appointed shall nominate the third arbitrator. If one of the parties fails to nominate its arbitrator within fifteen (15) days following the receipt of a request made by the other party, or if both the appointed arbitrators fail to arrive at an agreement concerning the nomination of a third arbitrator within fifteen (15) days after the latter of them was appointed, the competent court or the delegated person shall appoint such third arbitrator on an expedited basis upon a request made by one of the parties. Such decision shall not be subject to appeals in any way whatsoever, without prejudice to the provisions of Article (14) of this Law;
4. The body concerned, whilst nominating the arbitrator, shall take into consideration the provisions laid down in this Law and the conditions agreed upon by both the parties in order to ensure appointment of an independent and impartial arbitrator.
5. In cases where the delegated person fails to appoint an arbitrator in accordance with the procedures determined upon the agreement of the parties or in accordance with the provisions of this Law in case of failure to reach an agreement, any of the parties may request from the court to take the necessary action in order to complete the formation and appointment of the members of the Arbitral Tribunal. The award of the court shall not be subject to appeal in any way whatsoever.
6. If an application for appointment of an arbitrator is submitted to the body concerned, the applicant shall send a copy of such application at the same time to the other parties and to any arbitrator previously appointed in the same dispute. The application shall briefly refer to the subject matter of the dispute and any requirements required by the Arbitration Agreement to be met in the arbitrator to be appointed and all steps taken to appoint any other member in the Arbitral Tribunal.
7. The third arbitrator appointed in accordance with the provisions of this Article shall act as the presiding arbitrator of the Arbitral Tribunal. Such provision shall be applicable to the Arbitral Tribunal comprising of more than three arbitrators.
8. The court may, at the request of any of the parties, request from any arbitral entity in the State to provide it with a list of no more than six names of the persons specialized in the field of arbitration to appoint one of them, after the requesting party pays the fees prescribed in the arbitral entity. Such fees shall be deemed part of the arbitration costs.
Article (13) Breach of the Arbitral Tribunal Nominations Procedures
In case one of the parties to Arbitration breaches the procedures to be adopted for nomination of the arbitrators as agreed upon between them; if both of them fail to have an agreement; if both the appointed arbitrators fail to arrive to an agreement with regard to an issue which requires their agreement; or if the third party, including the delegated person, fails to carry out the responsibility assigned in this regard, the court, at the request of one of the parties, shall initiate and carry out the required procedure or action unless the provisions laid down in the agreement stipulate some other mode for the completion of this procedure. The court's procedure shall not be subject to challenge by any means of challenge whatsoever.
Article (14) Challenge of the Arbitrators
1. An arbitrator may be challenged only if circumstances that give rise to serious doubts regarding his or her impartiality or independence exist, or if it is proven that the conditions agreed upon by the parties or prescribed by this Law were not satisfied.
2. A party to Arbitration may challenge the arbitrator appointed or co-appointed thereby only for reasons of which it becomes aware after the appointment has been made.
3. A notice of challenge may not be accepted from a party who has previously submitted a notice to challenge the same arbitrator in the same Arbitration on the same grounds.
Article (15) Procedures for Challenging the Arbitrator
The parties to Arbitration may agree on the procedures of challenging arbitrators. Failing that agreement, the following procedures shall be followed:
1. A party who intends to challenge an arbitrator shall notify the challenged arbitrator of the notice of his challenge in writing, indicating the reasons of challenge, and send a copy of such notice to the other appointed members of the Arbitral Tribunal and to the other parties within fifteen (15) days after the party making the challenge has been notified of the appointment of such arbitrator or has been aware of the justifiable circumstances of challenge.
2. If the challenged Arbitrator does not recuse himself or the other party does not agree to the challenge within fifteen (15) days from the date of notifying the arbitrator of his challenge in accordance with the provisions of Article (24) of this Law, the party making the challenge may submit a notice of challenge to the body concerned within fifteen (15) days to start from the end of the fifteen (15) days mentioned above. The body concerned shall decide on the notice of challenge within ten (10) days. Its decision shall not be subject to appeal by any way whatsoever.
3. The notification of the arbitrator of his challenge or submission of the notice of challenge to the body concerned shall not entail suspension of the arbitral proceedings. The Arbitral Tribunal, including the challenged arbitrator, may proceed with the arbitral proceedings and render the arbitral award, even if the body concerned does not decide on the notice of challenge.
4. The recusal of the Arbitrator or the agreement of the parties on his/her removal shall not be construed as an admission of any of the reasons of the challenge.
5. If the body concerned decides to remove the arbitrator, it may decide what it deems appropriate in terms of fees and expenses or decide the recovery of any fees or expenses paid to him. Such decision shall not be subject to challenge by any means of challenge whatsoever.
Article (16) Termination of the Arbitrator Mandate
1. If the Arbitrator is unable to assume his or her duties, fails to perform his or her task, interrupts the performance thereof in a manner which causes undue delay in the arbitral proceedings, or deliberately neglects to act under the Arbitration Agreement although he or she is notified through all notification and communication means applicable in the State, and if he or she does not withdraw on his or her own accord or the parties have not agreed to terminate his or her mandate, the body concerned may order termination of his or her mandate at the request of any party and after hearing the statements and defense of the arbitrator. The decision of the body concerned in this regard shall not be subject to appeals.
2. The authority of the arbitrator is personal and shall expire by his demise, loss of legal capacity or loss of one of his appointment conditions. The demise of the party which appoints the arbitrator shall not result in the termination of the arbitrator's authority, unless otherwise is agreed by the parties.
Article (18) General Jurisdiction Over Arbitration Measures
1. The competent court shall have jurisdiction to consider the arbitration matters referred to in this Law in accordance with the procedures in force in the State. Such court shall have exclusive jurisdiction until the completion of all arbitral proceedings.
2. The court's president may, at the request of one of the parties or the Arbitral Tribunal, order provisional or precautionary measures, as it deems appropriate, for the existing or potential arbitral proceedings whether prior to or during arbitral proceedings.
3. The measures referred to in the previous clause of this Article shall not entail the suspension of the arbitral proceedings nor shall it be deemed waiver of the Arbitration Agreement.
4. If the court's president issues an order in accordance with Clause (2) of this Article, the order issued thereby shall not cease to have effect in whole or in part except by virtue of a decision issued by the court's president.
Article (19) Jurisdiction of the Arbitral Tribunal to Decide on its Jurisdiction
1. The Arbitral Tribunal shall decide on any plea to the jurisdiction, including the plea claiming the non-existence or the invalidity of the Arbitration Agreement, or that it does not cover the subject matter of the dispute. The Arbitral Tribunal may decide on the same either in a preliminary decision or in the final arbitral award issued on the subject matter of the dispute.
2. If the Arbitral Tribunal decides in a preliminary decision that it is competent, any of the parties may, within thirty (15) days from the date of being aware of that decision, request the court to rule on that matter. The court shall decide on the request within (30) thirty days from the date of its submission at the court, and its decision shall not be subject to appeal by any means. The arbitral proceedings shall be suspended until the court decides on the request unless the Arbitral Tribunal decides to continue with the proceedings at the request of one of the parties.
3. The party requesting continuation of the arbitral proceedings shall bear the costs of arbitration if the court adjudicates that the Arbitral Tribunal has no jurisdiction.
Article (20) Time Limit of File a Plea to the Jurisdiction of the Arbitral Tribunal
1. The plea to the jurisdiction of the Arbitral Tribunal shall be filed within the period prescribed for the submission of the defense by the Respondent referred to in Article (30) of this Law. If the plea is concerned with that the Arbitration Agreement does not cover the matters raised by the other party while the dispute is being entertained, the plea must be filed no later than the hearing following the hearing in which the plea is filed; otherwise, the right to file such plea shall lapse. In all cases, the Arbitral Tribunal may accept a late plea if it deems the delay to be justified.
2. The appointment or co-appointment of an arbitrator by one of the parties shall not preclude that party's right to file any of the pleas referred to in Item (1) of this Article.
Chapter Four: Arbitral Proceedings
Article (22) Impleader and Intervention in Arbitration
The Arbitral Tribunal may, at the request of any party, permit the impleading or intervention of any third party as a party to the dispute, the subject matter of the arbitration, whether at the request of one of the parties or the intervenor, provided that such party is a party to the Arbitration Agreement after giving all the parties, including the third party, an opportunity to give their statements.
Article (23) Determination of the Procedures to be Followed
1. The parties may agree on the procedures to be adopted by the Arbitral Tribunal to proceed with the arbitration, including their right to decide that such procedures shall be subject to the rules applicable in any arbitral organization or entity in the State or abroad.
2. If there is no agreement to follow certain procedures, the Arbitral Tribunal may, subject to the provisions of this Law, determine the procedures it deems appropriate, in a manner not inconsistent with the fundamental principles of litigation and international conventions to which the State is a party.
Article (24) Service of Process
1. The provisions set forth in this Clause shall be applicable, unless the parties agree upon otherwise:
a. Any written letter shall be deemed to have been delivered: if it is served on the addressee by hand, or at its place of business, usual place of residence, or postal address known to the two parties or referred to in the arbitration agreement or the document governing the subject matter of the arbitration. In case of failure to identify any of such addresses after conducting the necessary inquiries, the written letter shall be deemed to have been delivered if it is sent to the addressee's last-known place of business, usual place of residence or postal address by a registered letter, or by courier companies or by any other means providing written proof of the attempts made to deliver it. The term "postal address" shall include any facsimile number or e-mail address have been previously used the parties in their correspondence between them or previously provided in one of the parties' correspondence to the other party.
b. The letter shall be deemed to have been delivered on the day it is delivered as set forth in this Law. The letter sent via facsimile or email shall be deemed to have been delivered on the date on which its details indicate that it is sent, provided that there is no evidence that any error occurs while sending it. In all cases, the letter shall be deemed delivered if it is received or sent before 6:00 pm in the country where the letter is received. Otherwise, the delivery shall be deemed to have taken place on the following day.
2. For the purposes of calculation of periods in accordance with this Law, the period shall commence from the day following the day the letter or any other correspondence is received. If the last day in such period is a public holiday or a non-business day at the addressee's headquarters or place of business, the period shall be extended until the first working day which follows. Public holidays or non-business days occurring during such period of time shall be included in the calculation of such period.
3. The provisions of such Article shall not apply to the correspondence made during the proceedings before courts.
Article (25) Waiver of the Right to Object
If one of the parties knows that any requirement under the Arbitration Agreement has been violated or a non-mandatory provision of this Law has not been complied with, yet it proceeds with the Arbitration without invoking its objection to the violation or non-compliance within the period agreed upon or within (7) seven days from the date of knowledge in the absence of such agreement, such party shall be deemed to have waived its right to object.
Article (26) Equality of the Parties to Arbitration
The parties to arbitration shall be treated with equality and afforded adequate and sufficient opportunity for submission of their claims and defenses.
Article (27) Commencing the Arbitral Proceedings
1. Unless otherwise agreed by the parties to Arbitration, the Arbitral Proceedings shall commence from the day following the formation of the Arbitral Tribunal.
2. The service of the request of arbitration is deemed as initiation of a claim for purposes of preventive attachment.
Article (28) Seat and Proceedings of Arbitration
1. The parties to arbitration may agree on the seat of arbitration in reality or virtually through means of modern technology or in technical environments. In the absence of such an agreement, the seat of arbitration shall be determined by the Arbitral Tribunal, having regard to the circumstances of the case, and the convenience of the seat to the parties.
2. The Arbitral Tribunal shall make available or send the minutes of the hearing to the Parties.
3. The arbitration institution shall provide the technologies required to carry out the arbitration proceedings by means of modern technology on in technical environments in accordance with the required standards and controls applicable in the State.
Article (29) Language of Arbitration
1. Arbitral proceedings shall be conducted in Arabic, unless the parties agree otherwise.
2. The agreed upon or determined language shall be apply to the arbitral proceedings, any written memorandum submitted by the parties, any oral proceedings, any arbitral award or any other decision or notice issued by the Arbitral Tribunal, unless otherwise agreed.
3. Subject to Federal Law No. (6) of 2012 Regulating the Translation Profession, the Arbitral Tribunal may order that all or part of the documentary evidence submitted in the case be accompanied by a translation thereof into the language(s) used in the Arbitration. In case of multiplicity of such languages, the Arbitral Tribunal may limit the translation to some languages.
Article (33) Arbitration Proceedings and Hearings
1. The arbitration proceedings and hearing shall be confidential, unless otherwise agreed by the parties.
2. Unless otherwise agreed by the parties, the Arbitral Tribunal may decide whether to hold oral pleadings hearings in order to submit evidence or oral arguments or to conduct the proceedings exclusively on the basis of the submitted documents and material evidence. The Arbitral Tribunal may also decide to hold such hearings in an appropriate stage of the proceedings, based upon the request of one of the parties.
3. The Arbitral Tribunal shall notify the parties of the dates of the hearings it decides to hold well in advance as the Arbitral Tribunal considers sufficient.
4. The parties may, at their own expense, engage experts, lawyers, and other persons to represent them before the Arbitral Tribunal. The Arbitral Tribunal may request the powers delegated to the representative, in the manner determined by the Tribunal.
5. A summary of the minutes of each hearing held by the Arbitral Tribunal shall be recorded in minutes, and a copy of which shall be delivered to each party.
6. Unless otherwise agreed by the parties, the hearing of witnesses including experts, shall be in accordance with laws enforced in the State.
7. Unless otherwise agreed by the parties, the Arbitral Tribunal shall have discretionary powers to determine the rules of evidence to be followed, in the absence of evidence within the law applicable to the dispute, provided that such rules do not prejudice public order.
8. The Arbitral Tribunal may evaluate the level of admissibility or relation of evidence submitted by any of the parties concerning a fact or expert opinion, it also may determine the time, manner, and form through which the said evidence is exchanged between the parties and the method of providing it to the Arbitral Tribunal.
Chapter Five: Arbitral Award
Article (37) Application of the Law of Choice to the Subject Matter of the Dispute
1. The Arbitral Tribunal shall apply the terms and conditions agreed upon between the parties to the subject matter of the dispute. In case the parties have agreed upon applying a law applicable in a particular country, the substantive rules of such law shall be adopted without applying the rules relating to the conflict of laws, unless it is otherwise agreed, provided that the same shall not contradict the public order and morality in the State.
2. Whenever the parties agree that the legal relationship between them shall be subject to the provisions of a model agreement, an international convention, or any other document, such provisions shall apply, including the provisions related to Arbitration provided for therein, provided that the same shall not contradict the public order and morality in the State.
Article (41) Form and Description of the Arbitral Award
1. The arbitral award shall be passed in writing.
2. When there is more than one arbitrator, the award shall be made by the majority of the arbitrators. If the opinions of the arbitrators are so divergent that the majority is not constituted, the presiding arbitrator shall issue the award, unless the parties agree otherwise. In such case, the dissenting opinions shall be noted down or enclosed and shall be deemed an integral part of the award.
3. The award shall be signed by the arbitrators. If one of the arbitrators refuses to sign the award, the reasons for refusal shall be recorded. The award shall be legally valid if it is signed by a majority of the arbitrators.
4. Unless the parties agree otherwise or the law applicable to the arbitral proceedings does not require the award to be supported by reasons, the arbitral award shall state the reasons upon which it is based.
5. The arbitral award shall include the names and addresses of the litigants, the names, nationalities and addresses of the arbitrators, a copy of the Arbitration Agreement, a summary of the parties' reliefs, submissions and documents, the dispositive part and, if required, reasons of the award, and date and place of issuance thereof.
6. The arbitral award shall be deemed to have been rendered at the seat of arbitration in accordance with the provision of Article (28) of this Law, even if it is signed by the members of the Arbitral Tribunal outside the seat of arbitration and regardless of the method whereby it is signed, whether it is signed by the members of the Arbitral Tribunal in person, it is sent to be signed by each party separately or it is signed by the electronic means, unless otherwise agreed by the parties.
7. Unless otherwise agreed by the parties, the date of the award shall be the same date on which the award is signed by the sole arbitrator. If there is more than one arbitrator, the date of the award shall be the date of the last signature by the arbitrator.
Article (42) Timing for the Final Award
1. The Arbitral Tribunal shall render the final award ending the entire dispute within the period agreed upon by the parties. In case of failure to agree on such period or the method to determine it, the award shall be issued within six (6) months from the date of the first session of arbitration. The Arbitral Tribunal may decide to extend the period of the proceedings for a further period not to exceed additional six (6) months, unless the parties agree upon a longer period.
2. The Arbitral Tribunal or one of the parties may, in case of rendering the arbitral award after the expiry of the period referred to in Clause (1) of this Article, request the court to pass a judgment prescribing an additional period for rendering the arbitral award or terminate the proceedings, if necessary. It may also extend such period in accordance with the conditions it deems appropriate. The judgment in this regard shall be deemed final, unless the parties agree otherwise.
3. If the court renders a judgment terminating the arbitral proceedings, any of the parties may file its claims before the initially competent court.
Article (45) Termination of the Arbitral Proceedings
1. The arbitral proceedings shall be terminated by rendering the final award ending the dispute by the Arbitral Tribunal.
2. The Arbitral Tribunal shall terminate the proceedings in any of the following cases:
a. If the parties agree to terminate the arbitral proceedings in accordance with the provisions of this Law;
b. If the Claimant abandons the arbitration case, unless the Arbitral Tribunal decides, upon the Respondent's request, that the latter has a genuine interest in the continuation of the arbitral proceedings until the dispute is decided on; or
c. In case the Arbitral Tribunal, for any other reason, comes to the conclusion that it is of no use or impossible to continue the arbitral proceedings.
Article (46) Arbitration Expenses
1. Unless the parties agree otherwise, the arbitral tribunal shall be allowed to evaluate the arbitration expenses, including the fees and expenses incurred by any member of the Arbitral Tribunal in order to carry out his duties and the expenses of appointment of experts by the Arbitral Tribunal.
2. The Arbitral Tribunal may inflict all or part of such fees and expenses provided for in Clause (1) of this Article on one of the parties. The court may, at the request of one of the parties, amend the arbitrators' valuation of their fees or the expenses so as to compensate the effort done, the nature of the dispute and the experience of the arbitrator.
3. No requests shall be submitted to the count to re-consider the value of the expenses if there is an agreement on their value.
Article (47) Refrainment from Delivering the Award in Case of Non-Payment of the Expenses
1. Without prejudice to the right of the arbitrators to claim their fees and expenses from the parties, the Arbitral Tribunal may refuse to deliver the final arbitral award to the parties in case of failure to pay all the expenses of arbitration.
2. If the Arbitral Tribunal refuses to deliver the award in accordance with the provisions of Clause (1) of this Article, any of the parties may submit a request to the court, after notifying the other parties and the Arbitral Tribunal, to oblige the Arbitral Tribunal to deliver the award to the parties, after submitting a proof of payment of all the fees and expenses requested by the Arbitral Tribunal or determined by the court in accordance with Article (46) of this Law.
Article (51) Additional Arbitral Award
1. Each party may, within thirty (30) days following the date of receipt of the arbitral award, request the Arbitral Tribunal to render an additional award as to claims presented during the arbitral proceedings but omitted from the award. The requesting party shall notify the other parties of such petition.
2. If the Arbitral Tribunal deems that the petition referred to in Clause (1) of this Article is justified, it shall render its award within sixty (60) days from the date the petition is submitted. It may extend such period for further (30) thirty days.
3. The additional arbitral award shall be deemed complementary to the arbitral award and subject to rules applicable thereto.
4. If the Arbitral Tribunal does not issue the arbitration award in accordance with this Article and Articles (49) and (50) of this Law, the party concerned shall request the court to do the same.
Article (53) Appeal of the Award
1. Arbitral awards shall not be challenged except by instituting an action for annulment or during the consideration of the confirmation decision. The party requesting the annulment of the arbitral award shall prove the existence of any of the following reasons:
a. Absence of an Arbitration Agreement, or the Agreement is void, or terminated due to expiry of its term in accordance with the law to which the Agreement is subject by the parties or in accordance with this Law if there is no reference to a specific law;
b. One of the parties, at the time of enforcement thereof, lacks capacity or of diminished capacity in accordance with the law which governs its capacity;
c. The person lacked the legal capacity to take any action regarding the right, the subject matter of dispute, in accordance with the law governing his capacity, which is stipulated in Article (4) of this Law.
d. If one of the parties to the Arbitration is unable to present its case as a result of not being given proper notice of the appointment of an Arbitrator or of the arbitral proceedings, the Arbitral Tribunal's violation of the litigation principles or for any other reason beyond its control;
e. If the arbitral award fails to apply the law agreed upon by the parties to govern the subject matter of the dispute;
f. If the composition of the Arbitral Tribunal or the appointment of one of the Arbitrators is in conflict with the provisions of this Law or the agreement of the parties;
g. If the arbitral proceedings are invalid to the effect that impairs the award; or if the award is rendered after the due time limit; or
h. If the arbitral award deals with matters not falling within the scope of the Arbitration Agreement or exceeding the limits of this agreement. Nevertheless, when matters falling within the scope of the Arbitration can be separated from the parts of the award which contains matters not included within the scope of the Arbitration, the nullity affects exclusively the latter parts only.
2. The court shall invalidate the arbitral award on its own if it finds out the following:
a. The subject matter of the dispute is a matter in which Arbitration may not be held; or
b. The arbitral award contradicts the public order and morality in the State.
Article (54) Action for the Annulment of the Arbitral Award
1. The judgment rendered by the court on the action for annulment shall be final and shall not be subject to appeals except by way of Cassation.
2. The action for annulment of an arbitral award shall not be heard after thirty (30) days following the notification of the arbitral award by the party requesting annulment.
3. The judgment nullifying the arbitral award entails the cancellation of the award in whole or in part, depending on whether such nullification pertains to all or part of the award. If an interpretation has been issued on the part that is rendered nullified, such interpretation shall likewise be nullified;
4. Unless otherwise agreed by the parties, the Arbitration Agreement shall remain valid in accordance with the provisions of this Law after annulment of the arbitral award, unless such annulment is based on the absence, extinction, nullity or non-enforceability of the Agreement itself.
5. Waiver of the right to institute the annulment action prior to the passing of the award shall not prevent the admission of the action.
6. The court from which the annulment of the arbitral award is sought may suspend the annulment proceedings for a period not exceeding (60) sixty days if it finds it appropriate at the request of one of the parties in order to give the Arbitral Tribunal an opportunity to take any action or rectify the form of the award that may eliminate the causes of annulment without affecting its content.
Article (55) Enforcement of the Arbitral Award
1. The party desiring to enforce the arbitral award shall submit a request for the confirmation of the award and order to enforce thereof to the court, provided that such request is accompanied by the following documents:
a. The original award or a certified true copy thereof;
b. A copy of the Arbitration Agreement; and
c. A certified Arabic translation of the arbitral award from an accredited body in case the award was not made in Arabic.
d. A copy of the transcript of filing the judgment with the Court.
2. The court's president or his delegate from judges shall confirm and enforce the arbitral award, within a period of (60) sixty days from the day of submission of confirmation decision and enforcement thereof, unless it finds that one or several reasons for annulment of the arbitral award is based on any of the cases contained in Clause (1) of Article (53) of this Law.
Chapter Six: Final Provision
Article (59) Inter-Temporal Scop of this Law
The provisions of this Law shall apply to any ongoing Arbitration at the time of its entry into force, even if it is based on an earlier Arbitration Agreement, provided that the proceedings carried out in accordance with the provisions of any previous legislation shall remain valid.
Translated in cooperation with