Arbitration-friendly commercial environment critical to continued economic growth

Entitled the 'LCIA Arab Users' Council Symposium,' delegates are expected to delve into issues of critical importance related to establishing and maintaining an arbitration-friendly environment, in which the international business community may have confidence. Particular emphasis will be placed on the Gulf Cooperation Council (GCC) region, within which Dubai has one of the most dynamic of the burgeoning economies. Panelists will include leading practitioners from Bahrain, Dubai, Egypt, France, Kuwait, Lebanon, New Zealand, Saudi Arabia, Singapore and the United Kingdom.

As President of the LCIA Arab Users' Council and Member of the LCIA Court, Essam Al Tamimi, Founder and Managing Partner of Al Tamimi & Company, will Co-Chair the two day conference. Al Tamimi is expected to push for the development of a legal framework conducive to arbitration, of which he has been a long time supporter. And as the GCC countries become more involved in negotiating international treaties with the United States of America (USA), the European Union (EU) and others, arbitration will continue to be the platform of choice for managing international treaties.

"Arbitration has provided international investors a stage to settle their disputes without having to worry about local procedures or being acquainted with local courts," said Al Tamimi. "Dispute settlement is the major concern for them and arbitration provides comfort. It not only provides the choice of venue, but also the choice of arbitrators who may be specialized in the concerned area."

With the young underdeveloped judicial and legal systems in the GCC countries, arbitration has been a critical factor in driving foreign direct investment (FDI). This is especially true for joint ventures (JV) set up with multinational companies to construct mega infrastructure projects, which act as the foundation for continued economic growth and development.

"It is evident that the GCC countries have made a political decision to be part of the international community and to bring their laws, practices and judicial system to the international level," he continued. "They fully recognize that it is not possible to become international without recognizing the importance of arbitration in all sectors of international business whether industrial, banking or trade."

Al Tamimi has acted as an arbitrator representing clients in trial proceedings mainly involving foreign arbitration. He was also involved in the UAE's arbitration proceedings at the United Nations Commission on International Trade Law (UNCITRAL) which was established to promote the progressive harmonization and unification of the law of international trade. In 2006 the model law was amended, it now includes more detailed provisions on interim measures. The model law is not binding, but individual states may adopt the model law by incorporating it into their domestic law.

"I am a strong believer in arbitration and alternative dispute resolution (ADR) as a means of solving commercial disputes on the local and international levels," continued Al Tamimi. "And particularly for the rapidly growing economies of the GCC, building an arbitration-friendly commercial legal structure will support business development opportunities and attract foreign investors."

The LCIA is one of the longest-established international institutions for commercial dispute resolution. It is also one of the most modern and forward-looking. Although based in London, the LCIA is a thoroughly international institution, providing efficient, flexible and impartial administration of dispute resolution proceedings for all parties, regardless of their location, and under any system of law. Its operation and outlook are geared to ensuring that the parties may have complete confidence in its international credentials and in its impartiality. In addition to its dispute resolution services, the LCIA organizes a rolling program of conferences, for which it is renowned.

The LCIA's Director General, Adrian Winstanley, says: "An effective system of arbitration, whether pursuant to commercial contracts or investment treaties, has long been recognised as a vital element in the promotion of trade, foreign investment and, ultimately, international relations."