financial transactions, the most common measure of protecting the
rights of creditors is to have the transaction secured by assets or
debts of the debtor or by other third party security creation methods.
Taking effective security specifies that the creditor can, in the event
of default of payment or on the bankruptcy of the debtor, take
possession of that asset, sell it and use the proceeds to repay its
debt. This strengthens the position of secured creditors over other
unsecured creditors of the debtor.
The past year has seen a substantial improvement in the performance of banks and
financial institutions in the UAE. Adequate provisions have been made for most nonperforming
loans, banks are once again aggressively competing for good assets and 2012
bank results show substantial improvement in profits.
1. According to recently published statistics, the UAE’s medical tourism market was worth $1.58 billion in 2012 and this is expected to grow a further 6.5 per cent to $1.69 billion in 2013. The UAE- with its predominately expatriate population of around 8 million- and the Kingdom of Saudi Arabia are- it seems- the two jurisdictions in the GCC where the demand for medical services- and the appetite to cater to this demand- is booming. The two "senior" Emirates in the seven member federation- Dubai and Abu Dhabi- have broadly similar demographics, hospital beds and medical practitioners although in Dubai the private sector is substantially larger than the public sector whilst the reverse is the case in Abu Dhabi.
The Emirate of Dubai has long been a centre for trade and commercial activity and such activity will inevitably generate disputes. In Arabic culture, traders endeavour to settle their disputes by negotiation, either between themselves or under the guidance of a leading citizen. The growth of international trade and investment has brought a wider range of disputes and Dubai has sought recently to place itself as a centre for commercial dispute resolution. Parties to international contracts are generally unwilling to submit their disputes to the Dubai Courts, with proceedings conducted in Arabic, and therefore international contracts generally include provisions for disputes to be resolved by arbitration. The law is developing rapidly in Dubai and the purpose of this article is to provide an insight into current arbitration practice at this exciting stage of its development.