How To Draft Arbitration Agreement

An arbitration agreement should be carefully developed, while anticipating different factors in transactions. If there is an iota of doubt, then a specialized guide is to enter, so that even in the event of a dispute, you should not lose even before a prize is awarded. None of these solutions is entirely satisfactory and the inexperienced contractor would be well advised to seek specialized advice. Arbitration is not public, where sensitive issues are the subject of litigation, so arbitrator offers a privileged alternative to litigation. The obvious solution to this problem would be to consolidate the various procedures and bring all parties before a court, as in the case of court proceedings. However, in the event of arbitration, the agreement of all parties is necessary if consolidation is to be carried out. This is now under section 35 of the 1996 Act, which expressly states that the court does not have the power to consolidate without agreement. It is imperative to consider disputes that can be referred to arbitration proceedings and the same must mention the applicable law, arbitration headquarters, place of arbitration, panel of arbitrators, etc. in case of ad hoc arbitration. The arbitration agreement may provide for groups of parties to make joint appointments, but the Dutco decision says that such an agreement is not binding.

The safest solution is to provide that the decision-making authority appoints and appoints the single arbitrator or all three. This implies abandoning the principle of party control, but at least ensures that all parties are treated in the same way and in the same way. This is the solution adopted by the ICC in Article 10 of its new rules. In particular, arbitration clauses serve only to restrict the jurisdiction of the courts and not to override them completely. The evolution of arbitration in Kenya has given rise to interesting questions, particularly constitutional in nature, arising from trade relations. We can see it. B in Bia Tosha Distributors Limited vs. Kenya Breweries Limited – 3 other [2016] eKLR, the court having decided that the amount paid by the peticheur for the acquisition of « good will » through certain distribution channels or certain sectors of the respondent`s products is defined as the « property » of the petitioner and may be protected as such in accordance with section 40 of the Constitution. In ad hoc arbitrations, the parties must choose their arbitrators or use an appointment procedure. The parties should also decide on the rules of procedure, the place of arbitration, the language, etc.