Vienna International Arbitral Centre obtained the right to administer arbitration disputes in Russia
According to Secretary General of VIAC, Dr. Alice Fremuth-Wolf, the arbitration institution receives approximately 60 – 70 claims per year, with 5 – 7 involving Russian parties.
VIAC is included in the «white list» of Global Arbitration Review, recommended by International Bar Association. Parties from more than 50 countries around the world use the services of the Centre (more than 70% of these parties are from European countries).
By 08 July 2019, the Ministry of Justice is expected to include VIAC in the list of foreign arbitration institutions, with the status of a permanently functioning arbitration institution («PFAI»).
VIAC is the second foreign arbitration institution, after Hong Kong International Arbitration Centre. The latter obtained PFAI status in April 2019.
It is important to note that, as VIAC does not have a separate subdivision in Russia, it is still precluded from administering domestic disputes and some categories of corporate disputes.
We wish to remind you that, as a result of the arbitration reform awards of foreign arbitration institutions, that are not included in the above-mentioned list, are deemed to be rendered ad hoc, which implies certain restrictions in comparison to the awards of the PFAIs.
The decision of the Council for Arbitration Development is an important step towards the development of arbitration in Russia and promotion of its attractiveness as an alternative mechanism of dispute resolution.
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Practices: Dispute Resolution, Corporate and M&A
Note: Please be aware that all information provided in this letter was taken from open sources. Neither ALRUD Law Firm, nor the authors of this letter bear any liability for consequences of any decisions made in reliance upon this information.
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