For the third consecutive year (see our previous updates here and here), we analyse publicly available institutional arbitration caseload statistics of various arbitral institutions around the world to understand the trend of Malaysian participation and usage of institutional arbitration. Our analysis of the numbers confirms a general preference by Malaysian parties for arbitrations conducted by the Asian International Arbitration Centre (AIAC), the Hong Kong International Arbitration Centre (HKIAC), the International Court of Arbitration of the International Chamber of Commerce (ICC) and the Singapore International Arbitration Centre (SIAC). This indicates that institutional arbitration has room for growth as the preferred form of dispute resolution among Malaysian parties for their domestic and international disputes.
At the Chartered Institute of Arbitrators (Malaysia Branch) International Arbitration Conference 2018, Peter Godwin, the Managing Partner of Herbert Smith Freehills’ Kuala Lumpur office gave a keynote address. The topic of the address was “Evolving Asia, New Frontiers in Dispute Resolution”.
The text of Peter’s keynote is set out below.
The Japan Commercial Arbitration Association (JCAA) has issued an announcement that it is (i) amending its two current sets of arbitration rules and (ii) introducing a revolutionary set of rules designed to provide efficient and cheap civil-law style arbitration.
In its introduction to an initial call for public comments on the drafts, the JCAA made the frank admission that it: “has yet to play a significant role in the resolution of international disputes.” The clear motivation for these new rules is to change this by offering a unique arbitration model that is attractive to a wide range of businesses. Accordingly, the new sets of rules (the key features of which are explored below) seem to create a three tiered-system:
- The amended Administrative Rules for UNCITRAL Arbitration (Administrative Rules) for the most complex and high value international disputes
- The amended Commercial Arbitration Rules (Commercial Rules) – effectively the JCAA’s main set of arbitral rules – where cost efficiency is a greater priority.
- The newly enacted Interactive Arbitration Rules (Interactive Rules) where cost efficiency is paramount.
The new sets of rules will come into force on 1 January 2019.