H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, and Deputy Prime Minister and Minister of Finance of the UAE, reviewed on June 8 the results of Dubai International Arbitration Center’s 2022 Annual Report. The largest alternative dispute resolution center in the Middle East has achieved a significant milestone in its transformative journey to provide a robust, world-class legal infrastructure that strengthens business confidence, in accordance with the vision of H.H. Sheikh Mohammed bin Rashid Al Maktoum.
Key accomplishments in 2022 included the registration of 340 new cases, marking a 23 percent increase from 2021. The total value of registered cases reached AED 11.2 billion in 2022. Among these cases, the construction sector accounted for the largest proportion at 49 percent, followed by the commercial sector at 27 percent, and the real estate sector at 16 percent.
“Arbitration is a cornerstone of modern global commerce, providing an efficient, private and tailored dispute resolution mechanism. In comparison to litigation, arbitration is often quicker, more cost-effective, and allows businesses to choose their adjudicators,” H.E. Dr. Tariq Humaid Al Tayer, chairman of the board at DIAC, told Economy Middle East during an exclusive interview. “This flexibility is particularly appealing in a vibrant and cosmopolitan business hub like Dubai,” he added.
DIAC plays a crucial role in promoting and facilitating arbitration. Through awareness programs, collaborations and the implementation of updated Arbitration Rules that reflect global best practices, the center strives to advocate for the advantages of arbitration. The continuous enhancements to arbitration processes align with Dubai’s ambition of becoming a global hub for dispute resolution.
Changes made at DIAC
Significant changes have shaped DIAC over the past two years. “Our new Arbitration Rules, which became effective in March 2022, embrace modern communication means and technology, improving the efficiency of proceedings, and catering to the complexities of an interconnected business world,” Al Tayer said.
“The reform of the DIAC Arbitration Court and the appointment of our first Emirati woman executive director, Jehad Abdulrazzaq Kazim, are further testament to our dynamic approach. With a reinforced casework team of global experts, we are better equipped to handle cases effectively and efficiently,” he added.
Looking ahead, DIAC aims to establish itself as a leading global arbitration institution. By continuously innovating and aligning its practices with international standards, DIAC strives to maintain its reputation as a reliable platform for dispute resolution.
“Our upcoming Metaverse platform for dispute resolution represents our commitment to harnessing technology and delivering more accessible and efficient services,” Al Tayer said.
Read more: The scent of the metaverse: UAE’s latest tech breakthrough
Adjudicating disputes impartially and effectively
The reform of the DIAC Arbitration Court stands as a remarkable accomplishment. “With a panel consisting of 13 distinguished arbitration experts from 11 different nationalities, we embrace diversity and global representation. Each member brings a unique perspective and extensive experience in various sectors and regions, greatly enhancing our ability to handle a wide range of disputes,” Al Tayer said.
“In today’s interconnected business world, disputes often transcend cultural and national boundaries. The diverse expertise of our court members provides a nuanced understanding of different legal systems, customs, and business practices. This diversity empowers us to adjudicate disputes more effectively, ensuring fairness and fostering trust in our institution,” the minister added.
DIAC’s achievements
In 2022, DIAC experienced substantial growth, registering 340 cases with a total value surpassing AED 11.2 billion, equivalent to $3.1 billion.
“This achievement underscores our growth and firmly establishes us as the leading arbitral institution in the region. Our cases spanned various industries and sectors, involving parties from 48 different countries. This highlights our international reach, reflecting the trust that businesses worldwide place in our services,” Al Tayer said.
Strategic plans for DIAC
DIAC’s strategic plans revolve around continuously refining services and rules to meet and exceed international best practices.
“Jehad Abdulrazzaq Kazim, our new executive director, will play a crucial role in guiding DIAC’s strategic direction and ensuring our services remain aligned with the highest international standards. Furthermore, our strengthened casework team, comprised of diverse international experts, will greatly enhance our arbitration services,” Al Tayer said.
“Embracing innovation is another essential facet of our strategy. We recently announced the launch of our Metaverse for dispute resolution. This revolutionary platform exemplifies our commitment to leveraging technology and promising more accessible and efficient services to our users,” Al Tayer added.
DIAC and AI
DIAC is committed to leveraging the power of technology to streamline arbitration processes and improve efficiency. The metaverse platform for dispute resolution represents a significant stride in this direction.
“We recognize the vast potential of artificial intelligence in improving our services, and are exploring ways to integrate AI into our processes. While we can’t divulge specifics at this stage, our commitment to staying at the forefront of technological advancements is unwavering. As we continue to innovate, we aim to offer the most advanced and efficient dispute resolution services to our users,” Al Tayer said.
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