Last September, the UAE issued a new law that amends some of the provisions of its Arbitration Laws, Federal Law No. 6 of 2018. The Amendment Law replaced Articles 10, 23, 28 and 33 of the Arbitration Law, in addition to adding a new article.
Last September, the UAE issued a new law that amends some of the provisions of its Arbitration Laws, Federal Law No. 6 of 2018. The Amendment Law replaced Articles 10, 23, 28 and 33 of the Arbitration Law, in addition to adding a new article (Article “10”).
Technology-related Amendments
The most significant amendment to begin with is the expansion of the scope of arbitration to be held virtually according to Article (28). Pior to the amendments, the Arbitration Law did provide for parties to elect to hold proceedings by "modern electronic means of communication" where deemed appropriate. However, the Amendment Law now puts the responsibility on the arbitral institutions to provide the technology necessary to carry out the arbitration proceedings per the UAE's required standards.
Confidentiality and Rules of Evidence
The Amendment Law extends confidentiality to all arbitration proceedings. Prior to the amendments, Article (33) only applied to hearings. This change is in line with modern arbitration laws and international institutions which commonly include a requirement to keep all the proceedings (not just hearings) confidential. The purpose of this amendment is to enhance procedural efficiency as it will allow tribunals to eliminate the need for straightforward and low-value claims to be heard orally.
Furthermore, Article (33) also gives tribunals discretion to determine rules of evidence “provided that those rules do not prejudice the public order”. It also provides that such discretion will apply “unless otherwise agreed by the parties” and “in the absence of rules of evidence to resolve the dispute in the applicable law”.
Appointment of Arbitrators
According to the international norms on conflict of interests, the direct relationship between an arbitrator and one of the parties may give rise to doubts about the arbitrator’s impartiality. Article (10) of the Amendment Law reaffirms and upholds these international norms, by stating that any direct relationship between an arbitrator and one of the parties may give rise to doubts about the arbitrator’s impartiality, independence, or integrity (Article 10(1)(c)).
Before the enforcement of the Amendment Law, the Arbitration Law prohibited those who were on the board of trustees or administrative bodies of a Competent Arbitration Institution from being nominated as arbitrators in proceedings that are administered by that institution. After the amendment, this prohibition is now extended to members of the executive management of the Competent Arbitration Institution. However, Article (10) also provides certain exceptions to these prohibitions.
Notice Periods
According to Article (33)(4), Amendment Law clarifies that documentary evidence must be provided. The 2018 Arbitration Law in the UAE did not specify a required format for the proof of authority to be submitted to the tribunal.
