Arbitration Model Clauses

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It is recommended that parties wishing to make reference to SCCA arbitration in their contracts use the standard clauses below: 

  •  Arbitration:
    Any dispute, controversy or claim arising out of or relating to this contract, or the breach, termination or invalidity thereof, shall be settled by arbitration administered by the Saudi Center for Commercial Arbitration (SCCA) in accordance with its Arbitration Rules.

Note: this clause is merely a suggestion. Ideally, a licensed lawyer would be consulted before incorporating the clause into a contract.

 

  •  Step Clause:
    Any dispute, controversy or claim arising out of or relating to this contract, or a breach, termination or invalidity thereof, the parties hereto agree first to try to settle it by mediation, administered by the Saudi Center for Commercial Arbitration (SCCA) in accordance with its Mediation Rules. If settlement is not reached within 45 days after service of a written request for mediation, any unresolved dispute, controversy or claim arising out of or relating to this contract shall be settled by arbitration administered by the SCCA in accordance with its Arbitration Rules.

Note: this clause is merely a suggestion. Ideally, a licensed lawyer would be consulted before incorporating the clause into a contract.

 

  • Model Arbitration Clause - Expedited Procedures

The Expedited Procedures shall apply to all disputes where the parties agree to have their dispute administered by SCCA under its arbitration rules if the amount in dispute does not exceed 4,000,000 SAR exclusive of arbitration costs. However, parties wishing to opt in or opt out of Expedited Procedures may consider one of the standard clauses below.

 

  • Opt-In Clause Regardless of the Amount in Dispute

“Any dispute, controversy or claim arising out of or relating to this contract, or the breach, termination or invalidity thereof, shall be settled by arbitration administered by the Saudi Center for Commercial Arbitration (the “SCCA”) in accordance with its Arbitration Rules, and the Expedited Procedures provisions set forth in Appendix II to SCCA Rules shall apply, irrespective of the amount in dispute.”

Note: This clause is merely a suggestion. Ideally, a licensed lawyer would be consulted before incorporating the clause into a contract.

 

  • Opt-In Clause with a Higher Ceiling for the Amount in Dispute 

“Any dispute, controversy or claim arising out of or relating to this contract, or the breach, termination or invalidity thereof, shall be settled by arbitration administered by the Saudi Center for Commercial Arbitration (the “SCCA”) in accordance with its Arbitration Rules, and the Expedited Procedures provisions set forth in Appendix II to SCCA Rules shall apply, provided that the amount in dispute does not exceed SAR [specify amount] at the time of filing the Notice of Arbitration.”

Note: This clause is merely a suggestion. Ideally, a licensed lawyer would be consulted before incorporating the clause into a contract.

 

  • Opt-Out Clause

“Any dispute, controversy or claim arising out of or relating to this contract, or the breach, termination or invalidity thereof, shall be settled by arbitration administered by the Saudi Center for Commercial Arbitration (the “SCCA”) in accordance with its Arbitration Rules. The Expedited Procedures provisions set forth in Appendix II to SCCA Rules shall not apply, irrespective of the amount in dispute.”

Note: This clause is merely a suggestion. Ideally, a licensed lawyer would be consulted before incorporating the clause into a contract.