Decree Issued to Establish Ajman Arbitration Centre for Enhanced Dispute Resolution

His Highness Sheikh Humaid bin Rashid Al Nuaimi, Supreme Council Member and Ruler of Ajman, has issued Emiri Decree No. (4) of 2024, establishing the Ajman Arbitration Centre.

The Centre aims to provide alternative dispute resolution services to support the financial and business community within the emirate.

Under the terms of the decree, the "Ajman Centre for Commercial Conciliation and Arbitration," previously established at the Ajman Chamber, is reorganised with legal personality and capacity to achieve its objectives.

The Centre seeks to raise awareness about arbitration, develop local expertise in this field, and facilitate alternative dispute resolution for the financial and business sectors.

The decree outlines specific arbitration rules and procedures. Cases referred to arbitration will adhere to rules set by the Chamber's Board of Directors, aligned with local legislation. Selecting the Centre for dispute resolution implies consent to its approved arbitration procedures.

The decree empowers the Centre to manage various tasks, including civil and commercial dispute settlement through arbitration services, establishing arbitration rules and procedures, and determining arbitrator fees and expenses, subject to Council approval.

It is tasked with formulating regulations, systems, and decisions related to Centre management, including fee structures.

The Centre is responsible for appointing arbitrators, forming arbitration panels and maintaining lists of approved arbitrators and experts. It facilitates amicable settlements and supports arbitration bodies and disputing parties for efficient dispute management.

Additionally, the Centre will organise seminars, conferences and specialised training in arbitration and other dispute resolution methods.

It will represent the Chamber at regional and international arbitration centres and chambers, participating in related meetings, agreements, activities and conferences.

Board of Trustees

The decree establishes a Board of Trustees for the Centre, comprising a chairman, vice-chairman and up to seven members with expertise in arbitration, law, and related fields. Members serve a renewable four-year term, appointed by the Chamber's Board of Directors.

The Board of Trustees is responsible for approving the Centre's general policy, strategic plans and  operational frameworks, submitting them for Council approval. It oversees the implementation of approved policies, including arbitration rules and alternative dispute resolution regulations.

The decree emphasises neutrality, independence and non-interference in disputes for both the Board of Trustees and the Centre's Secretary-General, ensuring impartial arbitration. Arbitrators are also guaranteed independence in their decision-making process.

Existing arbitration agreements with the Centre remain valid unless otherwise agreed upon by the parties. The Centre's arbitration bodies will continue to operate uninterrupted, adhering to pre-decree rules and procedures, unless otherwise stipulated by arbitration parties.

The Ajman Arbitration Centre aims to establish itself as a regional hub for arbitration excellence, promoting Ajman as a preferred destination for resolving commercial disputes.

By offering robust arbitration services and fostering local expertise, the Centre seeks to contribute to Ajman's economic growth and business-friendly environment.

In conclusion, Emiri Decree No. (4) of 2024 marks a significant step towards enhancing Ajman's legal infrastructure and reinforcing its position in the global arbitration landscape.

The establishment of the Ajman Arbitration Centre underscores the Emirate's commitment to providing efficient, transparent and internationally recognised dispute resolution mechanisms for its business community.