华南国际经济贸易仲裁委员会(深圳国际仲裁院)华南国际经济贸易仲裁委员会(深圳国际仲裁院)
Recent DevelopmentRecent Development of Arbitration of Arbitration
In ChinaIn China
Ms. ZHOU Juan
A rbitrator, Senior Case ManagerShenzhen Court of International Arbitration
June 2June 266, 2014, 2014 Latvia Latvia
Contents
◇LegislationLegal framework of China arbitration
Recent development
◇ Arbitration InstitutionStatus quo of China arbitration institutions
Recent development of China arbitration institutions: SCIA as an example
Legislation Framework
◎ Arbitration Act 1994
◎ Civil Procedure Law
◎ Judicial Interpretation
◎ New York Convention
◎ ICSID Convention
Newly amended Civil Procedure Law effective as of Jan. 1, 2013◎ Property preservation before arbitration◎ Evidence preservation before arbitration◎ Malicious Arbitration ◎ Anti-litigation◎ Nonappealable set-aside decision◎ Unifying review tests for setting aside awards and refusing the enforcement of awards
Recent development of Legislation
Arbitration Institution
◎ Status quo of China arbitration institutions
◎ Statistics
225 arbitration institutions
104,257 cases in 2013
164.6 billions RMB involved 98% +2%
Recent development of China arbitration institutions: SCIA as an example
◎ What is SCIA - History of SCIA
Originated in 1983
Panel of Arbitrators (1984)
Enforcement precedent in HK (1989)
- Important role in modernizing and
internationalizing China’s arbitration
ADR innovations
Parties from all more than 50 countries
SCIA: Thousands arbitration parties came from near 60 countries since 1983
40%
11.20%
6.50%
6.20%
4.80%
4.50%
3.50%
3.00%
2.20%
1.80%
1.65%1.50%
1.20%1.20%
10.30%
HK SAR
USA
Japan
Singapore
Taiwan Region
Germany
Korea
Virgin Island
Italy
Canada
Australia
UK
Russia
Switzerland
Other Jurisdictions
Thousands mediation parties came from 97 countries
◎ Independence of arbitration body
– Statutory-body legislation
• Non-governmental
– Corporate governance structure
• Centered on the Council
• 9 out of 11 Council members: non-executive outsiders
• 4 Council members from outside jurisdictions
• Balance mechanisms in decision making, execution and supervision.
Recent development of China arbitration institutions: SCIA as an example
◎ New Panel of Arbitrators
Legislation: at least 1/3 from outside jurisdictions
– At present: 37.7% (232 out of 616) from 42 outside jurisdictions
– Europe 65
– Outsider arbitrators subject to approval of Chairman of the SCIA
– Code of Ethics
Recent development of China arbitration institutions: SCIA as an example
SCIA: Originations of foreign arbitrators
◎ New Arbitration Rules in 2012
• Reflection of recent international arbitration practice
- Unified approach for domestic and international arbitration
- Single arbitration for multiple contracts
- Consolidated arbitration
- Joinder of additional parties
- Interim measures
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Modification of procedure management model- From institution-centered to tribunal-centered
- Highlights the proceeding control of arbitrators and arbitration tribunal
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Full respect for Party Autonomy– applicable laws– arbitration rules– formation of the tribunal– hearing process– rules of evidence– arbitration language– place of hearing– place of arbitration– other matters that do not conflict with mandatory laws
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Openness in application of arbitration rules – May agree to modify some clauses of SCIA Rules
– Apply other arbitration rules
– Apply UNCITRAL Arbitration Rules
• SCIA: the appointing authority
• SCIA: relevant administrative functions
• Experiment of ad hoc arbitration
– favorable for parties
– more chances for foreign lawyers
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Openness in languages of arbitration – Agreement of arbitration language
– Without such agreement
• Chinese is not implied language
• Determined by tribunal, regard the language of
– the arbitration agreement
– or the contract concerned
– and all other relevant circumstances
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Openness in hearing procedure – Greater flexibility for parties and arbitrators
• Inquisitorial
• Adversarial
• other approach
Recent development of China arbitration institutions: SCIA as an example
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Roles of foreign professionals
• Roles 1: Arbitrator
• Roles 2: Representative
– Innovative Rules: a party may be represented by counsel from outside
jurisdictions
• Role 3: Expert witness
• Role 4: Mediation expert
– Innovative Rules: Independent mediation + Arbitration
Recent development of China arbitration institutions: SCIA as an example
◎ New Arbitration Rules in 2012
• Openness in payment of arbitration fees
– Fully considers the expenses for parties
– Arbitration fee in installments
• not be less than 1/3 at the stage of applying for arbitration
• not less than 1/2 before the constitution of the arbitral tribunal
• full amount shall be paid before the hearing.
– Application of UNCITRAL Arbitration Rules
• fee arrangements between the party or parties and the arbitrator
Mission, Vision and Core Values
• Mission• SCIA is dedicated to assist parties to prevent and resolve
international/domestic commercial disputes effectively, promote harmonious and safe international and domestic business orders, and improve internationalized commercial legal environment.
• Vision• SCIA will be one of the global leaders in commercial dispute
resolution, built on independence, impartiality and innovation.
• Core Values• The SCIA’s mission statement and vision statement are based on
three core values: independence, openness, and impartiality.
IndependenceImpartialityInnovation
Email: [email protected]: www.scia.com.cn
• Any dispute arising from or in connection with this contract Any dispute arising from or in connection with this contract shall be submitted to shall be submitted to South China International Economic and South China International Economic and Trade Arbitration CommissionTrade Arbitration Commission for arbitration. for arbitration.
• Any dispute arising from or in connection with this contract Any dispute arising from or in connection with this contract shall be submitted to shall be submitted to Shenzhen Court of International Shenzhen Court of International Arbitration Arbitration for arbitration.for arbitration.
Model Arbitration ClauseModel Arbitration Clause
Thank YouThank You !!