Guide to International Arbitration in Qatar

The Arbitration Law (Law No. 2 of 2017) of Qatar aligns with international standards, supported by treaties like the New York and ICSID Conventions. However, it excludes labor disputes from arbitration and requires Prime Minister approval for administrative contract disputes, balancing global practices with national interests.

Qatar bases its legal framework on Islamic (Sharia) law with legislation issued by the Amir, His Highness Sheikh Tamim bin Hamad Al Thani. Legislative proposals are typically reviewed by Qatar’s Al Shura Council and enacted by the Amir. Additionally, Amiri Decrees can be issued for urgent matters, carrying binding authority subject to approval by the Al Shura Council. This legal structure ensures responsiveness and flexibility in governance, supporting arbitration as an evolving practice.

Arbitration law in Qatar

The Arbitration Law (Law No. 2 of 2017) represents Qatar’s first standalone legislation governing arbitration. Enacted on April 12, 2017, it incorporates many aspects of the UNCITRAL Model Law but has unique local modifications. It applies to all arbitrations seated in Qatar and allows parties to opt for its governance even if arbitration occurs outside Qatar. Key features specific to Qatari arbitration include:

• Appointment of arbitrators, often from the Ministry of Justice’s roster.
• Licensing requirements for local and foreign arbitration centers.
• Requirements for electronic submission of arbitral awards to the Ministry of Justice.

Distinctions between international and domestic arbitration

Qatar is a signatory to multiple international treaties, including the New York Convention and the ICSID Convention, which facilitate the recognition and enforcement of foreign arbitral awards. However, Qatar’s domestic arbitration law applies specific limits, such as excluding labor disputes and requiring the Prime Minister’s approval for administrative contract disputes. These distinctions demonstrate Qatar’s commitment to supporting international standards while also ensuring alignment with its national interests.

International arbitration in Qatar can involve broader dispute categories, while domestic arbitration is supervised more closely by local courts. For instance, public juridical persons, including state entities, may face restrictions in submitting disputes to arbitration under domestic law.

Court structure and jurisdiction

Qatar’s judicial structure includes three tiers: the Court of First Instance, the Court of Appeal, and the Court of Cassation, overseen by the Supreme Judicial Council. The Competent Court for arbitration is defined by the Arbitration Law as the Civil and Commercial Arbitral Disputes Circuit in the Court of Appeal or the First Instance Circuit of the Qatar Financial Centre (QFC) Civil and Commercial Court, depending on the agreement of the parties. This court has authority over arbitrator appointments, evidence handling, appeals on jurisdiction, and enforcement of arbitral awards.

Key arbitration institutions in Qatar

Qatar International Centre for Conciliation and Arbitration (QICCA): Established as Qatar’s main arbitration body, QICCA administers arbitrations under its rules, which reflect the UNCITRAL Arbitration Rules with localized adjustments. Its Article 2.2 allows arbitrators to make decisions based on principles of fairness and equity, though this is debated as deviating from typical international arbitration standards. QICCA has introduced new draft rules that include emergency arbitration, expedited procedures, and the option to consolidate arbitration proceedings.

Qatar Financial Centre (QFC): QFC arbitrations follow the QFC Arbitration Regulations (Regulation No. 8 of 2005), which allows for a common-law-based arbitration approach, distinct from Qatari civil law. Disputes here may be resolved through the QFC Court or CIArb based on the QFC rules, and jurisdictional guidance from the QFC ensures consistency with international standards.

Trends and developments in Qatari arbitration

The Arbitration Law has bolstered Qatar’s standing as a growing hub for arbitration, in line with the country’s National Vision 2030. Significant economic investments, including projects from Qatar’s 2022 FIFA World Cup, highlight the demand for a swift dispute resolution mechanism, especially in construction and infrastructure.

Qatar’s arbitration institutions are expanding their caseloads, with QICCA handling increasing cases annually. In 2022, 50 judgments were resolved through arbitration, with QICCA contributing nearly 38% of these cases. Most judgments concern contract disputes in sectors like construction, and the language of arbitration varies, with Arabic and English as primary languages. International Chamber of Commerce (ICC) arbitrations are also popular, positioning Doha as a key arbitration destination in the region.

Conclusion

Qatar’s evolving arbitration framework, underpinned by international conventions and a robust legal foundation, offers a favorable environment for resolving cross-border disputes. With new regulations aligning with best practices and institutions like QICCA and QFC leading arbitration efforts, Qatar is poised to enhance its position in the global arbitration landscape. This guide provides insight into Qatar’s arbitration process and can serve as a valuable resource for international businesses and practitioners involved in or considering arbitration in Qatar.

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