Arbitration with the Middle East: a Korean Perspective and Strategy

The Middle East is an attractive spot for doing business for Korean companies. However, Korean companies looking for business within the region want to ensure that they find timely, efficient, neutral, and professional dispute resolution methods in case of default or potential contractual disputes. However, it is the case that practical information on the arbitration system and arbitration institutions in the Middle East rarely become known to the Korean international trade industry, even to the arbitration community in Korea. Under these circumstances, this paper aims at improving the bargaining position of Korean parties in the international trade industry when they conclude an international contract (including arbitration agreement) with Middle Eastern parties in the future by providing detailed information on arbitration systems and institutions in the Middle East and practical guidelines in negotiating arbitration clauses with Middle Eastern business partners. To this end, this paper describes and analyzes the current status of arbitration systems in, among others, ⅰ) Egypt, ⅱ) United Arab Emirates (UAE), including the Dubai International Financial Center (DIFC) and ⅲ) Lebanon. This paper also introduces major leading arbitration institutions in the Middle East, including ⅰ) Cairo Regional Center for International Commercial Arbitration (CRCICA), ⅱ) Dubai International Arbitration Center (DIAC), ⅲ) Dubai International Financial Center – London Court of International Arbitration (DIFC-LCIA), and the ⅳ) Bahrain Chamber for Dispute Resolution – American Arbitration Association(BCDR-AAA).