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Arbitration in Kuwait: Contractual and Judicial Arbitration

Kuwait has two arbitration tracks. Knowing which one applies changes your strategy.

Two tracks

1. Contractual (voluntary) arbitration under Articles 173 to 188 of the Code of Civil and Commercial Procedure (Decree-Law No. 38 of 1980).
2. Judicial arbitration under Law No. 11 of 1995, where a panel of judges and arbitrators sits within the court system. It is available by agreement and, in some disputes involving government bodies, mandatory.

The arbitration agreement

It must be in writing, and the subject of the dispute must be defined in the agreement or during the proceedings. Matters that cannot be settled by compromise (such as many public-order issues) cannot go to arbitration.

Challenging awards

Contractual arbitration awards are generally not open to appeal unless the parties agreed otherwise, but may be challenged on the limited grounds in the Code (for example, invalid agreement or a serious procedural defect).

Institutions and foreign awards

The Kuwait Commercial Arbitration Centre at the Kuwait Chamber of Commerce and Industry administers many disputes. Kuwait acceded to the New York Convention in 1978, so foreign awards can be enforced through the courts.

Ask LexArab

Describe your contract and dispute and LexArab will tell you which track applies and the procedural steps. General information only.