Arbitration in Saudi Arabia

Seven years ago, Saudi Arabia enacted its own arbitration regulation (‘the Regulation’);1 two years later it issued implementation rules (‘the Rules’).2 However, unlike most countries where one purpose of arbitration is to settle disputes expeditiously without resort to the courts, the Saudi judiciary is to supervise the arbitration throughout the proceeding, commencing with approving the arbitration instrument, nominating arbitrators where the parties fail to do so, hearing objections to the procedure and to the award, and confirming the award before it can be executed. Moreover, there is no freedom to choose governing law (Saudi law must govern) and there is restricted freedom to choose arbitrators (the arbitrators must be Muslim, male and probably Saudi. See footnote 18). Arbitration is not new to Saudi Arabia, a country whose legal system is based on Islamic law, or shariɔa The Koran mentions arbitration, and arbitration and conciliation have long...