Legislation Details
- Full Title: Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers
- Law Type: Cabinet Resolution
- Law Number: No. (56) of 2025
- Issued Date: 02 May 2025
- Effective Date: 15 May 2025
- Official Gazette: No. 799
- Sector: Justice and Judiciary
- Status: Active
- Number of Articles: 43
- Chapters/Parts: 0
- Amendments: 0
Summary
This Cabinet Resolution regulates the establishment and operation of private mediation centers and branches of foreign mediation centers in the United Arab Emirates. It sets out the licensing requirements, obligations, and oversight mechanisms for these entities to provide mediation services in civil and commercial disputes. The resolution aims to promote the use of mediation as an alternative dispute resolution mechanism and ensure quality standards in the provision of mediation services across the UAE. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 1-2) The resolution is significant for businesses and individuals in the UAE, as it provides a clear legal framework for accessing private mediation services. By establishing licensing and regulatory requirements, the resolution seeks to enhance the credibility and reliability of private mediation centers, which can offer a faster and more cost-effective alternative to court proceedings for resolving civil and commercial disputes. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 1-2)
What is the scope and purpose of this law?
The provisions of this Cabinet Resolution apply to private mediation centers and branches of foreign mediation centers that are licensed to provide mediation services in civil and commercial disputes within the UAE, in accordance with the Federal Decree by Law No. (40) of 2023 Regarding Mediation and Conciliation in Civil and Commercial Disputes. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 2) The resolution aims to regulate the establishment and operation of these private mediation entities, ensuring they meet certain licensing requirements and fulfill their obligations in providing high-quality mediation services to disputants. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 1-2)
What are the key definitions under this law?
The Cabinet Resolution provides the following key definitions:
- Ministry: The Ministry of Justice.
- Minister: The Minister of Justice.
- Department: The Federal Judicial Inspection Department.
- Private Mediation Center: A center duly licensed to provide mediation services on civil and commercial disputes within the UAE, and having one of the legal forms specified in Article (4).
- Branch of a Foreign Mediation Center: A branch of a foreign office or company licensed to provide mediation services in civil and commercial disputes within the UAE.
- Mediation Services: The activities and procedures carried out by licensed private mediation centers or branches of foreign mediation centers for the purpose of reaching an amicable settlement between the disputants.
- Committee: The Committee referred to in Article (5) of this Resolution.
- Competent Authority: The local authority responsible for licensing private mediation centers and branches of foreign mediation centers in each Emirate.
- License: An official document issued by the competent authority, whereby private centers and branches of foreign centers are licensed to provide mediation services.
- Decree by Law: Federal Decree by Law No. (40) of 2023 Regarding Mediation and Conciliation in Civil and Commercial Disputes.
(Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 1)
What are the main obligations and requirements?
The Cabinet Resolution imposes the following key obligations on licensed private mediation centers and branches of foreign mediation centers: 1. Display the license at a conspicuous and easily accessible location. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(1)) 2. Notify the Committee of any changes to the mediators working at the center or branch, or to the license information, within 5 working days. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(2)) 3. Establish an electronic database to record all details related to the mediation cases handled, in accordance with the controls and procedures set by the Committee. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(3)) 4. Refrain from assigning mediation services to anyone other than the mediators listed in the center's or branch's register. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(4)) 5. Establish clear procedures and rules for the mediation process in line with best practices. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(6)) 6. Submit periodic reports on the mediation services carried out by the center to the Committee. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 12(7))
What licensing, registration, or approval requirements exist?
The Cabinet Resolution sets out the following key licensing requirements for private mediation centers and branches of foreign mediation centers: 1. Obtaining approval from the Committee at the Ministry of Justice or the local judicial authority before being issued a license to provide mediation services. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 5) 2. Adopting one of the legal forms specified in Article (4), which includes sole proprietorship, general partnership, limited liability company, or one-person company with limited liability. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 4, 7(2)) 3. Having independent and suitable premises equipped with necessary office furnishings and electronic systems. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 7(3-4)) 4. Obtaining a valid professional liability insurance policy covering the license term. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 7(5)) 5. Appointing a manager who meets the requirements specified in Article (10), including having a bachelor's degree in law or Sharia and law, and at least 3 years of prior experience in judicial, legal, or mediation-related work. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 7(6), 10) Additional requirements apply for licensing branches of foreign mediation centers. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 8)
What are the penalties for non-compliance?
The Cabinet Resolution does not specify any penalties for non-compliance. It only states that the Committee may suspend or revoke the license of a private mediation center or branch of a foreign mediation center if they commit a violation of the provisions of this Resolution. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 17)
Which authorities or bodies are responsible for enforcement?
The Cabinet Resolution establishes the following authorities and bodies responsible for the governance and enforcement of this legislation: 1. The Ministry of Justice and the Minister of Justice, who are responsible for issuing decisions to form the Committee and determine its rules of procedure. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 5(2)) 2. The Committee, which is responsible for reviewing and approving license requests, as well as notifying applicants of its decisions. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 5-6) 3. The local judicial department or authority, which is responsible for the supervision and oversight of licensed private mediation centers and branches of foreign mediation centers to ensure compliance with the law. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 15) The local judicial authority may also assign another local entity to exercise the supervisory and oversight powers. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Art. 15(3))
When did this law come into effect?
The Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers came into effect on 15 May 2025, as stated in the "Effective Date" section. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Effective Date) The resolution was published in the Official Gazette No. 799 on 14 May 2025. (Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers, 2025, Official Gazette Date)
Source Documents
This article analyses Cabinet Resolution Regarding Private Mediation Centers and Branches of Foreign Mediation Centers for legal research and educational purposes. For the purpose of interpretation and application, reference must be made to the original Arabic text. In case of conflict, the Arabic text prevails. This does not constitute legal advice.