Artificial intelligence has been incorporated into every aspect of our lives. The rapid development of AI has transformed dispute resolution and has become an important tool in international arbitration. The UAE’s pro-technology policies, light-touch approach to AI regulation, and diverse legal system create an environment that encourages innovation in dispute resolution.
UAE’s Legal and Regulatory Position
In the UAE, there is no specific legislation that regulates the use of AI in arbitration. The UAE Arbitration Law, DIFC Arbitration Law, and ADGM Arbitration Regulations do not specifically address the use of AI in arbitral proceedings. The DIFC Courts have already issued Practical Guidance Note No. 2 of 2023, which provides guidance on the responsible use of AI in legal proceedings, including verification of AI-generated content, protection of confidentiality, and transparency regarding AI use.
Current Uses of AI in Arbitration
Document Review and E-Discovery
International arbitration involves reviewing thousands of documents, which is one of the most time-consuming and expensive stages of the process. This process is now simplified by the establishment of electronic document disclosure, or e-discovery. AI tools can rapidly identify, categorize, and analyse large volumes of documents, significantly reducing the time required for document review. AI-assisted review enables legal teams to locate relevant evidence more efficiently and reduce costs for clients.
Translation of Documents
In the UAE, arbitration may involve documents in Arabic, English, or any other language used by international parties. AI-powered translation tools can quickly translate contracts, correspondence, witness statements, and evidentiary documents. Although certified human translators are still required for official purposes, AI-assisted translation can substantially reduce the time and expense involved in multilingual disputes.
Legal Research
AI has been widely used in supporting legal research in arbitration. AI systems assist lawyers in identifying relevant legal authorities, analysing legal issues, and summarising large volumes of legal materials.
Drafting and Preparation of Legal Documents
AI helps lawyers with drafting, organising information, preparing initial drafts, and streamlining document preparation.
Case Management and Administrative Functions
AI has been increasingly used in arbitration case management systems. In June 2025, DIAC announced a partnership with Jus Mundi aimed at enhancing case management through AI-powered technology.
Contract Drafting and Arbitration Clauses
AI is also used in the drafting and review of commercial contracts. Well-trained AI systems may help reduce errors commonly found in arbitration clauses, such as references to non-existent arbitral institutions or confusion between the arbitral seat and institution.
Challenges and Future Developments
- AI-generated content may contain errors or hallucinations, making human oversight essential.
- Future arbitration practice may require greater transparency regarding the use of AI and potentially mandatory disclosure of AI-generated content.
- Initiatives such as Dubai’s Human-Machine Collaboration icons may provide a model for identifying the extent of AI involvement in legal work.
AI Arbitrators
The UAE Federal Arbitration Law mandates that an arbitrator must be a natural person; therefore, AI cannot presently act as an arbitrator. However, AI may support arbitrators in research and administration. Issues relating to independence, impartiality, accountability, and challenges to AI-generated awards would need to be addressed before such a system could be adopted.
Conclusion
The UAE’s technology-friendly environment and strong arbitration framework place it in a favourable position to lead future developments in AI-assisted arbitration. However, human oversight, transparency, and procedural fairness will remain essential as AI continues to evolve within the arbitration landscape.
