Arbitration or Litigation? Resolving a Commercial Dispute in Egypt

When a commercial dispute arises, going to court isn't the only option. Egyptian law allows parties to pursue arbitration, governed by the Arbitration Law in Civil and Commercial Matters No. 27 of 1994, based on internationally recognized modern arbitration principles.

Arbitration's key features include confidentiality (private proceedings), expertise (parties can choose arbitrators with relevant technical knowledge), procedural flexibility, and the independence of an arbitration clause from the underlying contract even if that contract's validity is challenged. On the other hand, ordinary litigation remains the appropriate or only option in many situations, particularly where there is no arbitration agreement, or where multiple levels of review (appeal and cassation) are needed — unlike arbitral awards, which are generally final with a very limited scope for challenge.

Under the law, matters relating to arbitration that the law refers to the judiciary are handled by the court that would otherwise have had jurisdiction. For international commercial arbitration, jurisdiction lies with the Cairo Court of Appeal, unless the parties agree on a different Court of Appeal.

Choosing between arbitration and litigation depends on whether an arbitration agreement exists, how important confidentiality is, and how complex the dispute is. To discuss your dispute, you can book a consultation with our team.