PART 1: GENERAL
1. Title
This Law may be cited as the “Arbitration Law of 2008”.
2. Legislative authority
This Law is made by the Ruler of Dubai.
3. Application of the Law
This Law applies in the jurisdiction of the Dubai International Financial Centre.
4. Dates of enactment and commencement
This Law is:
(a) enacted on; and
(b) comes into force on,
the respective dates specified in the enactment notice in respect of the Law.
5. Repeal of legislation
As on the date specified in the enactment notice in respect of the Law, the DIFC law No. 8 of 2004 shall be repealed and replaced in its entirety by the Law.
6. Interpretation
The Schedule contains:
(a) interpretative provisions which apply to this Law; and
(b) a list of defined terms used in this Law.
PART 2: SCOPE OF APPLICATION
7. Scope of application of Law
(1) Parts 1 to 4 and the Schedule of this Law shall all apply where the Seat of the Arbitration is the DIFC.
(2) Articles 14, 15, Part 4 and the Schedule of this Law shall all apply where the Seat is one other than the DIFC.
PART 3: ARBITRATION
CHAPTER 1 – GENERAL PROVISIONS
8. Receipt of written communications
Unless otherwise agreed by the parties to a dispute:
(a) any written communication is deemed to have been received if it is delivered to the addressee personally or if it is delivered at his place of business, habitual residence or mailing address; if none of these can be found after making a reasonable inquiry, a written communication is deemed to have been received if it is sent to the addressee’s last-known place of business, habitual residence or mailing address by registered letter or any other means which provides a record of the attempt to deliver it; and
(b) the communication is deemed to have been received on the day it is so delivered.
9. Waiver of right to object
A party who knows that any provision of this Law, including one from which the parties may derogate, or any requirement under the Arbitration Agreement has not been complied with and yet proceeds with the Arbitration without stating his objection to such non-compliance without undue delay or, if a time limit is provided therefor, within such period of time, shall be deemed to have waived his right to object.
10. Extent of court intervention
In matters governed by this Law, no DIFC Court shall intervene except to the extent so provided in this Law.
11. Authority of the DIFC Court to perform functions of arbitration assistance and supervision
The functions referred to in Articles 19(3), 24(2), 34, 41, 42, 43 and 44 of this Law shall be performed by the DIFC Court, while the functions referred to in Articles 14, 17(3), 17(4), 17(5), 20(1), 21(2), 23(3) and 39(5) shall be performed by the DIFC Court, subject to any process agreed between the parties in the Arbitration Agreement.
CHAPTER 2 – ARBITRATION AGREEMENT
12. Definition and form of Arbitration Agreement
(1) An “Arbitration Agreement” is an agreement by the parties to submit to Arbitration all or certain disputes which have arisen or which may arise between them in respect of a defined legal relationship, whether contractual or not. An Arbitration Agreement may be in the form of an arbitration clause in a contract or in the form of a separate agreement.
(2) An Arbitration Agreement referring future disputes between the parties arising out of or in connection with:
(a) a contract of employment within the meaning of the Employment Law 2005; or
(b) a contract for the supply of goods or services, other than residential property, to a consumer made by a supplier who is a natural or legal person acting for purposes relating to his trade, business or profession, whether publicly owned or privately owned,
cannot be enforced against the employee or consumer in respect of any such dispute except:
(i) with his written consent given after the dispute in question has arisen; or
(ii) where he has submitted to arbitration proceedings commended under the Arbitration Agreement, whether in respect of that dispute or any other dispute; or
(iii) where the DIFC Court has made an order disapplying this Article on the grounds that the DIFC Court is satisfied that it is not detrimental to the interests of the employee or consumer for the dispute in question to be referred to arbitration in pursuance of the Arbitration Agreement instead of being determined by proceedings before a Court. For the purposes of this Article, “consumer” means “any natural or legal person who is acting for purposes which are outside his trade, business or profession”.
(3) An Arbitration Agreement shall be in writing, in accordance with the provisions of this Article 12.
(4) An Arbitration Agreement is in writing if its content is recorded in any form, whether or not the Arbitration Agreement or contract has been concluded by conduct or by
other means.
(5) The requirement that an Arbitration Agreement be in writing is met by an electronic communication if the information contained therein is accessible so as to be useable for subsequent reference; “electronic communication” means any communication that the parties make by means of data messages; “data message” means information generated, sent, received or stored by electronic, magnetic, optical or similar means, including, but not limited to, electronic data interchange (EDI), electronic mail, telegram, telex or telecopy.
(6) Furthermore, an Arbitration Agreement is in writing if it is contained in an exchange of statements of claim and defence in which the existence of an agreement is alleged by one party and not denied by the other.
(7) The reference in a contract to any document containing an arbitration clause constitutes an Arbitration Agreement in writing, provided that the reference is such as to make that clause part of the contract.
13. Arbitration agreement and substantive claim before a Court
(1) If an action is brought before the DIFC Court in a matter which is the subject of an Arbitration Agreement, the DIFC Court shall, if a party so requests not later than when submitting his first statement on the substance of the dispute, dismiss or stay such action unless it finds that the Arbitration Agreement is null and void, inoperative or incapable of being performed.
(2) Where an action referred to in paragraph (1) of this Article has been brought, arbitral proceedings may nevertheless be commenced or continued, and an award may be made, while the issue is pending before the DIFC Court.
14. Confidentiality
Unless otherwise agreed by the parties, all information relating to the arbitral proceedings shall be kept confidential, except where disclosure is required by an order of the DIFC Court.
15. Arbitration Agreement and interim measures by Court
It is not incompatible with an Arbitration Agreement for a party to request, before or during arbitral proceedings, from a Court an interim measure of protection and for a Court to grant such measure.
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