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April 29, 2017|
Question:I bought real estate units but the developer has not built them and did not deliver under the terms and conditions of the contract. I am planning to file a case as the jurisdiction clause in my contract says I can lodge a dispute in any arbitration centre. I heard that the arbitration process takes only six months. Is it true?
Answer: In accordance with Article 42 of the Federal Law No. 6 of 2018 On Arbitration, the arbitration is be completed within the time limit agreed by the parties in the contract. If the parties have not agreed on a specified time limit for dispute resolution or a method to determine this date, the decision will issued by the arbitral tribunal within six months from the date of the first hearing of the arbitration proceedings. This period may be extended for up to six additional months by the arbitral tribunal, unless otherwise agreed by the parties.
In the event the award is not issued within the time period as set out above, the party may approach the court. The court may pass orders giving additional time to the tribunal to pass its order or ending the arbitration altogether. An order ending the arbitration proceedings will allow a party to file its case with the competent court instead.
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