EGYPT Law and Practice Contributed by: Ahmed Kotb, Mohamed Ehab, Mohamed Sameh and Yasmine ElSakka, Khodeir & Partners
public order and that the procedural requirements for enforcement have been met. Awards rendered in domestic arbitrations are simi - larly enforceable under Article 58 of the EAL, once the challenge period has expired (or the challenge has been dismissed) and after satisfying the same proce - dural requirements. 12.2 Enforcement Procedure Pursuant to Article 56 of the EAL, enforcement of an arbitral award, whether domestic or foreign, requires the award creditor to submit an application for exe - quatur before the president of the competent court. This application must be accompanied by the follow - ing documents: (a) the original arbitral award or a cer - tified copy thereof; (b) a copy of the arbitration agree - ment; (c) a certified Arabic translation of the award if it was rendered in a foreign language; and (d) evidence of the deposit of the award in accordance with Article 47 of the EAL. Before considering the application, the court ensures that the statutory period for filing a nullity action has elapsed, which is 90 days from the date of notification of the award. In assessing the motion for enforcement, the court evaluates whether: • the award conflicts with a prior final judgment issued by an Egyptian court concerning the same dispute; • the award contravenes Egyptian public policy; and • the award debtor was properly notified and given the opportunity to present its case during the arbi - tration. The court’s order granting or denying enforcement may be appealed within 30 days from its issuance. Article 57 of the EAL provides that filing a nullity action against the arbitral award does not automati - cally suspend enforcement proceedings. However, the court retains discretion to suspend enforcement upon a substantiated request by the award debtor, particularly where serious grounds exist. This discre - tionary suspension aligns with principles laid down in
the Egyptian Civil and Commercial Procedures Code (CCPC), which govern suspension of judicial proceed - ings upon the emergence of a preliminary issue that could be determinative. With respect to foreign arbitral awards, Articles 296- 299 of the CCPC provide the default legal framework for enforcement, treating such awards similarly to for - eign judgments. The court examines the jurisdictional competence of the foreign tribunal, the due notifica - tion and representation of the parties, the finality and binding nature of the award under the foreign seat’s law, the absence of conflict with Egyptian judgments, and conformity with Egyptian public policy. Notably, Egyptian courts have increasingly applied the provisions of the EAL to foreign arbitral awards, emphasising a less stringent enforcement process consistent with the requirements of the New York Con - vention, as confirmed by the Cairo Court of Appeal in its ruling on Petition No. 2 of JY 139. Although the EAL does not explicitly address the enforceability of awards set aside by the courts of the seat of arbitration, Egyptian judicial practice generally respects annulment decisions made by the competent court of the seat, resulting in non-enforcement of such awards within Egypt (Court of Cassation, Challenge No. 14385 of JY 91, dated 20 April 2024). Regarding enforcement against state entities, Egyp - tian law limits the scope of enforcement against assets used for public purposes, including public utilities or sovereign functions (Article 88 of the Egyptian Civil Code). Sovereign immunity may thus be success - fully invoked as a defence to enforcement, particu - larly when protected public assets are involved. This immunity is further supported by Egypt’s adherence to international conventions, such as the Vienna Con - vention on Diplomatic Relations (1961), which explic - itly protects diplomatic premises and property from enforcement measures. 12.3 Approach of the Courts Egyptian courts generally maintain a strong pro- enforcement stance towards arbitral awards. They closely adhere to the annulment grounds expressly set out in the EAL, with courts traditionally interpret -
199 CHAMBERS.COM
Powered by FlippingBook