Effective Date: July 17, 2025 

Amends: Dubai Law No. 18 of 2021, which regulates conciliation and disputes via the Center for Amicable Settlement of Disputes (CASD) 

Key Changes 

From Law No. 18 of 2021 to Law No. 9 of 2025 

In 2021, Dubai enacted Law No. 18 of 2021, which established the Centre for Amicable Settlement of Disputes (CASD) within Dubai Courts. The law’s purpose was to encourage parties to settle civil and commercial disputes through conciliation before resorting to litigation. However, the framework left a few gaps: 

• Conciliation was often seen as optional or lightly enforced. 

• Procedures for registering disputes and enforcing conciliation agreements lacked clarity. 

• Parties could still bypass conciliation in many cases, leading to delays and inconsistent practices. 

To address these issues, Law No. 9 of 2025 was issued in July 2025. This new law amends and modernises the 2021 framework by: 

• Making conciliation mandatory for a broader category of disputes before court proceedings can be initiated. 

• Clarifying the process of dispute registration, referral, and oversight by judges. 

• Strengthening enforceability by giving conciliators the power to approve agreements and issue them with an executory formula (making them directly enforceable). 

• Limiting challenges to conciliation agreements to narrow grounds such as fraud or deception. 

Implications for Clients 

The introduction of mandatory conciliation under Law No. 9 of 2025 means that pre-litigation strategy will need to adapt. Before initiating any claims, parties must first determine whether their dispute falls within the categories that require conciliation. This is a significant procedural shift, as failing to comply could prevent or delay access to the courts. 

The new approval process also enhances enforceability. Settlement agreements reached through the Centre for Amicable Settlement of Disputes (CASD) can now be endorsed with an executory formula, granting them the same enforceability as a court judgment. This eliminates the need for additional recognition steps, offering clients greater certainty and efficiency. 

In addition, the revised regime is expected to bring cost and time savings. By resolving disputes earlier in the process, clients can avoid the heavy expenses and delays often associated with litigation, while also benefiting from a reduced backlog at the courts. However, this also introduces new compliance risks. Ignoring the conciliation requirement may result in a case being dismissed or significantly delayed, making it essential for parties to carefully assess procedural obligations. 

Finally, contractual drafting practices may need to be updated. Parties should consider revising dispute resolution clauses to reflect the mandatory conciliation requirement and to align their agreements with the evolving legal framework in Dubai. 

Action Points for Businesses going forward 

Businesses should begin by reviewing their existing dispute resolution clauses to ensure they anticipate and comply with the new conciliation requirements. This proactive step will reduce the risk of procedural challenges later on. 

It is also important to educate in-house legal and commercial teams about the changes. Since conciliation is now a potential prerequisite to litigation, those managing disputes must be aware of the procedural shifts to avoid missteps. 

Engaging external counsel at an early stage will be equally critical. Lawyers can help draft settlement agreements that comply with Article 27, ensuring they are enforceable and reducing the risk of disputes arising from technical deficiencies. 

Clients should also be mindful of the exceptions under the law. Certain urgent or excluded matters may not require conciliation, and identifying these cases early can prevent unnecessary delays. 

Finally, businesses should closely monitor how Dubai Courts and CASD apply the new rules in practice. As the law is implemented, judicial interpretation and procedural trends will provide essential guidance for refining dispute resolution strategies moving forward.