Legal Update | Law No. 9 of 2025
Dubai has introduced sweeping reforms to its pre-litigation settlement process, signalling a move toward faster, more efficient dispute resolution. Now in effect, Law No. 9 of 2025 amends key provisions of Law No. 18 of 2021, introducing new procedural powers for the courts and the Centre for Amicable Settlement of Disputes, while tightening enforcement and documentation requirements for parties.
For businesses and legal teams, the revised framework means more cases will undergo mandatory settlement before reaching court and outcomes will carry greater legal weight.
Key Developments
Court-Driven Referrals Now Permitted
Courts may now refer disputes to the settlement centre without a party request, giving judges the discretion to direct parties into early resolution procedures. This change departs from the earlier requirement for consent or statutory basis and is expected to increase the number of matters diverted from formal litigation.
Remote Hearings and Greater Procedural Flexibility
The amended law allows settlement sessions to be held remotely via electronic platforms. It also permits both joint and individual meetings, along with the issuance of non-binding recommendations. These updates create a more practical and accessible pathway for early dispute resolution, especially for corporate clients and cross-border matters.
Settlements Now Immediately Enforceable
Where parties reach agreement, the settlement document can now be endorsed with an executive writ and treated as immediately enforceable. Challenges are limited to procedural grievances filed within seven days—no substantive objection is permitted. This gives settlement outcomes the force of a court judgment without the time and cost of litigation.
Mandatory Pre-Litigation Phase for Certain Disputes
Specific categories of disputes must now pass through the settlement centre before court proceedings can be initiated. Referral may be initiated either by a party or through a decision of the Chief Justice of Dubai Courts. This represents a shift toward institutionalising early resolution as a formal step in certain cases.
Clear Documentation of Failed Settlements
Where no agreement is reached, the committee must issue a formal failure report, which serves as the legal basis for court referral. This process ensures procedural continuity and eliminates ambiguity about whether a party has exhausted the settlement phase.
New Fee Framework Introduced
For the first time, a formal fee structure has been introduced for filing disputes and certifying settlements. Specific amounts will be set by decision of the Chief Justice of Dubai Courts. The framework introduces cost predictability and standardisation.
Practical Considerations for Businesses
- Expect earlier and more frequent settlement referrals, even where neither party has requested it.
- Be prepared to attend remote sessions and respond to non-binding recommendations—these may signal how a judge might view the matter later.
- Treat settlement agreements seriously. Once endorsed, they are enforceable and offer no room for later renegotiation or appeal.
- Review dispute resolution clauses in contracts and internal workflows to reflect the new referral pathways and potential procedural timelines.
- Budget for administrative filing and certification fees, particularly in high-volume matters.
Related Legislation
- Law No. 9 of 2025 Amending Provisions of Law No. 18 of 2021 (Arabic only)
- Law No. 18 of 2021 on the Regulation of Settlement Procedures in the Emirate of Dubai (English)
For tailored advice on managing pre-litigation disputes or aligning your procedures with the amended law, please contact our dispute resolution team on info@alsuwaidi.ae.