Legal Advice and Arbitration
Among its many membership services, BIR offers affiliated companies an arbitration service to settle commercial disputes in an efficient, cost-effective and timely manner. Our state-of-the-art arbitration rules are based on a solid legal framework and well-established business principles.
Making use of the BIR arbitration service is voluntary. It must be agreed upon by both parties, of which at least one must be a BIR member. To make it compulsory, we recommend that our members include a BIR arbitration clause in any new business contract they set up.
You should also know that BIR arbitration guarantees privacy and confidentiality of issues and parties.
The basic procedure is very straightforward.
A company – the claimant – files a formal request for arbitration with the BIR registrar, who is in charge of a smooth follow-up of the arbitration. The registrar then notifies the other company involved in the dispute – the respondent – of the request. The respondent has 15 days to either answer the request or file a counterclaim.
The BIR registrar then compiles a draft arbitration agreement, which both parties must sign.
Subsequently, an Arbitral Tribunal is appointed. This neutral panel of independent industry experts will draw up specific Terms of Reference and a Procedural Timetable which both claimant and respondent must sign. This way, all parties have a clear overview of the process and the timings involved.
Each party then has 30 days to send a written claim or defense to the Arbitral Tribunal and the registrar.
The Arbitral Tribunal examines the case in as short a time as possible.
When the proceedings are closed, the Arbitral Tribunal communicates its preliminary decision to the BIR registrar who then informs each party. At this stage, the parties still have the possibility to ask for an interpretation or a correction of the decision.
However, the Arbitral Tribunal’s binding verdict – the Award – will be delivered no later than 1 month after the preliminary decision. The award is final, non-disputable and, if necessary, enforceable by any relevant court or jurisdiction.
The BIR arbitration service - an efficient, cost-effective and timely solution to commercial disputes.