The legal landscape in Dubai recently witnessed a pivotal ruling issued by the Dubai Court of Cassation on July 3, 2025, in Appeal No. 657 of 2025. The judgment addressed a core issue in commercial arbitration: the authority of arbitral tribunals to issue interim measures, and in particular, anti-suit injunctions during ongoing arbitration proceedings. This judgment constitutes an important, and likely unprecedented, reference for legal professionals involved in arbitration within the UAE.
Background and Central Dispute
The dispute arose when a party filed a claim before the Dubai Court of Appeal seeking to set aside an interim order issued by an arbitral tribunal in ICC arbitration proceedings, restraining the claimant from initiating proceedings before any court on matters governed by a Memorandum of Understanding, which is the subject of the arbitration proceedings, until the issuance of the final award, unless prior written permission is obtained from the arbitral tribunal (the “Anti-Suit Injunction”).
The claimant argued that the Anti-Suit Injunction was invalid on the grounds that it violated constitutional principles, statutory law, and public policy, asserting that it denied his legitimate right to have access to the courts.
Judgment of the Court of Appeal and Subsequent Challenge
On 28 April 2025, the Court of Appeal ruled to revoke the Anti-Suit Injunction on the grounds that “the right of access to justice is a constitutional right and no court has authority to issue an anti-suit injunction where the UAE law does not permit such order”. The Court of Appeal further noted that “the legal provisions relating to precautionary and interim measures contain no provision authorizing a prohibition on access to the courts”.
Dissatisfied with the finding of the Court of Appeal, the defendants appealed to the Court of Cassation, arguing that the Anti-Suit Injunction did not completely deny the claimant's access to the courts. Rather, it temporarily limited litigation regarding issues covered by the Memorandum of Understanding which is currently the subject of the arbitration proceedings. They further asserted that only the tribunal itself had the authority to amend or revoke the Anti-Suit Injunction pursuant to Article 21 of the UAE Federal Arbitration Law.
Ruling of the Court of Cassation
The Court of Cassation confirmed that under UAE law, arbitral tribunals are empowered to issue interim and precautionary measures during arbitration proceedings, depending on the nature of the dispute. These tribunals also have the exclusive authority to modify, suspend, or revoke such measures, either upon request or in exceptional cases on their own initiative.
Importantly, the Court of Cassation clarified that no authority other than the arbitral tribunal, which granted the Anti-Suit Injunction in question, has the power to revoke or modify it.
Based on this reasoning, the Court of Cassation found that the Court of Appeal erred in law when it asserted jurisdiction and revoked the Anti-Suit Injunction. Accordingly, the Court of Cassation decided to overturn the Court of Appeal judgment and dismissed the original set-aside claim due to lack of jurisdiction and ordered the claimant to bear the legal costs.
Key Implications for Arbitration in the UAE
This ruling reinforces a foundational principle of commercial arbitration: the independence of the arbitral tribunal in managing its own procedures, including the issuance of interim measures. It also contributes to the UAE's position as a regional and international center for arbitration by ensuring a stable and predictable legal framework that respects party autonomy and promotes procedural efficiency.
The ruling signals the judiciary's commitment to strictly applying the UAE Federal Arbitration Law and supporting the integrity of the arbitration process without unnecessary external interference.
Conclusion
The Court of Cassation's decision marks a significant moment in the evolution of commercial arbitration in the UAE. It strengthens the legal framework by affirming the exclusive powers of arbitral tribunals and enhances investor confidence in the country's arbitration environment.
We will soon share a further detailed analysis of the recent Court of Cassation's ruling in Appeal No. 657 of 2025.This important judgment reinforces the autonomy of arbitral tribunals in the UAE and carries significant implications for the arbitration landscape. Stay tuned for our full commentary.
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