ICC New Arbitration Rules Enter Into Force

Author:Mr Ricardo Ostrower, L. Santiago Soria and Martin Vainstein
Profession:Marval O'Farrell & Mairal
 
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This revision of the ICC Rules - last reformed in 2012 - is yet another measure taken by the ICC Court since early 2016, in their effort to make arbitration processes more transparent and efficient. These measures include the ICC Court's decision to publish the names and nationality of the arbitrators appointed in ICC arbitrations on its website and the application of a new scheme to reduce the fees of arbitral tribunals that fail to submit a draft award to the Court within the required timeframe.

The new ICC Rules will apply to arbitrations commenced on or after March 1 2017, irrespective of the arbitration agreement's date of conclusion, except for the new Expedited Procedure rules that will only apply to arbitration proceedings based on arbitration agreements concluded after March 1 2017.

Alongside the entry into force of the new Rules, the ICC has also released a revised version of its Note to Parties and Arbitral Tribunals, which contains detailed guidance on the conduct of their ICC cases and the application of the new Rules, including the Expedited Procedure.

The new Expedited Procedure

The most important amendment in the new ICC Rules is the introduction of the Expedited Procedure Provisions in Article 30 and the new Appendix VI.

With this update, the ICC follows the path of other leading arbitration institutions that have also adopted fast track rules in response to the demand for faster and more efficient arbitrations, such as the International Centre for Dispute Resolution of the American Arbitration Association (AAA), the Swiss Chambers' Arbitration Institution (SCAI) or the Stockholm Chamber of Commerce (SCC).

The Expedited Procedure will automatically apply if:

The arbitration agreement was concluded on or after March 1 2017. The amount in dispute - including all quantified claims, counterclaims and cross-claims - does not exceed USD 2,000,000. The parties have not opted out of the Expedited Procedure rules in their arbitration agreement or at any time thereafter. The Expedited Procedure is also effective if the parties have agreed to opt in, irrespective of the date of conclusion of the arbitration agreement or the amount in dispute.

Contrarily, the Expedited Procedure will not be available if the above-described conditions are not met or if the Court, upon the request of a party before the constitution of the arbitral tribunal or on its own motion, determines that it is inappropriate under the circumstances to apply the Expedited Procedure...

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