An arbitration agreement gives parties a chance to present their contractual disputes for decision by a private tribunal. The decision made by the arbitration tribunal is legally binding and can be enforced by the courts, should either party fail to uphold its obligations.
The International Chamber of Commerce ‘Rules of Arbitration’ (ICC Rules) are used worldwide to resolve disputes through arbitration.
The ICC Rules provide a neutral framework for the resolution of cross border disputes and, for cases submitted to the International Court of Arbitration of the ICC, govern the proceedings from start to finish.
The ICC Rules regulate the:
- process and requirements for the filing of arbitration claims and documents;
- composition of the arbitration tribunal;
- general and specific conduct required throughout proceedings;
- execution of arbitral awards; and
- allocation and breakdown of costs. Parties should identify ICC Arbitration as the agreed method of alternative dispute resolution when negotiating the terms of their contracts.
Under the ICC Rules, parties can use standard arbitration clauses in their private agreements and need not modify unless an applicable, domestic law requires.
It is important that parties are aware of the effect of ‘standard’ clauses when drafting their arbitral agreements. For example, unless parties opt out, the Emergency Arbitrator Provisions will come into effect and this may be undesirable for a party in the proceeding.
When coming to an agreement to arbitrate, parties should express preferences for some elements of the arbitration proceedings. Parties may elect the composition and number of arbitrators in the tribunal, location, and language of the arbitration process.
In the event that the ICC Rules do not address a party-specific matter, the Arbitration Tribunal must endeavour to produce an enforceable Arbitral Award, using the ICC Rules as a guideline.
Mr Murdock of our office holds a Juris Doctor in International Trade Law and a Masters of Laws in International Business Transactions from The Netherlands. If you are looking for an international lawyer to represent you in drafting international contracts or representation in arbitrations, feel free to contact us for a free consultation on (02) 9262 5495 or (03) 8899 7870; visit our Website; Like our Facebook Page; or join our Employment Law Mailing List.
This article is not legal advice and should not be relied upon as legal advice. All articles found on this website are intended to provide informative information, nevertheless, in many instances legislation and case law has been simplified and/or paraphrased. If you would like personal legal advice based on your current circumstances, you should contact MurdockCheng Legal Practice for a free consultation.