News from the Courts
· The DIFC Courts has introduced a new innovative Practice Direction (procedural guideline) that will facilitate greater international enforcement of judgments and increase the speed of settling commercial disputes. The Practice Direction is the first of its kind globally and will enhance the attractiveness of the DIFC and Dubai as a trusted hub for global business.
Commenting on the new development, Tim Taylor QC said, “This is another example of how DIFC Courts are breaking new ground when it comes to legal innovation. Dubai is now recognised as a global centre of excellence for commercial dispute resolution and arbitration. These enhancements will further promote the region to international business and underline the message that the DIFC has one of the world’s leading commercial courts.”
The new Practice Direction will mean that in cases of commercial disputes, a DIFC Courts judgment could result in the judgment creditor obtaining an arbitral award which could be enforced in over 150 countries providing greater enforcement internationally. This innovation will give participants in international commerce the confidence that a transaction will be honoured and a dispute resolved. In addition, if parties know that a court order can be enforced almost anywhere in the world, they may be incentivised to reach a settlement earlier in the dispute resolution process. DIFC Courts’ robust legal infrastructure is one of the main attractions of DIFC to international business and finance.
DIFC Courts Chief Justice Michael Hwang said, “This is the first time this kind of Practice Direction has been introduced anywhere in the world and is another example of the UAE taking a lead in the resolution of commercial disputes. It also represents a major step in the partnership between the DIFC Courts and the DIFC-LCIA Arbitration Centre. If successful, in time this mechanism may serve as a model for other courts around the world to follow.”
The Practice Direction also comes as part of the next phase of collaboration between the DIFC and the London Court of International Arbitration (LCIA), one of the longest-established international institutions for commercial dispute resolution.
· A resolution No.7 for 2015 establishing and regulating a case management bureau at Abu Dhabi Judicial Courts has been issued by Shaikh Mansour Bin Zayed Al Nahyan, deputy prime minister and minister of Presidential Affairs and Chairman of Abu Dhabi Judicial Department.
The resolution comes to implement Federal Law No.10 for the year 2014 in the framework of the department’s strategy 2014 to 2018 to achieve prompt and accelerated justice proceedings, with an emphasis on the quality of performance, including contributing to the preservation of the financial interests of the litigants and stimulating capital cycle, thus encouraging investment and the consolidation of economic and social stability in Abu Dhabi.
Chancellor Yousuf Saeed Al Ibri, acting judicial department head explained that the preparation of such a bureau will contribute effectively to the establishment of a distinct judicial system of global performance. He also said that it will facilitate the work of judges and shorten the duration of the litigation through claims processing before the start of trials. The case management office shall be set up in each court of various degrees. The resolution stipulates that the bureau includes a head and a sufficient number of court legal employees and others under the direct supervision of the head of the specialised court.
