Influx of cases at the DIFC Courts powered by virtual systems

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The total value of claims across all divisions reached Dh9.95 billion
The total value of claims across all divisions reached Dh9.95 billion

Published: Mon 1 Mar 2021, 2:30 PM

The Dubai International Financial Centre (DIFC) Courts released its annual figures for the full year of 2020, with total a volume of 882 cases across all divisions.

by

A Staff Reporter

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The volume of cases of the main Court of First Instance (CFI) grew significantly in 2020, increasing by 41 per cent year-on-year, signalling strong business confidence in the DIFC Courts. The total value of claims across all divisions rose by 72 per cent from 2019, with Dh9.95 billion in claims value recorded. An average case value of Dh86.3 million was recorded across the CFI, which also includes the Technology & Construction Division (TCD) and Arbitration Division (ARB) cases.


Cases brought before the CFI covered a range of sectors including banking and finance, construction, and real estate, and involved disputes related to breach of contract, insolvency, arbitration agreements, employment, and public international law. There was also a noticeable increase in the number of opt-in cases in 2020, with 50 per cent of claims in the CFI originating from parties electing to use the DIFC Courts to resolve their disputes.

Awareness of the DIFC Courts services was also bolstered by cooperation agreements signed in 2020 with Dubai FDI and Dubai Tourism, furthering strengthening a position as a major platform that supports Dubai’s continuing growth in FDI capital. The total value of enforcement claims filed amounted to Dh1.1 billion in 2020, with 248 enforcement cases recorded.

The Small Claims Tribunal (SCT) recorded 466 cases in 2020, with 47 per cent of claims in the SCT originating from parties electing to use the DIFC Courts to resolve their disputes. Cases were driven primarily by breach of contract, which represented 51 per cent of all cases in 2020, followed by employment at 25 per cent, property and tenancy at 16 per cent, and banking & finance at eight per cent. Underlining the SCT’s increasing popularity for SME-related dispute resolution, the total value of claims recorded in 2020 was Dh55 million.

Zaki Azmi, chief justice, DIFC Courts, said: “Undoubtedly, 2020 was a year that tested the resilience of every government service, private sector business, and individual. It was a year that forced everyone to re-shift focus, to reprioritize, and to adapt to rapid changes. Given the extraordinary circumstances that have emerged, all core services of the DIFC Courts have been fully maintained, whilst remaining true to our core values and dedication of public service.”

“Our long-established digital infrastructure not only preserved all services to court users in 2020, but also propelled the DIFC Courts to enhance operational efficiency in managing the substantial increase in claims, assisting businesses to resolve their disputes. To best support the rise in cases filed at the DIFC Courts, I am proud to confirm that as well as reinforcing our current panel of judges with additional prominent international expertise, the DIFC Courts has further achieved a new milestone by appointing the next generation of Emirati judges with trans-systemic expertise across civil and common law,” Azmi said.

As a part of the UAE Government’s commitment to effectively employ advanced technologies and digital platforms to continue services to the public, the DIFC Courts leveraged its digital infrastructure to stay connected with court users during COVID-19 restrictions. Existing videoconferencing and teleconferencing facilities for applications and hearings were extended, as well as the issuing of digital Orders and Judgments, and court users were able to access all extensive ‘eServices’ remotely.

During the pandemic the DIFC Courts also injected fresh digital systems for the registration of Wills; the new video conferencing facility can be accessed via a smartphone, tablet, or a desktop device. This new digital offering is in addition to an existing Virtual Registry, which allows those living overseas to create and register a DIFC Courts Will. Investors and former residents can access it from anywhere in the world and be connected, via video link, to a compliance officer sitting in Dubai.

Among the many technologies the courts has pioneered to re-engineer and increase access to justice, is the region’s first e-Registry in 2009, digitally integrated courtroom and state-of-the-art e-Court Management System (CMS) in 2017, as well as the region’s first ‘paperless’ e-bundling solution in 2018. Special project initiatives under the Courts of the Future have also assisted the DIFC Courts with advance R&D activities, uniting individuals and companies helping to prototype and launch the advancement of court technology, such as blockchain-powered initiatives, AI-enabled programmes and cloud-based solutions.

business@khaleejtimes.com


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