Public Policy as an Exception to the Recognition and Enforcement of Foreign Arbitral Awards in Saudi Arabia

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Date

2024-04-18

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Brunel London University

Abstract

This dissertation focuses on analysing the public policy exception stated under Article V(2)(b) of the New York Convention as the ground for refusing to recognise and enforce foreign arbitral awards and the application of the exception in the Kingdom of Saudi Arabia. The study concluded that no specific definition was provided by the New York Convention or the UNCITRAL Model Law, allowing each country to interpret the exception according to its own policy. However, most nations interpret the exception narrowly, emphasising international public policy. The Kingdom of Saudi Arabia incorporates both international and national public policy, influenced by its legal system derived from Islamic Sharia, reflecting its commitment to aligning to Islamic Sharia principles in addition to complying with international arbitration practices through codifying the cases in which enforcement of foreign arbitral awards be refused in the new Saudi Law of Arbitration 2012 and the Saudi Enforcement Law 2012, which confirms it keenness the harmonise the application of the principles of Islamic Sharia and international arbitration practices.

Description

The dissertation consists of four chapters. The first chapter is devoted to the introduction. Chapter Two delves into the concept of public policy in international commercial arbitration, dissecting its various types, such as domestic, international, substantive, and procedural public policy. Chapter Three provides an overview of the recognition and enforcement of foreign arbitral awards in international commercial arbitration, focusing on the public policy exception within the framework of the New York Convention and the UNCITRAL Model Law and examines specific grounds for refusing recognition and enforcement of foreign arbitral awards under the New York Convention and UNCITRAL Model Law, shedding light on the scope of the public policy exception. Finally, Chapter Four narrows the focus to the public policy exception in Saudi Arabia by providing an overview of the unique Saudi legal system; it highlights the international and domestic regulations relevant to recognising and enforcing foreign arbitral awards in Saudi Arabia. Moreover, the chapter analyses the Saudi public policy exception standards for refusing enforcement. It will explain Sharia's role in refusing the enforcement of foreign arbitral awards under public policy exceptions, as the positive recent field evolution regarding recognising and enforcing foreign arbitral awards in Saudi Arabia will be expounded.

Keywords

Enforcement Challenges, UNCITRAL Model Law, New York Convention, Sharia Law and Arbitration, Foreign Arbitral Awards

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OSCOLA

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