What makes an arbitration clause valid in a UAE contract?

Under the UAE Federal Arbitration Law (Federal Decree-Law No. 6 of 2018), an arbitration agreement must generally be in writing to be valid, and it can be a clause within a contract or a separate agreement. A crucial requirement is authority: the person who signs on behalf of a company must have the power to bind it to arbitration, because committing to arbitration is treated as a special act beyond ordinary management. If the signatory lacks that authority, the clause can be challenged. A well-drafted clause typically names the arbitration institution (for example a recognised UAE centre), the seat of arbitration, the language, the number of arbitrators, and the governing law, so there is no ambiguity if a dispute arises. Vague or contradictory wording, sometimes called a pathological clause, can lead to costly jurisdiction fights before the real dispute is even heard. Because a defective clause can derail an entire case, it is worth having it reviewed before signing. You can compare verified UAE legal professionals on LEXAI who draft and audit arbitration clauses.