International Arbitration Newsletter Q2 2014

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DLA Piper - International Arbitration Newsletter

US COURT OF APPEALS BACKTRACKS FROM APPLICATION OF §1782 DISCOVERY IN INTERNATIONAL COMMERCIAL ARBITRATION

By Harout Jack Samra, Miami

In a surprising reversal, the United States Court of Appeals for the Eleventh Circuit has vacated its ruling in Consorcio Ecuatoriano de Telecomunicaciones S.A. v. JAS Forwarding (USA), Inc., in which it granted an application to obtain discovery for use in an Ecuadorian arbitration pursuant to 28 U.S.C. §1782.

This decision represented the first instance in which a US Court of Appeals endorsed the use of §1782 in connection with commercial arbitration proceedings. Apparently unprompted by either of the parties, however, the circuit court chose to reconsider the issue in the very same case and issue a revised opinion some two years later.

Find out more.


LCIA DRAFT RULES 2014: ADDRESSING EMERGENCIES,

EFFICIENCIES AND ETHICS

By Joanne Jones and James Carter, London

It seems that it could be all change at the London Court of International Arbitration, with new arbitration rules anticipated to come into force later this summer. The draft rules, which the LCIA published earlier this year, were the subject of lengthy discussions by the LCIA Court in May. The Court’s decision as to which of them will be adopted has yet to be released; however, it is anticipated that those that are approved will enter into force later this year.

The draft rules promote procedural efficiency, support adherence to ethical standards and propose new mechanisms by which parties to an LCIA arbitration can address emergency situations.

Find out more about the key amendments.


ENGLISH COURT: ARTICLE 30 OF ICC RULES CREATES BINDING

OBLIGATION TO PAY SHARE OF ADVANCE ON COSTS

By Matthew Saunders and Oliver Perez, London

The English Commercial Court has clarified the nature of an allotted share of an advance of costs pursuant to Article 30 of the ICC Rules 1998.

The case is now the key decision of the English courts on this issue, confirming that Article 30 of the Rules (and therefore Article 36 of the 2012 Rules) creates a binding contractual obligation under English law to pay the allotted share and providing clarification to claimants on the options available where a defendant refuses to pay an advance on costs.

Find out more.


NEWS FROM THE ARBITRATION INSTITUTIONS

Revised International Dispute Resolution Procedures effective from 1 June
Amendments to the International Dispute Resolution Procedures by the International Centre for Dispute Resolution took effect from 1 June 2014. The revised rules include new procedures to speed up the process of lower-value matters, a provision making it compulsory for final awards to be made within 60 days and more weight given to mediation.

See here for a link to the new procedures, which can be found under the ICDR’s Rules and Procedures tab.

ICSID publishes caseload statistics special issue focusing on the European Union
The International Centre for Settlement of Investment Disputes (ICSID) has issued a document providing caseload statistics for disputes involving European member states. The publication was produced as part of the Workshop of the International Trade Committee of the European Parliament and provides information about cases as of 1 March 2014 where a member state is either the state party to the dispute or where the case involves investors from a member state. Of 463 cases registered with ICSID, 12 percent involved a state party from the European Union.

The caseload statistics special issue is available on the ICSID website.

San Marino signs ICSID Convention
San Marino has signed up to the Convention on the Settlement of Investment Disputes between States and Nationals of Other States. The signing ceremony took place on 11 April. The Convention has now been signed by 159 states, with 150 of these having also ratified the Convention.

For more information see the announcement by ICSID.

Australia and Japan conclude economic partnership agreement
Australia and Japan signed the Japan-Australia Economic Partnership Agreement (JAEPA) on 7 April 2014. The two nations began negotiations on the bilateral trade agreement in 2007 and the treaty is believed to be the most liberal trade agreement signed by Japan, providing Australia with a significant competitive advantage over other nations. Significantly, the JAEPA contains no investor-state dispute settlement provisions.

More information is available in the Australian government press release.

UNCTAD publishes annual review of Investor-State Dispute settlement cases
The United Nations Conference on Trade and Development (UNCTAD) has released its annual report of statistical data on treaty-based investor-state dispute settlements. It also provides a review of arbitral decisions for the year 2013. Statistics in the “IIA Note: Recent Developments in Investor-State Dispute Settlement (ISDS)” indicate that at least 57 ISDS cases were registered in 2013 and over 40 percent of them were filed against developed states.

See the IIA Note for more details.

SIAC publishes annual report
The Singapore International Arbitration Centre (SIAC) has issued its caseload statistics as part of its annual report for 2013. The popularity of Singapore as a centre for international arbitration is confirmed by the statistics which recorded a 10 percent increase in new cases filed in 2013 compared to 2012. The total value of claims made in 2013 almost doubled, rising to S$6.06 billion, with one claim of S$3.5 billion being the most expensive claim ever to be registered at the SIAC.

For more details see the SIAC annual report for 2013.


COMING SOON

2nd Annual GAR Live
Istanbul, 26 June 2014

The second Global Arbitration Review Live Event will take place in Istanbul on 26 June 2014. Sessions at the event will include a review of the year looking at the developments in arbitration law and practice in Turkey over the past 12 months, a closer look at investment arbitration in Turkey and a session on how to appoint the right arbitrator.

More information about the event is available on the GAR website.

ICC Advanced Arbitration Academy for Central and Eastern Europe
Istanbul, 12 September 2014

The International Chamber of Commerce is holding a number of Advanced Arbitration Academies in various locations over the coming months. The next academy, on 12 September 2014, will be held in Istanbul. The programme addresses the main stages of arbitration proceedings from the point of view of the arbitrator and will focus on developing practical skills such as drafting and managing cases efficiently. The course is organized on a two year basis and consists of 8 one day workshops held every three months.

More information about the workshops is available on the ICC website.

Advanced ICC Institute PIDA Training on International Commercial Arbitration
Paris, 29 September – 2 October 2014

This training event will be held in Paris starting on 29 September 2014 by the International Chamber of Commerce. The training concentrates on preparation for an arbitral proceeding under the 2012 ICC Rules, using practical case studies and role plays. Sessions will discuss various issues including setting up a claimant’s strategy, conducting complex proceedings, preparation of witnesses and experts, and conflicts of interest.

See here for more information about this training event.

 

Topics:  Arbitration, International Arbitration

Published In: Alternative Dispute Resolution (ADR) Updates, Civil Procedure Updates, General Business Updates, International Trade Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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