Dubai High Court denies enforcement of arbitration award against foreign party and provides novel application of Article III of the NY Convention

Article summary

Arbitration analysis: The Dubai Cassation Court, the highest tier of court in the Emirate of Dubai, recently rendered a judgment rejecting enforcement of an arbitration award against the shares of a foreign award debtor on the basis that the debtor does not have a domicile in the United Arab Emirates (UAE). Furthermore, the Dubai Cassation Court provided an interpretation of Article III of the NY Convention in finding that its purpose is that enforcement of an award should be conducted ‘…in accordance with the rules of procedures applicable in the territory of enforcement with the adoption of the easiest procedures, and the exclusion of the more onerous procedures…’. The judgment did not adopt the latter part of Article III which continues to state, ‘than are imposed on the recognition or enforcement of domestic arbitral awards’. Written by Mahmoud Abuwasel, managing partner at Wasel & Wasel.