The ICC DISPUTE
BOARD RULES
DRBF 6th Annual
International Conference Programme
Budapest 6-7 May 2006
Presentation by
Katherine González Arrocha
Senior Counsel , ICC DRS
ICC Dispute Resolution Services:
ARBITRATION
-To obtain a final and binding decision from an independent tribunal
EXPERTISE
-To obtain an opinion on a financial, legal, technical matter or to solve a dispute
through expert determination.
DOCDEX
- To obtain an opinion in disputes concerning documentary credits.
ADR
- To solve disputes amicably.
DISPUTE BOARDS
- To assist the parties in resolving their differences or disputes throughout the
duration of the contract.
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The ICC Dispute Board Rules
– Product of Task Force on DBs of ICC
Commission on Arbitration
– Entry into force: 1 September 2004
– Languages published: English, French
and Spanish
– Available: ICC Publication 829 (Free)
– Web site: www.iccdisputeboards.org
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Contribution of the ICC
• Result of discussions of professionals from different parts of
the world: ICC provides procedural rules that incorporate
current best practices internationally recognized.
• Disputes Boards are essentially found in the construction and
engineering field. ICC DB rules have been conceived to be
used in all contractual disputes arising in the course of midor long-term contracts. Therefore, they are applied not only
on the long term engineering contracts but also on medium
size projects as well as in other fields of business transactions.
• The ICC offers 3 Dispute Boards Tools and 3 different kinds
of DBs.
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ICC DISPUTE BOARD TOOLS
•
•
•
The Rules: ICC offers a comprehensive and flexible set of
rules designed to govern the proceedings. They can be
adapted to the particular needs of the parties (time and
place).
The ICC model Dispute Board Member Agreement
containing:
– DB member’s undertaking
– DB member’s remuneration
– The duration of the agreement
The standard ICC Dispute Board Clauses consisting of
three alternatives, each providing for a different type of
Dispute Board.
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Differences between DRB, DBA and
CDB approach
DRB APPROACH
- A consensual and amicable process ending with a non
binding recommendation
- The parties can accept or reject the recommendation
DAB APPROACH
- A less consensual approach ending with binding decision
- The parties have to comply with the decision
CDB APPROACH
- It offers an intermediate approach.
- The CDB normally issues recommendations with respect
to any dispute referred to it but may issue a Decision. 6
Advantages of DRB, DAB and CDB
approaches
DISPUTE REVIEW BOARD
- The DRB can devise solutions which avoid 'win-lose' situations.
- Statistics indicate that DRB decisions are generally accepted by both
parties.
DISPUTE ADJUDICATION BOARD
- Decisions are effectively enforceable as a term of the contract.
- The panel can prevent future disputes between the parties.
COMBINED DISPUTE BOARD
- Combines the advantages of both systems according to different
situations.
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ICC DISPUTE BOARD CENTRE
Providing administrative services to
the parties:
1. Appointment of DB members;
2. Decisions upon challenges;
3. Revision of Decisions.
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Salient characteristics of
ICC Dispute Board Rules
• Flexibility -Do not impose a particular type of Dispute
Boards.
• Offer 3 different tools to manage proceedings.
• Possibility to have recourse to ICC Centre for DB to
resolve problems: possibility to request scrutiny of
decisions.
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Advantages of DBs
• The parties can choose the DB members having the
characteristics and qualifications required by them (technical,
legal, financial, accounting, engineering, etc...).
• Immediate action / Perfect knowledge of the contract: DB
members can intervene at any moment of the execution of the
contract, allowing to resolve problems as they arise and also
helping to avoid the deterioration of the relationship between
the parties.
• Reducing costs: By giving recommendations, DB permit the
parties to reconsider their respective positions and to modify,
if necessary, the contract between the parties, thus reducing
costs.
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Additional information:
ICC Dispute Board Centre
38, cours Albert 1er
75008 Paris
France
Tel.: +33.1.49.53.30.43
Fax number: +33.1.49.53.29.29
Email: [email protected]
Website: www.iccdisputeboards.org
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ICC Dispute Resolution Services