Overview

Full-Fledged Arbitration

The SCCA Arbitration Rules (the “Rules”) are based on the UNCITRAL Arbitration Rules and provide parties with a fair, speedy, and cost-effective dispute resolution mechanism for civil and commercial disputes of all sizes and industries.

First adopted on May 1, 2016, and revised on May 1, 2023, the Rules continue to embrace best international practices and encourage the use of the latest technology to minimize the environmental impact and optimize efficiency.

Emphasis has been given to a transparent and trustworthy process with robust governance for even the most complex disputes while upholding the fundamental principle of due process.

Parties also gain access to first-class case administration services and a fully independent SCCA Court composed of luminaries from around the world that decides key administrative aspects of the case.

Procedural Steps

1. Filing of Case: The claimant sends a request for arbitration, along with the contract and any other supporting documents, to SCCA and simultaneously to the respondent. 
2. Commencement of Arbitration: Once SCCA is satisfied that all filing requirements under the Rules are met, it will send a letter to all the parties informing them of the commencement of the arbitration. 
   
3. Administrative Conference: SCCA conducts a conference with all parties and/or representatives via phone or video to address any administrative matters, including the method to select the Arbitral Tribunal. 
   
4. Appointment of Arbitrator(s): The SCCA Court confirms and appoints the Arbitral Tribunal based on a party-agreed selection method. Absent such agreement, the SCCA Court appoints the Arbitral Tribunal directly per the Rules. In case an Arbitrator discloses any conflicts of interest, the SCCA Court determines any arbitrator challenges. 
5. Case Management Conference: The Arbitral Tribunal may conduct a conference with all the parties and/or representatives via video or telephone or video to discuss any threshold matters and all procedural aspects of the case, including a timetable for the proceedings. 
6. Exchange of Submissions and Evidence: The parties exchange any submissions, pleadings, motions, documents, witness statements, expert reports, etc. 
7. Evidentiary Hearings: The parties make oral arguments before the Arbitral Tribunal.   
8. Closing of Proceedings: The Arbitral Tribunal declares the proceedings closed once satisfied that the record is complete and the case ripe for determination. 
9. Arbitral Award: The Arbitral Tribunal issues a reasoned arbitral award to decide the dispute and SCCA closes the case. 

Model Clause

Standard Arbitration Clause

Parties who want to resolve their disputes through SCCA must agree to SCCA-administered dispute resolution in accordance with the SCCA arbitration or mediation rules. This provides a legal basis for referring the dispute to SCCA and to establish its jurisdiction to administer the proceedings.

"Any dispute, controversy, or claim arising out of or relating to this contract, or the breach, termination, or invalidity thereof, shall be settled by arbitration administered by the Saudi Center for Commercial Arbitration (the “SCCA”) in accordance with the SCCA Arbitration Rules."

Adaptations to SCCA Standard Clauses

Parties can tailor the SCCA standard clauses to their specific needs by including additional elements such as the number of arbitrators, selection method, place of arbitration, and language of arbitration.

If parties wish to exclude the application of the Expedited Procedure Rules, Online Dispute Resolution Procedure Rules, or Emergency Arbitrator Procedure Rules, they must opt out by explicitly adding a provision to the following effect:

“The [Expedited Procedure Rules / Online Dispute Resolution Procedure Rules / Emergency Arbitrator Procedure Rules] shall not apply.”

According to Article 36(3) of the Rules, the SCCA can publish any award, order, decision, or other ruling in an anonymized or redacted form unless a party objects before the arbitration concludes. If parties wish to prevent publication, they must explicitly add a provision to the following effect:

“No award, order, or decision made in the arbitration shall be published.”

If parties choose a substantive law to govern the contract or the arbitration agreement but wish to subject such law to Shari’ah (especially when the place of arbitration is not Saudi Arabia), they may add a provision to the following effect:

“The law governing the [contract and/or arbitration agreement] shall be [__] to the extent that such law does not conflict with Shari’ah as outlined in the [e.g., Shari’ah Standards of the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI)], in which case Shari’ah shall take precedence.”

According to Article 37(4) of the Rules, the default law governing the arbitration agreement shall be the law of the place of arbitration. If parties wish to choose another law, they must explicitly add a provision to the following effect:

“The law governing the arbitration agreement shall be [__].”

Standard SCCA Mediation-Arbitration Clause

“Any dispute, controversy, or claim arising out of or relating to this contract, or a breach, termination, or invalidity thereof, the parties hereto agree first to try to settle it by mediation administered by the Saudi Center for Commercial Arbitration (the “SCCA”) in accordance with the SCCA Mediation Rules. If settlement is not reached within [__] days after service of a written request for mediation, the dispute, controversy, or claim shall be settled by arbitration administered by the SCCA in accordance with the SCCA Arbitration Rules.”