Dispute Resolution
Between ICT
Service Providers
in Saudi Arabia
May 31st, 2005
CITC – Legal Affairs
Bahrain
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Contents
1. ICT Regulatory Framework
2. The Act, the Bylaw and the Ordinance
3. Definition and Scope of Disputes
4. Dispute Resolution Request (Application)
5. Dispute Resolution Methods
6. Consensual Resolution
7. Mandated Resolution
8. Appeal Process
9. Conclusion
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ICT Regulatory Framework
 Telecommunications Regulatory Commission formed
in the Kingdom in 1422H
 Commission’s Role expanded to include IT, in 1425
1. Telecommunications Act:

Royal Decree No. (M/12) dated 12/03/1422H (corresponding to
03/06/2001).
2. Telecommunications Bylaw:

Issued by the Ministerial Decision No.(11) dated 27/07/2002 ,
approving the Telecommunications Bylaw.
3. Telecommunications Ordinance:

Issued pursuant to the Council of Ministers Decision No. (74)
dated 05/03/1422H (corresponding to 27/05/2001).
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The Act Objectives
1) To provide advanced and adequate telecommunications services at
affordable prices.
2) To ensure the provision of access to the public telecommunications
networks, equipment and services at affordable prices.
3) To ensure creation of favorable atmosphere to promote and encourage
fair competition in all fields of telecommunications.
4) To ensure effective and interference-free usage of frequencies.
5) To ensure effective usage of National Numbering Plan.
6) To ensure clarity and transparency of procedures.
7) To ensure principles of equality and non-discrimination.
8) To safeguard the public and user interests as well as maintain the
confidentiality and security of telecommunications information.
9) To ensure transfer and migration of telecommunications technology to
keep pace with its development.
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The Act – Dispute Resolution Examples
 Article (10):
(…….. the Bylaws shall specify the procedures for
settlement of disputes arising among the operators
themselves or between operators and users, including
objection by users to billed amounts or the quality of the
offered service.)
 Article (30):
(In the event that the concerned parties failed to reach an
interconnection agreement, they have the right to submit a
request to CITC to settle the dispute. CITC decision is
binding on all parties.)
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The Bylaw
 CITC has reviewed the experiences of many
countries in order to make use of the positive
experiences and to avoid the negative
experiences.
 The Bylaw contains fifteen chapters composed of
ninety six articles which include precise and clear
details and procedures as required by the Act.
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The Ordinance
In accordance with this Ordinance, the Commission has legal
standing and financial and administrative independence

The Communications and Information Technology Commission (CITC)
is based in Riyadh and has the right to establish branches or offices in
any part of the Kingdom and reports to the Minister.

The CITC has the authority:
1. to regulate ICT sector.
2. to propose regulations related to the telecommunications sector and
their amendments,
3. to review the issues associated with the sector which are raised by the
concerned parties, and in particular by the licensed operators or users
including the disputes involving network access and interconnection,
and take the necessary decisions concerning such issues within
the scope of its authority.
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Dispute Definition
Dispute Definition In the Bylaw:
--- means a failure by service providers to agree on:
(a) the terms and conditions of interconnection,
(b) access to, or quality of, telecommunications
service provided by one to the other, or
(c) any other matter that is within the jurisdiction of
the Commission.
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The Scope of Disputes
 Failure to agree on the terms and conditions of
interconnection
 Failure to agree on the access to, or quality of, ICT
service provided by one service provider to the other
 Inability to agree on all of the terms of co-location
between its parties
 Disputes related to anti-competitive practices
 Disputes related to abuse of dominant position
 Disputes between service providers in any other matter
that is within the jurisdiction of CITC
 Objections by users to billed amounts or the quality of the
offered service
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Dispute Resolution Request
The Dispute Resolution Request shall set out the following
information:
1) a statement that a dispute exists between the parties listed in the
request;
2) a statement of facts and issues upon which the parties agree;
3) a statement of facts and issues upon which the parties do not
agree;
4) a statement from each party setting out its position on each
disputed fact and issue;
5) a statement from each party setting out its position on the other
party’s position on disputed facts and issues;
6) a statement setting out the dispute resolution approach sought
from the Commission; and
7) a statement setting out a proposed timetable for resolution of the
dispute.
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Dispute Resolution Methods
 According to Articles (10 and 30) of the Act
and(44, 45, and 46) of the Bylaw, the CITC is
mandated to deal with all disputes between
service providers that are referred to it. In doing
so, CITC may use one or more of the following
dispute resolution methods:
 Consensual Resolution
 Mandated Resolution
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Dispute Resolution Methods (---cont’d)

In deciding whether to accept a request for Consensual
Resolution or to proceed by way of Mandated Resolution
proceeding, CITC shall consider whether:
(a) resolution of the dispute will have regulatory or
precedent value and whether a proceeding will likely be
accepted generally as an adequately authoritative
precedent;
(b) the dispute raises policy issues that may extend
beyond the interests of the parties involved and that
may require additional comment from other concerned
parties before a final resolution may be made; and
(c) the dispute may potentially have a material effect on
persons who are not parties to the proceeding.
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Dispute Resolution Methods (---cont’d)

Within fifteen (15) days after receipt of an application or a
Dispute Request, CITC shall advise the parties in writing
whether it has:
1. agreed to proceed by way of Consensual Resolution;
2. accepted the proposed dispute resolution approach;
and;
3. accepted the proposed timetable for resolution.
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Dispute Resolution Procedures
1. Consensual Resolution:
-
As a condition precedent, the parties shall have first
negotiated in good faith for a minimum period of sixty
(60) days and:
(a) have been unable to reach agreement; or
(b) the conduct of one party has made it clear that
further negotiations will not be productive.
-
-
Must request, in writing, resolution of all of the issues
in dispute.
Consensual proceedings shall be confidential, except
to the extent that disclosure of information related to
the proceedings is required by law.
One or more of the parties to the dispute shall submit
the request for consensual resolution.
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Dispute Resolution Procedures (---cont’d)

If the CITC accepts the Dispute Resolution Request as
a “Consensual Resolution”, then CITC shall play the
role of a mediator between the parties to the dispute
until they reach an agreement.

Such an agreement shall be approved and notarized by
the CITC.

If the parties to the dispute fail to reach an agreement,
CITC may use in such a case, the “Mandated
Resolution” procedure.
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Dispute Resolution Procedures (---cont’d)
2. Mandated Resolution:
(a) CITC can use this method of dispute resolution in
case of the following:
1) Failure of the parties to reach an agreement.
2) Failure of the applicant to meet one of Consensual
Resolution application requirements.
3) Failure of the parties in consultation with CITC to reach
an agreement on Consensual Resolution approach
and timetable.
4) CITC refusal to accept Consensual Resolution under
its sole discretion.
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Dispute Resolution Procedures (---cont’d)
2. Mandated Resolution (---cont’d):
(B) Mandated Resolution Procedures:

Within fifteen (15) days after receipt of an application (Dispute
Request), CITC shall set out the time within which the named
respondent in the application may file an answer to the
application and the time within which the applicant may file a
reply to the answer.
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Dispute Resolution Procedures (---cont’d)

CITC shall establish, in each proceeding, the time limits
for a person to submit a document to CITC. In
establishing time limits, CITC shall take into account:
1. the complexity of the information to be submitted.
2. the ease with which the information can be obtained
by the person required to submit it.

A respondent to the application shall file its answer with
CITC and the applicant in accordance with CITC
decision on procedure. The defendant shall reply to all
facts and issues set out in the application.
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Dispute Resolution Procedures (---cont’d)

If a defendant does not file an answer within the time
defined by the CITC decision, CITC may make a decision
on the application without further notice to the defendant

When the reply is filed or the time for its filing has
expired, no further documents may be submitted, except
by CITC decision

The CITC shall issue deliberate mandated decision
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Appeals on CITC Decisions
1. CITC Decisions on Interconnection disputes is binding on all
parties
2. The Applicant or the Respondent of a Dispute Resolution has the
right to appeal
3. The Appeal must be first made to the Minister of CIT
4. The Minister may agree or disagree with the CITC Decision
5. The Applicant or the Respondent has a further right to Appeal the
Decision, to the Board of Grievance, within 60 days of the
Minister’s Decision
6. The Board of Grievance Decision will be binding on all parties
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Conclusion
1. CITC has the right to resolve disputes pursuant to its statutes.
2. The scope of disputes that CITC covers, contains several
types of disputes.
3. The CITC uses Consensual and Mandated Resolution
procedures as methods of resolving disputes.
4. Procedures are available in choosing Consensual or
Mandated Resolution.
5. The process allows for Appeals to CITC Decisions
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Service Provider Dispute Resolution
Thank You
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Bahrain
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