Legal Developments and Funding in the UAE
Type
E-journal
Date
28 Jun 2016
Jurisdiction
United Arab Emirates
Taxonomy
General Commercial Law, Funds, Arbitration, Litigation Procedure & Practice
Copyright
LexisNexis
Relevant company
Clyde & Co
Cases reference
Banyan Tree Corporate Pte Ltd v Meydan Group LLC, No. ARB-003/2013 and No. CA-005/2014 Banyan Tree Corporate Pte Ltd v Meydan Group LLC, No. ARB-003/2013 and No. CA-005/2014 Banyan Tree Corporate Pte Ltd v Meydan Group LLC, No. ARB-003/2013 and No. CA-005/2014DNB Bank v ASA Gulf Navigation Holding PJSC, No. CA-007/2015 DNB Bank v ASA Gulf Navigation Holding PJSC, No. CA-007/2015 DNB Bank v ASA Gulf Navigation Holding PJSC, No. CA-007/2015
Analysis
From a local legal practitioner's view, the Middle East has not been an area of mainstream activity in dispute resolution funding. While there are a few examples of funded disputes here, it is only recently that funding has started to gain more tangible traction with potential litigants and the market has shifted gear. This is in part due to increased knowledge and awareness of funding amongst litigants and lawyers in the region, while developments in local legal systems have helped to shape the landscape into one where funders are more ready to invest. This article outlines some of the reasons why funding is starting to take off in the United Arab Emirates ("UAE").
UAE not a traditional market for funding
The past 12 months have seen a notable increase in awareness of third party funding in the UAE market, both amongst corporates and legal practitioners. Funding has been, and continues to be, a topic of discussion in legal and financial industry forums. But there is not yet a significant uptake of funding for disputes. What are the reasons for this?