Qatar International Center for Conciliation and Arbitration launches new arbitration rules effective from January 2025

On 15 September 2024, the Qatar International Center for Conciliation and Arbitration ("QICCA") introduced new arbitration rules which came into effect on 1 January 2025 (the "2024 Rules").

The 2024 Rules represent a significant overhaul of the previous arbitration rules, the QICCA Rules of Conciliation and Arbitration 2012 ("2012 Rules"). The 2024 Rules: (i) introduce provisions aimed at streamlining proceedings and enhancing the efficiency of arbitration, including new consolidation, expedited procedure, and emergency arbitrator provisions; (ii) expand on a number of existing provisions, such as the joinder provisions; and (iii) revise or clarify existing provisions, such as on fees and confidentiality. Below, we focus on a selection of key and other noteworthy changes.

Developed through extensive consultation with scholars, arbitrators, and practitioners globally, these rules reflect Qatar's commitment to strengthening the establishment of an active national arbitration system which is aligned with global standards and best practices.

Selection of key changes

Some of the key changes to the QICCA's arbitration rules include:

• a new consolidation provision – the 2012 Rules made no provision for the consolidation of arbitrations. Under the 2024 Rules, consolidation is now available prior to the constitution of the tribunal for arbitrations arising out of the same dispute or contract and between the same parties (or some of them) at the request of a party or on the QICCA's own motion (Article 10). In addition, an arbitral tribunal appointed in multiple arbitrations between the same parties is also able to request consolidation, subject to consultation with the parties. The 2024 Rules are however silent on whether parties must have previously consented to consolidation in their arbitration agreement;
• a broader joinder provision – under the 2012 Rules, the joinder of a third party to an arbitration was only possible once the arbitral tribunal was formed (Article 18.6). Under the 2024 Rules, joinder is now available both before and after the arbitral tribunal is formed at the request of a party (Articles 21.1 and 21.4). The 2024 Rules are however silent on whether parties must have previously consented to joinder in their arbitration agreement. A party's joinder request may be allowed by:
  • the QICCA (without prejudice to the power of the tribunal, once constituted, to rule on its own jurisdiction) if it finds that the additional party is prima facie a party to the arbitration agreement or accepts the joinder (Article 21.1); or
  • the arbitral tribunal if it finds that the additional party is a party to the arbitration agreement, unless it considers that (i) the additional party should prima facie not be bound by it or (ii) joinder is inappropriate (Article 21.4);
• a new expedited procedure – the 2012 Rules made no provision for an expedited procedure. Under the 2024 Rules, an expedited procedure is now available to parties (i) for smaller disputes with a claim value of under one million Qatari Rials (QAR) (approx. GBP 211,900) or (ii) where parties expressly agree to it (Articles 43.1). However, this procedure is not available where, for example: (i) parties expressly opt out of it (Article 43.2(b)); (ii) three arbitrators are appointed (Article 43.2(c)); or (iii) the QICCA exercises its discretion to disapply the procedure (Article 43.3). In expedited proceedings, no hearings will be held by default (Article 48.2) and an arbitral tribunal will be required to issue the final award within 90 days of receiving the case file, unless extended by party request or the tribunal's own motion (Article 49);
• a new emergency arbitrator procedure – the 2012 Rules made no provision for an emergency arbitrator procedure. Under the 2024 Rules, an emergency arbitrator procedure is now available to parties requiring urgent relief in the period between the Notice of Arbitration and the constitution of the tribunal (Article 50), provided certain criteria are satisfied (Articles 57.3). In emergency arbitrator proceedings, no hearings will be held by default (Article 55.3) and an emergency arbitrator will be required issue its decision within 15 days of receiving a party's written application, unless extended by party agreement or the QICCA (Article 57.1);
• the availability of third-party funding – the 2012 Rules made no express provision for third-party funding. Under the 2024 Rules, parties can engage third-party funders provided certain disclosure obligations are satisfied (Article 9);
• digital integration – unlike in the 2012 Rules, the 2024 Rules expressly allow parties to opt for electronic submissions (e.g. Article 5.6), digital signatures (e.g. Article 63.7), and virtual hearings (Article 34.1); and
• a revised fees structure:
  • registration fees – under the 2012 Rules, a claimant was required to pay QAR 5,000 (approx. GBP 1,100) in fixed registration fees (as was the respondent upon filing a counterclaim). Under the 2024 Rules, the registration fees payable will now depend on the value of respective claims/counterclaims (Article 74), ranging from QAR 2,000 (GBP 400) to QAR 20,000 (approx. GBP 4,200) (Table 1); and
  • administrative and tribunal fees – while, similar to the 2012 Rules, the 2024 Rules maintain a sliding scale of QICCA and tribunal fees calculated based on the disputed amount, these fees have moderately increased relative to the old rules.

Selection of other changes

Additional noteworthy changes include (among others):

• a more robust model arbitration clause – the 2024 Rules provide clearer drafting guidance in the revised model arbitration clause which, unlike in the 2012 Rules, now requires parties to agree from the outset to the number of arbitrators, language of the arbitration, and seat of the arbitration;
• a deadline to issue the final award – the 2012 Rules required the arbitral tribunal to make "best efforts" to issue the final award within six months of receiving the case file. Under the 2024 Rules, the arbitral tribunal must issue its final award within six months unless otherwise agreed to by the parties or the QICCA justifiably extends the time limit (Article 22.1);
• a revised confidentiality provision – under the 2024 Rules, it is now clear that the QICCA reserves the right to publish anonymised awards, unless parties explicitly object (Article 69.3); and
• a default venue – whereas the 2012 Rules were silent, the 2024 Rules provide that the QICCA will be the default venue of arbitration (for in-person hearings) unless the parties expressly agree otherwise (Article 23.2).

Comment

Overall, the 2024 Rules represent a welcome package of modernising changes aimed at enhancing efficiency, flexibility, and the cost-effectiveness of arbitration proceedings.

The new rules also mark a significant step towards aligning with best practices and the rules of other international arbitration institutions. For comparison purposes, as an example, the consolidation of proceedings, expedited procedure, and emergency arbitrator procedure are all also envisaged by the LCIA, ICC, SCC, SIAC and DIAC arbitration rules (among others). In addition, the QICCA's registration fees (a sliding scale between QAR 2,000 (approx. GBP 400) to QAR 20,000 (approx. GBP 4,200)) are within the range of those of other institutions, including the LCIA (GBP 1,950), the ICC (USD 5,000 (approx. GBP 3,900), and DIAC (USD 3,000 (approx. GBP 2,300)).¹

The rate of adoption of the 2024 Rules compared with the 2012 Rules and the rules of other institutions will provide valuable insights into the QICCA's market position and the preferences of arbitration users, particularly in the MENA region.

¹ This information is accurate as at the date of this publication.