Mediation in Maldives

Quick Facts

• Legal Framework: International arbitration in the Maldives is governed by the Maldives Arbitration Act No. 10/2013. The Arbitration Act comprises 89 Sections divided into 12 Chapters. It aligns with the model principl...
• Cultural Approach: The Maldives is poised to play a more prominent role in the international arbitration arena, promoting legal certainty and attracting foreign investments. The establishment of MIAC in 2013 reflects co...
• Typical Costs: Section 84(b) provides flexibility to arbitrators to award arbitration costs as they deem fit absent party agreement. Norm in international commercial arbitration is costs follow event - loser pays wi...

Mediation Research

Legal Framework

International arbitration in the Maldives is governed by the Maldives Arbitration Act No. 10/2013. The Arbitration Act comprises 89 Sections divided into 12 Chapters. It aligns with the model principles of UNCITRAL, specifically the 2006 UNCITRAL Model Law on International Commercial Arbitration. The Act establishes the Maldives International Arbitration Centre (MIAC) as a separate legal entity. The Maldives acceded to the New York Convention in 2019.

Court System

The Arbitration Act applies when the seat of arbitration is the Maldives. Certain sections apply even if the seat is not the Maldives. Section 15 provides for stay of court proceedings in favor of arbitration. The Act provides framework for court intervention limited to specific circumstances. Courts generally support arbitration through the legislative framework. Further research needed on court-annexed mediation programs.

Mediator Regulations

The MIAC has its own arbitration rules, the 2013 MIAC Arbitration Rules, which largely mirror the Arbitration Act. MIAC has a Primary List of Arbitrators (senior members with substantial experience) and a Secondary List of Arbitrators (junior practitioners). Professional standards follow international best practices aligned with UNCITRAL Model Law. Further research needed on specific mediator certification processes.

Cultural Approach

The Maldives is poised to play a more prominent role in the international arbitration arena, promoting legal certainty and attracting foreign investments. The establishment of MIAC in 2013 reflects commitment to ADR. The alignment with UNCITRAL Model Law indicates international best practice adoption. Cultural approach emphasises efficiency and cost-effectiveness in dispute resolution.

Typical Costs

Section 84(b) provides flexibility to arbitrators to award arbitration costs as they deem fit absent party agreement. Norm in international commercial arbitration is costs follow event - loser pays winner's arbitration fees. Professional mediator fees generally range from MVR 1,000-5,000 per hour for commercial mediation. MIAC conducts arbitrations efficiently and cost-effectively. Maldives litigation courts generally award costs to winning party.

States and Regions