Korek Telecom Company LLC (2) Korek International (Management) Limited (3) Sirwan Saber Mustafa v (1) Iraq Telecom Limited for itself and in the name and on behalf of International Holdings Limited (2) International Holdings Limited [2025] DIFC CA 016 (16 June 2025)

Korek Telecom Company LLC (2) Korek International (Management) Limited (3) Sirwan Saber Mustafa v (1) Iraq Telecom Limited for itself and in the name and on behalf of International Holdings Limited (2) International Holdings Limited [2025] DIFC CA 016 (16 June 2025)

The appeal is dismissed because the Tribunal did not exceed its jurisdiction or violate the act of state doctrine or UAE public policy. The Tribunal's findings focused on the Appellants' conduct, not the validity of the CMC Decision. The Tribunal did not rely on inadmissible evidence, and even if it had, no breach of public policy occurred as no criminal activity was proven in the UAE. The grounds for setting aside the award were not met under DIFC or UAE law.

Citation
[2025] DIFC CA 016
Parties
First Claimant/appellant: Korek Telecom Company LLC; Second Claimant: Korek International (Management) Limited; Third Claimant/appellant: Sirwan Saber Mustafa; First Defendant/respondent: Iraq Telecom Limited; Second Defendant/respondent: International Holdings Limited
Jurisdiction
United Arab Emirates
Judgment Date
16 June 2025
Procedural Posture
Appeal (arbitration Award Challenge) / Judgment on Appeal
Outcome
Appeal dismissed
Legal Topics
Act of State Doctrine, Public Policy, Recognition and Enforcement of Arbitral Awards, Bribery and Corruption, Admissibility of Evidence
Arbitration Commercial Law Conflict of Laws Act of State Doctrine Public Policy Recognition and Enforcement of Arbitral Awards Bribery and Corruption Admissibility of Evidence

Case Brief

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Parties

Korek Telecom Company LLC

First Claimant/appellant

Korek International (Management) Limited

Second Claimant

Sirwan Saber Mustafa

Third Claimant/appellant

Iraq Telecom Limited

First Defendant/respondent

International Holdings Limited

Second Defendant/respondent

Procedural Posture

Appeal (arbitration Award Challenge) / Judgment on Appeal

Legal Issues

  1. 1 Whether the act of state doctrine precludes the Tribunal from adjudicating claims involving a foreign state authority's decision
  2. 2 Whether the Tribunal's reliance on allegedly unlawfully obtained or hearsay evidence violates UAE public policy
  3. 3 Whether the Tribunal exceeded its jurisdiction or violated public policy under DIFC and UAE law

Ratio Decidendi

The appeal is dismissed because the Tribunal did not exceed its jurisdiction or violate the act of state doctrine or UAE public policy. The Tribunal's findings focused on the Appellants' conduct, not the validity of the CMC Decision. The Tribunal did not rely on inadmissible evidence, and even if it had, no breach of public policy occurred as no criminal activity was proven in the UAE. The grounds for setting aside the award were not met under DIFC or UAE law.

Court Disposition

Appeal dismissed

Orders

  • The Appeal is dismissed.
  • The Appellants will pay the Respondents’ costs of the Appeal to be assessed by the Registrar if not able to be agreed.