Welcome to the Saudi Arabia focus edition of Law Update.
One of the key markets in the Middle East and North Africa (MENA) that continues to lead from the front is the Kingdom of Saudi Arabia (KSA). As the largest country in the Middle East and the 18th largest economy in the world, the progress KSA continues to make is underpinned by its Vision 2030 that envisions developing the country as an investment powerhouse and hub that ultimately connects Asia, Europe, and Africa. Given Saudi Arabia’s significance to the regional economy, our team of experts have prepared a range of pertinent articles that provide insights into new laws, regulations, and the legal landscape in the Kingdom.
This edition will provide you with an up-to-date guide on matters such as; the framework issued by the Saudi Central Bank on IT governance, the anti-corruption landscape under Vision 2030; we also provide practical tips for dispute avoidance. This is only a snapshot; there are many more articles within the KSA focus section for you to read, which we hope you will find valuable and enjoyable.Read the edition
Mohammed Al Marri
An award issued by a Qatari Arbitration Centre obliged the Plaintiff to pay to the Defendant more than QAR 8m. (Note that the Arabic text of the law makes no distinction between the words “award” and “judgment”).
The Case at First Instance
In 2010, the Plaintiff filed a civil case with the Court of First Instance in Qatar, seeking to nullify the validity of the impugned award.
In 2011, the Court of First Instance rejected the Plaintiff’s case.
Ruling of the Court of Appeal
Later in 2011, the Plaintiff brought the decision of the Court of First Instance before the Court of Appeal. But nonetheless, in a Judgment delivered in January 2012, the Court of Appeal affirmed the finding of the Court of First Instance.
Judgment of the Court of Cassation
In March 2012, the Plaintiff lodged a further appeal with the Court of Cassation, seeking to nullify the validity of the impugned award.
The Court of Cassation’s Decision
In justifying the necessity of rendering any arbitral award in the name of H.H. the Emir of Qatar, the Supreme Court reasoned as follows:
In the light of the foregoing, The Court of Cassation overturned the judgment of the Court of Appeal.
This Judgment is only related to awards issued in Qatar. Since the said Judgment is issued by the highest court (Court Cassation), all the lower courts will probably follow same although in theory they are not obliged to do so.
This Judgment is extremely controversial, therefore, we will shortly issue an article to analyse and comment on the legal reasons and effects.
Al Tamimi & Co. did not provide legal representation to any of the parties in the course of this litigation.