International arbitration as a means for resolving disputes has gained popularity in recent years and has become a common dispute resolution mechanism in Qatar. While there is limited source material detailing specific numbers of international arbitrations conducted, it is evident to practitioners working in this area that there has been a significant increase in the use of and preference for arbitration over the past five or so years.

The increase in prevalence is most likely on account of a number of factors including the flexibility of procedures, the active participation of the parties and/or their legal representatives in the entire process, and the shorter time spent in finalising the proceedings and issuing a determination as compared with the lengthier processes before the local courts. The nature of the award as final and unappealable, subject to the exceptional remedies of challenging and annulling the award on the limited grounds available, is also a significant factor which contractual parties consider in electing arbitration over the local courts.

Contractual parties generally include detailed arbitration agreements in their respective contracts, specifically referring disputes to arbitration. Although there is a prevalence for parties to resort to international arbitration, the parties still usually maintain Doha as seat of arbitration in their arbitration agreements, and arbitral awards are enforced through local courts as per Qatar laws and procedures.

International arbitrations are commonly used in Qatar in respect of construction and energy related contracts. However, we note that for many other commercial and contractual issues, local courts are still commonly used for dispute resolution.

International arbitration activity in 2022–23 is particularly common in Qatar in respect of the construction industry. Unlike many other jurisdictions which have separate specific legislations dealing with construction-related contracts, "Qatar does not have any comprehensive law and regulations. That said, though not exhaustive, Qatar Civil Law No. 22 of 2004 (the “Civil Law”) includes a chapter on contracting. There are also no courts in Qatar that specialise in construction disputes.

On account of the above, parties to construction contracts in respect of projects in Qatar often agree to refer their disputes to international arbitration.

The most utilised arbitration institutions in Qatar are: (i) the Qatar International Court and Dispute Resolution Centre (QICDRC); (ii) the Qatar International Center for Conciliation and Arbitration (QICCA); (iii) the International Chamber of Commerce (ICC); and the London Court of International Arbitration (LCIA).

Of the four mentioned above, the ICC would be the most commonly utilised, with QICCA also having recently become a relatively popular method of resolving disputes.

No new arbitration institutions have been established in 2022–2023.

Law No. 2 of 2017 Promulgating the Civil and Commercial Arbitration Law (“Arbitration Law”) defines the “Competent Court” as: (i) the Civil and Commercial Arbitral Disputes Circuit in the Court of Appeal; or (ii) the First Instance Circuit of the Civil and Commercial Court of the Qatar Financial Centre, as the case may be pursuant to the agreement of the parties.

The Competent Court has jurisdiction to appoint and remove arbitrators, subject to the conditions set forth in the Arbitration Law; to implement appointment procedures; to decide on appeals relating to pleas of lack of jurisdiction; to assist in taking evidence or enforce any such request for assistance; to hear requests for correction or interpretation; and to decide on a request to set aside an arbitral award.

The enforcement judge in the First Instance Circuit of local courts, or the enforcement judge in the Civil and Commercial Court of the Qatar Financial Centre, may order interim or precautionary measures if the arbitral tribunal does not have jurisdiction or is incapable of acting effectively or ordering enforcement of any order/award. They have jurisdiction over applications for enforcement of arbitral awards.

Qatar issued the Arbitration Law in 2017, which is largely based on the UNCITRAL Model Law. Except for procedures specific to local law, we are of the view that the Arbitration Law does not contain any significant divergence from the UNCITRAL Model Law. These procedures include the following:

• Appointment of arbitrators from the registry of arbitrators at the Ministry of Justice (“Ministry”). Despite this initial requirement, the Arbitration Law stipulates that any other person may also be appointed as arbitrator provided that they meet the qualifications set forth thereunder (ie, has full capacity; has not been convicted in a final judgment of felony or misdemeanour involving moral turpitude or breach of public trust; and is of good conduct and reputation).
• Sending of an electronic copy of the arbitral award or any decision terminating the dispute by the tribunal to the administrative department in the Ministry, within two weeks from its issuance.
• Licensing for establishment of arbitration centres and branches of foreign arbitration centres, and establishment of register at the Ministry for arbitrators.

The Arbitration Law is a relatively new piece of legislation in Qatar, which effectively repealed the arbitration processes set out under Qatar Civil and Commercial Procedures Law No. 13 of 1990 (“Civil & Commercial Procedures Law”). There have been no significant changes to the Arbitration Law in the past year, and as far as we are aware, there is no pending legislation that may change the arbitration landscape in Qatar.

For an arbitration agreement to be deemed valid and enforceable, the Arbitration Law requires it to be in writing. It must be contained in a document signed by the parties or be in a form of paper or electronic correspondence, or any other means of communication, which allows proof of receipt. The arbitration agreement may be considered to have fulfilled the requirement of being in writing if one party claims that it exists (for example, through the Request for Arbitration or Statement of Claim) and the other party does not raise any denial in its defence.

Reference in a contract to a separate document which contains the arbitration agreement may also be deemed valid if the reference is clear as to the inclusion of the said document or agreement as part of the parties’ contract.

As per the Arbitration Law, there are certain matters which may not be referred to arbitration, which include:

• administrative contract disputes, except if the approval of the Prime Minister or his delegated person has been obtained;
• disputes arising between public juridical persons; and
• matters in which conciliation is not permitted.

The above matters govern the issue of arbitrability of a dispute. Further, the Arbitration Law requires that the arbitration agreement be in writing; otherwise, it is void. Therefore, if the arbitration agreement is not in writing, the dispute may not be arbitrable.

The approach of local courts with respect to determining the law governing the arbitration agreement is to look into what the parties have agreed upon. Generally, the local courts would give effect to the governing law or rules as agreed by the parties in the arbitration agreement, provided that the agreement is valid as per the Arbitration Law.

In addition, local courts will generally enforce arbitration agreements if they comply with the requirements of the Arbitration Law.

The Arbitration Law specifically provides that an arbitration agreement shall be deemed independent of the other clauses of the contract where the arbitration clause may have been included or referred to. Pursuant to the Arbitration Law, the nullity, rescission or termination of the contract shall have no effect on the arbitration clause contained therein, as long as the clause is valid by itself.

The Arbitration Law provides parties with reasonable liberty in choosing the arbitral tribunal. Within the arbitration agreement, they are free to determine the number of arbitrators, their nationality, and any selection process they see fit.

However, parties are required to submit their nominations before the committee within 30 days of the respondent receiving the notice of arbitration. One or more arbitrators may be appointed as per the agreement, and if more than one arbitrator is appointed, the tribunal must have an odd number of arbitrators, failing which the award will be deemed void.

The Arbitration Law underlines certain statutory requirements imposed on the appointment of arbitrators. It states that, as a general principle, the arbitrators may be appointed from the registry of approved arbitrators that is kept by the Ministry or any other competent arbitral authority such as the ICC.

Alternatively, the parties may choose any other individual to serve as an arbitrator as long as they are duly capable, have a good reputation and have never been convicted of a felony involving moral turpitude or a breach of public trust. In such circumstances, the arbitral authority or the Competent Court may conduct any necessary verifications, and the costs associated with doing so shall be included in the arbitration’s costs.

In the absence of an arbitration agreement, or if the parties’ chosen method of selection fails, the Arbitration Law sets out the procedure to be followed for the constitution of the tribunal. If the parties cannot come to an agreement on the number of arbitrators, then by default the number shall be three.

If the arbitral tribunal is to comprise only one arbitrator, the appointment may be made by the relevant authority or the Competent Court at the request of any party to the dispute.

If the arbitral tribunal is to comprise three arbitrators, then each party will nominate an arbitrator and those two arbitrators together shall appoint the presiding third arbitrator. In case of any disagreement or failure of either of the parties to fulfil their obligations during this process, the relevant authority or Competent Court will conduct the appointment.

According to the Arbitration Law, if there are multiple parties as claimants or as respondents, then they shall jointly appoint arbitrators, unless agreed otherwise. Nevertheless, the same default procedure will be followed in multipartite arbitrations.

The Arbitration Law allows judicial intervention in the selection of arbitrators where the parties involved fail to come to an agreement in the process of appointment. The intervention may be at the request of either party.

Moreover, the authority or the Competent Court may intervene and implement procedures in cases where either party fails to fulfil any of its obligations under the arbitration agreement.

According to the Arbitration Law, the authority or the Competent Court, as the case may be, must take into account the nature and circumstances of the dispute, the qualifications required of the arbitrator in accordance with the parties’ agreement, and other factors that would ensure the appointment of an independent and impartial arbitrator when making the decision to appoint an arbitrator.

It is also required to give adequate respect to the nationality of the arbitrator when choosing an arbitrator or a third arbitrator, while taking into account the nationality of the parties.

The authority or Competent Court, as the case may be, may choose the arbitrator from the registry of arbitrators at the Ministry or carry out any required verifications for the appointment of an arbitrator who is appropriate for the nature of the dispute. Any expenses incurred in doing so, including the appointment fees of the arbitration panel, shall be considered as arbitration costs.

In such cases, the appointment of the arbitral tribunal is final and cannot be appealed.

As provided for in the Arbitration Law, unless there are circumstances that could give rise to justified suspicions about their impartiality or independence, or if they do not meet the requirements set forth by the parties, an arbitrator may not be dismissed from the arbitration.

No party may remove an arbitrator whom it has appointed or has assisted in the appointment of, except for grounds which such party becomes aware of after the appointment has taken place.

When approached about being appointed as an arbitrator, the prospective arbitrator must declare in writing any circumstances that might raise questions about their independence or impartiality. They continue to be bound by this requirement, even if such circumstances arise following their appointment.

Please see 3.2 Arbitrability.

As provided for pursuant to the Arbitration Law, the arbitral tribunal has the authority to rule on arguments that relate to its lack of jurisdiction, including arguments that there is no arbitration agreement, that it is invalid, that it has expired, or that it is not applicable to the issue at hand.

The fact that a party chose or assisted in choosing an arbitrator does not prevent it from bringing up such a defence. However, as soon as the matter comes up during the arbitral procedures, a claim that the arbitral tribunal has exceeded the limits of its jurisdiction must be made.

The Arbitration Law recognises the principle of kompetenz-kompetenz, meaning questions on the tribunal’s jurisdiction may be brought before the tribunal itself. However, if a tribunal rejects a jurisdictional challenge, the party whose argument was rejected may choose to appeal the decision to the arbitral authority or the Competent Court in order to have the award annulled, so long as the appeal is lodged within 30 days of the dismissal notification. Any judgment rendered in this case is conclusive and cannot be appealed.

The date of submission of the respondent’s statement of defence is the deadline for challenging the jurisdiction of the tribunal pursuant to Article 16 of the Arbitration Law. However, the arbitral tribunal may accept a subsequent plea if it finds that there was a reasonable justification for the delay. A claim that the tribunal has exceeded its scope should be presented as soon as it arises in proceedings.

If a tribunal rejects a jurisdictional challenge and the party whose argument was rejected has appealed the decision to the Competent Court, the Competent Court will consider such appeal based on the normal practice for domestic court cases in respect of such challenge only without looking into the merits of the dispute. Hence, the Competent Court will review the relevant documents, and in particular the arbitration agreement/clause, and issue its decision accordingly. Such decision shall not be appealable and the tribunal shall abide by the court’s decision.

According to the Arbitration Law, the courts must dismiss any claims subject to arbitration if the respondent establishes the existence of a valid arbitration agreement. The court may, however, accept the claim in situations when the arbitration agreement is void, ineffective or unable to be carried out.

The Arbitration Law does not expressly provide the tribunal with any authority over individuals or entities that are neither a party to the arbitration agreement nor a signatory to a contract containing the arbitration agreement. If a situation arose where a third party, whether foreign or domestic, wished to voluntarily join the arbitration proceedings and all parties were in agreement with the joining of that third party, the arbitration agreement would be required to be amended so as to incorporate that third party, with all parties being required to agree to the amendment.

The tribunal may issue provisional orders or interim judgments in order to avert irreparable injury depending on the nature or circumstances of the dispute. In such situations, the other party or parties to the dispute must receive a copy of any application filed by the tribunal to the court for the purpose of enforcement. All temporary orders issued by a tribunal must be enforced by Qatari courts, unless doing so would be against the law or would violate Qatari law or contravene public policy.

A party’s request or the tribunal’s own initiative may be deployed at any moment to modify, suspend or terminate an interim order. Any party may also be required by the tribunal to promptly disclose any major change in the circumstances underlying the granting of the interim measures.

According to the Arbitration Law, the Competent Court can execute the interim or precautionary order at the request of the parties in cases where the arbitral tribunal lacks jurisdiction or is unable to adequately carry out its functions at that time. This request may be submitted before or during the arbitration. The party’s right to enforce the arbitration agreement will not be waived by filing this application.

The Arbitration Law does not include any provisions regarding the appointment of emergency arbitrators.

The party requesting an interim measure may be required by the arbitral tribunal to offer suitable security for the remedy. If it is later established that the measure should not have been authorised, the requesting party may additionally be responsible for any costs and damages the measure causes to any third parties.

The Arbitration Law replaced the previous regime contained in Articles (190) to (210) of the Civil & Commercial Procedures Law and is solely relied on in cases where the dispute is referred to the rules of QICCA. The Qatar Financial Centre Arbitration Regulations 2005 may also be employed, particularly in situations where the parties have stipulated that the Qatar Financial Centre will serve as the arbitration’s venue.

The right of the parties to select the venue of the arbitration, as well as the arbitration procedure (including but not limited to the rules of evidence) to be used throughout the proceedings, is recognised by the Arbitration Law. If the parties are unable to come to agreement on the procedure to be followed, the procedure laid out by QICCA shall be followed. Unless there is an agreement to the contrary between the parties, the arbitral tribunal may, subject to the Arbitration Law, apply procedures that it deems appropriate, including the authority of the tribunal to accept evidence submitted and to assess the extent of its relevance to the subject of the dispute, its materiality and its weight.

According to the Arbitration Law, the arbitral tribunal must treat both parties fairly and impartially and provide them with a reasonable opportunity to present their claims, defences and arguments.

The arbitral proceedings are said to have been commenced on the date on which the respondent receives the request to refer the dispute to arbitration.

While the parties may agree to the language to be used in proceedings, if they fail to agree, the tribunal shall determine the language to be applied, and the tribunal may order that all or some of the documents be translated.

Arbitrators must be impartial and independent. The arbitral tribunal is required to treat parties equally and provide them with full and equal opportunity to present their claims, defences and pleas. The arbitral tribunal is also required to avoid any unnecessary delay or expense in order to ensure a fair and expeditious means for resolving the dispute.

Indemnification and universal immunity from liability are provided to arbitrators under the law, in the conduct of their official responsibilities. However, this immunity does not apply if it is determined that an arbitrator acted unethically or dishonestly.

The practice of law in the State of Qatar is regulated by Law No. 23 of 2006, the Advocacy Law (“Advocacy Law”). The law sets out typical professional obligations with which legal practitioners are required to comply, including duties of confidentiality, and acting with integrity, honour and honesty.

Qatari national lawyers must be enrolled with the Lawyers Admission Committee established at the Ministry. Authorisation from the Lawyers Admission Committee may also be granted to non-Qatari lawyers if they are able to satisfy the requirements of the Advocacy Law.

Within the Qatar Financial Centre courts, the presiding judge has discretion over who is granted audience rights.

In accordance with the Arbitration Law, parties are free to select one or more lawyer to represent them throughout the proceedings, and the tribunal may require proof of representation in a form approved by it or by law.

According to the Arbitration Law, the claimant and the respondent may include any relevant documents in their initial statements, together with the evidence cited to support their claims. Additionally, they might incorporate elements of other records and evidence they plan to utilise.

Unless the tribunal deems written documentation and declarations to be sufficient or unless the parties agree otherwise, the tribunal shall schedule hearings to allow each party to submit its arguments and evidence orally.

The tribunal will hear from witnesses and experts without requiring them to take an oath, and any expert reports, documents or evidence that the tribunal plans to use in issuing its decision shall be copied to each party.

In general, the burden of proof rests with each party to establish its own claims. The parties are entitled to choose the rules of evidence that the arbitral tribunal must abide by.

Unless there is an agreement between the parties, the arbitral tribunal may use any procedures it deems appropriate, subject to the provisions in this regard, including but not limited to its authority to accept the evidence submitted and to evaluate its relevance, authenticity and weight.

If the assistance of the Competent Court is required to make a determination regarding the subject matter of the dispute, the arbitral tribunal, or any of the parties with approval of the tribunal, may request the assistance of the Competent Court in taking evidence. Such assistance may result in the suspension of the proceedings and an extension of the time limit to issue the arbitral award.

The standard to be maintained for the submission of evidence in the arbitration is in accordance with the procedures and penalties prescribed in the Civil & Commercial Procedures Law, such as the judicial delegation of authority and penalising witnesses who fail to appear in court or who refuse to testify in accordance with the procedures and sanctions outlined in Articles 278 and 279 thereof.

Please see 8.2 Rules of Evidence.

According to the Arbitration Law, arbitration proceedings and any documents generated during proceedings are confidential and cannot be made public without the parties’ consent or a court order.

The Arbitration Law stipulates the following requirements that must be met in every arbitral award:

• An award issued by an arbitral tribunal comprising more than one arbitrator must be issued according to the opinion of the majority, unless the parties agree otherwise (Article 29).
• The arbitral award must be issued in writing and signed by the arbitrator or arbitrators (Article 31(2)).
• The arbitral award must be reasoned unless the parties have agreed otherwise, or unless the legal rules applicable to the arbitral proceedings do not require the statement of the reasons, or unless the consent award is made pursuant to the parties’ settlement (Article 31(2)).
• The arbitral award must state the names of the parties and their addresses and the names, addresses, nationalities and capacities of the arbitrators together with a copy of the arbitration agreement (Article 31(3)).
• The arbitral award must state the date of the issuance of the award and the place of arbitration (Article 31(3)).
• The arbitral award must include a summary of the requests, statements and documents submitted by the parties, as well as the ruling and its reasoning, if required to be stated (Article 31(3)).
• The arbitral award must state the costs and fees of the arbitration and the party that shall pay such fees and the procedures of payment, unless the parties agree otherwise (Article 31(4)).

According to the Arbitration Law, the arbitral tribunal must issue the award within the time limit agreed by the parties. However, in the absence of such an agreement, the award must be issued within one month following the conclusion of the proceedings. Further, such time limit must not be extended by the arbitral tribunal unless the parties consent to such extension, and in all cases, the extension cannot exceed one month.

Pursuant to the Arbitration Law and unless the parties agree otherwise, the arbitral tribunal may, upon a request from either party, issue provisional measures or interim awards that are dictated by the nature of the dispute, or for the purpose of preventing irreparable harm. Those measures include:

• maintaining or restoring the status quo pending determination of the dispute;
• adopting a measure to prevent the occurrence of current or imminent damage, or to prevent prejudicing the arbitration process itself, or to prevent the adoption of procedures that might result in such damage or prejudice;
• providing a means of preserving the assets which can be used to execute a later award; and
• preserving evidence that could be important or material to the determination of the dispute.

The Arbitration Law also empowers the arbitral tribunal to amend, stay or cancel any provisional measure it had ordered or any interim award it had issued, either by a request from either party or by its own motion when necessary.

The order for provisional measures or the interim award may be enforced by either party upon a request to the competent judge to order the enforcement of the order or award issued by the arbitral tribunal, or any part of it (Article 17(3)). The competent judge shall order the enforcement of the mentioned order or award, unless such order or award contradicts the law or public policy.

Moreover, the party that requests an interim measure or award shall be liable for any costs and compensation for any damages caused by such measure or award to any party, if the arbitral tribunal subsequently decides that the measure or award was not warranted by the circumstances. The arbitral tribunal may require the said party to pay costs and compensation at any time during the proceedings (Article 17(4)).

Subject to the type of remedy not being contrary to public policy, Qatar law does not otherwise limit the remedies available in the course of the arbitration. According to Articles 263 and 264 of the Civil Law, the principle of full compensation for any damage incurred, whether it be financial or moral damage, is applied. Punitive damages are not recognised, although pre-agreed contractual liquidated damages are considered.

In accordance with the Arbitration Law, unless the parties agree otherwise, the arbitral award shall state who shall pay the costs and fees associated with the arbitration.

The Arbitration Law is silent on methods for allocating the costs between the parties. However, the general practice of courts in Qatar is to allocate costs against the losing party. This is pursuant to Article 131 of the Civil & Commercial Procedures Law. Article 131 also refers to the method of allocating costs in case of multiple parties to the claim. In this respect, the court is allowed to divide the expenses between the parties on an equal basis or on a pro rata basis of the interest of each of them in the claim in accordance with the court’s assessment, and they shall not be jointly liable for payment of the expenses unless they are jointly liable for the original obligation.

With respect to recovering interest, the payment of interest is prohibited under Islamic Sharia according to the Holy Quran, the Prophetic Hadith and Islamic jurisprudence. Further, Article 1 of the Permanent Constitution of the State of Qatar provides that Sharia shall be a principal source of Qatar’s legislation, which is further supported by the laws of the state of Qatar. For example, Article 1.2 of the Civil Law provides that where there is no statutory provision, the judge shall rule according to the relevant provision of Sharia, if any. Consequently, the prohibition of interest shall be deemed part of the public order in Qatar.

Notwithstanding the above and given the special nature of banking matters, which are connected with the international system and practice, the above conclusion does not apply to banks and financial institutions, which are governed by the Qatar Central Bank’s Law No. 13 of 2012.

These principles have been upheld by Qatari courts issuing domestic judgments. In this respect, the courts have adopted an approach whereby if the obligation is payment of money, the contracting parties are not allowed to calculate the indemnity in advance in the contract; however, the court may order the obligor to pay indemnity, subject to the requirements of justice, if it is proven that the obligee has incurred damages due to such non-payment. Therefore, the courts in Qatar do not award payment of interest; however, they may classify the interest as a claim for compensation and award damages based on its assessment according to the actual damages sustained, and not based on the agreed interest percentage if the party seeking the claim can establish that it suffered damages. In this respect, Article 265 of the Civil Law provides that where the obligation is not payment of money, the contracting parties may calculate the amount of indemnity in advance in the contract or in any subsequent agreement. Further, Article 268 of the Civil Law provides that where the obligation is payment of money and the obligor fails to make such payment after being notified to do so, and provided that the obligee proves it has incurred damages due to such non-payment, the court may order the obligor to pay indemnity, subject to the requirements of justice.

The adverse concept of Article 265, if read and construed together with Article 268, shall mean that where the obligation is payment of money, it is not allowed for the contracting parties to calculate the indemnity in advance in the contract. However, the court may order the obligor to pay indemnity, subject to the requirements of justice, if it is proven that the obligee has incurred damages due to such non-payment. This approach is supported by recent judgments issued by Qatari courts. For example, in judgment No. 215\2019 issued by the fifth circuit of the Court of Appeals, the court concluded that the Court of Cassation’s judgment rested on the principle that the court is legally required to classify the requests of the parties and provide them the correct legal classification. The court further discussed those parties’ requests in that case and reclassified the request for interest as a request for damages due to the delay in payment of the loan. The court further opined on the nature of interest in relation to loans, deeming it to be damages due to the delay in payment. The court further relied on the principle of fault and damage pursuant to Article 199 of the Civil Code, which states that any party that commits an act that causes damage to another party shall be liable to indemnify such damage. In this case, the court determined that the delay in the payment of the loan caused damage to the bank, thereby constituting grounds for civil liability for damages. The court therefore ordered the party to pay damages instead of interest, which was a set amount determined by the court.

With respect to arbitral awards, the Qatari court has recently reviewed and determined several annulment cases involving arbitral awards awarding interest either as a claim or accrued as of the date of issuance of the award until full payment is made. The courts have taken an approach that ensures no detailed review of the merits of the award and instead have rejected most challenges to an award based on a public policy claim whether related to interest or for other reasons.

Under the Arbitration Law, an arbitral award can only be challenged in two ways: (i) by applying for annulment of the arbitral award pursuant to Article 33 of the Arbitration Law; or (ii) by challenging the award before the Court of Enforcement, once the winning party files an application for recognition and enforcement of the arbitral award, as per Article 35.

Pursuant to Article 33, an arbitral award may not be appealed by any method of appeal, except by way of setting aside in accordance with the provisions of that Law filed before the Competent Court, which is the Court of Appeals.

The application for an annulment must be based on one of the following grounds listed in Article 33:

• if any party to the arbitration agreement is proven to have been incompetent or incapacitated at the time of the conclusion of said agreement, or if the arbitration agreement is invalid;
• if the party seeking the annulment of or contesting the arbitral award was not duly notified of the appointment of the arbitrator or the arbitral proceedings, or was unable to present its defence for any reason beyond its control;
• if the award decided on matters which are beyond the scope of the arbitration agreement; or
• if the composition of the tribunal, the appointment of arbitrator(s) or the arbitral proceedings were made in contradiction of the law or agreement of the parties, or if they were not agreed upon, or were in contradiction of the law of the place where the arbitration took place.

Article 33 also allows the competent court reviewing the annulment claim the power to decide to set aside the arbitral award on its own motion if the subject matter of the dispute is not capable of settlement by arbitration under the law of Qatar or if the arbitral award is in conflict with the public policy of Qatar (Article 33(3)). Further, the decision of the competent court on the application for annulment shall be final and binding and cannot be subject to any further appeal.

In this respect, the courts in Qatar have rendered several judgments in recent years pertaining to annulment applications for arbitral awards on the grounds of violation of public order. The Court of Appeals in case No. 686\2020 rejected a claim for setting aside an arbitral award on grounds relating to a violation of public order. The case in question relates to a dispute between a player and a sports club regarding unpaid entitlements pursuant to a contractual relationship between the parties. The arbitral award ruled in favour of the player, awarding him the sums owed to him by the club arising from the contractual relationship between them. The award classified the relationship between the parties as an employment relationship. Hence, the club challenged the award, citing that pursuant to Law No. 14 of 2004 on the promulgation of Labour Law, all employment-related claims must be reviewed by the Labour Dispute Settlement Committee at first stage. Consequently, the award violated public order as it decided a claim that must be adjudicated by the Labour Dispute Settlement Committee. However, the court in that case disagreed with the applicant’s challenge and concluded that the jurisdiction of the courts and arbitral tribunals does not derive its basis from the classification of the contractual relationship between the parties, but rather from the law. In that case, the claim was heard by the Qatar Sports Arbitration Tribunal, which was formed with the objective of resolving disputes. The court further found that, regardless of the tribunal’s classification of the parties’ relationship, the law is clear on the jurisdiction of the Qatar Sports Arbitration Tribunal to consider the claim.

The court also referenced Article 33 of the Arbitration Law, in which the legislature stipulated exclusively the grounds for setting aside an arbitral award in an effort to stabilise arbitral awards, and thus any setting-aside claim may not go beyond those grounds.

Consequently, the Arbitration Law provides limited grounds for setting aside an arbitral award. A claim for setting aside an award will be considered carefully by courts in Qatar.

Moreover, any claim for setting aside an arbitral award must be filed within one month from date on which the parties received the award; or from the date on which the party making that application was notified of the arbitral award; or from the date of issuing the correction, interpretation or the additional award, unless the parties agree in writing to extend the time limit for the filing of the application.

Further, if the arbitral award becomes final and enforceable, the losing party can still challenge its enforceability if an enforcement claim is filed by the winning party. In this respect, Article 35 of the Arbitration Law lists similar grounds to those listed in Article 33 in relation to annulment. There is only one additional basis provided as per Article 35, and that is if the arbitral award is no longer binding on the parties or it has been set aside, or if the enforcement of the award has been stayed by a foreign court in which the award was issued or in accordance with the law of that country. Moreover, Article 33 empowers the competent court, on its own motion, to refuse the recognition or enforcement of the arbitral award if it finds that the subject matter of the dispute is not capable of being settled by arbitration under Qatar laws, or if the arbitral award is in conflict with Qatar’s public policy.

The significant difference of the remedy under Article 35 from Article 33 is that this is an application that is filed by the contesting party before the competent court where the winning party has submitted an application for recognition or enforcement of the arbitral award. Thus, while Article 33 allows a party to file an application for annulment of an arbitral award, Article 35 provides for the losing party’s remedy to contest the arbitral award once it is submitted to the competent court for recognition or enforcement. Furthermore, Article 35 allows for an appeal from a decision refusing or enforcing an arbitral award. This should be brought before a competent court within 30 days from the date of the issuance of such decision. However, a decision in relation to an annulment request pursuant to Article 33 cannot be appealed.

Pursuant to Article 33 of the Arbitration Law, an arbitral award may not be appealed by any method of appeal, except by way of setting aside in accordance with the provisions of that Law filed before the Competent Court, which is the Court of Appeals. The article lists the exclusive grounds for filing a claim to set aside an arbitral award. In this respect, the courts in Qatar have adopted an approach interpreting the provisions of Article 33 to be exclusive grounds for any annulment claim.

In a decision issued by the Court of Appeals (Appeal No. 2186 of 2019 issued on 6 July 2020), the court ruled that challenges to arbitral awards can only be made based on the limited grounds provided for in the law and no other. In this case, the award was contested for various reasons, including that one of the arbitrators lacked impartiality and that the award did not indicate that it was issued in the name of His Highness The Emir of Qatar.

Moreover, in another recent decision issued by the Court of Appeals in Appeal No. 753 of 2021, the court further solidified the application of Article 33 of the Arbitration Law by stating that the grounds listed in the article are exclusive. The court further reasoned that in its view, the Qatari legislature has followed the approach of the rest of the international legislation in the field of arbitration by prohibiting the appeal of the arbitral award in any other way and limiting the grounds for appeal based on an annulment claim with limited grounds for annulment. Thus, any annulment claim filed outside of these limited exclusive grounds in Article 33 should be rejected. Hence, the court in that case rejected one of the grounds for the annulment claim on the basis that the claim was not based on any of the grounds listed in Article 33. The court in that case further reviewed the remaining grounds for the annulment claim, which included a claim for violation of public policy, and also rejected those claims and denied the annulment claim in its entirety.

Based on the above, the courts in Qatar have adopted an interpretation of Article 33 of the Arbitration Law which provides that the grounds for annulment of an arbitral award are exclusively referenced in that article. Hence, it can be inferred that parties may not agree to exclude or expand the scope of an annulment challenge.

There is no standard of judicial review specifically referenced in the Arbitration Law. Nevertheless, based on our review of prior judgments, we are of the view that the court will not look at the merits of the case but only the basis for challenging the award. For example, if a party is claiming that it was not given due notice to elect an arbitrator, the court will examine the award to confirm whether due notice was provided.

Qatar ratified the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards by virtue of Decree No. 29 of 2003 Ratifying the Accession of the State of Qatar to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards issued on 15 March 2003. Similarly enforced conventions include the following:

• The Convention on the Settlement of Investment Disputes between States and Nationals of Other States known as the ICSID Convention by Decree No. 5 of 2011 issued on 14 February 2011.
• The Riyadh Arab Agreement for Judicial Cooperation, which came into effect on 30 October 1985.
• The Agreement on the Enforcement of Court Judgements, Letters of Rogatory and Judicial Notices in the Gulf Cooperation Council Arab countries by virtue of Decree No. 16 of 1996 on 20 May 1996.
• The Amman Arab Convention on Commercial Arbitration 1987.

Pursuant to Article 34(2) of the Arbitration Law, an application for enforcement of an arbitral award must be submitted in writing to the competent judge, with a copy of the arbitration agreement, and the original award or a certified copy of it in the language in which it was issued, along with a certified Arabic translation if it was issued in a foreign language.

Therefore, enforcing an arbitral award requires the filing of an enforcement claim before the competent judge. Moreover, Article 34(3) states that an application for enforcement of an arbitral award shall not be accepted until the lapse of the time limit set for the submission of an application for setting aside the arbitral award. Therefore, in practice, the courts in Qatar require proof that the award being enforced is not subject to a set-aside claim in the country where it was issued. If either party provides the court with proof that the award being enforced has been set aside in the country of its issuance, the court will not enforce the award.

Alternatively, if the arbitral award that is the subject of the enforcement claim is subject to an annulment claim in the country where it was issued, Article 35(2) permits the competent judge to stay the order of enforcement as he deems fit. Further, the competent judge in such case may, upon the request of the party seeking recognition or enforcement, require the other party to provide a suitable guarantee, most likely in the form of a bank guarantee.

With respect to a defence of sovereign immunity at the enforcement stage, Article 35 lists exclusively the grounds for challenging the enforcement of an arbitral award. Such grounds do not include a defence of sovereign immunity. Rather, Article 35 allows the competent judge to decide on his own motion to refuse the recognition or enforcement of the arbitral award, if he finds that the subject matter of the dispute is not capable of being settled by arbitration under Qatar laws. According to Article 2, the provisions of the Arbitration Law shall apply if the parties agree that the arbitration shall be subject to the provisions of the Arbitration Law. Hence, a party cannot agree to be bound by arbitration and then raise a defence of sovereign immunity at a later enforcement stage. Nonetheless, the grounds for refusing or staying an enforcement claim with respect to an arbitral award are exclusively listed in Article 35 and they do not account for a claim for sovereign immunity.

Article 2(1) of the Arbitration Law stipulates that, without prejudice to provisions of international conventions in force in the State of Qatar, its provisions should be applied to arbitration between the parties, regardless of whether the arbitration proceedings take place in Qatar or pursuant to international arbitration conducted outside of Qatar, provided that the parties agree that the arbitration shall be subject to the provisions of the Arbitration Law. On the other hand, Article 33 expressly provides that recognition or enforcement may not be refused regardless of the jurisdiction in which the arbitral award was issued.

Based on the above, it can be inferred that the remedies provided in the Arbitration Law can only be availed of if the arbitration agreement specifically stipulates the application of the Arbitration Law. However, we have seen Qatar local courts accept jurisdiction over matters relating to challenges and/or enforcement of arbitral awards which were issued in foreign jurisdictions, in instances where such foreign-seated arbitral awards are in fact sought to be enforced in Qatar.

For example, if the losing party against which the award is sought to be enforced is locally incorporated and domiciled in Qatar, local courts would most likely assume jurisdiction even if the agreed governing procedures law is not the Arbitration Law. Moreover, local courts would also assume jurisdiction in a case where the application for annulment (Article 33) is based on the ground that the arbitral award itself is invalid in accordance with the law as agreed by the parties or as per the Arbitration Law if there is a failure to agree. Considering that the basis for the challenge is the invalidity of the arbitral award, the local court would most likely assume jurisdiction even if the arbitration is seated outside of Qatar.

Therefore, in our view, although there is no express provision to this effect, the courts can infer that the Arbitration Law’s application is not strictly limited to arbitrations where the relevant arbitration agreement specifically refers to said law as the applicable procedures law. There are other factors which Qatar local courts would consider in determining whether to apply the Arbitration Law and/or whether they have jurisdiction over any application to contest an arbitral award or to have it recognised or enforced.

The Arbitration Law is silent with regard to class-action arbitration or group arbitration. Any such arbitration would need to be with the written agreement of all parties involved.

Please see 7.4 Legal Representatives.

There are no specific rules or restrictions on third-party funding.

The Arbitration Law does not address the issue of consolidating separate arbitral proceedings. In this respect, the tribunal shall be limited to considering the dispute for which it was constituted and appointed. Hence, in the absence of a specific provision allowing the tribunal to consolidate proceedings, any consolidation of a separate arbitral proceedings shall be subject to the parties’ agreement.

There are no specific provisions contained in the Arbitration Law regarding third parties being bound by an arbitration agreement. The Arbitration Law does, however, require that the arbitration agreement be in writing, which would consequently be binding on the parties and, in accordance with the Civil Law, the parties’ successors and permitted assigns.