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ARTICLE · 25 SEPTEMBER 2026

DIFC Courts Set Aside A DIAC Arbitral Award

K&L Gates
K&L Gates
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K&L Gates

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The DIFC Court of First Instance has applied the precedent set in Oheo Bank v Parker to set aside an entire DIAC arbitral award, marking the first time a complete award has been invalidated on procedural fairness grounds. The case involved a dispute over diesel cargo delivery where the tribunal decided on unpleaded issues, denying one party the opportunity to present its case on matters fundamental to the outcome.

United Arab EmiratesLitigation, Mediation & Arbitration

In July, we reported on a recent judgment in the case of Oheo Bank v Parker [2025] DIFC CA 006, in which the Dubai International Financial Centre (DIFC) Court of Appeal upheld an appeal against the Court of First Instance’s refusal to set aside a DIFC-seated Dubai International Arbitration Centre (DIAC) arbitral award on the basis that the respondent, Oheo Bank, was not afforded an opportunity to present its case. Our previous alert can be reviewed here. 

The DIFC Court of First Instance has since applied Oheo Bank v Parker in Princeton v Persephone ARB 015/2026 ARB 027/2026, setting aside a final award in its entirety on the basis that the arbitral tribunal decided the case by reference to issues that had not been pleaded. 

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