The state's administration, nowadays, undertakes many tasks due to the movement towards a modern state. This fact results in wide public services that it came to fulfill. Therefore, different legal methods are used in the sake of providing individuals with these services. Aiming at giving private sectors a role in such services, the state's administration relies on contractual relationships with those sectors. Indeed, through this legal method, the public services are provided, and the administration is helped in fulfilling its commitments.Seeking to organise disputes arising from the contractual relationships, the Kuwaiti legislature promulgated the law No. 11 of 1995 establishing the Department of Judicial Arbitration. In Article (2), the law gave the private sectors that entered into a contract in which the stat's administration is a party to resort to judicial arbitration in order to solve their disputes. The Article, also, emphasised that whenever the said sectors chose this method, the administration was obliged to accept the arbitration.This study came to highlight the elements of the said law, discuss the suitability of administrative contracts to be subject to the arbitration and examine the Kuwait courts' trend in relation to this matter.