Settlement Of Disputes By Commercial Arbitration

In practice, more and more cases/disputes between the parties are resolved by Arbitration instead of the traditional Court. The following article deals with some issues of dispute resolution by Arbitration. Please feel free to contact Apolo Lawyers Law Firm via email contact@apolo.com.vn or hotline - 0903.419.479 for legal advice and support.

1. Commercial Arbitration

Commercial arbitration is a method of dispute settlement agreed by the parties and conducted in accordance with the 2010 Law on Commercial Arbitration.

Disputes are disputes between parties arising from commercial activities; Disputes arising between parties in which at least one party has commercial activities or other disputes between parties which are provided for by law shall be resolved by arbitration.

Settlement Of Disputes By Commercial Arbitration

Commercial arbitration is one of the four settlement methods: negotiation, conciliation, arbitration and court. The method of dispute settlement by arbitration with the characteristics of quick settlement, flexible procedures, non-public settlement and one-time trial... is increasingly chosen by businessmen as their dispute resolution method.

2. Principles of Dispute Resolution by Arbitration

Principles of dispute settlement by arbitration include:

• The arbitrator must respect the agreement of the parties if such agreement does not violate the prohibition and is against social ethics.
• Arbitrators must be independent, objective, impartial and comply with the provisions of law.
• The disputing parties are equal in terms of rights and obligations. The arbitral tribunal is responsible for creating conditions for them to exercise their rights and obligations.
• Dispute settlement by Arbitration shall be conducted in a non-public manner, unless otherwise agreed by the parties.
• The arbitral award is final.

3. Features of the method of dispute resolution by arbitration

The method of dispute resolution by arbitration has the following characteristics:

• Arbitration only settles commercial disputes at the request of the disputing parties and such dispute must fall under the arbitration jurisdiction.
• The subject of commercial dispute resolution is the arbitrators acting through an arbitration council consisting of one independent arbitrator or a council of many arbitrators.
• Settlement of commercial disputes by commercial arbitration ensures the combination of two elements: agreement and award.
• Arbitration is a dispute resolution mechanism that ensures confidentiality.
• The arbitrator award is final.

4. Types of arbitration

Currently, arbitration exists in two basic forms: arbitration and regulatory arbitration.

4.1. Arbitration of the case

• Arbitration is a form of dispute settlement in accordance with this Law and the order and procedures agreed upon by the parties.
• The operation has no fear, no separate list of arbitrators, no separate rules of procedure.
• After the dispute is resolved, it will automatically dissolve.
• Arbitration can resolve disputes quickly and inexpensively, because after all, arbitration is still largely dependent on the will of the disputing parties.
• The right to choose an arbitrator of the parties is not limited by the list of available arbitrators as in the form of a regulation arbitration, but any arbitrator can be selected inside and outside the list of arbitrators of any Arbitration Center.
• The disputing parties have broad discretion in determining the rules of procedure for the settlement of their disputes. Meanwhile, in the form of institutional arbitration, the parties are mainly bound by the procedural rules of the arbitration center that the parties have chosen.

4.2. Regulatory arbitration (permanent arbitration or arbitration center)

• Arbitration centers are non-governmental organizations.
• Arbitration centers have legal status and exist independently of each other.
• Organization and management in arbitration centers are very simple and compact.
• The Center is organized and operates according to its own procedural principles and charter.
• The arbitration proceedings are conducted by the arbitrators of the arbitration center.

5. Arbitrator jurisdiction to settle disputes

• Disputes between the parties arising from commercial activities.
• Disputes arise between parties in which at least one party has commercial activities.
• Other disputes between the parties as provided for by law shall be resolved by arbitration.

6. Conditions for dispute settlement by arbitration

• Disputes shall be resolved by arbitration if the parties have an arbitration agreement. The arbitration agreement may be made before or after a dispute occurs.
• In case one party to the arbitration agreement is an individual dies or loses acting capacity, the arbitration agreement will still be valid for that person heir or legal representative, unless otherwise agreed by the parties.
• Where one party to the arbitration agreement is an organization that must terminate its operation, go bankrupt, dissolve, consolidate, merge, split, split or transform the form of the organization, the arbitration agreement will still be valid for the organization receiving its rights and obligations, unless otherwise agreed by the parties.

Settlement Of Disputes By Commercial Arbitration

Apolo Lawyers - Solicitors & Litigators is very willing to infor you provisions related to dispute resolution by commercial arbitration. Please feel free to contact Apolo Lawyers Law Firm via email contact@apolo.com.vn or hotline - 0903.419.479 for legal advice and support.

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