What is arbitration?
It is a form of dispute resolution, alternative to court action, in which the parties are subject to the decision of a third party, in this case the arbitrator, who is responsible for settling the dispute.
What is the difference between arbitration and conciliation?
In arbitration, an impartial third party -the arbitrator- settles a dispute through an arbitration award, which is a sort of judgement, final and unappealable; however, in a conciliation, the third party -called conciliator- has no authority to settle a dispute, only to make his/her best efforts for the parties to reach an understanding.
What is the National and International Arbitration Center of the Lima Chamber of Commerce?
It is the leading arbitration institution in Peru, with more than 25 years of experience administering arbitrations. To this day, the Center has administered over 6,000 arbitration proceedings; more than 60% were settled in less than 12 months. It also has a list of more than 470 national and international arbitrators
What services are offered in the National and International Arbitration Center of the CCL?
All services necessary for the appropriate administration of arbitration processes. Including:
- • Appoint arbitrators, when the parties so request
- • Offer process briefs and notices referred to the arbitration process
- • Organize and support arbitrators during the hearings
- • Develop studies and reports, as well as proposals for the improvement of alternative dispute settlement mechanisms
- • Offer a virtual file follow-up system allowing the parties and arbitrators to review the status of the procedures real time
- • Appropriate infrastructure for the development of arbitration
What is the difference between arbitration at law and equitable arbitration?
In arbitration at law, arbitrators are attorneys-at-law and they settle disputes under a legal framework; while in equitable arbitration, arbitrators can be technicians or professionals of other fields and settle disputes in good faith and to the best of their knowledge, but based on the principals and forms of the corresponding proceeding.
What is an arbitration agreement?
It is a voluntary agreement in which the parties resort to arbitration to settle their disputes. By doing so, the parties resign to resort to state-run justice, represented by the Judiciary.
What formalities must an arbitration agreement follow?
The arbitration agreement is entered in a written contract or in any document which states the will of the parties to let their dispute be subject to an arbitration.
Can I be unaware of an entered arbitration agreement and resort to the Judiciary?
You cannot. If an arbitration agreement was entered, the parties are bound to respect it. If any party fails to comply with such agreement, the arbitrator is authorized to continue the procedure even without the participation of the party unaware of the arbitration agreement.
What advantages does arbitration offer over the Judiciary?
The swiftness to settle disputes, the professional specialty of the arbitrators to resolve specific disputes, the authority of the parties to assign their arbitrators ensuring neutrality of the process, in addition to versatile and internationally standardized rules and procedures which can be adapted to meet the needs of every arbitration procedure.
What is an institutional arbitration?
It is a form of arbitration whose administration handled by an arbitration institution, such as the National and International Arbitration Center of the Lima Chamber of Commerce, which has its own Arbitration Rules, qualified personnel, modern infrastructure and state-of-the-art technology at the service of arbitrators and their parties.
What is an ad hoc arbitration?
Compared to an institutional arbitration, an ad hoc arbitration is a procedure where the administration and development of the arbitration is not carried out by an institution, but rather conducted following the parties’ willingness; the parties together with the arbitrators set the rules.
Should I opt for an institutional arbitration or an ad hoc arbitration?
We always recommend an institutional arbitration as it has predictable rules for the parties, it regulates different situations not covered by ad hoc arbitration, avoids resorting to the Judiciary throughout the process, and has the experience and specialization of its own institution.
What kind of disputes can be subject to arbitration?
Generally, all property and corporate disputes are arbitrable, except for those expressly excluded by the General Arbitration Law (Law 26572), regarding vital or inalienable rights.
What is the cost of an arbitration?
The cost of an arbitration depends on the amount in dispute. To calculate the costs, please visit our Table of Fees, available in the following link https://www.arbitrajeccl.com.pe/tarifas or you can request such information directly visiting our offices at the National and International Arbitration Center of the Lima Chamber of Commerce.
Who will appoint the arbitrators in charge of settling my dispute?
The appointment of arbitrators depends on the parties agreement. The Arbitral Tribunal may consist of a sole arbitrator or a collegiate body, usually comprised of three arbitrators. However, in accordance with the Arbitration Rules of the National and International Arbitration Center of the Lima Chamber of Commerce, if there is no agreement as to the appointment of arbitrators, the Superior Council of Arbitration shall be responsible for the appointment of arbitrators
What is the Superior Council of Arbitration?
It is the administrative governing body of the National and International Arbitration Center of the Lima Chamber of Commerce It is in charge of obeying and enforcing the Arbitration Rules of the Center, as well as solving incidents that may arise during procedure such as: the appointment of arbitrators, solving the challenges against an arbitrator, among other duties.
What is an arbitral award?
Arbitral award means the decision of the Arbitral Tribunal which terminates the arbitration proceedings. It shall be final and unappealable, except as otherwise agreed by the parties. An arbitral award shall have the value of res judicata and shall be enforced as a court judgment.
Is an award the same as a judgment?
Regarding its effects, an arbitration award is equivalent to a final court judgment, as it can be enforced as a judgment.
What do I do if my counterparty does not comply with what is ordered in the award?
Resort to the Judiciary: the judge will, expeditiously and at no cost, order the losing party to comply with the award as if it were a court judgment. Generally, there is a high compliance rate for arbitration awards issued within the procedures administrated by the National and International Arbitration Center of the Lima Chamber of Commerce.
What should I do to get my disputes settled by the National and International Arbitration Center of the CCL?
You must insert the standard arbitration clause suggested by the Center in your private or public contracts. It is available here: https://www.arbitrajeccl.com.pe/clausula-2. Even if the parties have not agreed to settle disputes at the Center, a dispute can still be settled in an arbitration administered by our institution. To do so, both parties shall agree to take this option. https://www.arbitrajeccl.com.pe/clausula-2. Si las partes no hubieran pactado sometimiento expreso a la administración del Centro, también es factible que su controversia sea resuelta en un arbitraje ejecutado por nuestra institución. Para ello, ambas partes deberán acordar dicho sometimiento.