QNA
Doha
The Qatar International Centre for Conciliation and Arbitration has handled a total of 162 cases so far, worth QR1.641 billion, Sheikh Dr Thani bin Ali Al Thani, member of Board of Directors of International Relations at QICCA, has said.
Of the 162 cases, the centre has issued arbitration rulings in 75, Sheikh Thani said, adding that the cases recorded this year has reached 30.
Most of the cases handled by the centre are related to construction contracts, urban development, real estate development and shortage of raw and building materials, as well as energy and labour issues.
In an interview with Qatar News Agency (QNA), Sheikh Thani said commercial arbitration was a private judiciary based on speed and specialization in settling disputes between the parties to the contract, by people who are fully familiar with transactions, customs and rules of different branches of trade, especially those of an international nature, pointing out that arbitration is one of the alternative means of resolving disputes and avoiding their emergence through a contractual relationship agreed upon by the parties since the signing of the contract, which supports and facilitates the proper implementation of the contract.
He underlined that the disputes which arise between the parties to the contract are referred, according to the arbitration rules, to persons independent of the parties, and in complete impartiality, to be settled by a final and binding judgment upon the parties, noting that the development of the conditions of trade and the domestic and international investment and the change in commercial lifestyles due to economic transformations witnessed by this era have created an urgent need to regulate the disputes that arise between individuals, which requires that the litigants resort to other optional means to resolve the disputes that arise between them instead of resorting to the judiciary, the most important of which is arbitration.
In a related context, Sheikh Thani said Qatar is one of the first countries to join the United Nations Convention on International Settlement Agreements Resulting from Mediation, known as the "Singapore Convention on Mediation”, which entered into force on Sept. 12, 2020.
He said the Qatari legislator, through the issuance of Arbitration Law No. 2 of 2017 in Civil and Commercial Matters, followed a specific policy and approach towards arbitration as one of the alternative means for resolving disputes between individuals, in order to play his role alongside the judiciary, which represents an important leap at the local and global levels, as this strengthens the legislative structure that supports investment, and which is reflected in encouraging investment in the country through alternative means of dispute settlement.
He said there is no doubt that the evolution of governing rules as an alternative means of dispute resolution is one of the most important legislation supporting the investment process, as it provides an informal legal framework away from the State’s courts to settle commercial and civil disputes that may arise between national or foreign parties effectively and save effort, money and time, underlying that arbitration at the present time has become a necessity imposed by the economic development of the Qatari market and the growth of global trade, especially in long-term or multilateral international trade contracts.
Sheikh Thani said arbitration has contributed to easing the burden on national courts, as it is characterized by flexibility in procedures and specialization in the nature of arbitrators chosen by the parties, to resolve the disputes that are related to a specific commercial environment that has special rules and foundations, as is the case in the trade of raw materials, metals, grain, heavy industries, communications, contracting, urban development, and others.
Regarding the arbitration document and the procedures and mechanisms for resorting to it, His Excellency said that the arbitration clause is the basis of the work, which stipulates that any dispute on the implementation, explanation or invalidity of the contract is settled by arbitration, according to the arbitration document.
He said in the event that the centre decides on a dispute to make an arbitral award, the arbitration date and its entry into force, as well as the arbitrators’ authority to judge according to the rules of justice or a specific law and their authority to issue temporary orders "if the claimants want”, shall be determined, and then the applicable law on the dispute shall be identified.
He pointed out that, in certain cases, reference is made to another document containing an arbitration clause, indicating that a reference in a contract to a document that includes an arbitration clause is binding, provided that the said reference is clear as this clause is considered part of the contract. He also said that if exchanged letters include arbitration agreement or any written means of communication such as letters, telegrams and e-mails that include an arbitration agreement signed by the parties and that express their commitment to the arbitration agreement.
On the parties resorting to arbitration, he said they are the parties to the contract who agree that any dispute that arises between them shall be referred to arbitration in all or certain disputes that have arisen or may arise between them in respect of a defined legal relationship, whether contractual or not.
He explained that setting the model arbitration clause made it easier for the companies to resort to arbitration before it, which facilitated the settlement of arbitration cases and reduced the cost of arbitration, since resorting to international centres is costly.
Regarding the role of modern technology in enhancing arbitration procedures and bypassing the restrictions imposed by the COVID-19 pandemic, Sheikh Thani said the majority of international arbitration centres and some offices of international law firms and other parties concerned with arbitration scrambled, following the outbreak of the COVID-19 pandemic, to issue a set of guidelines, lists or flexible rules that give special directions on how to proceed with the procedures by using modern technologies, which allowed the parties of the dispute to face the arbitral tribunal without being physically present in one place.
He noted that these procedures contributed greatly to the development of an organizational framework for holding sessions, indicating that many arbitral tribunals’ procedural rules were inspired by these guidelines.
In this context, Sheikh Thani highlighted the ‘Seoul Protocol’ regarding the use of visual communication application in international arbitration, as it aims to serve as guide to best practices for conducting visual sessions in international arbitration.
He added that the International Chamber of Commerce (ICC) also issued a guidance note on possible measures to mitigate the effects of the pandemic to enhance the effectiveness of arbitration procedures and recall the procedural tools available to parties, their agents and arbitral tribunals to mitigate delays resulting from the pandemic, while the International Centre for Dispute Resolution (ICDR) of the American Arbitration Association (AAA) issued a set of directives for arbitrators and parties on visual arbitration. Additionally, a number of protocols and mechanisms were issued by several international bodies and international law firms concerned with arbitration.
Regarding the utilization of modern technology and how legal obstacles were overcome during the pandemic, he said that alternative ways have been developed to register claims and send and receive notes and other documents by modern electronic methods.
He added that the arbitration centres succeeded in cooperating with arbitration bodies, parties of the dispute and lawyers to create hearings and visual pleadings using computer programs and high-tech and advanced equipment to meet the need of stakeholders to simulate the nature and atmosphere of traditional pleading sessions, such as listening to witnesses and questioning them and holding discussions with experts, in addition to giving the opportunity for each party to present its case, argument and evidence, while providing the same basic guarantees for litigation. He explained that the arbitration rule is issued electronically and sent to the parties, which in many cases saves time and expenses incurred by the parties, especially in arbitration cases that are held abroad or that require movement over great distances.
He pointed out that that the international and Arab arbitration centres and institutions, especially those in the Gulf Cooperation Council countries, have been operating at full capacity remotely and have issued instructions regarding modern audio-visual techniques that arbitration bodies can use in conducting arbitration procedures based on the rules of arbitration centres, which allow arbitral tribunals to apply the procedures in the manner it deems appropriate and according to the circumstances of each case and the applicable procedural rules to preserve the rights of the parties and speed up the settlement of disputes, provided that all these procedures fully respect the basic guarantees of litigation and provide each party with a full and equal opportunity to present its case and defence using the technological means available in our modern age.
At the conclusion of the interview, Sheikh Thani spoke about the centre’s future projects and plans, indicating that the centre aims to promote alternative means of resolving civil and commercial disputes, spread its culture, improve its practices, develop the centre’s relationship with regional and international centres, sign MOUs with academic and educational bodies, as well as update and revise the procedural rules for conciliation and arbitration and add new clauses related to emergency and visual arbitration.
Sheikh Thani pointed out the centre is constantly holding training courses with the aim of preparing arbitrators through specialised courses in the field of arbitration in accordance with international standards, adding that the centre prepared 435 arbitrators, including 175 Qataris. The centre also holds seminars and conferences that are specialized in arbitration and mediation, and participates in international conferences in the field of arbitration (commercial arbitration, engineering disputes, maritime disputes, banking disputes and disputes in energy contracts).
Furthermore, the centre is working on preparing a reference at the level of all Arab countries that regularly monitors the judicial applications of the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York Convention 1958), as well as unifying the interpretation and application of the Convention.