Challenges of construction arbitration in the Middle East

Presentation

Challenges of construction arbitration in the Middle East

The construction sector in the Middle East, with its large-scale and complex projects, is often a fertile ground for disputes. Issues such as delays and extensions of time, frequently linked to inconsistent record-keeping, and disagreements over variations are among the most common. Payment disputes, including delayed payments, retention issues, and non-payment for completed works, are also prevalent, as are conflicts over premature or contested contract terminations. Additionally, the involvement of government and quasi-government entities introduces unique considerations, such as authorisations and certification processes and the complexities of arbitration agreements related to jurisdiction and governing law.

The panel will explore the dispute resolution mechanisms most commonly employed in the region, questioning whether arbitration is truly the preferred approach or whether alternatives like mediation or dispute adjudication boards are gaining prominence. The discussion will also consider the role of expert evidence in resolving technical disputes, evaluating whether it is being used effectively to address issues such as delay analysis and quantum assessments. These insights will shed light on whether the current practices align with the needs of the construction industry.

Another key area of discussion will be the enforcement of arbitral awards in the region. The panel will examine the complexities of enforcing awards involving government or semi-government entities and explore the influence of public policy considerations, including those shaped by Sharia principles, on awards addressing penalties, liquidated damages, or interest.

They will also consider whether local courts are supportive of international awards and how enforcement challenges may vary across jurisdictions.

Join us for this engaging session to gain deeper insights into the evolving landscape of construction arbitration in the Middle East.