When a dispute arises, parties typically attempt to resolve it through negotiations. If negotiations do not yield the desired results, several dispute resolution methods are available.
Litigation follows established procedures and is the primary method of resolving disputes. The UAE court system operates at various levels.
Applicable to: individuals and legal entities.
Advantages: public proceedings, a wide range of cases considered and generally lower costs compared to other methods.
Arbitration is an alternative dispute resolution method that offers confidentiality, flexibility and efficiency.
Typically used by: legal entities, particularly large companies.
Features: requires mutual agreement of all parties; therefore, contracts must include a clear arbitration clause signed by authorized representatives of each party.
Mediation emphasizes amicable dispute resolution under the guidance of a neutral mediator.
Suitable for: individuals and small businesses.
Advantages: useful for parties seeking to avoid the time and resource costs associated with litigation.