EUROPEAN
ARBITRATION
ISSN 1286-4528
EA is an electronic
newsletter providing a source of information and comment, centred on its
diary of arbitral events.
EA is distributed free of charge, via the Internet, to interested members of the arbitral community.
News and details of forthcoming events are
particularly welcome. These and subscription requests should be addressed
to:
The Editor
EUROPEAN ARBITRATION,
EAandinterarbare
the trade marks of the publisher, the entire contents of
EA25
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February 27th, 1998.
Publisher Michael Chapman.
mchapman@zen.dedal.fr.net
1. Talking Point.
2. Diary of Events.
3. Directory.
4. News items.
5. Internet related News and Comment.
1. TALKING POINT.
Once, some years ago, before health spending was so rigorously controlled
(befly controlled
(before research budgets were so controlled as well, one suspects) some
happy researchers set out to investigate the price of hospital treatment
in the United States. They chose only discrete towns. Only towns with one
hospital, or with two hospitals. They compared prices.
'Market forces' should of course lead to competition in two-hospital-towns.
Lead to lower prices.
The result showed just the opposite. Competition between hospitals
was manifested in buying more and more equipment, providing more and more
services, in ... well you can guess. The perverse effect was because hospital
choice was made by general practitioners, who naturally wanted the best
for their patients ; and, the payment for hospital services was made not
by the GPs, often not by the patients even, but by the insurers.
The same survey compared 'outcomes' and noted no discernible difference
between the well- ( ?over-) equipped towns, and the solo hospitals.
Market forces worked as per any more sophisticated model, but to
convolute procedures and to drive up prices.
We will -of course- return to matters relevant to arbitration next
issue.
EA
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2. DIARY OF EVENTS:
All contributions to this DIARY are welcome. It is both for
the individual arbitrator and for those who plan meetings.
Generally, listed meetings will be at least half-day and
usually full day events. Evening meetings are likely to be only of local
interest.
The emphasis is European: However to help in scheduling,
major world events are listed.
PLEASE see important note below,
before using any of this info.
1998:
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Mar. 13 LCIA North-American Council.
Joint conference with AAA.
Mar. 14 LCIA North American Council
Symposium. Miami.
May 4-6 ICCA Biennial Conference, Paris. fax: 00+46-8-723.0176.
May 8-10 LCIA European Council Symposium.
Tylney Hall, England.
May 15-17 European Branch CIArb. Biannual Conference.
June 3-6 CIArb. Birmingham.
June 23-24 WIPO Workshops for Mediators in Intellectual
July 21-24 'Internet Dispute Resolution Mechanisms'
and 'Resolution of
Sept. 6-11 CEDR. International Summer School.
Sept.12-13 LCIA North American Council Symposium.
Vancouver.
(October) LCIA Pan-African Council. Harare, Zimbabwe.
(October) Er) European Branch CIArb. Budapest.
Oct.15-17 SPIDR Annual Int'l Conference. Portland,
Oregon, USA.
Nov. 13 Second IBA International Arbitration
Day. Dusseldorf, Germany.
Please CONFIRM all details directly with organisers, the above material
is drawn from various sources and should not be relied on by itself(!).
contact details for frequently cited organisations:
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3. DIRECTORY:
American Arbitration Association
CIArb: E-mail: 71411.2735@compuserve.com
European Arbitration:
IBA: International Bar Association
Kluwer Law International 'Arbitration Site'
LCIA: Homepage: http://www.lcia-arbitration.com
SPIDR E-mail: spidr@igc.apc.org
WIPO E-mail: arbiter.mail@wipo.int
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4. NEWS ITEMS
Publications:
United States Court decision:
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5. INTERNET RELATED NEWS AND COMMENT:
(See also the 'Diary' for July: Sessions at the Internet Conference,
will touch on dispute settlement.)
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'European Arbitration' is free to readers. To subscribe, or
to unsubscribe, send a free text e-mail message to:
EUROPEAN ARBITRATION, EA and Interarb are
the trade marks of the publisher, the entire contents of European Arbitration
are the copyright of the publisher and individual contributors. Permission
is granted for not-for-profit, electronic redistribution and storage of
the material in this issue, provided this notice (including the publisher's
e-mail address) is included with the material. (mchapman@zen.dedal.fr.net)
Reprinting and resale of the material is strictly prohibited without
explicit consent of the copyright holder.
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Annecy. Michele Patocchi, fax +41.22.319.0600.
June 25-26 Property Disputes. Geneva.
Domain Name Disputes'. parts of Track 2 (social, legal,
regulatory). Internet Conference, Geneva.
http://www.isoc.org/inet98/
Vevey, Switzerland. fax: 00+44-171481.4442.
Contact Eugen Salpius fax +43.662.633.0033.
IBA/ICC/LCIA/DIS. Construction and infra-structure projects.
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CIArb see Internet Directory below.
EXCEPT CIArb Branch meetings:
contact person named in the Diary.
LCIA (London) t: 00441-719.363.530, f: 00441-719.363.533
The next 'full' Directory appears in EA27 (and the last was in
EA24). This edition's contains contact details for bodies mentioned in
the Diarys mentioned in
the Diary, new entrants, amended entries, etc.
Homepage:
http://www.adr.org
Homepage:
http://www.arbitrators.org
E-mail:
mchapman@zen.dedal.fr.net
E-mail:
confs@int-bar.org
Homepage:
http://www.kluwerlaw.com
Homepage:
http://www.spidr.org
Homepage:
http://www.wipo.int
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'The Commercial Way to Justice; The 1996 International Conference
of the Chartered Institute of Arbitrators.' G.M. Beresford Hartwell(ed.),
December 1997, Kluwer, ISBN: 90-411-0478-X, Hb, 200.00 NGL, 114.00 USD,
68.00 GBP.
'Yearbook on Commercial Arbitration, Volume XXII, 1997'.
A.J. van den Berg (ed), November 1997, Kluwer, ISBN: 90-411-0432-1, Pbk,
335.00 NGL, 208.00 USD, 131.00 GBP.
'Arbitration Site' Kluwer Law International.
Kluwer offer a site via their homepage (http://www.kluwerlaw.com).
The publishers state they are currently developing a comprehensive database
of arbitration material. This will include the full texts of arbitration
treaties, legislation, rules, case law and commentaries. It will be supplemented
by an extensive bibliography.
Full launch is scheduled for this Autumn.
Currently the site shows extracts from the database, as well as
an annotated version of the New York Convention.
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The following is reproduced, with thanks, from The International
Computer
Law Observer (February, 1998, No.3). ICLO is
an e-mail
repo report providing monthly coverage of significant
legal
developments from around the world relating
to computers,
technology and the Internet. Back issues and
a listing of the
Editorial Board can be found at http://www.lawcircle.com/observer
.
"[BOTTOM LINE] US COURTS ARE TO REVIEW ARBITRATION AWARDS
UNDER
THE STANDARDS CHOSEN BY THE PARTIES
[WHAT HAPPENED] US District Court in California had refused
to review an
arbitral award under the review standards (substantial
evidence and
errors of law) agreed upon by the parties in their
contract's
arbitration clause, finding that it could review only
under the standard
set forth in the U.S. Federal Arbitration Act ("FAA")
(manifest
disregard of the law).
On appeal, in Lapine Technology v. Kyocera, the U.S. 9th
Circuit Court
of Appeals disagreed saying that the FAA was enacted was
to ensure
enforcement of private agreements to arbitrate in
accordance with the
agreements' terms. The Court said that the parties
are generally free to
structure their arbitration agree their arbitration agreements as they see
fit including the
rules under which that arbitration will be conducted.
This 9th Circuit
panel stated its agreement with a 1995 decision by
the 5th Circuit,
Gateway Tech. v. MCI, which reached the same result.
The appellate panel also noted that, while the arbitration
was
contractually agreed to be held under the rules of the ICC
which provide
for finality of the arbitration award and waiver of
judicial review, a
contrary provision in the contract overrides those
rules.
[WHY IT HAPPENED] The FAA was enacted to counter the historic
unwillingness of the federal courts to enforce parties'
agreements to
arbitrate. It sets rules and standards for such
review which this
decision and others hold to be default standards only.
(It should be
noted that the FAA does not create jurisdiction for
review of arbitral
awards in the federal courts. The courts may
review awards only if they
would have had jurisdiction over the parties and the
dispute absent
arbitration.)
[THE SIGNIFICANCE] Parties to licensesCE] Parties to licenses and other contracts
often are
unsure about the type of judicial review they can obtain
in the United
States and may forego use of arbitration as a result. This
appellate
decision makes it clear that federal courts should honor
whatever
standard of review the parties agreed was best suited
to their contract.
In the absence of any agreement, the courts will apply
the minimal
standard of the FAA: that an award will be upheld
unless (as the
Supreme Court stated) it is "completely irrational."
[INFORMATION SOURCES]: For the 9th Circuit's Opinion in
Lapine Technology Corp. v. Kyocera Corp., see:
http://www.vcilp.org/Fed-Ct/Circuit/9th/opinions/9615319.htm
For the 5th Circuit's Opinion in Gateway Tech. v. MCI, see:
http://www.ca5.uscourts.gov/Opinions/Pub/93/1000/93-01101-cv0.htm
[CONTRIBUTING EDITOR] Chadbourne & Parke, Contact:
Barry Nemmers
barry.nemmers@chadbourne.com "
see also details of the Kluwer 'arbitration site' under
'Publications' in the previous section.
Electronic Dispute Resolution:
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A deliberately ambiguous title to note two recent papers, both
are published in the 'Journal of International Arbitration' 'ISSN 0255-8106),
September 1997, vol.14, issue 3.
Michael Schneider and Christopher Kuner
discuss 'Dispute Resolution in International Electronic Commerce' (on pages
5 to 37). After an extensive review of the background and developments
in this field, they (p.32- ) describe a 'model dispute resolution system
for electronic commerce'. The model is multi-tier and flexible. There is
a summary procedure before a mediator. If either party is not satisfied
then an appellate procedure would operate.
The 'mediator' would not only mediate but make decisions. Independence
could be strengthened by security of tenure, or by allowing consumer bodies
a say in appointments.
Simplified arbitration is suggested as one option for the appellate
procedure. This could be on-line.
They argue that the wholesale transfer of dispute resolution to
private tribunals might hinder the development of the law. In a developing
area such as this tribunals not only apply, but make, the law. The possibilityhe law. The possibility
of devising a mechanism for tribunals to refer new questions of law is
raised (and the old English 'special case' system mentioned).
Jasna Arsic asks 'International Commercial
Arbitration and the Internet - Has the Future Come Too Early,' (on pages
209 to 221). She introduces her paper by a review of the factual background:
e-mail, 'chat rooms' for hearings, teleconferencing by internet, digital
signatures, and digital notarisation (including authoritative dating of
documents).
The problems arising from the formal requirements of arbitration
are then discussed. In particular the requirements for a written agreement
and requirements for (written) signatures. This reviewer would note that
signatures on an agreement to arbitrate are specifically not required under
English law. A situation 'allowed' it is said, not least, to accommodate
so called salvage contracts. Thus the author's further discussion of whether
there will continue to be a need for a formal arbitral award with manuscript
signatures is of particular interest. Following a discussion on the place
of arbitration, the author concludes with a timely comment on harmonisation
of laws. If laws are not harmonised for electronic commerce, then " a new
wave of 'forum shopping' will emerge -one arising from 'cyber shopping'-
shopping for a jurisdiction which will be friendly to doing business, including
arbitrationncluding
arbitration, on the Internet. "
COPY DATE for EA26 is: March 16th.
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