His Highness Sheikh Mohammed bin Rashid Al Maktoum, in his capacity as the Ruler of Dubai, Vice President and Prime Minister of the UAE, has issued Decree No. (34) of 2021 on the Dubai International Arbitration Centre (DIAC).
Under the new Decree, the Emirates Maritime Arbitration Centre and the Dubai International Financial Centre Arbitration Institute will be dissolved. Their operations and assets will be merged into the Dubai International Arbitration Centre (DIAC), an autonomous non-profit institution that offers regional and international business communities with world-class arbitration services.
The newly issued Decree will support Dubai’s efforts to improve the efficiency of its alternative dispute resolution sector and strengthen the emirate’s position as a global arbitration hub.
In accordance with the Decree, the ownership of the real estate, assets, funds, staff, financial allocations and a membership base of the two dissolved arbitration centers will be transferred to the DIAC. Dubai Courts and DIFC Courts will continue to hear claims, applications and appeals related to any arbitration proceedings conducted in tribunals of the dissolved arbitration centers.
The Decree No. (34) of 2021 replaces Decree No. (10) of 2004 relating to the establishment of the Dubai International Arbitration Centre and annuls any legislation that contradicts the provisions of the new Decree. The Centre has been directed to comply with the new Decree within six months of its effective date.
Further, the Decree outlines the DIAC’s objectives, functions and organizational structure at three levels: the Board of Directors, an arbitration court to be formed in accordance with the new merged structure, and the administrative unit of the Centre.
According to the Decree, the DIAC’s major objectives include positioning Dubai as a leading global center for alternative dispute resolution, promoting alternative dispute resolution mechanisms and serving the emirate’s financial and business community.
Further to the Decree, the Dubai International Arbitration Centre will establish a new arbitration court consisting of 13 members, including its President and Vice President. The new court’s members, who will have locally and internationally accredited arbitration expertise, will be appointed by decisions of the Centre’s Board of Directors for a non-renewable term of four years.
Thank you very much for choosing GCC Business News to be an important part of your professional life. You will receive a confirmation e-mail. Please check SPAM or UPDATES folder
