aaa arbitration rules

8/17/2019 AAA Arbitration Rules

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The International Centre for Dispute Resolution ® (ICDR)

Arbitration Rules

Introduction

The international business community uses arbitration to resolve commercial disputes arisingin the global marketplace. Supportive laws are in place. The New York Convention of 19!has been widely adopted" providing a favorable legislative climate that enables theenforcement of arbitration clauses. #nternational commercial arbitration awards arerecogni$ed by national courts in most parts of the world" even more than foreign court

%udgments. & key component to the successful resolution of an international commercialdispute is the role played by the administrative institution. The #nternational Centre for'ispute (esolution ) *#C'(+ is the international division of the &merican &rbitration&ssociation *&&&+ charged with the e,clusive administration of all of the &&&-s

international matters. The #C'(-s e,perience" international e,pertise and multilingual staffforms an integral part of the dispute resolution process. The #C'(-s international system is

premised on its ability to move the matter forward" facilitate communications" ensure thatualified arbitrators and mediators are appointed" control costs" understand culturalsensitivities" resolve procedural impasses and properly interpret and apply its #nternational/ediation and &rbitration (ules. &dditionally" the #C'( has many cooperative agreementswith arbitral institutions around the world for facilitating the administration of its internationalcases.

International Mediation

The parties might wish to submit their dispute to an international mediation prior toarbitration. #n mediation" an impartial and independent mediator assists the parties in reachinga settlement but does not have the authority to make a binding decision or award.#nternational /ediation is administered by the #C'( in accordance with its #nternational/ediation (ules. There is no additional administrative fee where parties to a pendingarbitration attempt to mediate their dispute under the #C'(-s auspices.

#f the parties want to adopt mediation as a part of their contractual dispute settlement procedure" they can insert the following mediation clause into their contract in con%unctionwith a standard arbitration provision0

If a dispute arises out of or relates to this contract, or the breach thereof, and if the

dispute cannot be settled through negotiation, the parties agree first to try in good faith to settle the dispute by mediation in accordance with the International Mediation

Rules of the International Centre for Dispute Resolution before resorting to

arbitration, litigation or some other dispute resolution procedure.

#f the parties want to use a mediator to resolve an e,isting dispute" they can enter into thefollowing submission0

The parties hereby submit the following dispute to mediation administered by the

International Centre for Dispute Resolution in accordance with its International Mediation Rules. (The clause may also provide for the ualifications of the


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mediator(s!, method of payment, locale of meetings and any other item of concern to

the parties.!

The #C'( can schedule the mediation anywhere in the world and will propose a list ofspeciali$ed international mediators.

International Arbitration

&s the #C'( is a division of the &&&" parties can arbitrate future disputes under these (ules by inserting either of the following clauses into their contracts0

"#ny controversy or claim arising out of or relating to this contract, or the breachthereof, shall be determined by arbitration administered by the International Centre

for Dispute Resolution in accordance with its International #rbitration Rules."

or

"#ny controversy or claim arising out of or relating to this contract, or the breach

thereof, shall be determined by arbitration administered by the #merican #rbitration

#ssociation in accordance with its International #rbitration Rules."

The parties may wish to consider adding0

*a+ The number of arbitrators shall be *one or three+2

*b+ The place of arbitration shall be *city and3or country+2 or

*c+ The language*s+ of the arbitration shall be 4444444444444444.

5arties are encouraged" when writing their contracts or when a dispute arises" to reuest aconference" in person or by telephone" with the #C'(" to discuss an appropriate method forselection of arbitrators or any other matter that might facilitate efficient arbitration of thedispute.

6nder these (ules" the parties are free to adopt any mutually agreeable procedure forappointing arbitrators" or may designate arbitrators upon whom they agree. 5arties can reachagreements concerning appointing arbitrators either when writing their contracts or after a

dispute has arisen. This fle,ible procedure permits parties to utili$e whatever method theyconsider best suits their needs. 7or e,ample" parties may choose to have a sole arbitrator or atribunal of three or more. They may agree that arbitrators shall be appointed by the #C'(" orthat each side shall designate one arbitrator and those two shall name a third" with the #C'(making appointments if the tribunal is not promptly formed by that procedure. 5arties maymutually reuest the #C'( to submit to them a list of arbitrators from which each can deletenames not acceptable to it" or the parties may instruct the #C'( to appoint arbitrators withoutthe submission of lists" or may leave that matter to the sole discretion of the #C'(. 5artiesalso may agree on a variety of other methods for establishing the tribunal. #n any event" if

parties are unable to agree on a procedure for appointing arbitrators or on the designation ofarbitrators" the #C'(" after inviting consultation by the parties" will appoint the arbitrators.

The (ules thus provide for the fullest e,ercise of party autonomy" while assuring that the#C'( is available to act if the parties cannot reach mutual agreement. 8y providing for


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arbitration under these (ules" parties can avoid the uncertainty of having to petition a localcourt to resolve procedural impasses. These (ules" as administered by the #'C(" are intendedto provide prompt" effective and economical arbitration services to the global businesscommunity.

henever a singular term is used in the (ules" such as party" claimant or arbitrator" thatterm shall include the plural if there is more than one such entity.

5arties filing an international case with the #nternational Centre for 'ispute (esolution" or the&merican &rbitration &ssociation" may file online via &&&eb7ile) at www.adr.org. 7orfiling assistance" parties may directly contact the #C'( in New York" 8ahrain" Singapore orany one of the &&&-s regional offices.

#f you would like to file a case by mail or fa," please complete the appropriate form*s+ andforward to &&&3#C'( Case 7iling Services.

#nternational Centre for 'ispute (esolution& 'ivision of the &merican &rbitration &ssociationCase 7iling Services11:1 ;aurel :!:?@

5hone0 !AB?@BA?:1Toll free number in the 6S !B?9B?1!7a, number !B@:?B!?7a, number outside the 6S0 D1DB?!?B?1!

Email bo,0 casefilingFadr.org

7urther information about these (ules can be secured by contacting the #nternational Centrefor 'ispute (esolution at D1D.?!?.?1!1 or by visiting the #C'(-s eb site at www.icdr.org.

The English language version of the (ules is the official te,t for uestions of interpretation.

International Mediation Rules

1. Agreement of arties

henever parties have agreed in writing to mediate disputes under these #nternational/ediation (ules" or have provided for mediation or conciliation of e,isting or futureinternational disputes under the auspices of the #nternational Centre for 'ispute (esolution"the international division of the &merican &rbitration &ssociation" or the &merican&rbitration &ssociation without designating particular (ules" they shall be deemed to havemade these (ules" as amended and in effect as of the date of the submission of the dispute" a

part of their agreement.

The parties by mutual agreement may vary any part of these (ules including" but not limitedto" agreeing to conduct the mediation via telephone or other electronic or technical means.

!. Initiation of Mediation

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&ny party or parties to a dispute may initiate mediation under the #C'(-s auspices by makinga reuest for mediation to any of the #C'(-s regional offices or case management centers viatelephone" email" regular mail or fa,. (euests for mediation may also be filed online via&&& eb7ile at www.adr.org.

The party initiating the mediation shall simultaneously notify the other party or parties of thereuest. The initiating party shall provide the following information to the #C'( and the other

party or parties as applicable0

a+ & copy of the mediation provision of the parties- contract or the parties- stipulationto mediate.

b+ The names" regular mail addresses" email addresses" and telephone numbers of all parties to the dispute and representatives" if any" in the mediation.

c+ & brief statement of the nature of the dispute and the relief reuested.

d+ &ny specific ualifications the mediator should possess.

here there is no pree,isting stipulation or contract by which the parties have provided formediation of e,isting or future disputes under the auspices of the #C'(" a party may reuestthe #C'( to invite another party to participate in mediation by voluntary submission. 6ponreceipt of such a reuest" the #C'( will contact the other party or parties involved in thedispute and attempt to obtain a submission to mediation.

". Representation

Sub%ect to any applicable law" any party may be represented by persons of the party-s choice.The names and addresses of such persons shall be communicated in writing to all parties andto the #C'(.

#. Appointment of the Mediator

5arties may search the online profiles of the #C'(-s 5anel of /ediators atwww.aaamediation.comin an effort to agree on a mediator. #f the parties have not agreed tothe appointment of a mediator and have not provided any other method of appointment" themediator shall be appointed in the following manner0

a. 6pon receipt of a reuest for mediation" the #C'( will send to each party a list ofmediators from the #C'(-s 5anel of /ediators. The parties are encouraged to agree toa mediator from the submitted list and to advise the #C'( of their agreement.

b. #f the parties are unable to agree upon a mediator" each party shall strikeunacceptable names from the list" number the remaining names in order of preference"and return the list to the #C'(. #f a party does not return the list within the timespecified" all mediators on the list shall be deemed acceptable. 7rom among themediators who have been mutually approved by the parties" and in accordance withthe designated order of mutual preference" the #C'( shall invite a mediator to serve.

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c. #f the parties fail to agree on any of the mediators listed" or if acceptable mediatorsare unable to serve" or if for any other reason the appointment cannot be made fromthe submitted list" the #C'( shall have the authority to make the appointment fromamong other members of the 5anel of /ediators without the submission of additionallists.

$. Mediator%s Impartialit& and Dut& to Disclose

#C'( mediators are reuired to abide by the /odel Standards of Conduct for /ediators ineffect at the time a mediator is appointed to a case. here there is a conflict between the/odel Standards and any provision of these /ediation (ules" these /ediation (ules shallgovern. The Standards reuire mediators to *i+ decline a mediation if the mediator cannotconduct it in an impartial manner" and *ii+ disclose" as soon as practicable" all actual and

potential conflicts of interest that are reasonably known to the mediator and could reasonably be seen as raising a uestion about the mediator-s impartiality.

5rior to accepting an appointment" #C'( mediators are reuired to make a reasonable inuiryto determine whether there are any facts that a reasonable individual would consider likely tocreate a potential or actual conflict of interest for the mediator. #C'( mediators are reuiredto disclose any circumstance likely to create a presumption of bias or prevent a resolution ofthe parties- dispute within the time frame desired by the parties. 6pon receipt of suchdisclosures" the #C'( shall immediately communicate the disclosures to the parties for theircomments.

The parties may" upon receiving disclosure of actual or potential conflicts of interest of themediator" waive such conflicts and proceed with the mediation. #n the event that a partydisagrees as to whether the mediator shall serve" or in the event that the mediator-s conflict ofinterest might reasonably be viewed as undermining the integrity of the mediation" themediator shall be replaced.

'. acancies

#f any mediator shall become unwilling or unable to serve" the #C'( will appoint anothermediator" unless the parties agree otherwise" in accordance with section ?.

. Duties and Responsibilities of the Mediator

a. The mediator shall conduct the mediation based on the principle of party selfBdetermination. SelfBdetermination is the act of coming to a voluntary" uncoerceddecision in which each party makes free and informed choices as to process andoutcome.

b. The mediator is authori$ed to conduct separate or e, parte meetings and othercommunications with the parties and3or their representatives" before" during" and afterany scheduled mediation conference. Such communications may be conducted viatelephone" in writing" via email" online" in person or otherwise.

c. The parties are encouraged to e,change all documents pertinent to the relief

reuested. The mediator may reuest the e,change of memoranda on issues" includingthe underlying interests and the history of the parties- negotiations. #nformation that a


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party wishes to keep confidential may be sent to the mediator" as necessary" in aseparate communication with the mediator.

d. The mediator does not have the authority to impose a settlement on the parties butwill attempt to help them reach a satisfactory resolution of their dispute. Sub%ect to the

discretion of the mediator" the mediator may make oral or written recommendationsfor settlement to a party privately or" if the parties agree" to all parties %ointly.

e. #n the event that a complete settlement of all or some issues in dispute is notachieved within the scheduled mediation conference*s+" the mediator may continue tocommunicate with the parties" for a period of time" in an ongoing effort to facilitate acomplete settlement.

f. The mediator is not a legal representative of any party and has no fiduciary duty toany party.

*. Responsibilities of the arties

The parties shall ensure that appropriate representatives of each party" having authority toconsummate a settlement" attend the mediation conference.

5rior to and during the scheduled mediation conference*s+ the parties and their representativesshall" as appropriate to each party-s circumstances" e,ercise their best efforts to prepare forand engage in a meaningful and productive mediation.

+. ri,ac&

/ediation conferences and related mediation communications are private proceedings. The parties and their representatives may attend mediation conferences.


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b. &dmissions made by a party or other participant in the course of the mediation proceedings2

c. 5roposals made or views e,pressed by the mediator2 or

d. The fact that a party had or had not indicated willingness to accept a proposal forsettlement made by the mediator.

11. o /tenographic Record

There shall be no stenographic record of the mediation process.

1!. Termination of Mediation

The mediation shall be terminated0

a. 8y the e,ecution of a settlement agreement by the parties2 or

b. 8y a written or verbal declaration of the mediator to the effect that further efforts atmediation would not contribute to a resolution of the parties- dispute2 or

c. 8y a written or verbal declaration of all parties to the effect that the mediation proceedings are terminated2 or

d. hen there has been no communication between the mediator and any party or party-s representative for D1 days following the conclusion of the mediationconference.

1". 0clusion of 2iabilit&

Neither the #C'( nor any mediator is a necessary party in %udicial proceedings relating to themediation. Neither the #C'( nor any mediator shall be liable to any party for any error" act oromission in connection with any mediation conducted under these (ules.

1#. Interpretation and Application of Rules

The mediator shall interpret and apply these (ules insofar as they relate to the mediator-s

duties and responsibilities. &ll other (ules shall be interpreted and applied by the #C'(.

1$. Deposits

6nless otherwise directed by the mediator" the #C'( will reuire the parties to deposit inadvance of the mediation conference such sums of money as it" in consultation with themediator" deems necessary to cover the costs and e,penses of the mediation and shall renderan accounting to the parties and return any une,pended balance at the conclusion of themediation.

1'. 0penses


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&ll e,penses of the mediation" including reuired traveling and other e,penses or charges ofthe mediator" shall be borne eually by the parties unless they agree otherwise. The e,pensesof participants for either side shall be paid by the party reuesting the attendance of such

participants.

1. Cost of the Mediation

There is no filing fee to initiate a mediation or a fee to reuest the #C'( to invite parties tomediate.

The cost of mediation is based on the hourly mediation rate published on the mediator-s #C'( profile. This rate covers both mediator compensation and an allocated portion for the #C'(-sservices. There is a fourBhour minimum charge for a mediation conference. E,pensesreferenced in Section /B1A may also apply.

#f a matter submitted for mediation is withdrawn or cancelled or results in a settlement after

the agreement to mediate is filed but prior to the mediation conference the cost is GD: plusany mediator time and charges incurred.

The parties will be billed eually for all costs unless they agree otherwise.

#f you have uestions about mediation costs or services visit our website at www.icdr.org orcontact us at H 1 D1D.?!?.?1!1 .

1*. 2anguage

#f the parties have not agreed otherwise" the language*s+ of the mediation shall be that of thedocuments containing the mediation agreement.

Conference Room Rental

The costs described above do not include the use of #C'( conference rooms. Conferencerooms are available on a rental basis. 5lease contact your local #C'( office for availabilityand rates.

International Arbitration Rules

Article 1

a. here parties have agreed in writing to arbitrate disputes under these #nternational&rbitration (ules or have provided for arbitration of an international dispute by the#nternational Centre for 'ispute (esolution or the &merican &rbitration &ssociationwithout designating particular (ules" the arbitration shall take place in accordancewith these (ules" as in effect at the date of commencement of the arbitration" sub%ectto whatever modifications the parties may adopt in writing.

b. These (ules govern the arbitration" e,cept that" where any such rule is in conflictwith any provision of the law applicable to the arbitration from which the parties

cannot derogate" that provision shall prevail.

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c. These (ules specify the duties and responsibilities of the administrator" the#nternational Centre for 'ispute (esolution" a division of the &merican &rbitration&ssociation. The administrator may provide services through its Centre" located in

New York" or through the facilities of arbitral institutions with which it has agreementsof cooperation.

Commencing the Arbitration

otice of Arbitration and /tatement of Claim

Article !

1. The part& initiating arbitration (3claimant3) shall gi,e 4ritten notice ofarbitration to the administrator and at the same time to the party against whom aclaim is being made *respondent+.

D. &rbitral proceedings shall be deemed to commence on the date on which theadministrator receives the notice of arbitration.

@. The notice of arbitration shall contain a statement of claim including the following0

*a+ a demand that the dispute be referred to arbitration2

*b+ the names" addresses and telephone numbers of the parties2

*c+ a reference to the arbitration clause or agreement that is invoked2

*d+ a reference to any contract out of or in relation to which the dispute arises2

*e+ a description of the claim and an indication of the facts supporting it2

*f+ the relief or remedy sought and the amount claimed2 and

*g+ may include proposals as to the means of designating and the number ofarbitrators" the place of arbitration and the language*s+ of the arbitration.

?. 6pon receipt of the notice of arbitration" the administrator shall communicate with

all parties with respect to the arbitration and shall acknowledge the commencement ofthe arbitration.

/tatement of Defense and Counterclaim

Article "

1. ithin @: days after the commencement of the arbitration" a respondent shallsubmit a written statement of defense" responding to the issues raised in the notice ofarbitration" to the claimant and any other parties" and to the administrator.

D. &t the time a respondent submits its statement of defense" a respondent may makecounterclaims or assert setoffs as to any claim covered by the agreement to arbitrate"


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as to which the claimant shall within @: days submit a written statement of defense tothe respondent and any other parties and to the administrator.

@. & respondent shall respond to the administrator" the claimant and other partieswithin @: days after the commencement of the arbitration as to any proposals the

claimant may have made as to the number of arbitrators" the place of the arbitration orthe language*s+ of the arbitration" e,cept to the e,tent that the parties have previouslyagreed as to these matters.

?. The arbitral tribunal" or the administrator if the arbitral tribunal has not yet beenformed" may e,tend any of the time limits established in this article if it considers suchan e,tension %ustified.

Amendments to Claims

Article #

'uring the arbitral proceedings" any party may amend or supplement its claim" counterclaimor defense" unless the tribunal considers it inappropriate to allow such amendment orsupplement because of the party-s delay in making it" pre%udice to the other parties or anyother circumstances. & party may not amend or supplement a claim or counterclaim if theamendment or supplement would fall outside the scope of the agreement to arbitrate.

T50 TRI67A2

umber of Arbitrators

Article $

#f the parties have not agreed on the number of arbitrators" one arbitrator shall be appointedunless the administrator determines in its discretion that three arbitrators are appropriate

because of the large si$e" comple,ity or other circumstances of the case.

Appointment of Arbitrators

Article '

1. The parties may mutually agree upon any procedure for appointing arbitrators andshall inform the administrator as to such procedure.

D. The parties may mutually designate arbitrators" with or without the assistance of theadministrator. hen such designations are made" the parties shall notify theadministrator so that notice of the appointment can be communicated to the arbitrators"together with a copy of these (ules.

@. #f within ? days after the commencement of the arbitration" all of the parties havenot mutually agreed on a procedure for appointing the arbitrator*s+ or have notmutually agreed on the designation of the arbitrator*s+" the administrator shall" at the

written reuest of any party" appoint the arbitrator*s+ and designate the presidingarbitrator. #f all of the parties have mutually agreed upon a procedure for appointing


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the arbitrator*s+" but all appointments have not been made within the time limits provided in that procedure" the administrator shall" at the written reuest of any party" perform all functions provided for in that procedure that remain to be performed.

?. #n making such appointments" the administrator" after inviting consultation with the

parties" shall endeavor to select suitable arbitrators. &t the reuest of any party or onits own initiative" the administrator may appoint nationals of a country other than thatof any of the parties.

. 6nless the parties have agreed otherwise no later than ? days after thecommencement of the arbitration" if the notice of arbitration names two or moreclaimants or two or more respondents" the administrator shall appoint all thearbitrators.

Impartialit& and Independence of Arbitrators

Article

1. &rbitrators acting under these (ules shall be impartial and independent. 5rior toaccepting appointment" a prospective arbitrator shall disclose to the administrator anycircumstance likely to give rise to %ustifiable doubts as to the arbitrator-s impartialityor independence. #f" at any stage during the arbitration" new circumstances arise thatmay give rise to such doubts" an arbitrator shall promptly disclose such circumstancesto the parties and to the administrator. 6pon receipt of such information from anarbitrator or a party" the administrator shall communicate it to the other parties and tothe tribunal.

D. No party or anyone acting on its behalf shall have any e, parte communicationrelating to the case with any arbitrator" or with any candidate for appointment as partyBappointed arbitrator e,cept to advise the candidate of the general nature of thecontroversy and of the anticipated proceedings and to discuss the candidate-sualifications" availability or independence in relation to the parties" or to discuss thesuitability of candidates for selection as a third arbitrator where the parties or partydesignated arbitrators are to participate in that selection. No party or anyone acting onits behalf shall have any e, parte communication relating to the case with anycandidate for presiding arbitrator.

Challenge of Arbitrators

Article *

1. & party may challenge any arbitrator whenever circumstances e,ist that give rise to %ustifiable doubts as to the arbitrator-s impartiality or independence. & party wishing tochallenge an arbitrator shall send notice of the challenge to the administrator within 1days after being notified of the appointment of the arbitrator or within 1 days afterthe circumstances giving rise to the challenge become known to that party.

D. The challenge shall state in writing the reasons for the challenge.


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@. 6pon receipt of such a challenge" the administrator shall notify the other parties ofthe challenge. hen an arbitrator has been challenged by one party" the other party or

parties may agree to the acceptance of the challenge and" if there is agreement" thearbitrator shall withdraw. The challenged arbitrator may also withdraw from office inthe absence of such agreement. #n neither case does withdrawal imply acceptance of

the validity of the grounds for the challenge.

Article +

#f the other party or parties do not agree to the challenge or the challenged arbitrator does notwithdraw" the administrator in its sole discretion shall make the decision on the challenge.

Replacement of an Arbitrator

Article 1-

#f an arbitrator withdraws after a challenge" or the administrator sustains the challenge" or theadministrator determines that there are sufficient reasons to accept the resignation of anarbitrator" or an arbitrator dies" a substitute arbitrator shall be appointed pursuant to the

provisions of &rticle A" unless the parties otherwise agree.

Article 11

1. #f an arbitrator on a threeBperson tribunal fails to participate in the arbitration forreasons other than those identified in &rticle 1:" the two other arbitrators shall havethe power in their sole discretion to continue the arbitration and to make any decision"ruling or award" notwithstanding the failure of the third arbitrator to participate. #ndetermining whether to continue the arbitration or to render any decision" ruling oraward without the participation of an arbitrator" the two other arbitrators shall take intoaccount the stage of the arbitration" the reason" if any" e,pressed by the third arbitratorfor such nonparticipation and such other matters as they consider appropriate in thecircumstances of the case. #n the event that the two other arbitrators determine not tocontinue the arbitration without the participation of the third arbitrator" theadministrator on proof satisfactory to it shall declare the office vacant" and a substitutearbitrator shall be appointed pursuant to the provisions of &rticle A" unless the partiesotherwise agree.

D. #f a substitute arbitrator is appointed under either &rticle 1: or &rticle 11" thetribunal shall determine at its sole discretion whether all or part of any prior hearingsshall be repeated.

800RA2 C9DITI9/

Representation

Article 1!

&ny party may be represented in the arbitration. The names" addresses and telephone numbers

of representatives shall be communicated in writing to the other parties and to the


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administrator.


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1. Sub%ect to these (ules" the tribunal may conduct the arbitration in whatever mannerit considers appropriate" provided that the parties are treated with euality and thateach party has the right to be heard and is given a fair opportunity to present its case.

D. The tribunal" e,ercising its discretion" shall conduct the proceedings with a view to

e,pediting the resolution of the dispute. #t may conduct a preparatory conference withthe parties for the purpose of organi$ing" scheduling and agreeing to procedures toe,pedite the subseuent proceedings.

@. The tribunal may in its discretion direct the order of proof" bifurcate proceedings"e,clude cumulative or irrelevant testimony or other evidence and direct the parties tofocus their presentations on issues the decision of which could dispose of all or part ofthe case.

?. 'ocuments or information supplied to the tribunal by one party shall at the sametime be communicated by that party to the other party or parties.

;urther


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1. Each party shall have the burden of proving the facts relied on to support its claimor defense.

D. The tribunal may order a party to deliver to the tribunal and to the other parties asummary of the documents and other evidence which that party intends to present in

support of its claim" counterclaim or defense.

@. &t any time during the proceedings" the tribunal may order parties to produce otherdocuments" e,hibits or other evidence it deems necessary or appropriate.

5earings

Article !-

1. The tribunal shall give the parties at least @: days advance notice of the date" timeand place of the initial oral hearing. The tribunal shall give reasonable notice of

subseuent hearings.

D. &t least 1 days before the hearings" each party shall give the tribunal and the other parties the names and addresses of any witnesses it intends to present" the sub%ect oftheir testimony and the languages in which such witnesses will give their testimony.

@. &t the reuest of the tribunal or pursuant to mutual agreement of the parties" theadministrator shall make arrangements for the interpretation of oral testimony or for arecord of the hearing.

?. Iearings are private unless the parties agree otherwise or the law provides to thecontrary. The tribunal may reuire any witness or witnesses to retire during thetestimony of other witnesses. The tribunal may determine the manner in whichwitnesses are e,amined.

. Evidence of witnesses may also be presented in the form of written statementssigned by them.

A. The tribunal shall determine the admissibility" relevance" materiality and weight ofthe evidence offered by any party. The tribunal shall take into account applicable

principles of legal privilege" such as those involving the confidentiality of

communications between a lawyer and client.

Interim Measures of rotection

Article !1

1. &t the reuest of any party" the tribunal may take whatever interim measures itdeems necessary" including in%unctive relief and measures for the protection orconservation of property.

D. Such interim measures may take the form of an interim award" and the tribunal may

reuire security for the costs of such measures.


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@. & reuest for interim measures addressed by a party to a %udicial authority shall not be deemed incompatible with the agreement to arbitrate or a waiver of the right toarbitrate.

?. The tribunal may in its discretion apportion costs associated with applications for

interim relief in any interim award or in the final award.

0perts

Article !!

1. The tribunal may appoint one or more independent e,perts to report to it" in writing"on specific issues designated by the tribunal and communicated to the parties.

D. The parties shall provide such an e,pert with any relevant information or producefor inspection any relevant documents or goods that the e,pert may reuire. &ny

dispute between a party and the e,pert as to the relevance of the reuested informationor goods shall be referred to the tribunal for decision.

@. 6pon receipt of an e,pert-s report" the tribunal shall send a copy of the report to all parties and shall give the parties an opportunity to e,press" in writing" their opinion onthe report. & party may e,amine any document on which the e,pert has relied in sucha report.

?. &t the reuest of any party" the tribunal shall give the parties an opportunity touestion the e,pert at a hearing. &t this hearing" parties may present e,pert witnessesto testify on the points at issue.

Default

Article !"

1. #f a party fails to file a statement of defense within the time established by thetribunal without showing sufficient cause for such failure" as determined by thetribunal" the tribunal may proceed with the arbitration.

D. #f a party" duly notified under these (ules" fails to appear at a hearing without

showing sufficient cause for such failure" as determined by the tribunal" the tribunalmay proceed with the arbitration.

@. #f a party" duly invited to produce evidence or take any other steps in the proceedings" fails to do so within the time established by the tribunal without showingsufficient cause for such failure" as determined by the tribunal" the tribunal may makethe award on the evidence before it.

Closure of 5earing

Article !#


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1. &fter asking the parties if they have any further testimony or evidentiarysubmissions and upon receiving negative replies or if satisfied that the record iscomplete" the tribunal may declare the hearings closed.

D. The tribunal in its discretion" on its own motion or upon application of a party" may

reopen the hearings at any time before the award is made.


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!. 6nless otherwise agreed by the parties" the administrator may publish or otherwise make publicly available selected awards" decisions and rulings that have been edited to conceal thenames of the parties and other identifying details or that have been made publicly available inthe course of enforcement or otherwise.

Applicable 2a4s and Remedies

Article !*

1. The tribunal shall apply the substantive law*s+ or rules of law designated by the parties asapplicable to the dispute. 7ailing such a designation by the parties" the tribunal shall applysuch law*s+ or rules of law as it determines to be appropriate.

D. #n arbitrations involving the application of contracts" the tribunal shall decide in accordancewith the terms of the contract and shall take into account usages of the trade applicable to thecontract.

@. The tribunal shall not decide as amiable compositeur or e$ aeuo et bono unless the partieshave e,pressly authori$ed it to do so.

?. & monetary award shall be in the currency or currencies of the contract unless the tribunalconsiders another currency more appropriate" and the tribunal may award such preBaward and

postBaward interest" simple or compound" as it considers appropriate" taking into considerationthe contract and applicable law.

. 6nless the parties agree otherwise" the parties e,pressly waive and forego any right to punitive" e,emplary or similar damages unless a statute reuires that compensatory damages be increased in a specified manner. This provision shall not apply to any award of arbitrationcosts to a party to compensate for dilatory or bad faith conduct in the arbitration.

/ettlement or 9ther Reasons for Termination

Article !+

1. #f the parties settle the dispute before an award is made" the tribunal shall terminate thearbitration and" if reuested by all parties" may record the settlement in the form of an awardon agreed terms. The tribunal is not obliged to give reasons for such an award.

D. #f the continuation of the proceedings becomes unnecessary or impossible for any otherreason" the tribunal shall inform the parties of its intention to terminate the proceedings. Thetribunal shall thereafter issue an order terminating the arbitration" unless a party raises

%ustifiable grounds for ob%ection.

Interpretation or Correction of the A4ard

Article "-

1. ithin @: days after the receipt of an award" any party" with notice to the other parties" may

reuest the tribunal to interpret the award or correct any clerical" typographical or


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computation errors or make an additional award as to claims presented but omitted from theaward.

D. #f the tribunal considers such a reuest %ustified" after considering the contentions of the parties" it shall comply with such a reuest within @: days after the reuest.

Costs

Article "1

The tribunal shall fi, the costs of arbitration in its award. The tribunal may apportion suchcosts among the parties if it determines that such apportionment is reasonable" taking intoaccount the circumstances of the case.

Such costs may include0

*a+ the fees and e,penses of the arbitrators2

*b+ the costs of assistance reuired by the tribunal" including its e,perts2

*c+ the fees and e,penses of the administrator2

*d+ the reasonable costs for legal representation of a successful party2 and

*e+ any such costs incurred in connection with an application for interim or emergency relief pursuant to &rticle D1.

Compensation of Arbitrators

Article "!

&rbitrators shall be compensated based upon their amount of service" taking into account their stated rate of compensation and the si$e and comple,ity of the case. The administrator shallarrange an appropriate daily or hourly rate" based on such considerations" with the parties andwith each of the arbitrators as soon as practicable after the commencement of the arbitration.#f the parties fail to agree on the terms of compensation" the administrator shall establish anappropriate rate and communicate it in writing to the parties.

Deposit of Costs

Article ""

1. hen a party files claims" the administrator may reuest the filing party to depositappropriate amounts as an advance for the costs referred to in &rticle @1" paragraphs*a.+" *b.+ and *c.+.

D. 'uring the course of the arbitral proceedings" the tribunal may reuestsupplementary deposits from the parties.


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@. #f the deposits reuested are not paid in full within @: days after the receipt of thereuest" the administrator shall so inform the parties" in order that one or the other ofthem may make the reuired payment. #f such payments are not made" the tribunalmay order the suspension or termination of the proceedings.

?. &fter the award has been made" the administrator shall render an accounting to the parties of the deposits received and return any une,pended balance to the parties.

Confidentialit&

Article "#

Confidential information disclosed during the proceedings by the parties or by witnesses shallnot be divulged by an arbitrator or by the administrator. E,cept as provided in &rticle D"unless otherwise agreed by the parties" or reuired by applicable law" the members of thetribunal and the administrator shall keep confidential all matters relating to the arbitration or

the award.

0clusion of 2iabilit&

Article "$

The members of the tribunal and the administrator shall not be liable to any party for any actor omission in connection with any arbitration conducted under these (ules" e,cept that theymay be liable for the conseuences of conscious and deliberate wrongdoing.

Interpretation of Rules

Article "'

The tribunal shall interpret and apply these (ules insofar as they relate to its powers andduties. The administrator shall interpret and apply all other (ules.

0mergenc& Measures of rotection

Article "

1. 6nless the parties agree otherwise" the provisions of this &rticle @ shall apply toarbitrations conducted under arbitration clauses or agreements entered on or after /ay1" D::A.

D. & party in need of emergency relief prior to the constitution of the tribunal shallnotify the administrator and all other parties in writing of the nature of the reliefsought and the reasons why such relief is reuired on an emergency basis. Theapplication shall also set forth the reasons why the party is entitled to such relief. Suchnotice may be given by eBmail" facsimile transmission or other reliable means" butmust include a statement certifying that all other parties have been notified or ane,planation of the steps taken in good faith to notify other parties.


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@. ithin one business day of receipt of notice as provided in paragraph D" theadministrator shall appoint a single emergency arbitrator from a special panel ofemergency arbitrators designated to rule on emergency applications. 5rior to acceptingappointment" a prospective emergency arbitrator shall disclose to the administrator anycircumstance likely to give rise to %ustifiable doubts to the arbitrator-s impartiality or

independence. &ny challenge to the appointment of the emergency arbitrator must bemade within one business day of the communication by the administrator to the partiesof the appointment of the emergency arbitrator and the circumstances disclosed.

?. The emergency arbitrator shall as soon as possible" but in any event within two business days of appointment" establish a schedule for consideration of the applicationfor emergency relief. Such schedule shall provide a reasonable opportunity to all

parties to be heard" but may provide for proceedings by telephone conference or onwritten submissions as alternatives to a formal hearing. The emergency arbitrator shallhave the authority vested in the tribunal under &rticle 1" including the authority torule on her3his own %urisdiction" and shall resolve any disputes over the applicability

of this &rticle @.

. The emergency arbitrator shall have the power to order or award any interim orconservancy measure the emergency arbitrator deems necessary" including in%unctiverelief and measures for the protection or conservation of property. &ny such measuremay take the form of an interim award or of an order. The emergency arbitrator shallgive reasons in either case. The emergency arbitrator may modify or vacate the interimaward or order for good cause shown.

A. The emergency arbitrator shall have no further power to act after the tribunal isconstituted.


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The #C'( has two administrative fee options for parties filing claims or counterclaims" theStandard 7ee Schedule and 7le,ible 7ee Schedule. The Standard 7ee Schedule has a two

payment schedule" and the 7le,ible 7ee Schedule has a three payment schedule which offerslower initial filing fees" but potentially higher total administrative fees of appro,imately 1DJto 19J for cases that proceed to a hearing. The administrative fees of the #C'( are based on

the amount of the claim or counterclaim. &rbitrator compensation is not included in thisschedule. 6nless the parties agree otherwise" arbitrator compensation and administrative feesare sub%ect to allocation by the arbitrator in the award.

;ees for incomplete or deficient filings> here the applicable arbitration agreement does notreference the #C'( or the &&&" the #C'( will attempt to obtain the agreement of the other

parties to the dispute to have the arbitration administered by the #C'(. Iowever" where the#C'( is unable to obtain the agreement of the parties to have the #C'( administer thearbitration" the #C'( will administratively close the case and will not proceed with theadministration of the arbitration. #n these cases" the #C'( will return the filing fees to thefiling party" less the amount specified in the fee schedule below for deficient filings.

5arties that file demands for arbitration that are incomplete or otherwise do not meet the filingreuirements contained in these (ules shall also be charged the amount specified below fordeficient filings if they fail or are unable to respond to the #C'(-s reuest to correct thedeficiency.

;ees for additional ser,ices> The #C'( reserves the right to assess additional administrativefees for services performed by the #C'( beyond those provided for in these (ules which may

be reuired by the parties- agreement or stipulation.

/uspension for onpa&ment> #f arbitrator compensation or administrative charges have not been paid in full" the administrator may so inform the parties in order that one of them mayadvance the reuired payment. #f such payments are not made" the tribunal may order thesuspension or termination of the proceedings. #f no arbitrator has yet been appointed" the#C'( may suspend the proceedings.

/tandard ;ee /chedule

&n #nitial 7iling 7ee is payable in full by a filing party when a claim" counterclaim" oradditional claim is filed. & 7inal 7ee will be incurred for all cases that proceed to their firsthearing. This fee will be payable in advance at the time that the first hearing is scheduled.

This fee will be refunded at the conclusion of the case if no hearings have occurred. Iowever"if the administrator is not notified at least D? hours before the time of the scheduled hearing"the 7inal 7ee will remain due and will not be refunded.

These fees will be billed in accordance with the following schedule0

Amount of Claim Initial ;iling ;ee ;inal ;ee

&bove G: to G1:"::: G GD::


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&bove G1:"::: to G"::: G9 G@::

&bove G"::: to G1:"::: G1"!: G:

&bove G1:"::: to G@::"::: GD"!:: G1"D:

&bove G@::"::: to G::"::: G?"@: G1":

&bove G::"::: to

G1":::":::

GA"D:: GD"::

&bove G1":::"::: toG":::":::

G!"D:: G@"D:

&bove G":::"::: toG1:":::":::

G1:"D:: G?":::

&bove G1:":::"::: 8ase fee of G1D"!:: plus .:1J of the amount of claim above

G1:":::":::

7ee Capped at GA":::

GA":::

Nonmonetary Claims% G@"@: G1"D:

'eficient Claim 7iling & G@:

&dditional Services '

% This fee is applicable when a claim or counterclaim is not for a monetary amount. here amonetary claim amount is not )nown, parties will be reuired to state a range of claims or be

sub*ect to a filing fee of +%,&.


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& The Deficient Claim -iling -ee shall not be charged in cases filed by a consumer in anarbitration governed by the upplementary /rocedures for the Resolution of Consumer0

Related Disputes, or in cases filed by an 1mployee who is submitting their dispute to

arbitration pursuant to an employer promulgated plan.

' The ICDR may assess additional fees where procedures or services outside the Rules sections are reuired under the parties2 agreement or by stipulation.

7ees are sub%ect to increase if the amount of a claim or counterclaim is modified after theinitial filing date. 7ees are sub%ect to decrease if the amount of a claim or counterclaim ismodified before the first hearing.

The minimum fees for any case having three or more arbitrators are GD"!:: for the filing fee" plus a G1"D: Case Service 7ee.

5arties on cases filed under either the 7le,ible 7ee Schedule or the Standard 7ee Schedule thatare held in abeyance for one year will be assessed an annual abeyance fee of G@::. #f a partyrefuses to pay the assessed fee" the other party or parties may pay the entire fee on behalf ofall parties" otherwise the matter will be administratively closed.

7or more information" please contact the #C'( at HD1D.?!?.?1!1.

Refund /chedule for /tandard ;ee /chedule

The #C'( offers a refund schedule on filing fees connected with the Standard 7ee Schedule.7or cases with claims up to G":::" a minimum filing fee of G@: will not be refunded. 7orall other cases" a minimum fee of GA:: will not be refunded. Sub%ect to the minimum feereuirements" refunds will be calculated as follows0

K 1::J of the filing fee" above the minimum fee" will be refunded if the case is settled orwithdrawn within five calendar days of filing.

K :J of the filing fee will be refunded if the case is settled or withdrawn between si, and @:calendar days of filing.

K DJ of the filing fee will be refunded if the case is settled or withdrawn between @1 and A:

calendar days of filing.

No refund will be made once an arbitrator has been appointed *this includes one arbitrator ona threeBarbitrator panel+. No refunds will be granted on awarded cases.

Note0 The date of receipt of the demand for arbitration with the #C'( will be used tocalculate refunds of filing fees for both claims and counterclaims.

;leible ;ee /chedule

& nonBrefundable #nitial 7iling 7ee is payable in full by a filing party when a claim"

counterclaim" or additional claim is filed. 6pon receipt of the 'emand for &rbitration" the#C'( will promptly initiate the case and notify all parties as well as establish the due date for


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filing of an &nswer" which may include a Counterclaim. #n order to proceed with the furtheradministration of the arbitration and appointment of the arbitrator*s+" the appropriate" nonBrefundable 5roceed 7ee outlined below must be paid.

#f a 5roceed 7ee is not submitted within ninety *9:+ days of the filing of the Claimant-s

'emand for &rbitration" the #C'( will administratively close the file and notify all parties.

No refunds or refund schedule will apply to the 7iling or 5roceed 7ees once received.

The 7le,ible 7ee Schedule below also may be utili$ed for the filing of counterclaims.Iowever" as with the Claimant-s claim" the counterclaim will not be presented to the arbitrator until the 5roceed 7ee is paid.

& 7inal 7ee will be incurred for all claims and3or counterclaims that proceed to their firsthearing. This fee will be payable in advance when the first hearing is scheduled" but will berefunded at the conclusion of the case if no hearings have occurred. Iowever" if the

administrator is not notified of a cancellation at least D? hours before the time of thescheduled hearing" the 7inal 7ee will remain due and will not be refunded.

&ll fees will be billed in accordance with the following schedule0

Amount of Claim Initial ;iling ;ee roceed ;ee ;inal ;ee

&bove G: to G1:"::: G?:: ? GD::

&bove G1:"::: toG":::

GAD G:: G@::

&bove G"::: toG1:":::

G!: G1D: G:

&bove G1:"::: toG@::":::

G1"::: GD1D G1"D:

&bove G@::"::: toG::":::

G1":: G@"?:: G1":

&bove G::"::: toG1":::":::

GD":: G?":: GD"::


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&bove G1":::"::: toG":::":::

GD":: GA":: G@"D:

&bove G":::"::: toG1:":::":::

G@":: G!"D:: G?":::

&bove G1:":::"::: G?":: G1:"@:: plus .:1J of claim amount over G1:":::"::: up to

GA"::: GA":::

Nonmonetary % GD"::: GD"::: G1"D:

'eficient Claim 7iling7ee

G@:

&dditional Services &

% This fee is applicable when a claim or counterclaim is not for a monetary amount. here amonetary claim amount is not )nown, parties will be reuired to state a range of claims or be

sub*ect to a filing fee of +',3 and a proceed fee of +4,&.

& The ICDR reserves the right to assess additional administrative fees for services performedby the ICDR beyond those provided for in these Rules and which may be reuired by the

parties2 agreement or stipulation.

&ll fees are sub%ect to increase if the amount of a claim or counterclaim is modified after theinitial filing date. 7ees are sub%ect to decrease if the amount of a claim or counterclaim ismodified before the first hearing.

The minimum fees for any case having three or more arbitrators are G1"::: for the #nitial7iling 7ee2 GD"1D for the 5roceed 7ee2 and G1"D: for the 7inal 7ee.

6nder the 7le,ible 7ee Schedule" a party-s obligation to pay the 5roceed 7ee shall remain ineffect regardless of any agreement of the parties to stay" postpone or otherwise modify thearbitration proceedings. 5arties that" through mutual agreement" have held their case inabeyance for one year will be assessed an annual abeyance fee of G@::. #f a party refuses to

pay the assessed fee" the other party or parties may pay the entire fee on behalf of all parties"otherwise the matter will be closed.


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Note0 The date of receipt by the #C'( of the demand3notice for arbitration will be used tocalculate the ninety*9:+Bday time limit for payment of the 5roceed 7ee.

7or more information" please contact the #C'( at HD1D.?!?.?1!1.

There is no Refund /chedule in the ;leible ;ee /chedule.

5earing Room Rental

The fees described above do not cover the cost of hearing rooms" which are available on arental basis. Check with the #C'( for availability and rates.

L D:11 #nternational Centre for 'ispute (esolution and &merican &rbitration &ssociation"#nc. &ll rights reserved. These (ules are the copyrighted property of the #C'( and &&& andare intended to be used in con%unction with the administrative services of the #C'(3&&&.

&ny unauthori$ed use or modification of these (ules may violate copyright laws and otherapplicable laws. 5lease contact D1D.?!?.?1!1or websitemailFadr.org for additionalinformation.
mailto:[email protected]:[email protected]:[email protected]

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