Arbitration
For example, in certain Commonwealth countries (not including England and Wales), it is possible to provide that each party should bear their own costs in a conventional arbitration clause, but not in a submission agreement.
These include provision indicating: Agreements to refer disputes to arbitration are generally presumed to be separable from the rest of the contract.
Presently, Singapore maintains two distinct frameworks under which contractual disputes can be arbitrated, which differ primarily in regard to the extent to which parties to the proceedings may resort to the courts.
[26] Either action is only permitted with the consent of the other parties or either the arbitral tribunal (for rulings on preliminary points of law) or the Court (with regard to appeals.
[30] Italy takes a modern and open approach to arbitration, the main law on which is contained in Book IV, Chapter VIII of the Code of Civil Procedure (CCP).
In March 2023, an important further mini-reform of the arbitration law entered into force, intended to remove some last remaining potential issues for foreign parties.
In particular, the Italian Council of Ministers, through the recent reform known as "Cartabia", has introduced significant innovations in the field of arbitration by reorganising various institutions of civil procedure.
The amendments to the Fourth Book of the Italian Code of Civil Procedure (ICCP)[clarification needed] aim to bring the arbitral decision ("lodo arbitrale") as close as possible to the judicial judgment ("sentenza").
In this respect, the reform constitutes the first major change to the Code since 2006, when the Italian system was, for the first time, partially aligned with the UNCITRAL Model Law.
According to Hay, North Korea maintains an advanced dispute resolution system in order to facilitate foreign investment.
In 1911, Taft and his Secretary of State Philander C. Knox negotiated major treaties with Great Britain and with France providing that differences be arbitrated.
He made some speeches supporting the treaties in October, but the Senate added amendments Taft could not accept, killing the agreements.
However, an opposing faction of American progressives, led by ex-president Theodore Roosevelt, ridiculed arbitration as foolhardy idealism, and insisted on the realism of warfare as the only solution to serious disputes.
Roosevelt worked with his close friend Senator Henry Cabot Lodge to impose those amendments that ruined the goals of the treaties.
These included a settlement of the boundary between Maine and New Brunswick, a long-running dispute over seal hunting in the Bering Sea that also involved Japan, and a similar disagreement regarding fishing off Newfoundland.
[43] American Secretary of State William Jennings Bryan (1913–1915) worked energetically to promote international arbitration agreements, but his efforts were frustrated by the outbreak of World War I. Bryan negotiated 28 treaties that promised arbitration of disputes before war broke out between the signatory countries and the United States.
[63] Merchants, however, retained provisions to settle disputes among themselves, but tension between the arbitration proceedings and courts eventually resulted in the Common Law Procedure Act 1854 (17 & 18 Vict.
[62] In 1921, the American Bar Association drafted the Federal Arbitration Act based on the New York law, which was passed in 1925 with minor changes.
[71][72] Recently, controversies surrounding some high-profile international disputes have led to calls for a review of arbitration practices, especially in Europe.
Observers have often criticized the role of third party litigation funding firms that are increasingly investing in lawsuits and arbitration proceedings in "hope of collecting a hefty share of the winnings.
Third Party Litigation Funding is largely unregulated in Europe, and most agreements are made in secret – rendering them ripe for abuse.
They mainly choose large-value lawsuits, while typically considering ordinary cases involving lower-value claims as too risky or not profitable enough," he added.
[73] The report gained special traction given its release came amidst an international battle over the region of Sabah in Malaysia and the biggest arbitration award in history announced against the Malaysian government.
[75] On February 28, 2022, Stampa ruled in favor of the alleged descendants of sultan and ordered Malaysia to pay $14.92 billion in settlement to the litigants.
[82] Former Spanish Judge Josep Galvez — barrister at 4–5 Gray's Inn Square Chambers, which the lawyers of Sulu claimants Paul Cohen and Elisabeth Mason also associate with — said the Madrid Court's ruling underscored the importance of rigorous compliance with procedural requirements and judicial orders under Spanish law, as failure to comply could invite severe penalties.
[83] "The conviction of Stampa serves as a lesson for international arbitration practitioners, emphasizing the paramount importance of adhering to judicial orders in Spain," he wrote.
[85] This decision marked a significant legal victory for Malaysia and reinforced its sovereignty in a dispute with the self-proclaimed Sulu heirs.
[85] The ruling highlighted irregularities in the arbitration process led by Gonzalo Stampa and raised concerns about practices such as forum shopping and unregulated litigation funding in European courts.
[86][87] The French court's decision was deemed a significant "win" for Malaysia that effectively marked the end of the Sulu case by several publications, including Law.com and Law360.
[88][89] Keith Ellison, former vice chairman of the Democratic National Committee and Minnesota attorney general, pointed out that the case highlighted the enormous scope for "corruption", irresponsible profiteering, and foreign influence operations to subvert arbitration proceedings".
