Debevoise International Arbitration Clause Handbook A model clause and a checklist of issues to consider in drafting an arbitration clause, with suggested text and commentaries Includes: • Updated Debevoise Efficiency Protocol (2018) • Debevoise Protocol to Promote Cybersecurity in International Arbitration 165 © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. A model clause and a checklist of issues to consider in drafting an arbitration clause, with suggested text and commentaries Includes: • Updated Debevoise Efficiency Protocol (2018) • Debevoise Protocol to Promote Cybersecurity in International Arbitration © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. 2018 Debevoise & Plimpton LLP is offering this Debevoise International Arbitration Clause Handbook (“Handbook”) for informational purposes only. The Handbook is not intended nor is it to be used as a substitute for legal advice. This publication is neither a solicitation nor an offer to represent you. The information provided to you in the Handbook is not intended to create and does not create an attorney-client relationship with Debevoise or with any lawyer at Debevoise. You may inquire about legal representation by contacting the appropriate person at Debevoise. CONTENTS I. INTRODUCTION ............................................................1 II. MODEL ARBITRATION CLAUSE .......................................5 Annotated Commentary to Model Arbitration Clause ...................5 a. Broad/Narrow ..................................................................... 5 b. Number of Arbitrators ..................................................... 6 c. Rules ..................................................................................... 8 d. Method of Selecting Arbitrators.................................. 11 e. Seat of the Arbitration ................................................... 14 f. Language ........................................................................... 15 g. Finality of the Award...................................................... 15 h. Jurisdiction to Enter Judgment .................................... 18 III. OPTIONAL CLAUSES ................................................... 19 1. Structure of the Arbitration ...................................... 19 a. Negotiation, Conciliation or Mediation .................... 19 b. Split Clauses ...................................................................... 21 c. Multiparty and Multi-contract Transactions ........... 23 i. Selection of Three-Member Tribunal ............... 24 ii. Joinder, Intervention ............................................. 25 iii. Consolidation .......................................................... 30 2. Constitution and Powers of the Tribunal ................... 37 a. Nationality of the Arbitrator(s) ................................... 37 i © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. Contents (cont’d) b. Qualifications of the Arbitrator(s) .............................. 38 c. Independence and Impartiality .................................... 39 d. Jurisdiction to Determine Jurisdiction ....................... 40 e. Freedom to Decide in Equity ........................................ 41 3. Interim Relief ............................................................ 42 a. Provisional Measures ..................................................... 42 b. Emergency Arbitrations ................................................ 45 4. Conduct of the Proceedings ...................................... 46 a. Production of Evidence .................................................. 46 b. Requests for Documents ............................................... 47 c. Electronic Disclosure ...................................................... 50 d. Expert Testimony ............................................................ 51 e. Confidentiality ................................................................. 53 f. Cybersecurity ................................................................... 56 5. Relief ........................................................................ 56 a. Costs ................................................................................... 56 b. Waiver of Punitive or Exemplary Damages .............. 58 c. Interest ............................................................................... 59 d. Time Limit for Issuance of Award .............................. 60 e. Currency of Award .......................................................... 61 6. Finality and Enforcement .......................................... 61 a. Appeal................................................................................. 61 b. Sovereign Immunity ...................................................... 62 c. Forum Non Conveniens ................................................ 64 d. Service of Process ............................................................ 65 e. Submission to National Courts .................................... 66 ii © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. Contents (cont’d) 7. Particular Procedures................................................ 68 a. Interim Adjudication ...................................................... 68 b. Dispute Boards ................................................................. 69 c. Classwide Arbitration ..................................................... 73 d. Final Offer/Baseball/Pendulum Arbitration ............. 75 Appendix 1 Overview of Arbitral Seats ...................................... 77 General Considerations .................................................. 77 Top Five Seats Generally Recommended ......................... 78 A. New York ................................................................. 79 B. London ..................................................................... 80 C. Paris ........................................................................... 82 D. Singapore ................................................................. 83 E. Hong Kong .............................................................. 84 Other Frequently Used Seats (in alphabetical order by region) ................................................................. 86 A. Europe and Russia .................................................. 86 1. Geneva or Zurich .............................................. 86 2. The Hague .......................................................... 87 3. Milan ................................................................... 88 4. Moscow or St. Petersburg .............................. 89 5. Stockholm .......................................................... 92 6. Vienna ................................................................. 93 B. Asia and the Pacific Rim ....................................... 94 1. Auckland ............................................................. 94 2. Beijing or Shanghai .......................................... 95 3. Kuala Lumpur.................................................... 98 4. Mumbai or Delhi .............................................. 99 5. Seoul .................................................................. 101 iii © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. Contents (cont’d) 6. Sydney or Melbourne .................................... 102 7. Tokyo ................................................................ 103 C. Americas ................................................................. 104 1. Bermuda ............................................................ 104 2. British Virgin Islands ..................................... 105 3. Mexico City ...................................................... 106 4. Miami and Other U.S. Seats ......................... 107 5. Santiago de Chile ............................................ 109 6. São Paulo or Rio de Janeiro .......................... 109 7. Toronto ............................................................. 110 D. Africa ....................................................................... 111 1. Casablanca ........................................................ 111 2. Lagos .................................................................. 111 3. Mauritius .......................................................... 112 E. Middle East ............................................................ 113 1. Manama ............................................................ 113 2. Doha .................................................................. 115 3. Dubai International Financial Centre ....... 116 Appendix 2 Overview of Arbitral Rules .................................... 117 Major Institutional Rules ........................................................ 117 International Chamber of Commerce ..................................... 117 London Court of International Arbitration ........................... 119 International Centre for Dispute Resolution ........................ 119 Hong Kong International Arbitration Centre ....................... 120 Singapore International Arbitration Centre .......................... 121 Stockholm Chamber of Commerce ......................................... 122 CPR International Institute for Conflict Prevention & Resolution ........................................................................... 122 iv © 2018, 2019 Debevoise & Plimpton LLP. All Rights Reserved. Contents (cont’d) Ad Hoc Rules ......................................................................... 124 UNCITRAL ...................................................................................