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April2011U.A.E.UPDATETHEENFORCEMENTOFFOREIGNARBITRALAWARDS17www.fulbright.comDDDtRepresentingaUKcompanyinrelationtotwoseparatedisputesarisingoutofcontractsforthesupplyandoperationofhelicoptersinasouth-centralAsiancountry.AdvisinganengineeringanddesigncontractorclientregardingclaimsinrespectoftheterminationofthreecontractsrelatingtothecladdingandroofingforstationsonametrolightrailprojectintheMiddleEast.RepresentingtheclaimantinaDubaiInternationalArbitrationCentreDIACarbitrationregardingtheterminationofcontractsforthepurchaseofunitsintheworldstallestbuildingTheBurjKhalifa.TheU.A.E.governmentsapproachtointernationalarbitrationhasgivencauseformuchspeculationamongstinterestedpractitionersoverthepastdecadeorso.PriortotheU.A.E.saccessioninlate2006tothe1958NewYorkConventionontheRecognitionandEnforcementofForeignArbitralAwardstherewasmuchspeculationastohowsuchaprominentcommercialhotspotcouldhavenottakenadvantageoftheU.N.smostsuccessfulcommerciallawtreatyforaslongasithad.TodayspeculationcontinuesastowhyafterhavingreleasedthreedifferentdraftFederalArbitrationLawsforconsultationbetween2006and2010thereisstillnomodernstand-aloneFederalArbitrationLawintheU.A.E.TheabsenceofsuchalawisallthemorenotablegiventhattheDubaiInternationalFinancialCentres2008ArbitrationLawadoptedasignicantpartofthe2008draftFederalArbitrationLawandisconsideredtobeahighlycreditableArbitrationLawinpartbecauseofthewidepowersitlikethe2008Federaldraftgivesarbitraltribunalstoorderprotectivemeasures.SpeculationastowhethertheU.A.E.wouldaccedetotheNewYorkConventiongavewaytofouryearsofspeculationastowhentherstforeignawardswouldbeenforcedunderitintheU.A.E.Suchspeculationishappilynowover.InApril2010theFujairahCourtofFirstInstancerecognisedandenforcedtwounchallengedLondonMaritimeArbitrationAssociationLMAAAwardsissuedinLondon.EvenmoresignicantlyinJanuary2011theDubaiCourtofFirstInstancedeclinedinitsentiretyachallengetotherecognitionandenforcementofaDIFC-LCIAAwardthathadalsobeenissuedinLondon.Althoughitisstilltooearlytodeclarethedawnofanewpro-enforcementeraintheU.A.E.fearsthatthejudiciarymightnotrecognisetheobligationsimposedbytheNewYorkConventionuntilsuchtimeastheywereexpresslyarticulatedinanewFederalArbitrationLawhavesofarprovedunfounded.Thatbeingsotheomissionofanyprovisionsconcerningtherecognitionandenforcementofforeignarbitralawardsinthe2010draftFederalArbitrationLawmayprovelesssignicantthansomepractitionershavefeared.PriortotheU.A.E.saccessiontotheNewYorkConventionagreatmanyforeignawardswererefusedenforcementforwantofstrictproofofreciprocity.HavingnotenteredthereciprocityreservationtotheConventiontheU.A.E.hasthepotentialtobecomeoneofthemoreenforcementfriendlyjurisdictionsintheregionassumingthatthepriorhabitofrequiringreciprocityiscastaside.