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Tribune News Network
Doha
THE Emir His Highness Sheikh Tamim bin Hamad al Thani on Thursday issued Law No 2 of 2017 on arbitration in civil and commercial matters. The law stipulates that it shall be implemented and published in the Official Gazette.
The provisions of this law shall be applicable to any arbitration between persons from both public and private sectors, irrespective of the nature of legal relationship on which the dispute is based or treaties Qatar has with other countries.
However, the arbitration law will apply to only those cases that take place inside Qatar or in cases abroad in which parties agree to adhere to the provisions of Qatari law.
Agreement to arbitrate in administrative contracts disputes shall be with the consent of the prime minister or his authorised representative.
The arbitration shall be considered as commercial if the dispute is based on legal relationship arising out of an economic activity, irrespective of whether it is in the form of a contractual agreement or not. It will include commercial, investment, financial, banking, insurance tourism activities.
The arbitration shall be considered as international if the subject matter of the dispute is related to international commerce under the following circumstances:
1. In case, the principal business centre of either party to the arbitration is located in two different countries at the time of execution of the arbitration agreement. However, if one of the parties has several business centres, the centre, which is relevant to the subject matter of the arbitration agreement, shall have to be taken into consideration. If one of the parties to the arbitration does not have a business centre, the place of his domicile shall be taken into consideration.
2. If the main business centre of either party to the arbitration is based in the same country at the time of execution of the arbitration agreement while one of the following places are based outside such country:
- The place of arbitration, as stipulated in the arbitration agreement or there exists a reference regarding the mode of its selection;
- The place where execution of the substantial part of the obligations, arising from the commercial relationship between the parties, has to be carried out;
- The place which is very much relevant to the subject matter of the dispute;
3. If the subject matter of the dispute, which comes under the arbitration agreement is linked with more than one country.
4. In case, both parties to the arbitration have agreed to have recourse to either a permanent arbitration organisation or arbitration centre located either in the country or abroad.
