Arbitration International Arbitration Practice 1 — Questions and Answers
Question 1: Which institution administers international commercial arbitration under the ICC Rules?
- International Chamber of Commerce Court of Arbitration (Correct answer)
- International Court of Justice
- UNCITRAL Secretariat
- World Bank ICSID
Correct answer: International Chamber of Commerce Court of Arbitration
The ICC International Court of Arbitration administers cases under the ICC Arbitration Rules, one of the most widely used international commercial arbitration institutions.
Question 2: What is the 'Terms of Reference' in ICC arbitration?
- A document summarizing the parties' claims and the issues to be decided, signed by the tribunal and parties (Correct answer)
- The fee schedule for the arbitration
- A court order granting jurisdiction to the arbitral tribunal
- A transcript of the first hearing
Correct answer: A document summarizing the parties' claims and the issues to be decided, signed by the tribunal and parties
The ICC Terms of Reference is a document drafted early in the proceedings that defines the claims, defenses, and issues to be resolved, signed by both parties and the tribunal.
Question 3: Under LCIA Rules, how are arbitrators typically selected?
- Arbitrators are always appointed by the ICC Court
- Parties nominate arbitrators, with the LCIA Court appointing in default or confirming nominations (Correct answer)
- Arbitrators are selected by random lottery from a public registry
- Only the respondent selects the arbitrator
Correct answer: Parties nominate arbitrators, with the LCIA Court appointing in default or confirming nominations
Under LCIA Rules, parties nominate their arbitrators, but the LCIA Court has wide discretion to appoint arbitrators, especially when parties fail to agree or nominate.
Question 4: What does 'bifurcation' of proceedings mean in international arbitration?
- Splitting a case into two separate arbitrations
- Separating the proceeding into distinct phases, such as liability and quantum (damages) (Correct answer)
- Requiring two arbitrators instead of one
- Filing parallel claims in both arbitration and litigation
Correct answer: Separating the proceeding into distinct phases, such as liability and quantum (damages)
Bifurcation means dividing the arbitration into sequential phases—commonly liability first, then damages—which can save cost if the claimant does not prevail on liability.
Question 5: What is the UNCITRAL Arbitration Rules primarily designed for?
- Domestic US arbitrations only
- Ad hoc international arbitrations without an administering institution (Correct answer)
- Investor-state disputes only under ICSID
- Labor and employment arbitrations in the EU
Correct answer: Ad hoc international arbitrations without an administering institution
The UNCITRAL Arbitration Rules are designed for ad hoc international arbitrations conducted without an administering institution, giving parties and arbitrators maximum flexibility.
Question 6: What is the significance of the 'separability doctrine' in international arbitration?
- The arbitration clause is treated as a separate agreement from the main contract, surviving its invalidity (Correct answer)
- Arbitrators and judges have separate but equal authority over a dispute
- International and domestic arbitrations are governed by separate law
- Evidence from separate proceedings is inadmissible
Correct answer: The arbitration clause is treated as a separate agreement from the main contract, surviving its invalidity
The separability doctrine holds that the arbitration clause is a separate, autonomous agreement that survives even if the main contract is found void or unenforceable.
Arbitration International Arbitration Practice 1
Which institution administers international commercial arbitration under the ICC Rules?