Chapter 7 Arbitration Procedure

1. Chapter 7Arbitration Procedure

2. Contents • How the arbitration is to be carried out • How to initiate the arbitration • How to compose the arbitration tribunal • How the merits of the case are tried • How to render the Award • Decided by the applied ARBITRATION RULES in particular case

3. Arbitration Rules v. Law • Purpose: performing v. regulating • mode of application • binding force

4. Initiation of the Arbitration • Notice of arbitration is received by the Respondent (UNCITRAL Rules) • The Request is received by the Secretariat (ICC, AAA ,LCIA,CIETAC and most of the institutions’ rules)

5. Notice of Arb. (UNCITRAL) • Demand for arbitration • Names and addresses of the parties • Reference to the arb. Agreement • Dispute covered by the arb. Agreement • Nature of claims and amount involved • Relief or remedy sought • Proposal as to the number of arbitrators

6. Notice of Arb. (UNCITRAL) • Proposal for the appointments of a sole arbitrator or appointing authority • Notification of the appointment of an arbitrator when 3 arbitrator required • The statement of claim

7. Statement of Claim（申请书） • Names and addresses of the parties • Statement of the facts supporting the claim • Points at issue • Relief or remedy sought

8. Statement of Defense（答辩状） • Parties • Facts • Merits • Reliefs

9. Composition of Tribunal • Sole arbitrator tribunal • Two arbitrators plus an umpire tribunal • Three arbitrators tribunal

10. R. A. Sally(Fin.) v. S.R.L. Termarea (Italy) 455 • C/P between Sally and Termarea • Arbitration clause • Demurage claim from Sally • Award by two chosen arbitrators • Refusing enforcement by the Italian court due to improper composition of the tribunal

11. Trial of the case • Terms of reference • Place of arbitration • Method of trial • Award rendered

12. Terms of reference(ICC Art.18) • Parties’names and descriptions; • Communicable addresses of the parties • Parties’ brief claims and counterclaims • List of issue to be determined • Arbitrators full names and descriptions • Place of the arbitration • Other particulars

13. 仲裁地点及其决定 • 仲裁地点、开庭地点、仲裁庭合议案件的地点 • 仲裁 • 当事人约定 • 仲裁规则决定 • 仲裁机构所在地与仲裁地点之间的关系

14. Place of arbitration • The Seat or Legal Place of the arbitration: where the award was made • The place where the case is to be hard • The place where the tribunal deliberate the case • Difference and similarities • Determination of the seat

15. Determination of the seat • By the applied arbitration rules or law • By Parties autonomy • By the arbitration institution or the tribunal • Whether the place of arbitration is the very location of the institution ?

16. Place of arbitration in China • No direct provision by law • Indirect provision (Art. 58 Arb. Law) • Art.31 CIETAC Rules • by agreement; • headquarter or sub-commission; • award made at the place of arbitration

17. CIEATC Rules: Art. 31 仲裁地 • 双方当事人书面约定仲裁地的，从其约定。 • 如果当事人对仲裁地未作约定，仲裁委员会所在地为仲裁地。 • 仲裁裁决应视为在仲裁地作出。

18. 审理方式 • 开庭审理：oral hearing • 书面审理: without oral hearing based on the written documents

19. Hearings • Chairman arbitrator declared the parties and the composition of the tribunal • Statement of claim • Answer • Evidence • Conciliation upon the agreement • Close statement

20. Without Hearing • On the basis of documents and other materials for summary procedure • By parties autonomy

21. Paklito v. Klockner (251) • CIETAC award in 1990 • Sales contract b/w the parties • White rust on the steel coils • Defects existed during manufacturing process by the report • Comments requirement from the respondent without such comments

22. US Firm v. FRG Firm (262) • AAA award on written procedure • German court of first instance grant the enforcement • Court of Appeal refused enforcement due to public policy in 1975

23. Languages to be used • By arbitration rules • By parties autonomy

24. End of the Procedure • Find out the facts • Apply appropriate law • Render award impartially and independently

25. 仲裁规则与仲裁法之间的联系 • 规范仲裁行为的规则 • 制定机构与实施机构 • 法律性质 • 覆盖范围

26. 仲裁规则及其适用 • 仲裁规则的制定与实施 • 临时仲裁庭仲裁规则的适用 • 常设仲裁机构仲裁规则的制定与实施

27. Applicable Law for Int’l Arbitration Procedure • Basic principle: parties’ autonomy • Role of the law of the State where the arbitration is taken place • Mandatory provisions

28. Union of India v. Mcdonell Douglas Corporation （269） • Indian Arbitration Act of 1940 or any reenactment or modification thereof • The seat of arbitration proceedings shall be London. • What is the law governing the arbitration proceedings?

29. Delocalized Arbitration • International arbitration has no real relation with the local legal order. • Gotaverken(瑞典造船厂） v. Libyan General National Maritime Transport • SEEE v. Yugoslavia • 法国和瑞士均拒绝对在其境内作出的裁决行使撤销裁决监督权。

30. Chromalloy Aeroservices Inc. v. MOD of the Republic of Egypt • K to provide maintenance and support fro a fleet of Sea King Commando helicopters for four years • Egypt party terminated one year before • Chromalloy refused to accept the notification of the cancellation of the K.

31. Arbitration & Litigation • Award made by ad hoc tribunal • Award was set aside by the Egyptian Ct. • Chromalloy applied to the French and US court for enforcing the award set aside by the Egyptian court.

32. Practices in China • Arbitration legislation relating to arbitration procedure • Arbitration rules of the arbitration commissions • Conciliation in the arbitration proceedings

33. 黎明大酒店案（292） • 酒店经营管理合同争议 • 被申请人参加了庭审，一方面提出了管辖权异议；另一方面又就实体问题进行了答辩； • 仲裁协议无效而拒绝承认与执行裁决；仲裁委未能就管辖权异议作出决定。