United Arab Emirates
Christine MaksoudSenior Associate,Private Client Servicesc.maksoud@tamimi.com
Is there any legislation governing mediation in the UAE? If the response is negative, are there any preparatory legislative project relating to mediation?Yes. Federal Decree Law No. 40 of 2023 on mediation and conciliation in civil and commercial disputes (“Mediation and Conciliation Law”). This law repeals both the Mediation Law No. 6 of 2021 and the Mediation and Conciliation Centres Law No 17 of 2016 (as amended) and consolidates the mediation and conciliation frameworks at a federal level in the UAE.
Is there any legislation governing conciliation in your jurisdiction? Do the existing laws distinguish between conciliation and mediation?
Legislation governing conciliationThe UAE has a hybrid judicial system (i.e., a local and federal judicial system) and has court-annexed mediation centres at both federal and local levels.
On a federal level, the Mediation and Conciliation Law regulates conciliation in civil and commercial disputes through court-annexed mediation centres. The Mediation and Conciliation Centre Law applies to Sharjah, Ajman, Fujairah and Um Al Quwain. According to this law, the Federal Judiciary or the local judicial authority will be responsible for establishing mediation and conciliation centers within the territorial jurisdiction of the Court of First Instance, (“Mediation and Conciliation Centre(s)”) and/or online mediation and conciliation platforms. Additionally, they will issue pertinent regulations to govern the operations of these centres. Except for specific types of disputes specified in Article 28 of the Mediation and Conciliation Law, the Mediation and Conciliation Centre shall have the jurisdiction to induce mandatory conciliation in the following civil and commercial disputes:
Disputes which value do not exceed AED 5,000,000; and
Disputes in which both parties are spouses or relatives up to the fourth degree, whatever their value.
If a dispute falls within the mandatory jurisdiction of the Mediation and Conciliation Centre, it cannot be brought before any Court that has established a Mediation and Conciliation Centre, unless it has been initially referred to the center and the center determines that the attempts for amicable settlement have been unsuccessful.
On a local level:
DubaiThe court-annexed local mediation and conciliation centre in Dubai is governed by Dubai Law No. 18 of 2021 regarding the regulation of reconciliation activities in Dubai (“CASD Law”).Following the enactment of the Mediation and Conciliation Law, CASD Law is expected to be repealed and replaced by a new law establishing a Mediation and Conciliation Centre in Dubai.
Abu DhabiThe local mediation and conciliation centres in Abu Dhabi are governed by the Judicial Department Chairman's Resolution No. 39 of 2021 and the regulations of 2023 on the operation of the mediation and conciliation centres in Abu Dhabi (“AD Resolution”).
Following the enactment of the Mediation and Conciliation Law, AD Resolution is expected to be repealed and replaced by a new resolution establishing a Mediation and Conciliation Centre in Abu Dhabi.
Ras Al KhaimahThere is no local centre in Ras Rhaimah (RAK). Litigants could file their claims directly before the Court. Nevertheless, in practice, courts in RAK usually offer to the parties the opportunity to settle their dispute amicably.
Conciliation in criminal disputesA new UAE Criminal Procedures Law, Federal Decree Law No. 38 of 2022 (referred to as “CPL”) was enacted. Of particular significance among the changes introduced to the CPL, is the inclusion and regulation of reconciliation, mediation, and settlement methods in criminal cases (Articles 348-382). This amendment reflects a shift towards alternative approaches to resolve disputes and encourages amicable resolutions within the criminal justice system. According to this change, the Public Prosecution has now the authority to initiate a mediation process through a third-party mediator, under its supervision, and before referring the case to the Criminal Court, in cases where crimes can be resolved through reconciliation or withdrawal. The initiation of mediation is voluntary and requires the consent or request of all parties involved. The decision to initiate or accept mediation is made by the Public Prosecution based on the facts and circumstances of the case, particularly if such process would offer appropriate compensation to the victim for the harm suffered or eliminate the effects of the crime in question.
Distinction between mediation and conciliationThe Mediation and Conciliation Law defines mediation as “an optional and alternative means for amicable settlement of civil and commercial disputes that have arisen or that may arise between the parties to a legal relationship, whether contractual or non-contractual, in which they seek the assistance of a neutral third party (the mediator), whether that mediation is consensual or court-referred.”The same law defines conciliation as “an alternative means for the amicable resolution of disputes between the parties, which is mandatorily resorted to before filing a case in the cases specified under Article 27 of the Mediation and Conciliation Law or while the case is heard before the Court at the request of the parties in other than these cases, in which they seek the assistance of a neutral third party (the conciliator) to attempt to reach a settlement agreement signed by the parties and binding on them”.
Is conciliation/mediation court-annexed (administered by the courts) or voluntary (administered by the parties), or both?While the Mediation and Conciliation Law does merge the previous mediation and conciliation laws, there continue to exist two parallel structures.
Under the court-annexed system, mandatory conciliation is a prerequisite for specific types of disputes before litigation can proceed (please refer to our response to the previous question).
As for mediation, it is a voluntary process that can be initiated either through contractual agreements or by court referral, subject to the parties' mutual consent.
Contractual mediationThe parties, as part of executing a mediation agreement, can directly resort to the Mediation and Conciliation Centre to appoint a mediator (from the roster or private) to settle their dispute before initiating any legal proceedings before the Court.
The Mediation and Conciliation Law set out the process of the contractual mediation in Article 13. The supervisory judge of the Mediation and Conciliation Centre has authorities in relation to certain aspects of the mediation process including, appointment of mediator, assessing the costs of mediation, receiving the reports from the mediator and affirmation of settlement agreement etc.
Judicial mediation or mediation by Court referralThe competent court may referral a dispute to mediation at any stage of the legal proceedings. This can occur upon the Court’s proposal with the consent of the parties, at the parties’ request, or to enforce the terms a mediation agreement.
Could you please specify the types of disputes that can/ cannot be referred to mediation in your jurisdiction? Are there certain kinds of dispute, or sectors, in which mediation is common in your jurisdiction?Pursuant to Article 28 of the Mediation and Conciliation Law, the following do not fall within the jurisdiction of the Mediation and Conciliation Centre:
Cases of summary matters and interim orders;
Cases in which the government is a party;
Rent cases heard before rental dispute committees;
Labor cases;
Personal status cases; and
Any other cases decided to be heard before a centre, committee, or entity of similar jurisdiction.
According to Article 8 of the Mediation and Conciliation Law, mediation can be used in all civil and commercial disputes that are amenable to settlement, provided that the process adheres to UAE legislation, public order, and public morality, and is subject to the provisions of Article 28 of the Mediation and Conciliation Law.
Does the mediation legislation provide for “without prejudice communications”? Is the concept of “without prejudice” communication recognized in the general law.The concept of “without prejudice communications” is not recognized in the general law. However, the UAE legal system has its own legal principles and rules that regulate confidentiality and admissibility of statements made during settlement negotiations. While it is originally a common law concept, it has been incorporated into the procedural law of the DIFC and ADGM Courts
Article 5 of the Mediation and Conciliation Law establishes the concept of "without prejudice communications". It states that mediation proceedings and the information and documents submitted therein are strictly confidential, and any information disclosed during the process, including agreements or concessions made by the parties, cannot be pleaded in Court without the consent of the disclosing party, except in cases related to criminal acts. However, the confidentiality rules do not apply to the terms of the Settlement Agreement, which can be enforceable through the legal system.
Are settlement agreements resulting from mediation enforceable before the Courts?If the parties reach a settlement agreement upon conclusion of the mediation process, the competent Court shall ratify this agreement and issue a decision to end the dispute, either in whole or in part, as the case may be.
Once ratified, the settlement agreement shall become a writ of execution, and upon the request of any of the parties, an exequatur will be affixed to it, and it will be executed in accordance with the procedures outlined in the UAE Civil Procedure Law.
The ratified settlement agreement will be binding on all parties involved, and they will not be allowed to withdraw from it. It will have the same binding force as court judgments and will prevent the same dispute, with the same merits and reasoning, from being brought before the courts by the same parties again.
Does the law in your jurisdiction address the suspension of the limitation period during mediation process?Articles 11(3) and 14(4) of the Mediation and Conciliation Law state that once the mediation process is initiated or a Court referral decision is made, all legal and judicial time limits will be suspended and only resume after the conclusion of the mediation process, unless a settlement is reached.
How mediations may impact limitation periods is a sensitive legal question and we strongly encourage you to reach out to our team if you have any queries regarding this topic.
Does the law in your jurisdiction allow parties to take interim measures during the mediation process?Article 14(4) of the Mediation Law specifies that the relevant Court has the authority to take necessary actions and measures to protect the rights of the parties and issue urgent or interim decisions as deemed necessary within the mediation process's timeframe.
Are there any mediation/conciliation centers in your jurisdiction? Please specify whether they are private or public (or list them if possible)
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Centre
Emirate
Scope
Dubai International Financial Centre (DIFC)
Dubai
Under Part 27 of DIFC Court Rules, the DIFC encourages parties to consider the use of alternative dispute resolution (such as, but not confined to, mediation and conciliation) as an alternative means of resolving disputes or particular issues.
Practical Guidance Note No. 1 of 2021 concerning judicial referral to mediation, the DIFC Court shall have a general discretion to refer parties to mandatory mediation at any time, upon the application of one or more of the parties, or of its own initiative.
Abu Dhabi Global Market (ADGM)
Abu Dhabi
ADGM Courts provides court-annexed mediation services which are conducted in accordance with Part 36 of the ADGM Court Procedure Rules 2016.
ADGM Arbitration Centre has established a panel of accredited and experienced mediators to assist parties wishing to engage in mediation for a settlement of their dispute.
ADGM Arbitration Centre is launching “ODR@ADGM”, an online dispute resolution platform that hosts a fully digitalised settlement and mediation services.
Dubai International Arbitration Centre (DIAC)
DIAC issued its own Mediation Rules and it offers mediation services as a part of its overall dispute resolution framework. Mediation services may be offered in conjunction with or as a precursor to arbitration proceedings.
Dubai Rental Disputes Centre (RDC)
RDC is a public entity established by Law No. 26 of 2007, and it operates under the Dubai Land Department.
It offers mediation services as part of its dispute resolution process for rental disputes in Dubai.
Real Estate Dispute Resolution Center - TASWEA
The Abu Dhabi Judicial Department has signed a cooperation agreement with the Department of Municipalities and Transport, for the establishment of a Real Estate Dispute Settlement Centre in the Emirate of Abu Dhabi.
The center was established by Administrative Resolution No. 181 of 2020.
Labour Mediation Department
Federal
The department operates under the Ministry of Human Resources and Emiratization (MOHRE) and is responsible for resolving employment-related disputes through mediation.
DMCC Disputes Centre (DMCC)
The DMCC Disputes Centre, also known as the DMCC Mediation Centre operates under the Dubai Multi Commodities Centre (DMCC).
The DMCC Disputes Centre offers virtual and in-person mediation services to DMCC member companies and its employees in respect of workplace related disputes.
Dubai Chamber of Commerce
Dubai Chamber’s provides mediation services to resolve commercial disputes provided that at least one of the disputing parties is a member of Dubai Chambers.
Does the law in your jurisdiction set out specific criteria for qualifying as mediators/conciliators? Please specify whether there is a Code of Professional The Mediation and Conciliation Law provides for two parallel processes for the accreditation and qualification of mediators and conciliators. The Judicial Inspection Department or the local judicial authority will establish a roster of mediators and define the criteria and procedures for their enrolling on the roster.
Conduct governing the profession of meditator in your jurisdiction.These mediators shall be selected from the experts already registered in the roster of experts maintained by the Ministry of Justice or the local judicial authority. Furthermore, the law allows the enrolment of professional mediators, including retired judges and lawyers nominated by the Federal Judiciary or the president of the local judicial authority. The Mediation and Conciliation Law differentiates between mediators enrolled on the roster of mediators and private mediators who are selected by the parties but are not enlisted on the roster.
The appointment of conciliators, as outlined in the Mediation and Conciliation Law, follows a procedure akin to employment. The Federal Judiciary or the president of the local judicial authority will establish the qualifications for this position. Conciliators will be subject to a specific compensation scheme and must take a legal oath before assuming their duties.
The Mediation and Conciliation Law imposes specific restrictions on mediators and conciliators with regard to conflict of interest described in Article 6 of the Mediation and Conciliation Law. It also stipulates that the applicable disciplinary measures applicable in the event of violation by a mediator or conciliator of their obligations under the law, will be the same as those applied to experts.
Article 39 of the Mediation and Conciliation Law provides that the Federal Judiciary or the president of the local judicial authority, as applicable, will issue a Code of Conduct for mediators and conciliators.
Is your jurisdiction party to the “Singapore Convention on Mediation” (United Nations Convention on International Settlement Agreements Resulting from Mediation)? If not, could you please indicate whether your jurisdiction will potentially sign or ratify this Convention?The UAE is not a party to the Singapore Convention, however it was announced in March 2022 at ADGM’s international dispute resolution forum, RESOLVE 2022, that that it will join the Convention.
Are there any mediation training centers in your jurisdiction?There are several mediation training programmes provided by local and foreign private mediation centres in the UAE. The Government of Dubai Legal Affairs Department, in collaboration with the ADR Center, an internationally accredited centre for qualifying mediators, launched a training program in Arabic and English for the mediation of civil and commercial disputes. Participants who complete the training are certified as internationally accredited mediators from the International Mediation Institute.
Does your jurisdiction provide e-mediation? (i.e., automated online dispute resolution system with no interaction from a third party at all).Article 4 of the Mediation and Conciliation Law provides that mediation may be conducted by electronic means and remote communication technologies, according to the controls and procedures to be issued under a resolution of the Minister of Justice or the head of the local judicial authority, as the case may be.The Ministry of Justice launched an electronic mediation platform for civil and commercial disputes.