ICC International Court of Arbitration (original) (raw)

The standard ICC arbitration clause

Drafting the arbitration agreement

ICC arbitration is possible only if there is an agreement between the parties providing for it. ICC recommends that all parties wishing to have recourse to ICC arbitration include the following standard clause in their contracts:
"All disputes arising out of or in connection with the present contract shall be finally settled under the Rules of Arbitration of the International Chamber of Commerce by one or more arbitrators appointed in accordance with the said Rules."

You can download the full text of the model clause in any one of the following languages (registered in either .txt file or Microsoft Word 95 file, depending on the language):

Arabic Lithuanian
Indonesian Mongolian
Bulgarian Nepali
Chinese Norwegian
Croatian Persian (Farsi)
Czech Polish
Danish Portuguese Brazilian
Dutch Romanian
English Russian
French Serbian
Finnish Slovak
German Slovene
Greek Spanish
Hungarian Swedish
Italian Thai
Icelandic Turkish
Japanese Ukrainian
Korean Vietnamese

It may also be desirable for the parties to stipulate in the arbitration clause itself:

Parties should also consider the possible need for special provisions in the event that arbitration is contemplated among more than two parties.

Where parties wish to have recourse to the ICC Pre-Arbitral Referee Procedure as well as to ICC arbitration, specific reference should be made to both procedures. ICC proposes a standard clause for this purpose.

In addition, the law in some countries may lay down certain requirements in respect of arbitration clauses. For example, it would be prudent for parties wishing to have an ICC arbitration in Mainland China to include in their arbitration clause an explicit reference to the ICC International Court of Arbitration, so as to avoid the risk of having the standard ICC clause declared null and void for lack of a sufficiently explicit reference to the arbitration institution of their choice.

It is therefore suggested that such parties adapt the wording of the standard ICC arbitration clause as follows:

"All disputes arising out of or in connection with the present contract shall be submitted to the International Court of Arbitration of the International Chamber of Commerce and shall be finally settled under the Rules of Arbitration of the International Chamber of Commerce by one or more arbitrators appointed in accordance with the said Rules."

In principle, parties should also always ensure that the arbitration agreement is:

Existence and validity of the arbitration agreement

Issues concerning the existence and validity of the agreement to arbitrate are dealt with in the following way: If the Respondent does not file an Answer or if any party raises a plea concerning the existence, validity or scope of the arbitration agreement, the Court may decide, without prejudice to the admissibility or merits of the plea, that the arbitration shall proceed if it is prima facie satisfied that an arbitration agreement under the Rules may exist. In such a case, any decision as to the Arbitral Tribunal's jurisdiction is then taken by the Arbitral Tribunal itself. If the Court decides that the arbitration cannot proceed, the parties retain the right to ask any court having jurisdiction whether or not they are bound by an ICC arbitration agreement.