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Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers

The last update on this law was listed on 02 May 2025

Related legislations

Issued Date

02 May 2025

Effective Date

15 May 2025

Official Gazette Date

14 May 2025

Official Gazette No

799

Legislation State

Active

Disclaimer: Every effort has been made to produce an accurate and complete English version of this website/ legislation. However, for the purpose of their interpretation and application, reference must be made to the original Arabic text. In case of conflict, the Arabic text will prevail

Article (1) Definitions

The same definitions used in the aforementioned Federal Decree by Law No. (40) of 2023 shall apply to this Resolution. Other than that, the following words and expressions shall have the meanings assigned to each of them, unless the context requires otherwise:
Ministry: The Ministry of Justice.
Minister: The Minister of Justice.
Department: The Federal Judicial Inspection Department.
Private Mediation Center: A center duly licensed to provide mediation services on civil and commercial disputes within the State, and having one of the legal forms specified in Article (4) of this Resolution.
Branch of a Foreign Mediation Center: A branch of a foreign office or company licensed to provide mediation services in civil and commercial disputes within the State.
Mediation Services: The activities and procedures carried out by licensed private mediation centers or branches of foreign mediation centers for the purpose of reaching an amicable settlement between the disputants.
Committee: The Committee referred to in Article (5) of this Resolution.
Competent Authority: The local authority responsible for licensing private mediation centers and branches of foreign mediation centers in each Emirate.
License: An official document issued by the competent authority, whereby private centers and branches of foreign centers are licensed to provide mediation services.
Decree by Law: Federal Decree by Law No. (40) of 2023 Regarding Mediation and Conciliation in Civil and Commercial Disputes.

Article (2) Scope of Application

The provisions of this Resolution shall apply to private mediation centers and branches of foreign mediation centers in the State that are licensed to provide mediation services in civil and commercial disputes in accordance with the provisions of the Decree by Law and this Resolution.

Private mediation centers and branches of foreign mediation centers licensed to operate in the financial free zones shall be excluded from the provisions of this Resolution, unless they engage in activities outside of the financial free zones.

Article (3) License to Provide Mediation Services

It shall be prohibited for a private mediation center or a branch of a foreign mediation center to be established or managed without obtaining a license from the competent authority.

Article (4) Legal Form of the Private Mediation Center

The private mediation center shall have one of the following forms:

1. Sole proprietorship;

2. General Partnership;

3. Limited Liability Company;

4. One-Person Company with Limited Liability.

 

Article (5) The License Approval Authority

1. No license shall be issued in favor of private mediation centers or branches of foreign mediation centers to provide mediation services without obtaining the approval of the Committee at the Ministry or at the local judicial authority, as the case may be.

2. The Minister of Justice or the Head of the local judicial authority shall, within their respective jurisdiction, issue a Decision to form the Committee and determine its rules of procedure.

Article (6) Procedures for Issuing Licensing Approval

1. The request for approval to issue a license shall be submitted to the Committee using the designated form, accompanied by documents supporting the accuracy of the information provided.

2. The Committee may require the applicant to complete any additional documents or fulfill any other requirements as it deems necessary for issuing the licensing approval.

3. The Committee shall review the license request and verify its compliance with the conditions and documents required, and shall issue its decision within fifteen (15) days from the date the request is deemed complete. The lapse of that timeframe with no decision made on the request shall be deemed as a rejection of the request.

4. The Committee shall notify the applicant of its decision within three (3) working days from the date of issuance.

5. The approval issued by the Committee shall be valid for six (6) months and may be renewed for a similar duration.

Article (7) Conditions for Licensing a Private Mediation Center

In order for a private mediation center to be licensed, the following requirements shall be fulfilled:

1. The Committee’s approval must be obtained;

2. The center must adopt one of the legal forms defined in Article (4) of this Resolution;

3. The applicant must have independent and suitable premises to host the disputants and provide mediation services;

4. The center’s premises must be equipped with office furnishings and electronic systems, including an electronic information system and necessary IT tools;

5. A valid professional liability insurance policy must be submitted, covering the license term, and issued by a licensed insurance company operating in the State, in accordance with relevant controls set up by the Ministry or the local judicial authority;

6. The center must appoint a manager who meets the requirements specified in clause (2) of Article (10) of this Resolution; and

7. Any other conditions as determined by the Ministry, local judicial authority, or the competent authority.

Article (8) Conditions for Licensing Branch of a Foreign Mediation Center

In order for a branch of a foreign mediation center to be licensed, the following requirements shall be fulfilled:

1. The conditions stipulated in Article (7) of this Resolution must be fulfilled, except for the condition stated in Clause (2) of the same Article.

2. The following documents must be submitted:

a. A valid license for the headquarters outside the State;

b. Proof that the headquarters has provided mediation services for not less than five (5) years at the time of submitting the licensing request; and

c. Details of the headquarters’ overall operations and achievements in the field of mediation services.

3. Any other conditions as determined by the Ministry, local judicial authority, or the competent authority.

Article (9) Scope of the License

The license of the mediation center or the branch of the foreign center shall be valid within the territorial scope of the competent authority that issued the license. The center or branch may provide mediation services outside that territorial scope after obtaining permission from the Committee, subject to the conditions set for the location in which mediation services are to be provided.

Article (10) Manager of Private Mediation Center

1. Each private mediation center shall appoint a manager to be responsible for fulfilling the center’s obligations prescribed under this Resolution.

2. The manager shall meet the following requirements:

a.  They must have full legal capacity.

b. They must be of good conduct and reputation, and must not have been convicted of a felony or a misdemeanor involving moral turpitude or breach of trust, unless rehabilitated.

c. They must hold a bachelor’s degree in Law, or in Sharia and Law, or an equivalent degree from a university or college accredited in the State.

d. They must have at least three (3) years of prior experience in judicial, legal, or mediation-related work.

e. They must reside in the State and must have a valid residence permit if the manager is a foreign national.

f. They must meet any other requirements determined by the Ministry, the local judicial authority, or the competent authority.

Article (11) Register of Private Centers and Foreign Branches

The Ministry or the local judicial authority shall maintain a register for recording the licensed private mediation centers and branches of foreign mediation centers. A file shall be maintained for each center or branch, containing all matters related to the provision of private mediation services, and the register shall include the following information:

1. The trade name of the center or branch.

2. The registration number, date of registration, and expiry date.

3. Contact information.

4. The legal form of the center or branch.

5. The name of the center or branch and information about its owner, as well as the names and details of partners, if any.

6. Name and details of the manager responsible for the center or branch.

7. Names and details of the mediators working at the center or branch.

8. Any other information the Ministry or the local judicial authority deems necessary to be listed in the register.

Article (12) Obligations of Private Centers and Foreign Branches

Licensed private mediation centers and branches of foreign mediation centers shall fulfill the following obligations:

1. Display the license at a conspicuous and easily accessible location;

2. Notify the Committee of the mediators working at the center, and of any changes to them or to the license information within five (5) working days from the date of the change;

3. Establish an electronic database to record the disputes, the parties involved, subject matters of disputes, names of mediators assigned to conduct the mediation, settlement agreements, and all mediation-related procedures and documents, in accordance with the controls and procedures set by the Committee;

4. Refrain from assigning mediation services to anyone other than the mediators listed in the center’s or branch’s register;

5. Perform all tasks related to notifying the parties of the dispute regarding the progress of the mediation process, record and document the same in the session minutes, and maintain the dispute papers and all decisions issued by the mediator until the dispute is resolved;

6. Establish clear procedures and rules for the mediation process in line with best practices adopted in this regard;

7. Submit periodic reports on the mediation services carried out by the center to the Committee; and

8. Comply with any other obligations specified by a decision issued by the Ministry or the local judicial authority.

Article (13) Register of Mediators

1. Each licensed private mediation center or foreign branch operating under the provisions of this Resolution shall maintain an electronic register listing the mediators working at the center or the branch.

2. Anyone listed in the electronic register shall meet the conditions set forth in the Decree by Law and the resolutions issued in implementation thereof for registration in the mediators’ lists.

3. Each licensed private mediation center or foreign branch shall make the electronic register of its registered mediators publicly accessible and shall publish it on its official website.

Article (14) Mediators’ Obligations and Disciplinary Measures

1. Mediators working at private mediation centers and branches of foreign mediation centers shall be subject to the obligations, powers, and prohibitions set out in the Decree by Law and its implementing resolutions.

2. If a mediator violates any of the obligations set forth in the Decree by Law or this Resolution, the aggrieved party may refer the matter to the center, where the mediator is registered, to take necessary disciplinary measures. This shall be without prejudice to the mediator’s civil or criminal liability.

3. The procedures and disciplinary penalties applicable to mediators shall be those stipulated in Federal Decree by Law No. (21) of 2022 mentioned herein, or the relevant local laws regulating expert work, as applicable.

Article (15) Supervision and Oversight Authority

1. Private mediation centers and branches of foreign mediation centers that are licensed under this Resolution shall be subject to the supervision and oversight of the local judicial department or authority, as applicable, to ensure compliance with the provisions of the Decree by Law and its implementing decisions, and the provisions of this Resolution.

2. The private mediation centers and foreign branches shall provide the local judicial department or authority, as applicable, with all required documents, records, data, and information. The local judicial department or authority may verify the same by taking appropriate measures.

3. The local judicial authority may assign another local entity to exercise the supervisory and oversight powers stipulated in this Article.

4. The local judicial department or authority, as applicable, shall develop and update the general policies for private mediation centers and branches of foreign mediation centers.

Article (16) Notice of Violation

If a private mediation center or a branch of a foreign mediation center commits a violation of any of the provisions of this Resolution, the Committee shall notify the center of the violation. The notice shall include the following details:

1. Description of the violation committed.

2. A specified timeframe to remedy the violation.

3. The penalties and measures that will be taken in the event the violation is not remedied within the prescribed timeframe.

4. Any other information determined by the Committee.

Article (17) License Suspension and Revocation

1. The Committee may suspend the license of the private mediation center or the branch of a foreign mediation center for a period not exceeding (1) one year in any of the following cases:

a. If any of the licensing requirements prescribed under this Resolution are no longer fulfilled.

b. If a period of ninety (90) days passes following the license expiry date without being renewed.

c. Based on a request to be submitted by the center or branch.

2. Suspension of the license shall entail a prohibition on providing mediation services for the duration of the suspension.

3. If the private mediation center or branch of the foreign mediation center rectifies the cause of suspension, the Committee shall issue a decision to lift the suspension. If the specified period lapsed without rectification, the Committee may notify the competent authority to revoke the license.

Article (18) Filing Grievance Against Administrative Decisions

1. Decisions issued by the Committee under the provisions of this Resolution may be subject to grievance before the Committee within a period not exceeding thirty (30) days from the date the concerned party is notified of the challenged decision, or from the date it is definitively known to them. Supporting documents must be attached to the grievance.

2. The grievance shall be decided on within fifteen (15) days from the date of submission. The lapse of that timeframe with no decision made on the grievance shall be deemed a rejection of the grievance.

Article (19) Publication and Entry into Force

This Resolution shall be published in the Official Gazette, and shall enter into force from the day following the date of its publication.

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