- Legal Articles
- Ask Elhais
June 19, 2019|
The Department of Economic Development (DED) of Dubai has recently instituted Business Protection Department (BPD) solely for reconciling commercial disputes between businesses and will act as a local commercial dispute-resolution authority.
As opposed to the present scenario, the Commercial Control and Consumer Protection Department (CCCPD) was responsible for settling consumer disputes. However, the business to business disputes remained unsettled and undetermined. As an outcome, even trifle matters became controversial and adversarial thus, the need for a convenient and amicable means to resolve the dispute raised, hence the establishment of BPD.
The BPD is responsible for providing a "National Dispute Settlement Service" in the Emirate which accommodates complaints raised by the parties Licensed in Dubai. Apart from being an exclusive settlement committee, the BPD act as an educational authority ensuring the traders in Dubai understand the rules and regulations to facilitate a healthy business environment. Organizing workshops, conventions and distributing books to entities licensed within Dubai to escalate awareness among the business enterprises. Lawyers in UAE will assist you in understanding the roles and responsibilities of BPD and their jurisdiction in corporate matters.
BPD is an Informal Dispute Resolution Body with limited jurisdiction and sole objective of assisting the Dubai Courts. As a sub-department of CCCPD, BPD only undertakes Business to Business disputes which extend only to businesses licenses in Dubai with a minimum capital of AED 200,000. However, it is not mandatory for the parties to present in Dubai at the time of the Mediation Conference. On the Contrary, BPD is not authorized to act as a mediator for International traders not having a license from DED essentially because BPD will not be considered as a resourceful authority to coerce the other party to resolve the matter prior to reaching courts. Likewise, the dispute between the individuals not licensed with DED is beyond the jurisdiction of BPD.
BPD is strictly restricted to act as a mediator or to hold mediation conference in disputes commercial, whereas, dispute about insurance, banking, real estate, labour does not fall under the jurisdiction of BPD. It is considered as an alternative to resolve the dispute amicably and does not act as a tribunal.
Procedure for Filing Complaint
Companies or individuals representing the entities registered with DED can register their complaint either via email or through telephonic call or manually at DED branch of CCCPD along with the relevant documents evidencing the claim with a non-refundable fee of AED 2,020.
Upon receiving the complaint, BPD arbitrators review the case file and comprehend if the matter falls within their jurisdiction and determine if they are apt for acting as a mediator or should the matter be referred to another competent authority. In the event the matter is accepted by the BPD arbitrators, they contact the respondents for the initial conference either by phone calls or personal meeting in accordance with the convenience of the parties. BPD has ensured to resolve the dispute with ten business working days. However, it may extend depending upon the merits of the case.
Judgments and Appeals
The dispute resolution mechanism undertaken by BPD is discretionary and is not binding. The basis of BPD's determination is their expertise and familiarity with the dispute. Thus, an ad hoc approach rather than having formal procedures. The decisions passed by BPD does not involve precedents although they have successfully resolved numerous case from the time of establishments.
The decision passed by BPD is a final decision, and there is no scope to file an appeal against the same decision. Yet, the parties are not bound by the judgment and will also have an opportunity to refer the matters before relevant courts. Thus, neither the process nor the decision of BPD restricts either party to file the case before an appropriate judicial authority.
Department of Economic Development is the principal licensing authority in the Emirate of Dubai for companies undertaking commercial activities wherein BPD is a sub-department possessing the authority to block or provisionally suspend the license of the companies registered with DED. Subsequently, the authority can impose penalties including fines for instances where either party fails to attend the hearing when summoned, not adhering to BPD's decisions post accepting the mediation process.
Copyright © of this article is retained by the author and/or other copyright owners. We explicitly grant you permission to download a copy, without any alteration, of this article for personal non-commercial research or study, without prior permission or any charge. This article can be utilized on your website or for marketing, however, we grant you permission to host this article on your website and no other rights. This content should not be altered in any way or sold commercially in any format without prior permission of the copyright holder. During reference of this article, full biographic details entailing the name of the author, his designation, the institute and the publishing date of the article shall be provided.
Your email address will not be published. Required fields are marked *
I owe the success of my case to Dr. Hassan's diligent approach. He remained focused, put me at ease and always went the extra mile. Dr. Hassan tirelessly put my case in the best possible light and I cannot thank him enough. I would highly recommend Dr. Hassan - I am grateful to him from the bottom of my heart.
Dr. Hassan Elhais is among the best legal consultants I have ever worked with. He has an amazing ability to reduce complex issues into a simple concept that non-legal people can understand. He consistently develops innovative litigation strategies that help us to achieve our ultimate legal goals.
...the extraordinary effort that has been exerted by the staff, and we specially thank Dr. Hassan Mohsen Alhais. Wishing your continues success & excellence...
I believe everyone should recognize what a difference Dr. Hassan Elhais work has made to people's lives; and especially to our family's life, because we will remain forever grateful to each and every one of his team.
Dr. Hassan Elhais never fears cases that involve exposure and he always gives me his honest assessment of our chances of success, which is invaluable to me.
He aided us not only in providing legal advice but also in all legal issues that required a long term strategic approach to achieve most favorable and optimum outcomes he provided us with high level of professional service.
Dr. Hassan Elhais is a responsible, reputable counsel who operates to high levels of service.
Dr Hassan Elhais is responsive, thorough and creative with his advice, and is a valued advisor and legal consultant.
Regardless of the complexity of the matter I know Dr. Hassan Elhais will consider not only legal strategy but also business practicalities in providing advice and litigation options.
I recommend Dr. Hassan Elhais to anyone who says 'I'm in legal trouble'. I was extremely satisfied with the high standard of his work. He has always been there when I have needed him and I refer all my clients, family and friends to him/his firm.
Dr. Hassan Elhais was very professional and he listened to my needs. He was very prompt, efficient and always kept me informed. Dr. Hassan Elhais's service was excellent and I would definitely recommend him to friends and colleagues.