Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum has issued a decree that will merge two entities to create the Dubai International Arbitration Center.
The DIAC, in turn, will establish a new arbitration court for Dubai, consisting of 13 members, including its president and vice-president.
The court’s members will reportedly have locally and internationally-accredited arbitration expertise.
They will reportedly be appointed by decisions of DIAC’s Board of Directors for a non-renewable term of four years.
As for the DIAC itself, Sheikh Mohammed — who is also vice-president and prime minister of the UAE — decreed its formation through the merger of the operation and assets of the Emirates Maritime Arbitration Center and the Dubai International Financial Center Arbitration Institute, which now stand dissolved.
DIAC is said to be an autonomous non-profit institution that provides regional and international business communities with arbitration services.
This new Decree No (34) of 2021 replaces Decree No (10) of 2004, relating to the establishment of the Dubai International Arbitration Center.
It also annuls any legislation that contradicts the provisions of the new decree.
DIAC has been directed to comply with the new Decree within six months of its effective date.
The new decree also outlines DIAC’s objectives, functions and organizational structure at three levels.
The levels are the Board of Directors, the aforementioned arbitration court, and the administrative unit of the DIAC.
According to the decree, DIAC’s major objectives include establishing Dubai as a leading global center for alternative dispute resolution, promoting alternative dispute resolution mechanisms, and serving the emirate’s financial and business community.