list of leading model arbitration clauses (icc, lcia, etc
TRANSCRIPT
7/25/2019 List of Leading Model Arbitration Clauses (ICC, LCIA, Etc
http://slidepdf.com/reader/full/list-of-leading-model-arbitration-clauses-icc-lcia-etc 1/5
(/)
Home (http://www.ezcarbitrationlawfirm.com/index.html) » Arbitration Resources (h ttp://www.ezcarbitrationlawfirm.com/arbitration-resources.html) » Advanced Tools
(http://www.ezcarbitrationlawfirm.com/advanced-tools.html) » Model Arbitration Clauses (http://www.ezcarbitrationlawfirm.com/model-arbitration-clauses.html)
Model Arbitration Clauses
Using Model Arbitration Clauses to Avoid Drafting and Negotiating Pitfalls
This section lists some of the most common model arbitration clauses issued by the leading arbitral
institutions. These model arbitration clauses are considered to be "best in class": experienced arbitration
counsel and users of arbitration know to make frequent reference to these model clauses when
negotiating and drafting international arbitration clauses.
This said, many contracting parties (and counsel) treat the negotiation and drafting of international
arbitration clauses as an afterthought, focusing on other seemingly more substantive aspects of the
contract negotiations. This is unfortunate, as dispute resolution clauses can have a significant impact
on any subsequent dispute that may develop between the contracting parties. International
arbitration clauses should be thought of as insurance policies of sorts – a last line of defense in case the
unthinkable happens. At the absolute minimum, it is essential that the parties draft an efficient,
workable arbitration clause that will not create problems down the road.
Arbitral institutions provide model arbitration clauses to help contracting parties avoid such problems
when a dispute arises. Below, we provide a useful list of the model arbitration clauses for the leading
international arbitral institutions. It is important to note that these model clauses are offered as a
starting point only – the specific circumstances of each contractual relationship may require customized arbitration clauses suited to the parties’ needs.
Beyond adopting a model clause as a starting point, some of the issues to consider include:
The scope of the arbitration clause: should its coverage be broad or narrow? (Most model arbitration clauses tend to be drafted very broadly.)
The cost of the arbitration in proportion to the size of the transaction or contract: some arbitral institutions' administrative fees are significantly more
expensive than others, and three-member tribunals obviously will be more costly than sole arbitrators. Are the modalities designated in the arbitration
clause appropriate for the type and size of the transaction at hand?
Specific procedures for arbitral proceedings: sophisticated parties may want to include, or exclude, specific procedures, such as the type or extent
of discovery allowed, expedited proceedings, and so on.
(http://www.linkedin.com/compan(mailto:contact@ezcarbitrationl(https://twitter.com/EZCArbi
Search
HOME (/) THE FIRM (/THE-FIRM.HTML) OUR SERVICES (/OUR-SERVICES.HTML)
ARBITRATION RESOURCES (/ARBITRATION-RESOURCES.HTML) RATES (/RATES.HTML) IA BLOG (/IA-BLOG.HTML)
CONTACT US (/CONTACT-US.HTML)
7/25/2019 List of Leading Model Arbitration Clauses (ICC, LCIA, Etc
http://slidepdf.com/reader/full/list-of-leading-model-arbitration-clauses-icc-lcia-etc 2/5
American Arbitration Association (AAA) / International Centre for Dispute Resolution (ICDR)
The ICDR is the international arm of the AAA that administers international arbitration disputes. The AAA/ICDR model arbitration
clause (http://www.adr.org/aaa/faces/aoe/icdr/i_search/i_rule/i_rule_detail?
doc=ADRSTG_002008&_afrLoop=1276216826497633&_afrWindowMode=0&_afrWindowId=oyl8rmnfu_1#%40%3F_afrWindowId%3Doyl8rmnfu_1
state%3Doyl8rmnfu_57) reads:
Or, alternatively:
The parties may wish to consider adding:
(a) "The number of arbitrators shall be (one or three)";(b) "The place of arbitration shall be (city and/or country)"; or
(c) "The language(s) of the arbitration shall be ________________."
The AAA also includes a “Clause Builder Tool (http://www.clausebuilder.org/cb/faces/index?
_afrLoop=1276686922492478&_afrWindowMode=0&_adf.ctrl-state=fqioyswol_4)” that allows users to develop customized
arbitration clauses.
Arbitration Institute of the Stockholm Chamber of Commerce (SCC)
The SCC model arbitration clause (http://www.sccinstitute.com/english-14.aspx) reads:
The impact of the law of the chosen arbitral seat on any dispute – are the arbitration statutes of the place of the arbitration sufficiently modern, or will
they hinder arbitration? Do they specifically exclude or limit the specific subject matter of the contract and resulting dispute? Might the law of the
arbitral seat create enforcement issues?
Which arbitral institution and corresponding arbitration rules are most appropriate for the transaction? If a party does not get its first choice, can it
suggest an acceptable alternative, in return for bargaining leverage on other important negotiated issues, such as governing law?
Is there a need for a multi-tiered dispute resolution clause? Should the parties first require settlement talks or mediation prior to initiating arbitration
proceedings? Should specific clauses of the contract be carved out for separate litigation or expertise procedures?
These are but a few of the many issues parties should consider during the drafting and negotiating stage. For a more detailed discussion, please
see Arbitration FAQ 5 (/international-arbitration-faq.html). If you have a specific question concerning the drafting or negotiating of arbitration clauses, fill
out the Arbitration Contact Form (/contact-us.html); we will contact you back to discuss your query free of charge, with no fur ther obligations on your part.
List of Leading Arbitral Institution Model Arbitration Clauses
“Any controversy or claim arising out of or relating to this contract, or the breach thereof, shall be determined by arbitration
administered by the International Centre for Dispute Resolution in accordance with its International Arbitration Rules.”
“Any controversy or claim arising out of or relating to this contract, or the breach thereof, shall be determined by arbitration
administered by the American Arbitration Association in accordance with its International Arbitration Rules.”
“Any dispute, controversy or claim arising out of or in connection with this contract, or the breach, termination or invalidity thereof,
shall be finally settled by arbitration in accordance with the Arbitration Rules of the Arbitration Institute of the Stockholm Chamber of
Commerce.”
7/25/2019 List of Leading Model Arbitration Clauses (ICC, LCIA, Etc
http://slidepdf.com/reader/full/list-of-leading-model-arbitration-clauses-icc-lcia-etc 3/5
China International Economic and Trade Arbitration Commission (CIETAC)
The CIETAC model arbitration clause (http://www.cietac.org/index/applicationForArbitration/47601fd59fcac97f001.cms)
reads:
“
”
Or
“
"
The parties may also stipulate the following matters in the arbitration clause:
• the place of arbitration and/or hearing;
• the language of arbitration;
• the number of arbitrators;
• the nationality of arbitrators;
• the method of selection of arbitrators
Dubai International Arbitration Centre (DIAC)
The DIAC model arbitration clause (http://www.diac.ae/idias/rules/DIAC.Model.Clause) reads:
Dubai International Financial Centre (DIFC)
DIFC is a financial center and a unique geographic area within Dubai that constitutes its own autonomous legal jurisdiction within the
United Arab Emirates. The DIFC has its own arbitration institution, its own independent judicial system (including its own courts and
judges), and its own laws, modeled on the English Common law system. The DIFC’s arbitral institution is known as the DIFC LCIAArbitration Centre and is a collaborative, joint venture between the DIFC and the LCIA.
The DIFC model arbitration clause (http://www.difcarbitration.com/index.html) reads:
“
”
Hong Kong International Arbitration Centre (HKIAC)
The HKIAC model arbitration clause (http://www.hkiac.org/index.php/en/model-clauses) reads:
Any dispute arising from or in connection with this Contract shall be submitted to China International Economic and Trade Arbitration
Commission (CIETAC) for arbitration which shall be conducted in accordance with the CIETAC's arbitration rules in effect at the time
of applying for arbitration. The arbitral award is final and binding upon both parties.
Any dispute arising from or in connection with this Contract shall be submitted to China International Economic and Trade Arbitration
Commission (CIETAC)___________Sub-Commission (Arbitration Center) for arbitration which shall be conducted in accordance with the
CIETAC’s arbitration rules in effect at the time of applying for arbitration. The arbitral award is final and binding upon both parties.
“Any dispute arising out of the formation, performance, interpretation, nullification, termination or invalidation of this contract or arising
therefrom or related thereto in any manner whatsoever, shall be settled by arbitration in accordance with the provisions set forth
under the DIAC Arbitration Rules (“the Rules”), by one or more arbitrators appointed in compliance with the Rules.”
Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity or termination,
shall be referred to and finally resolved by arbitration under the Arbitration Rules of the DIFC-LCIA Arbitration Centre, which Rules are
deemed to be incorporated by reference into this clause. The number of arbitrators shall be [one/three]. The seat, or legal place, of
arbitration shall be [City and/or Country]. The language to be used in the arbitration shall be [ ]. The governing law of the contract
shall be the substantive law of [ ].
“Any dispute, controversy or claim arising out of or relating to this contract, including the validity, invalidity, breach or termination
7/25/2019 List of Leading Model Arbitration Clauses (ICC, LCIA, Etc
http://slidepdf.com/reader/full/list-of-leading-model-arbitration-clauses-icc-lcia-etc 4/5
International Centre for Settlement of Investment Disputes (ICSID)
The ICSID model arbitration clause (https://icsid.worldbank.org/ICSID/FrontServlet?
actionVal=ModelClauses&requestType=ICSIDDocRH) reads:
International Chamber of Commerce (ICC)
The ICC model arbitration clause (http://www.iccwbo.org/products-and-services/arbitration-and-adr/arbitration/standard-
icc-arbitration-clauses/standard-icc-arbitration-clauses-in-several-languages/) reads:
London Court of International Arbitration (LCIA)
The LCIA model arbitration clause (http://www.lcia.org/Dispute_Resolution_Services/LCIA_Recommended_Clauses.aspx)
reads:
Permanent Court of Arbitration (PCA)
The PCA model arbitration clause (http://www.pca-cpa.org/showpage.asp?pag_id=1189) reads:
Singapore International Arbitration Centre (SIAC)
The SIAC model arbitration clause (http://www.siac.org.sg/index.php?
option=com_content&view=article&id=66&Itemid=57) reads:
Swiss Chambers Arbitration Institution (SCAI)
thereof, shall be settled by arbitration in Hong Kong under the Hong Kong International Arbitration Centre Administered Arbitration
Rules in force when the Notice of Arbitration is submitted in accordance with these Rules.”
“The Government name of constituent subdivision or agency of name of Contracting State (here in after the “Host State”) and name
of investor (hereinafter the “Investor”) hereby consent to submit to the International Centre for Settlement of Investment Disputes
(hereinafter the “Centre”) any dispute arising out of or relating to this agreement for settlement by conciliation/arbitration/conciliation
followed, if the dispute remains unresolved within time limit of the communication of the report of the Conciliation Commission to the
parties, by arbitration pursuant to the Convention on the Settlement of Investment Disputes between States and Nationals of Other
States (here in after the “Convention”).
“All disputes arising out of or in connection with the present contract shall be finally settled under the Rules of Arbitration of the
International Chamber of Commerce by one or more arbitrators appointed in accordance with the said Rules.”
“Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity or termination,
shall be referred to and finally resolved by arbitration under the LCIA Rules, which Rules are deemed to be incorporated by reference
into this clause.”
“If any dispute arises between the parties as to the interpretation, application or performance of this treaty / agreement / contract,
including its existence, validity or termination, either party may submit the dispute to final and binding arbitration in accordance with
the Permanent Court of Arbitration Optional Rules for Arbitrating Disputes between International Organizations and States / Two States
/ Parties of which only one is a State / Parties, as in effect on the date of this treaty / agreement / contract”
“Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity or termination,
shall be referred to and finally resolved by arbitration in Singapore in accordance with the Arbitration Rules of the Singapore
International Arbitration Centre (“SIAC Rules”) for the time being in force, which rules are deemed to be incorporated by reference inthis clause.”
7/25/2019 List of Leading Model Arbitration Clauses (ICC, LCIA, Etc
http://slidepdf.com/reader/full/list-of-leading-model-arbitration-clauses-icc-lcia-etc 5/5
The SCAI model arbitration clause (https://www.swissarbitration.org/sa/en/clause.php) reads:
United Nations Commission on International Trade Law (UNCITRAL)
The UNCITRAL model arbitration clause (http://www.uncitral.org/pdf/english/texts/arbitration/arb-rules-revised/arb-rules-
revised-2010-e.pdf) reads:
“Any dispute, controversy or claim arising out of, or in relation to, this contract, including the validity, invalidity, breach, or termination
thereof, shall be resolved by arbitration in accordance with the Swiss Rules of International Arbitration of the Swiss Chambers
Arbitration Institution in force on the date on which the Notice of Arbitration is submitted in accordance with these Rules.”
“Any dispute, controversy or claim arising out of or relating to this contract, or the breach, termination or invalidity thereof, shall be
settled by arbitration in accordance with the UNCITRAL Arbitration Rules.”
CONTACT US (/contact-
us.html)Send us an email
(mailto:[email protected])
or call +1(213)236-3589 (/contact-
us.html)
TERMS OF USE (/terms-of-use.html) COPYRIGHT 2013. ALL R IGHTS RESERVED. ATTORNEY ADVERTISING (/attorney-advert is ing.html)