Press release

Dr. Al-Hamad: Pioneering AI in Commercial Arbitration for Greater Productivity and Global Competitiveness

30 December 2023: Dr. Kamal bin Abdullah Al Hamad, the Secretary General of the GCC Commercial Arbitration Centre, stated that the Centre has initiated the development of a mechanism harnessing AI techniques. This initiative aims to enhance international commercial arbitration processes, aligning with the national visions of the Gulf Cooperation Council countries. It is in harmony with the prevailing trends of leveraging these technologies in digital transformation, fostering development across diverse sectors, and elevating service, productivity, and competitiveness standards.

In this context, Dr. Al-Hamad conducted a productive meeting with His Excellency Dr. Abdullah bin Sharaf Alghamdi, President of the Saudi Data and AI Authority (SDAIA). The discussion Centered around strengthening collaborative efforts to integrate modern technologies into the legal industry. They specifically delved into the notable advancements made in data analysis and the pursuit of more precise arbitration decisions through the adoption of legal programs and tools that emulate human intelligence. The incorporation of machine learning to enhance and simplify legal and arbitration processes was also a focal point.

The meeting also addressed the formulation of a collaborative mechanism aimed at crafting a legislative plan delineating the application of AI techniques in the field of arbitration and dispute resolution. This involves proposing legal regulations and technical standards for the identification of parties and evidence. Despite the challenges involved, there is a growing likelihood of witnessing increased adoption of technology and AI in international commercial arbitration in the forthcoming years. As these technologies advance, their efficiency and effectiveness are expected to improve, consequently enhancing the arbitration process.

Dr. Al Hamad expressed his appreciation for the instrumental role played by the Saudi Data and AI Authority (SDAIA), establishing itself as a specialized national authority in the Kingdom of Saudi Arabia for matters pertaining to data and AI. The authority is acknowledged for its dedication to organizing, developing, and facilitating the incorporation of new research and innovations in the data and artificial intelligence sector. These endeavors significantly contribute to expediting the integration of modern technologies throughout the entire region.

Dr. Al Hamad emphasized the imperative to train and equip arbitrators and professionals in the judiciary and settlement fields in the GCC countries to align with the demands of the contemporary era. He further highlighted a noteworthy statistic, stating that "92% of legal institutions and judicial bodies worldwide plan to increase their use of AI in legislative and legal case analysis in the upcoming year. Meanwhile, 68% of judicial institutions are already leveraging AI in their operations, according to a recent study by Lexis Nexis."

Dr. Al-Hamad underscored the substantial potential of artificial intelligence technologies, which have become pervasive across global sectors, to significantly enhance the efficiency and effectiveness of commercial arbitration processes in the GCC countries. He stated, "With the integration of AI into the arbitration industry, we have been proactive in aligning with developments and embracing smart technologies within the Centre's operations. This commitment is in response to the anticipated increase in spending on legal and judicial artificial intelligence tools, projected to reach approximately $37 billion globally by 2024."

Dr. Al Hamad elaborated on the capabilities of these artificial intelligence programs, emphasizing their role in simplifying workflows and improving their management. This, in turn, facilitates and accelerates operations within arbitration Centres. These technologies provide preliminary assessments of cases, filter straightforward matters before advancing to arbitration sessions, swiftly and effectively analyze evidence and statements, and extract patterns and trends to offer strategic insights for arbitrators in the decision-making process. Additionally, they contribute to drafting legal documents, providing interpretation services during hearings, utilizing data to anticipate judicial decisions, and assisting parties in decision-making, resulting in significant time and effort savings in the workplace.