HOW CAN ARBITRATION RULES ASSIST IN THE RESOLUTION OF COMPLEX DISPUTES?
Arbitration is not a new dispute settlement mechanism. Without going back as far as the practices among Phoenician and Greek traders or ancient societies of the Middle Ages, the model of modern commercial arbitration, as known today, dates back to the 20th century. Since then, arbitration has become a proven method of dispute resolution worldwide.
A recent development in arbitration is the proliferation of new arbitral institutions. In a market where, historically, very few jurisdictions had the necessary infrastructure and expertise to accommodate international arbitration, the provision of institutional arbitration services has drastically widened and improved. This has created intense competition between institutions to better serve their users through the more regular upgrading of their arbitration rules. That trend is driven by users, who realise that in order to meet their requirements for more control of quality, timeline, cost and process, the better option is to use institutional rules.
Once parties agree to arbitration according to a specific set of rules, these rules are given contractual effect. They set out certain protocols, timelines and procedures, which enable parties to resolve their disputes effectively. Institutional rules are ever evolving and have adapted to changes in the market, the regulatory frameworks and users’ needs over the years. One of the oldest institutions in the world, the International Court of Arbitration of the International Chamber of Commerce (ICC), published its first set of rules in 1922. The ICC subsequently published updates in 1927, 1955, 1975, 1988, 1998, 2012, 2017 and 2021. For every iteration of its rules, the ICC listened to practitioners and users, and developed remedies to perceived inefficiencies.
In this article, we will not review the base articles that are found in most, if not all, institutional rules. Instead, we will focus on recent developments to specific institutional rules and their impact on the efficiency of arbitral proceedings.
Apr-Jun 2022 issue
BVI IAC