Settlement Conference in a Civil Matter

Author: Dr. Hassan Elhais

In recent years, alternate forms of dispute resolution, such as arbitration and mediation, have gained
significant importance. Due to their advantages, these methods are being encouraged over litigation,
especially in civil and commercial disputes. UAE, being a business hub, actively promotes alternate dispute
resolution methods because they are time-efficient and provide a win-win solution for the parties to the
dispute.

Since its growth, ADR has constantly been evolving and new techniques have come to be adopted by
various jurisdictions throughout the world. One such technique is that of a Settlement Conference, which can
be said to fall under the umbrella term of Mediation.

What is a Settlement Conference?

A settlement conference, as the name suggests, is a meeting of the parties to a dispute where they attempt to
arrive at a mutual solution instead of going to trial. When a dispute is of such nature that it can be settled
outside the court, the parties can opt for a settlement conference where they can discuss their issues and
agree upon a common resolution. It is also known as a pre-litigation settlement, or informal settlement
conference, or simply a round table conference.

A settlement conference can either be voluntary, i.e. either of the parties can request it to be arranged, or
mandatory, i.e. where the court refers the parties to a settlement conference before proceeding towards a
trial. A settlement conference usually takes place in a civil matter, such as breach of a contract or a divorce
case. Settlements in criminal cases may take place at the option of the victim.

How does a Settlement Conference work?

Parties are accompanied by their attorneys, and are presided over by a judge. The judge is informed about
the facts of the dispute by the parties, and will then meet with the attorneys of either side to hear their
claims. Once this is done, the judge will attend each party separately and present offers or counteroffers to
both. The judge can also state his own recommendations for the parties to reach a common ground. Once the
parties are happy with and agree upon a solution, the settlement will be documented along with the
agreement, which will be reviewed and then signed by the parties to the dispute.

A settlement cannot be forced upon the parties, and if the parties cannot reach an amicable solution, the case
will proceed towards trial.

Why should parties choose to settle their dispute through a Settlement Conference?

Just like any other alternate method of dispute resolution, a settlement conference ensures that a dispute is
resolved within a reasonable time frame and the outcome is favorable for both the parties. A settlement
conference will save the parties from the hassle of litigation, as well as the chance of losing the case in court.
Litigation often comes with heavy costs and unwanted publicity. A settlement conference will ensure that
the parties have thought through these factors and whether they want to proceed to trial or settle beforehand.

Are there any drawbacks to a Settlement Conference?

Just like every other alternate dispute resolution method, a settlement conference will bar you from a clear
win and the exercise of all your claims. Naturally, a settlement conference implies that the parties reach
common ground, thus limiting the parties to a certain extent. Alternate dispute resolution urges the parties to
compromise in order to arrive at a fair decision for both sides, unlike the litigation process where the
judgement may be pronounced in favor of one party. Further, a good settlement conference will depend
entirely on the negotiation skills of your lawyer, which can be quite risky if you do not have strong evidence
to support your claim. Moreover, not every case is of the nature that it can be settled through a settlement
conference.

Is Settlement Conference practiced in the UAE?

The Family Guidance Committee is a suitable example of a settlement conference, which addresses cases
related to family matters before they can reach the court. Article 16 of the Personal Status Code, 2005,
makes it mandatory for parties governed by the law to resort to the Family Orientation Committee for their
disputes, unless they cannot be resolved through reconciliation.

A similar provision is incorporated under Dubai Law No. 16 of 2009, which brought into existence the
Centre for Amicable Settlement of Disputes. As per Article 6, matters that fall within the jurisdiction of the
Centre shall be referred to it before being instituted in a court.

Federal Law No. 17 of 2016 establishes mediation centers in Courts of First Instance. Civil and commercial
disputes not exceeding a valuation of AED 500,000, and those referred to the centers by the parties
themselves can be decided by the centers.

Related Links
Can You Use Whatsapp Messages As Evidence In UAE Courts?
UAE Law: Choice of governing law and jurisdiction
Learn the outcome of first ever judgment concerning Covid-19 in UAE now!

Copyright © of this article is retained by the author and/or other copyright owners. We explicitly grant you
permission to download a copy, without any alteration, of this article for personal non-commercial research
or study, without prior permission or any charge. This article can be utilized on your website or for
marketing, however, we grant you permission to host this article on your website and no other rights. This
content should not be altered in any way or sold commercially in any format without prior permission of the
copyright holder. During reference of this article, full biographic details entailing the name of the author,
his designation, the institute and the publishing date of the article shall be provided.

Contact Us
The H Hotel Office Tower, 29th Floor, Office 2904, Sheikh Zayed Road, PO Box 40073, Dubai, United
Arab Emirates
Tel: +971 4 355 8000 | Fax: +971 4 358 9494
Email us:
hassan@professionallawyer.me

Website:
www.professionallawyer.me