Commercial arbitration is one of the dispute resolution forms under current laws with outstanding characteristics of flexibility and priority on agreement between the parties. Although having final value, the Arbitral Award may be annulled in certain cases. So, how is the Arbitral Award annulment regulated?
1. Commercial disputes settlement by arbitration
Disputes arising in commercial activities can be settled in one of the following forms:
– Negotiations between the parties.
– Conciliation between the parties by a body, organization or individual selected by the parties to act as the conciliation mediator.
– Resolution by the Arbitration or the Court.
In particular, Commercial Arbitration is a method of dispute settlement agreed upon by the parties and conducted in accordance with laws. This form is quite popular in practice as for its flexibility, security and speed.
2. Right to request Arbitral Award annulment and authority on Arbitration Award nnulment
a. How is the right to request Arbitral Award annulment egulated?
– Within 30 days after receiving an Arbitral Award, if a party has sufficient grounds for evidencing that the arbitration council has issued the award falling into any of the cases specified by Law, it may file a request for such Arbitral Award annulment.
Noted that, such request must be enclosed with documents and evidence proving that such request is grounded and lawful.
– When a request is lodged beyond the set time limit due to force majeure circumstances, the period in which such circumstances exist will not be included in the time limit for requesting Arbitral Award annulment.
b. Authority for Arbitral Award annulment
>> CONDITIONS FOR DISPUTES SETTLEMENT BY ARBITRATION https://linconlaw.vn/?p=7837
>> REGISTRATION ON CHANGE OF LEGAL REPRESENTATIVE OF JOINT STOCK COMPANY https://linconlaw.vn/registration-on-change-of-legal-representative-of-joint-stock-company/
3. In what cases will an arbitration award be considered to be annulled?
The Arbitration Award is annulled if it falls into one of the following cases:
– There is no arbitration agreement or the arbitration agreement is invalid;
– The arbitration council’s composition or procedures of arbitral proceedings is/arc incompliant with the parties’ agreement or this Law;
– The dispute falls beyond the arbitration council’s jurisdiction: when an arbitral award contains the details falling beyond the arbitration council’s jurisdiction, such details shall be cancelled;
– The evidence provided by the parties on which the arbitration council bases to issue the award is counterfeit: an arbitrator receives money, assets or other material benefits from one disputing party, thus affecting the objectivity and impartiality of the award;
– The award contravenes the fundamental principles of Vietnamese law.
Noted that, the court shall consider the cancellation of an arbitral award at the request of one of the parties.
- Law on Commercial Arbitration 2010;
- Decree 01/2014/NQ-HĐTP.
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