By: Ahmed Durrani – Managing Associate
Umang Singh – Senior Associate
Hanro Kolbe – Associate
Masham Sheraz – Associate
During the 5th World Conference held in Doha on 19 and 20 November 2024, the Qatar International Center for Conciliation and Arbitration (the “QICCA”), announced the adoption of its new Arbitration Rules 2024 (the “2024 QICCA Rules”), which came into effect on 1 January 2025.
The 2024 QICCA Rules are a welcome update to the earlier version (the “2012 QICCA Rules”), originally adopted in 2012 and modelled after the UNCITRAL Arbitration Rules.
Salient Features of the QICCA Rules 2024
The 2024 QICCA Rules are more comprehensive than their previous edition and comprise 78 articles spread over 7 chapters, unlike its predecessor rules which included 48 articles divided into 5 chapters. The 2024 QICCA Rules expand QICCA’s role as an administrative institution and notably provide for expedited and emergency arbitration. Furthermore, the provisions in respect of joinder of parties and consolidation of proceedings have been expressly included which did not feature in the 2012 QICCA Rules. Importantly, the new model arbitration clause, set out at the beginning of the rules, is aligned with international best practices and expressly sets out the number of arbitrators, the language of the arbitration and the seat of arbitration. Some of the key changes brought about by the 2024 QICCA Rules are explored below.
- QICCA and its tasks
The role of QICCA is elaborated under Article 2 of the 2024 QICCA Rules. Crucially, the 2024 QICCA Rules emphasise the principles of impartiality and independence that guide QICCA in performing its duties and the confidentiality of the proceedings. Article 2 clarifies that QICCA’s primary role in arbitration proceedings is to serve as an overseeing authority, ensuring compliance with the 2024 QICCA Rules, while the responsibility for resolving disputes remains firmly with the arbitral tribunal.
Article 2 of the 2024 QICCA Rules also details the composition of the Conciliation and Arbitration Committee (the “Committee”), and states that the Committee must comprise a group of legal experts, practitioners, and senior specialists in international arbitration and alternative dispute resolution. The Committee’s primary role is to perform its duties in accordance with the 2024 QICCA Rules and provide advisory support to QICCA on matters brought before it. Notably, the 2024 QICCA Rules expressly permit the appointment of the members of the Committee as arbitrators, subject to any considerations of conflict of interest.
- Scope of Application
Article 3 of the 2024 QICCA Rules addresses the scope of application of the 2024 QICCA Rules and clarifies that they would be applicable to any proceedings commenced after the enactment of the rules, whenever the parties have agreed to refer the dispute to arbitration under the arbitration rules of QICCA or before the Qatar Chamber of Commerce and Industry.
An important change in the 2024 QICCA Rules is the removal of the requirement under Article 2 of the 2012 QICCA Rules, which compelled the arbitral tribunal to conduct proceedings on amiable compositeur terms or ex aequo et bono. Article 38 of the 2024 QICCA Rules now replaces the obligatory wording of Article 2(1) of the 2012 QICCA Rules with an elective application of these principles, subject to express agreement by the parties. This is in keeping with trends in international arbitration regarding the application of the somewhat controversial principle.
- Electronic Correspondence and Use of Technology
The 2024 QICCA Rules expressly address electronic communication and the use of technology, which enables parties to communicate digitally from the outset of the proceedings (e.g., via email or other acceptable methods) and use emails, including for filing of the pleadings and other notices with both QICCA and the arbitral tribunal. However, under Article 4.9 of the 2024 QICCA Rules, a hard copy of all correspondence and notices (including the request for arbitration) must still be delivered to QICCA, unless exempted by it.
Article 63.7 of the 2024 QICCA Rules also permits the tribunal to electronically sign the award, subject to the approval of the parties and QICCA. Such provisions are user friendly, efficient, cost effective and eases the process of the arbitration especially in the post-COVID era.
- Third Party Funding
Article 9 of the 2024 QICCA Rules introduce a new provision addressing third-party funding. Parties receiving third-party funding are now required to continuously disclose details of the funder and the nature of the funding to QICCA or the arbitral tribunal (but not to the counterparty, unlike the 2021 ICC Rules of Arbitration (the “ICC Rules”)). This obligation is intended to prevent conflicts of interest.
- Consolidation of Arbitrations
Under Article 10 of the 2024 QICCA Rules, QICCA now has the authority to consolidate arbitrations either mero motu or upon the request of one of the parties involved, prior to the constitution of the arbitral tribunal. Additionally, the arbitral tribunal is empowered to request QICCA to consolidate arbitrations if it is overseeing multiple proceedings. While the provision does not explicitly grant parties the right to request the Tribunal to consolidate matters, it can reasonably be inferred that the 2024 QICCA Rules do not prevent such a request. In such a scenario, the tribunal would presumably, if it finds the request justified, convey its endorsement of the request to QICCA for consideration.
Article 10 of the 2024 QICCA Rules also set out the grounds and the relevant circumstances that QICCA will consider in allowing or rejecting the consolidation of arbitrations, including the similarities among the arbitrations, the relief sought, the status of proceedings, and the arbitration agreement under which the proceedings have been instituted.
- The Arbitral Tribunal
Article 11.3 of the 2024 QICCA Rules establishes a mandatory requirement: regardless of any agreement to the contrary, the arbitral tribunal must consist of an uneven number of members. While this may appear to restrict party autonomy, it is unlikely to generate significant controversy within the arbitration community, given that this position is also in line with Article 10 of the Law No. 2 of 2017 (the “Qatar Arbitration Law”). This requirement aligns with a broader trend observed in both local and international arbitration practices, as well as in judicial systems worldwide, where courts are typically composed of an uneven number of judges to prevent deadlock.
The time periods for the selection and appointment of arbitral tribunal members have also been reduced in Articles 12 and 13. In addition, parties should be aware that their failure to nominate arbitrators in either the notice of arbitration or response to the same (where the parties have agreed to a three-member arbitral tribunal prior to the institution of proceedings e.g. in the arbitration agreement) would result in an irrevocable waiver of their right to do so, under Article 13.2 of the 2024 QICCA Rules. In such a case, QICCA would become empowered to appoint an arbitrator on the omitting party’s behalf.
- Joinder
Provisions dealing with the joinder of parties have also been introduced under Article 21 of the 2024 QICCA Rules. Joinder of third parties to the arbitral proceedings prior to the constitution of the arbitral tribunal can now be permitted by QICCA, upon the request of one of the parties, if such third party is either a party to the arbitration agreement (either by signing or by assignment) or consents to the joinder. Joinder after the constitution of the arbitral tribunal may be allowed by the tribunal if the third party is a party to the arbitration agreement.
- Secretary for the Arbitral Tribunal
Under Article 25 of the 2024 QICCA Rules, the Tribunal may request QICCA to appoint a secretary to assist with administrative tasks, and should “endeavor” to do so in cases where the amount involved exceeds QAR 5 million. Whilst the fees of the secretary shall form part of the tribunal fees, the tribunal can submit a justified request to QICCA for these fees to be additional, and therefore must be borne by the parties.
- Deadlines
Article 31 of the 2024 QICCA Rules imposes a mandatory requirement that the time periods fixed by the Tribunal for submission of pleadings and written statements should not exceed 30 days. However, the parties are at liberty to agree otherwise. Whilst this would improve efficiency in smaller disputes, it would not be practical in high-value commercial disputes.
- Expedited Arbitration Procedures
Importantly, provisions dealing with expedited procedures have been introduced in Chapter IV of the 2024 QICCA Rules. These apply automatically if the value of the dispute is below QAR 1 million or can apply by mutual agreement of the parties. Similar to the expedited procedures under the ICC Rules, this process aims to deliver a swift resolution, targeting the resolution of disputes within 90 days from the arbitrator’s receipt of the case file. The inclusion of these provisions will allow the speedy and cost-effective resolution of low-value disputes.
- Emergency Arbitrator Procedures
Similarly, under Chapter V, the 2024 QICCA Rules bring into effect provisions dealing with emergency arbitrator procedures. Similar to the ICC Rules, the emergency provisions would apply in scenarios where a party requires urgent relief prior to the constitution of the arbitral tribunal. The award or order made by the emergency arbitrator, who will be a person different from the arbitrator or arbitral tribunal in the main case, must be issued within 15 days of the application being made and may be reviewed, confirmed or set aside by the arbitral tribunal once constituted. The emergency arbitrator provisions will fill a major gap in QICCA’s arbitration rules and will allow more parties to opt for QICCA-administered arbitrations.
- Costs and fees
The costs and fees charged by QICCA have also been updated. In order to make arbitrations less costly where the dispute value is low, the fixed registration fee has been removed and the minimum registration fee has been reduced to QAR 2,000, with the maximum fee now being QAR 20,000. The method of calculating administrative expenses has been revised to a fixed scale and the tribunal fees have also been slightly increased, with the maximum tribunal fees increased from QAR 585,000 to QAR 650,000.
Conclusion
The 2024 QICCA Rules represent a significant step forward in modernising arbitration practices in Qatar, aligning them with international standards to ensure greater efficiency, transparency, and flexibility in dispute resolution. However, it remains to be seen how these new rules are practically applied by QICCA, which must adhere to international best practices to allow practitioners to benefit from a comprehensive and consistent legal framework.
