Introduction

 

Selecting the appropriate arbitral institution is a critical decision for parties involved in a dispute. It is essential to ensure that the arbitral institution is capable and experienced in administering arbitrations effectively and that the procedural rules are familiar and instill confidence in all parties.

This second edition of the SCCA Arbitration Rules (the “Rules”) is a testament to the Saudi Center for Commercial Arbitration’s (the “SCCA”) commitment to providing first-class case administration services while offering the flexibility to meet clients’ evolving needs. The Rules are designed to respond to the unique characteristics of each dispute, emphasizing party autonomy and the right of users to determine how their disputes are resolved.

At the same time, the Rules contain prescriptive provisions to ensure that disputes are resolved fairly, efficiently, and promptly while upholding the fundamental principle of due process. Robust governance under the Rules aims to maximize process efficiency by addressing threshold issues early, promptly appointing the Arbitral Tribunal, and managing the parties and process without incurring unnecessary costs and delays. The Rules are developed in accordance with international best practices, making them a reliable choice for parties seeking to resolve their disputes through arbitration.

SCCA Arbitration Rules

The Rules were first adopted on 1 May 2016. This second edition was developed with the expertise and support of the SCCA Rules Advisory Committee and the input from local and international practitioners, following extensive public consultation. The Rules, which came into effect on 1 May 2023, are a result of a comprehensive review and improvement process aimed at enhancing efficiency, reducing costs, and optimizing the arbitration process.

The Rules introduce several amendments that promote effective case management and address emerging issues and practices. The SCCA Court is now empowered to determine key administrative aspects of the arbitration process, such as the appointment/removal of arbitrators, fixing of costs, consolidation, and award review. The Rules encourage the use of technology, such as the electronic transmission of documents, presentation of evidence utilizing electronic means, and the electronic signing of awards, to minimize the environmental impact and optimize efficiency. Additionally, small claims disputes not exceeding a certain threshold are automatically subjected to the Online Dispute Resolution Procedure Rules.

The Rules also regulate arbitrations involving multiple contracts and parties, with provisions for joinder, consolidation, and coordination of parallel arbitrations. There is a greater emphasis on transparency, with the disclosure of non-parties with an economic interest in the outcome, such as third-party funders. The composition of the Arbitral Tribunal is governed robustly, with two additional reasons to challenge an arbitrator for failing to perform or lacking the qualifications agreed upon by the parties.

The discretion of the Arbitral Tribunal is expanded, with the right to control and supervise changes in party representatives, encourage amicable dispute resolution, limit the length of written statements and document requests, and conduct hearings remotely. The Rules also prioritize cybersecurity, privacy, and data protection.

Overall, this second edition builds upon the success of its predecessor and represents the most up-to-date and comprehensive set of rules for international arbitration. The Rules apply to all arbitrations filed on or after 1 May 2023.

Expedited Procedure Rules (Appendix II)

The Expedited Procedure Rules were first adopted on 15 October 2018 and have been revised to align with the amendments made to the Rules. The second edition of the Expedited Procedure Rules applies alongside the Rules and prevails over the Rules in case of conflict. The Expedited Procedure Rules were designed for disputes of reduced size or complexity, where the complete procedural protocol provided by the Rules is not justified. The most prominent feature of the Expedited Procedure Rules is that only one arbitrator is appointed to hear the case in a single hearing day. Moreover, the sole arbitrator must issue the final award within 30 days from the date of closure of the proceedings, or within 180 days from the date of the arbitrator’s appointment, whichever event occurs first. The Expedited Procedure Rules also provide parties with a fast tracked and streamlined process, the option of having the arbitrator decide the dispute based solely on written submissions, and abbreviated time limits.

The Expedited Procedure Rules automatically apply where the aggregate amount in dispute does not exceed SAR 4,000,000 (exclusive of costs of arbitration), but parties may opt into the Expedited Procedure Rules regardless of the aggregate amount in dispute.

The second edition of the Expedited Procedure Rules came into effect on 1 May 2023 and applies to all arbitrations filed on or after this date, regardless of the date the parties concluded their contract.

Emergency Arbitrator Procedure Rules (Appendix III)

The Emergency Arbitrator Procedure Rules were first adopted on 15 October 2018 and have been revised to align with the amendments made to the Rules. The Emergency Arbitrator Procedure Rules enable parties to seek emergency relief without having to wait for the constitution of the Arbitral Tribunal by applying for the appointment of an Emergency Arbitrator to consider the application. In contrast to the previous edition, the revised Emergency Arbitrator Procedure Rules provide greater flexibility by allowing any party to file an application for emergency relief even before transmitting a Request for Arbitration to the SCCA. However, the Request for Arbitration must follow within 10 calendar days to avoid the termination of the emergency arbitration.

Appendix III comprehensively outlines the emergency arbitration process, from the filing of the application to the issuance of the interim award or order, with clear and efficient timelines. The Emergency Arbitrator must be appointed within one business day from the date of commencement of the emergency arbitration, and the interim award or order must be issued within 14 days from the date on which the case file has been transmitted to the Emergency Arbitrator.

The revised Emergency Arbitrator Procedure Rules came into effect on 1 May 2023 and apply to all arbitrations filed on or after this date.

Online Dispute Resolution Procedure Rules (Appendix IV)

The Online Dispute Resolution (“ODR”) Procedure Rules were first adopted on 15 October 2018 and have been revised once before on 1 July 2021. This third edition has been revised to align with the amendments made to the Rules. The third edition of the ODR Procedure Rules applies alongside the Rules and prevails over the Rules in case of conflict. The ODR Procedure Rules are specifically tailored for small disputes where the aggregate amount in dispute does not exceed SAR 200,000 (exclusive of costs of arbitration). Under the ODR Procedure Rules, the SCCA shall promptly appoint a sole arbitrator. The arbitrator shall then issue the final award within 30 days from the date of his or her appointment. The final award is typically based on the parties’ written submissions, unless the parties agree otherwise or the arbitrator deems it necessary to hold a hearing, which would typically be held via phone or videoconference.

The third edition of the ODR Procedure Rules came into effect on 1 May 2023 and applies to all arbitrations filed on or after this date, regardless of the date the parties concluded their contract.

SCCA Model Clauses

This book provides several model clauses for parties seeking to settle their disputes through arbitration administered by the SCCA. These model clauses have been drafted in a clear and concise manner to facilitate their use. Parties are encouraged to consider incorporating additional elements into their clauses, such as the number of arbitrators, the place of arbitration, or the language of arbitration, to tailor the clause to their specific needs. If parties wish to include an SCCA arbitration clause in their contract, they should review the SCCA Guide to Drafting Dispute Resolution Clauses, available on the SCCA’s website at www.sadr.org, and seek legal advice as necessary.

Contact Information

Phone: +966-920003625
Email: Info@sadr.org
URL:
www.sadr.org

Riyadh Headquarters

7982 King Fahd Branch Road
Federation of Saudi Chambers Building, 8th Floor
P.O. Box: 4183
Riyadh 12711-4183, Al Mutamarat
Kingdom of Saudi Arabia

Jeddah Office

Al Amana Street
Jeddah Chamber Building, 7th Floor
P.O. Box: 1264
Jeddah 21431, Al Baghdadiya West
Kingdom of Saudi Arabia

Dubai Office

Sheikh Zayed Road
Al Fattan Currency House, Tower 2, 3rd Floor
Office No. 307-308
P.O. Box: 747
Dubai, DIFC
United Arab Emirates

 

 

 

 

 

 

SCCA Arbitration Rules

Effective 1 May 2023

Section I – Introductory Rules

In these SCCA Arbitration Rules and appendices, the following words have these meanings:

  • Administrator: The SCCA acting in the role of the administrator
  • Arbitral Tribunal: A panel of one or more arbitrators that decides arbitrations
  • Award or awards: Includes an interim, partial, final, or additional award issued by an arbitrator
  • Claimant: Includes one or more claimants
  • Claim or claims: Includes claims, counterclaims, crossclaims, and any claim for the purpose of a set-off
  • Day or days: Calendar day(s)
  • Emergency Arbitrator: A sole arbitrator who decides emergency arbitrations
  • Notice: Any written notification, communication, proposal, request, answer, pleading, or submission
  • Party or parties: Includes claimants, respondents, and additional parties
  • President: The president of the SCCA Court
  • Respondent: Includes one or more respondents
  • Rules: SCCA Arbitration Rules
  • SCCA: Saudi Center for Commercial Arbitration
  • SCCA Court: Court of the Saudi Center for Commercial Arbitration, including its President, Vice-Presidents, members, and committees
  • Vice President or Vice Presidents: One or more vice presidents of the SCCA Court
  1. Where parties have agreed that disputes between them in respect of a defined legal relationship, whether contractual or not, shall be referred to arbitration under these Rules, or have provided for arbitration of a dispute by the SCCA without designating particular rules, then such disputes shall be settled in accordance with these Rules. They thereby authorize the SCCA to administer the arbitration.
  2. These Rules shall come into force on 1 May 2023 and shall apply to any arbitration that is commenced on or after that date. The appendices to these Rules shall form an integral part of these Rules.
  3. These Rules specify the duties and responsibilities of the SCCA as the Administrator. Except those functions reserved for the SCCA Court under these Rules and the Internal Rules of the SCCA Court, the Administrator may provide services through any SCCA case management office or through arbitral institutions with which the SCCA has cooperation agreements. Arbitrations administered under these Rules shall be administered exclusively by the SCCA or by an organization authorized by the SCCA to do so.
  4. These Rules shall govern the arbitration except where any of these Rules is in conflict with a provision of the law applicable to the arbitration from which the parties cannot derogate, in which case that provision shall prevail.
  5. Unless the parties agree otherwise, these Rules shall apply together with:
    1. The Expedited Procedure Rules, if the matter falls within the scope of application as set forth in Article 1 of Appendix II; or, alternatively,
    2. The Online Dispute Resolution Procedure Rules, if the matter falls within the scope of application as set forth in Article 1 of Appendix IV.
    In the event of any conflict, the provisions of Appendix II (if applicable) or, alternatively, Appendix IV (if applicable) shall prevail over these Rules.
  1. The SCCA Court is a body independent of the SCCA, which performs certain functions set forth in the Rules and the Internal Rules of the SCCA Court.
  2. Except where the Rules state otherwise, the decisions of the SCCA Court shall be final and binding upon the parties and the Arbitral Tribunal. The parties waive any right of appeal or review in respect of the decisions of the SCCA Court.
  1. Unless the parties agree, or the Arbitral Tribunal orders, otherwise, a Notice shall be transmitted by courier, registered mail, or any means of communication that provides a record of its transmission, including email or other electronic means.
  2. If a party has designated a physical or electronic address specifically for this purpose, any Notice shall be delivered to that party or its authorized representative at that address, and if so delivered shall be deemed to have been received. In the absence of such a designation, a Notice shall be deemed to have been received if it has been delivered to that party or its authorized representative (1) by personal service, (2) at the place of business, (3) at the habitual residence, (4) at the email address which the addressee represents as its authorized email address at the time of such a communication, or (5) if, after reasonable efforts, none of these can be found or delivery fails, at the addressees’ last known place of business or habitual residence.
  3. A Notice shall be deemed to have been received on the day it is delivered in accordance with paragraph 2 of this Article. A Notice transmitted by email or other electronic means shall be deemed to have been received on the day it is sent.
  4. A Notice submitted to the Arbitral Tribunal by one party shall at the same time be transmitted by that party to all other parties and, unless the Administrator instructs otherwise, to the Administrator.
  5. For the purpose of calculating a period of time under these Rules, such period shall begin to run on the day following the day when a Notice has been transmitted or deemed to have been transmitted in accordance with paragraph 2 of this Article. If the last day of such period is an official holiday or a non‑business day at the addressee’s place of business or habitual residence, the period of time shall be extended until the first business day which follows. Official holidays or non-business days occurring during the running of the period of time are included in calculating such period.
  6. The Administrator, if the Arbitral Tribunal has not yet been constituted, may extend any of the periods of time provided in these Rules if it considers such an extension justified. Once constituted, the Arbitral Tribunal may extend such periods of time at its discretion except the one provided in Article 33(4) and any other periods of time established by the Administrator.
  1. The Claimant shall transmit the Request for Arbitration, including all accompanying documents, to the other parties and to the Administrator as set forth in Article 4.
  2. The Request for Arbitration shall include:
    1. A statement that the dispute be referred to SCCA arbitration;
    2. The names and contact details of the parties and, if known, of their authorized representatives;
    3. A copy of the contract(s) or legal instrument(s) out of which or in relation to which the dispute arises, and a copy of the arbitration agreement(s) invoked by the Claimant to support its claims if not part of the contract(s) or legal instrument(s);
    4. A description of the claim and a concise summary of the facts supporting it;
    5. A statement of the relief or remedy sought and any amount claimed; and
    6. A proposal as to the number of arbitrators, language of arbitration, and place of arbitration, if the parties have not previously agreed thereon.
  3. The constitution of the Arbitral Tribunal shall not be affected by any disagreement between the parties with respect to the adequacy of the Request for Arbitration, which shall be finally resolved by the Arbitral Tribunal.
  4. The Request for Arbitration shall be accompanied by the appropriate SCCA registration fee set set forth in Article 1 of Appendix I. An arbitration shall be deemed to commence on the date on which the Administrator determines at its discretion that the above filing requirements have been satisfied and the SCCA registration fee has been paid.
  1. Within 30 days of the commencement of the arbitration, the Respondent shall transmit the Answer to the Request for Arbitration, including all accompanying documents, to the other parties and the Administrator as set forth in Article 4.
  2. The Answer to the Request for Arbitration shall include:
    1. The Respondent’s name and contact details;
    2. A response to the claim and the relief or remedy sought that has been set out in the Request for Arbitration, in accordance with Article 5(2)(d) and (e); and
    3. Any plea that the Arbitral Tribunal to be constituted under these Rules lacks jurisdiction.
  3. The Answer to the Request for Arbitration may also include:
    1. A brief description of counterclaims or claims for the purpose of a set off, if any. This shall include the supporting facts, an indication of the relief or remedy sought, and any amount claimed; and
    2. Any observations or proposals concerning the number of arbitrators, language of arbitration, and place of arbitration in light of the Claimant’s proposal.
  4. The Respondent’s failure to submit an Answer to the Request for Arbitration shall not prevent the arbitration from proceeding.
  1. Any party (the “Applicant”) may request emergency relief before the constitution of the Arbitral Tribunal by transmitting a written application, including all accompanying documents, (the “Application”) to the Administrator and to the other parties by email as set forth in Appendix III. Only if a party’s email address (as identified in Article 4(2) is not available to the Applicant, the electronic delivery fails, or the parties expressly have agreed otherwise, the Applicant shall transmit the Application by the other means set forth in Article 4. The Application must include a statement certifying that the other parties have been notified or an explanation of the steps taken in good faith to notify the other parties.
  2. In its Application, the Applicant shall specify the nature of the relief sought, the reasons why such relief is required on an emergency basis, and the reasons why the Applicant is entitled to such relief.
  3. The Application shall be accompanied by the appropriate SCCA administrative fee and Emergency Arbitrator fee set forth in Article 9 of Appendix III. An emergency arbitration shall be deemed to commence on the date the Administrator determines at its discretion that the above filing requirements have been satisfied and the fees have been paid.
  4. The Administrator shall terminate the emergency arbitration if it has not received a Request for Arbitration from the Applicant within 10 days of the receipt of the Application, unless the Emergency Arbitrator determines that a longer period of time is necessary.
  5. Within one business day of receipt of the Application as provided in paragraph 1 of this Article, the SCCA Court shall appoint a single Emergency Arbitrator. Prior to accepting the appointment, a prospective Emergency Arbitrator shall, in accordance with Article 17, disclose to the Administrator any circumstances that may give rise to justifiable doubts as to his or her impartiality or independence. Any challenge to the appointment of the Emergency Arbitrator must be made within one business day of the Administrator’s communication to the parties of the appointment of the Emergency Arbitrator and the circumstances disclosed.
  6. As soon as possible, and in any event within two business days of the appointment, the Emergency Arbitrator shall establish a schedule for consideration of the Application. Such a schedule shall provide all parties with a reasonable opportunity to be heard and may provide for proceedings by telephone, video, written submissions, or other suitable means, as alternatives to an in-person hearing. The Emergency Arbitrator shall have the authority vested in the Arbitral Tribunal under Article 24, including the authority to rule on his or her own jurisdiction, and shall resolve any disputes over the applicability of this Article.
  7. The Emergency Arbitrator shall have the powerto order or award any interim, provisional, or precautionary measures that the Emergency Arbitrator deems necessary, including injunctive relief and measures for the protection or conservation of property. Any such measure may take the form of an interim award or order. The Emergency Arbitrator shall state the reasons upon which his or her interim award or order is based, which may be in summary form. The Emergency Arbitrator may modify or vacate the interim award or order. Any interim award or order shall have the same effect as an interim measure made in accordance with Article 28 and shall be binding on the parties once issued. The parties shall undertake to comply with such an interim award or order without delay.
  8. The Emergency Arbitrator shall issue his or her interim award or order no later than 14 days from the date on which the case file was transmitted to the Emergency Arbitrator. The Administrator may extend this time limit in accordance with a reasoned request from the Emergency Arbitrator or on its own initiative if it considers it necessary to do so.
  9. Any interim award or order issued by the Emergency Arbitrator shall cease to be binding on the parties:
    1. If all claims are withdrawn or the arbitration is terminated before the final award is issued; or
    2. If the Request for Arbitration is not submitted in accordance with Article 5(2), or the dispute is not registered by the Administrator, the party against which the interim award or order is issued may in this case request the Emergency Arbitrator to issue a new interim award or order withdrawing the previous interim award or order.
  10. The Emergency Arbitrator’s powers shall terminate once the Arbitral Tribunal is constituted. Once the Arbitral Tribunal has been constituted, it may reconsider, modify, or vacate the interim award or order issued by the Emergency Arbitrator. The Emergency Arbitrator may not serve as a member of the Arbitral Tribunal unless the parties so agree.
  11. The Emergency Arbitrator may condition the issuance of any interim award or order on the provision of appropriate security by the party seeking such relief.
  12. A request for interim measures transmitted by a party to a judicial authority shall not be deemed incompatible with this Article or with the agreement to arbitrate or a waiver of the right to arbitrate.
  13. The costs associated with the Application, including the SCCA administrative fee and the Emergency Arbitrator fee, shall be addressed by the Emergency Arbitrator, subject to the power of the Arbitral Tribunal to determine finally the allocation of such costs in the final award.
  1. Any party may amend or supplement its Request for Arbitration, the Answer, or any statement of claim or defense prior to the constitution of the Arbitral Tribunal.
  2. Once constituted, any request to amend or supplement shall be subject to the Arbitral Tribunal’s permission. In deciding whether it permits such a request, the Arbitral Tribunal shall take into account whether it causes undue delay, prejudices the other parties, falls outside the Arbitral Tribunal’s jurisdiction, or any other circumstances the Arbitral Tribunal considers inappropriate. The Arbitral Tribunal may subject its permission to amend or supplement a claim to the provision of appropriate security by the requesting party.
  1. Each party may be represented or assisted by persons chosen by it. Unless applicable law requires otherwise, any party may be represented or assisted by legal practitioners or any other authorized representatives, including foreign legal practitioners regardless of the jurisdiction in which they are based or licensed to practice.
  2. The names and addresses of such persons must be communicated to all parties, the Arbitral Tribunal and the Administrator. Such communication must specify whether the appointment is being made for the purposes of representation or assistance. Where a person is to act as a representative of a party, the Arbitral Tribunal and the Administrator, on their own initiative or at the request of any party, may at any time require proof of authority granted to the representative in such a form as the Arbitral Tribunal or the Administrator may determine.
  3. Each party must promptly inform the other parties, the Arbitral Tribunal, and the Administrator if it proposes to change or add a representative. The Arbitral Tribunal may refuse to allow a proposed change in representation if it considers it necessary to safeguard the composition of the Arbitral Tribunal or the finality of the award. In taking that decision, the Arbitral Tribunal shall take into account, among other things, the stage of the arbitration and the likely impact of the change or addition in representation.
  1. The Administrator may conduct an administrative conference before the Arbitral Tribunal is constituted to facilitate party discussion and agreement on issues such as arbitrator selection, process efficiencies, and any other administrative matters. Unless the parties agree otherwise, the administrative conference shall be held remotely by videoconference, telephone, or any other appropriate means of remote communication.

Section II – Multi-Contract and Multi-Party Arbitration

  1. Claims arising out of or in connection with more than one contract or arbitration agreement may be made in a single Request for Arbitration where:
    1. The relief sought arises out of the same transaction or a series of related transactions;
    2. A common question of law or fact arises under each arbitration agreement giving rise to the arbitration; and
    3. If applicable, the multiple arbitration agreements under which the claims are made are compatible.
  2. Any objections by any party as to whether all of the claims may be determined together in a single arbitration shall not prevent the Administrator from proceeding with the administration of the matter. Any such objections shall be referred to the Arbitral Tribunal once constituted for determination unless the Administrator at its discretion refers any such objections to the SCCA Court for determination. Where an objection is referred to the SCCA Court for determination, the SCCA Court shall have regard to the requirements for consolidation set forth in Article 13. The SCCA Court’s determination to proceed with a single arbitration does not prevent the Arbitral Tribunal from making any determinations under Article 24.
  1. A party wishing to join an additional party to the arbitration shall submit a request for joinder to the Administrator, the additional party, and the other parties. No party may be joined after the appointment of any arbitrator, unless:
    1. All parties agree, including the additional Party, and the additional party accepts the constitution of the Arbitral Tribunal; or
    2. The additional party agrees with the joinder, accepts the constitution of the Arbitral Tribunal, and the Arbitral Tribunal determines that the joinder is appropriate.
  2. In deciding whether the joinder is appropriate, the Arbitral Tribunal shall take into account all relevant circumstances of the case, including whether the Arbitral Tribunal has prima facie jurisdiction over the additional party, the timing of the request for joinder, possible conflicts of interests, and the impact of the joinder on the arbitration.
  3. The date on which the additional party accepts to be joined shall be deemed to be the date of the commencement of arbitration against the additional party.
  4. The request for joinder shall contain the same information required of a Request for Arbitration under Article 5(2).
  5. The additional party shall submit an Answer in accordance with Article 6.
  6. The additional party may make claims against any other party in accordance with Article 6.
  1. The SCCA Court may, at the request of a party or the Arbitral Tribunal, consolidate two or more arbitrations pending under the Rules into a single arbitration, where:
    1. The parties have agreed to consolidation;
    2. All the claims in the arbitrations are made under the same arbitration agreement(s); or
    3. The claims in the arbitrations are not made under the same arbitration agreement(s), but the disputes in the arbitrations arise in connection with the same legal relationship, and the SCCA Court finds the arbitration agreement(s) to be compatible.
  2. No application for consolidation may be made under this Article if the Arbitral Tribunal in any of the arbitrations has been fully constituted, unless:
    1. All parties to all arbitrations agree to consolidation; or
    2. All members of all Arbitral Tribunals are identical and each Arbitral Tribunal requests that there be consolidation.
  3. In deciding whether to consolidate two or more arbitrations, the SCCA Court shall have regard to all relevant circumstances, including:
    1. The applicable law;
    2. The extent to which the same arbitrators have been appointed in all the relevant proceedings;
    3. The progress already made in the arbitrations;
    4. Whether the arbitrations raise common issues of law and/or facts; and
    5. Whether the consolidation of the arbitrations would serve the interests of justice and efficiency.
  4. Where the SCCA Court decides to consolidate two or more arbitrations, each party in those arbitrations shall be deemed to have waived its right to nominate an arbitrator. The SCCA Court shall, as necessary, complete the appointment of the Arbitral Tribunal in the consolidated arbitration, and may revoke the confirmation or appointment of any arbitrators, appoint additional arbitrators, or select one of the previously appointed arbitrators to serve in the consolidated arbitration.

After consultation with the parties, the Arbitral Tribunal may coordinate the proceedings in two or more arbitrations under these Rules, including by aligning specific procedural aspects of the arbitrations, issuing a single award in relation to all arbitrations, or suspending any of those arbitrations until after the determination in another, where:

  1. The same Arbitral Tribunal is constituted in each arbitration;
  2. A common question of law or fact arises in each arbitration; and
  3. Coordination will assist in resolving the dispute(s) in an expeditious and cost-effective manner.

Section III – Composition of the Arbitral Tribunal

If the parties have not previously agreed on the number of arbitrators, one arbitrator shall be appointed, unless the SCCA Court, after consultation with the parties, determines at its discretion that three arbitrators are appropriate because of the size, complexity, or other circumstances of the case.

Nomination under agreed procedure

  1. The parties may agree upon any procedure for nominating arbitrators and shall inform the Administrator promptly of any such agreed procedure.
  2. The parties may agree to nominate any arbitrators with or without the Administrator’s assistance. When such nominations are made, the parties shall take into account the arbitrators’ availability to serve and shall notify the Administrator promptly so that a statement of acceptance can be sent to the arbitrators, together with a copy of these Rules.
  3. Where the parties have agreed upon a procedure for nominating the arbitrators, but all nominations have not been made within the time limits provided by that procedure, the SCCA Court may, at the written request of any party, perform all functions provided for in that procedure that remain to be performed.
  4. If within 30 days after the commencement of the arbitration, or any other time agreed by the parties, the arbitrators have not been nominated, the SCCA Court shall, at the request of any party, appoint the arbitrators in accordance with the below provisions.
  5. Nomination of a sole arbitrator

  6. If the matter is to be resolved by one arbitrator, the parties should attempt to nominate the arbitrator jointly. If the parties have not made such a joint nomination within 30 days of the commencement of the arbitration, the SCCA Court shall appoint the arbitrator in accordance with the below provisions.
  7. Nomination of Arbitral Tribunal members

  8. If the matter is to be resolved by a three-member Arbitral Tribunal, and where the parties have not agreed otherwise, the Claimant and the Respondent shall each nominate one arbitrator no later than 30 days after the commencement of the arbitration.
  9. If there are more than two parties to an arbitration, the multiple Claimants, jointly, or the multiple Respondents, jointly, shall nominate an arbitrator no later than 30 days after the commencement of the arbitration.
  10. Where an additional party has been joined in accordance with Article 12, the additional party may, jointly with the Claimant or jointly with the Respondent, appoint an arbitrator no later than 30 days after the joinder of the additional party.
  11. In the absence of a joint nomination within the time limit provided in paragraph 7 or 8 of this Article, the SCCA Court shall appoint each member of the Arbitral Tribunal in accordance with the provisions below and shall designate the presiding arbitrator. In that case, each party shall be deemed to have waived its right to nominate an arbitrator, and the SCCA Court may revoke the confirmation or appointment of any arbitrators.
  12. Unless the parties agree otherwise, the third arbitrator, who shall act as presiding arbitrator, shall be appointed by the SCCA Court in accordance with the below provisions.
  13. Appointment by the SCCA Court

  14. All arbitrators shall be appointed by the SCCA Court, whether nominated by the parties or otherwise.
  15. In making appointments, the SCCA Court shall, after consultation with the parties through the Administrator, endeavor to appoint suitable arbitrator(s), taking into account their availability to serve and their ability to conduct the arbitration in accordance with the Rules.
  16. When appointing arbitrators, the SCCA Court may at its discretion make a direct appointment or appoint an arbitrator using the list procedure set forth in paragraph 15 of this Article.
  17. Notwithstanding any agreement by the parties on the number of arbitrators or the nomination procedure, the SCCA Court may in exceptional circumstances directly appoint the arbitrator(s) to avoid a significant risk of unequal treatment or unfairness that may risk affecting the validity of the award. In that case, each party shall be deemed to have waived its right to nominate an arbitrator, and the SCCA Court may revoke the confirmation or appointment of any arbitrators.
  18. The SCCA Court may at its discretion appoint arbitrator(s) using the following list method:
    1. The Administrator shall simultaneously send each party an identical list of names of persons for consideration as arbitrator(s). The parties should attempt to agree to an arbitrator from the submitted list and should inform the Administrator promptly of any agreement.
    2. If, after receipt of the list, the parties are unable to agree upon an arbitrator(s), each party shall have 14 days from the transmittal date in which to strike names objected to, number the remaining names in order of preference, and return the list to the Administrator. If a party does not return the list within the time specified, all persons on it shall be deemed acceptable. The parties are not required to exchange selection lists.
    3. From among the persons who have been approved on the parties’ lists, and in accordance with the designated order of mutual preference, the SCCA Court shall appoint an arbitrator to serve.
    4. If the parties fail to agree on any of the persons listed, or if the appointment cannot be made from the submitted lists, the SCCA Court shall have the power to make the appointment without the submission of additional lists.
    5. The SCCA Court shall designate the presiding arbitrator.
  1. Arbitrators acting under these Rules shall be impartial and independent. They shall act in accordance with the terms of the statement of acceptance provided by the Administrator and the SCCA Code of Ethics for Arbitrators.
  2. Upon accepting a nomination, an arbitrator shall sign the statement of acceptance provided by the Administrator affirming availability to serve, independence, and impartiality. The arbitrator shall disclose any circumstances that may give rise to justifiable doubts as to his or her impartiality or independence.
  3. If, at any stage during the arbitration, circumstances arise that may give rise to such doubts, an arbitrator or party shall promptly disclose such information to all parties and to the Administrator. Upon receipt of such disclosure from an arbitrator or a party, the Administrator shall communicate it to all parties and, in case of a three-member Arbitral Tribunal, to all arbitrators.
  4. A disclosure by an arbitrator or party does not necessarily indicate belief by the arbitrator or party that the disclosed information gives rise to justifiable doubts as to the arbitrator’s impartiality or independence.
  5. Failure of a party to disclose any circumstances that may give rise to justifiable doubts as to an arbitrator’s impartiality or independence within a reasonable period after the party becomes aware of such information constitutes a waiver of the right to challenge an arbitrator based on those circumstances.
  6. Each party must promptly disclose to the Administrator, all the other parties, and the arbitrators the identity of any non-party who has an economic interest in the arbitration’s outcome, including any third-party funder.
  7. Except as provided for in Canon III(B) of the SCCA Code of Ethics for Arbitrators, the parties shall avoid any form of unilateral communication with an arbitrator or prospective arbitrator regarding the arbitration. If any such communication is made, all the other parties and the Arbitral Tribunal shall be informed immediately of the substance of and reasons for such communications.
  1. Any arbitrator may be challenged if:
    1. Circumstances exist that give rise to justifiable doubts as to the arbitrator’s impartiality or independence;
    2. The arbitrator has failed to perform his or her duties; or
    3. The arbitrator manifestly does not possess the qualifications agreed to by the parties.
  2. The Administrator may on its own initiative request that the SCCA Court consider the removal of an arbitrator for failing to perform his or her duties.
  3. A party that intends to challenge an arbitrator shall send a Notice of its challenge to the Administrator within 14 days after:
    1. It has been notified of the appointment of the challenged arbitrator; or
    2. The circumstances mentioned in paragraph 1 of this Article became known to that party.
    The Notice shall state the reasons for the challenge. Unless the Arbitral Tribunal decides otherwise, any challenge does not suspend or otherwise affect the ongoing arbitration.
  4. Upon receipt of such a challenge, the Administrator shall notify the other parties and the Arbitral Tribunal of the challenge. The Administrator shall give the other parties, the challenged arbitrator, and the other members of the Arbitral Tribunal an opportunity to comment in writing within a suitable period of time. Such comments shall be communicated to the Administrator, all the parties, and the members of the Arbitral Tribunal.
  5. When an arbitrator has been challenged by a party, all parties may agree to the challenge. The arbitrator may also withdraw from office. In neither case does this imply acceptance of the validity of the grounds for the challenge.
  6. If all parties do not agree to the challenge and the challenged arbitrator does not withdraw, the SCCA Court shall decide on the admissibility and merits of the challenge.
  7. Upon the request of any party, the SCCA Court may at its discretion provide written reasons regarding its decision on the challenge. The provision of reasons may be subject to the payment of a fee to be fixed by the SCCA Court.

If an arbitrator resigns or is removed for any reason and the office becomes vacant, a replacement arbitrator shall be appointed. The SCCA Court may decide to follow the original nominating process or otherwise make an appointment in accordance with Article 16.

The Arbitral Tribunal may, with the consent of the parties, appoint a tribunal secretary who shall serve in accordance with these Rules and the SCCA Secretary Regulations.

Arbitrators (including any Emergency Arbitrator), any person appointed by the Arbitral Tribunal, the Administrator, the SCCA Board of Directors and its members, the SCCA Court and its members, the SCCA Committees and its members, and the SCCA and its employees shall not be liable to any party for any act or omission in connection with any arbitration under these Rules, except to the extent that such a limitation of liability is prohibited by applicable law. The parties agree that none of the afore-mentioned persons or bodies shall be under any obligation to make any statement about the arbitration, and no party shall seek to make any of these persons or bodies a party or witness in any judicial or other proceeding related to the arbitration.

Section IV – Arbitral Proceedings

  1. If the parties do not agree on the place of arbitration by a date established by the Administrator, the SCCA Court shall initially determine the place of arbitration subject to a final determination to be made by the Arbitral Tribunal within 30 days from the date of its constitution.
  2. In determining the place of arbitration, both the SCCA Court and the Arbitral Tribunal shall have regard to the circumstances of the case and the convenience of such a place to the parties.
  3. Unless the parties agree otherwise and save where hearings are held remotely as set forth in Article 29(2), the Arbitral Tribunal may meet at any location it considers appropriate, irrespective of the place of arbitration, to conduct hearings and procedural meetings. The Arbitral Tribunal may meet at any location it considers appropriate to deliberate.
  4. The award shall be deemed to have been issued at the place of arbitration regardless of where the award is signed, including electronically.
  1. If the parties do not agree on the language(s) of arbitration by a date established by the Administrator, the Administrator shall initially determine the language(s) of the arbitration subject to a final determination to be made by the Arbitral Tribunal within 30 days from the date of its constitution.
  2. In determining the language(s) of arbitration, both the Administrator and the Arbitral Tribunal shall be guided by the language(s) of the arbitration agreement, any contract within which the arbitration agreement is contained, the circumstances of each case, and the convenience of the chosen language(s) to the parties.
  3. The Arbitral Tribunal may order that any documents annexed to the Request for Arbitration, the Answer, or any statement of claim or defense, and any supplementary documents or exhibits submitted in the course of the arbitration in their original language shall be accompanied by a translation into the language(s) agreed upon by the parties or determined by the Administrator. In the case of multiple languages, the Arbitral Tribunal may confine the translation to one or some of them.
  1. The Arbitral Tribunal shall have the power to rule on:
    1. Its own jurisdiction, including any objections with respect to the existence, scope, or validity of the arbitration agreement(s); and
    2. Whether a claim is admissible or arbitrable.
  2. The Arbitral Tribunal’s determination that a contract is non existent, invalid, or ineffective shall not for that reason alone render the arbitration agreement contained in the contract in question invalid or unenforceable.
  3. Where there are more than two parties to the arbitration, the arbitration shall proceed between those parties with respect to which the Arbitral Tribunal is satisfied that a binding arbitration agreement exists.
  4. A party must object to the Arbitral Tribunal’s jurisdiction or to the admissibility or arbitrability of a claim no later than at the time of the transmission of the Answer to the Request for Arbitration or the answer to any other claims. The Arbitral Tribunal may extend this time limit at its discretion.
  5. The Arbitral Tribunal may rule on any objections under this Article as a preliminary matter or as part of an award on the merits.
  6. Objections to the Arbitral Tribunal’s jurisdiction or the admissibility or arbitrability of a claim raised prior to the constitution of the Arbitral Tribunal shall not prevent the Administrator from proceeding with the Arbitral Tribunal’s constitution as set forth in Article 16. Such objections shall be referred to the Arbitral Tribunal once constituted for determination.
  1. Subject to these Rules, the Arbitral Tribunal may conduct the arbitration in whatever manner it considers appropriate, provided that the parties are treated equally and that each party has the right to be heard and is given a fair opportunity to present its case.
  2. The Arbitral Tribunal shall conduct the arbitration with a view to resolving the dispute in an expeditious and cost-effective manner, taking into account the complexity and value of the dispute. Unless the Arbitral Tribunal deems it unnecessary to conduct a case management conference with the parties in view of the circumstances of the case, such conference shall be conducted in the manner deemed appropriate by the Arbitral Tribunal within 30 days from the date of its constitution. The purpose of the conference is to organize all stages of the arbitration and agree to procedures, including the style of and deadlines for any submissions by the parties and the date(s) of the hearing, if a hearing is to be held. In establishing procedures for the arbitration, the Arbitral Tribunal and the parties are encouraged to consider how technology, including but not limited to electronic communications, e-filings, and the electronic presentation of evidence, could be used, including to reduce the environmental impact of the arbitration. In all cases, the Arbitral Tribunal shall determine the extent to which technology shall be used in view of all circumstances of the case, including any reasoned objection by any party that the use of such technology would impair its ability to present its case.
  3. The Arbitral Tribunal may at its discretion decide preliminary issues, bifurcate proceedings, direct the order of proof, exclude cumulative or irrelevant testimony or other evidence, and direct the parties to focus their presentations on issues whose resolution could dispose of all or part of the case.
  4. At any time during the proceedings, the Arbitral Tribunal may order the parties to file written submissions or to produce documents, exhibits, or any other evidence in the manner and within the timeline it deems necessary or appropriate.
  5. The Arbitral Tribunal shall determine the admissibility, relevance, materiality, and weight of the evidence.
  6. The parties shall make every effort to avoid unnecessary delay and expense in the arbitration. The Arbitral Tribunal may allocate costs, draw adverse inferences, and take such additional steps as are necessary to protect the efficiency and integrity of the arbitration.
  7. At any time during the arbitration, the Arbitral Tribunal may encourage the parties to consider settlement of all or part of the dispute either by negotiation or through any form of amicable dispute resolution methods such as mediation. An arbitrator may not serve as a mediator unless the parties so agree.
  1. Any party (the “Applicant”) may request the Arbitral Tribunal to dispose of issues of jurisdiction, admissibility, or legal merit (the “Application”) raised in a claim or defense without the need to follow every step that would otherwise be taken in the ordinary course of an arbitration. The Application may concern assertions such as:
    1. An allegation of fact or law material to the outcome of the case is manifestly without merit;
    2. Even if the facts advanced by the other party are assumed to be true, no award could be issued in that party’s favor under the applicable law; or
    3. Any issue of fact or law material to the outcome of the case is, for any other reasons, suitable for determination by way of early disposition.
  2. The Applicant shall transmit the Application to the Arbitral Tribunal, the Administrator, and the other parties within 30 days from the filing of the concerned claim or defense. In its Application, the Applicant shall specify the facts and the legal basis relied upon and how an early disposition contributes to a more efficient resolution of the dispute.
  3. In determining whether to allow the Application, after having provided the other parties an opportunity to express their views, the Arbitral Tribunal shall have regard to all relevant circumstances, including the extent to which an early disposition advances the resolution of the dispute in an expeditious and cost-effective manner in accordance with Article 25(2). If the Arbitral Tribunal allows the Application to proceed, it shall establish a procedural timetable to determine the Application providing each party an equal and reasonable opportunity to present its case in accordance with Article 25(1).
  4. The Arbitral Tribunal shall issue an order or award on the Application within 30 days from the date it allows the Application to proceed. Upon request by the Arbitral Tribunal, the Administrator may in exceptional circumstances extend this time limit by up to 15 days. The Arbitral Tribunal shall state the reasons on which its order or award is based, which may be in summary form. The Arbitral Tribunal may make any decision on costs forthwith or reserve it for a later stage. The Arbitral Tribunal may order costs against an unsuccessful party where it is of the view that the Application was frivolous. An order rejecting the Application shall be without prejudice to the Arbitral Tribunal’s final decision on the relevant questions of fact and law.
  1. The Arbitral Tribunal shall manage the exchange of information between the parties with a view to maintaining efficiency and economy. The Arbitral Tribunal and the parties shall endeavor to avoid unnecessary delay and expense while at the same time assuring equal treatment and safeguarding each party’s opportunity to present its claims and defenses. After giving the parties reasonable opportunity to state their views, the Arbitral Tribunal may make any procedural order to:
    1. Limit the length or content of, or dispense with, certain written submissions;
    2. Limit the written or oral testimony of any witness;
    3. Require the parties to correspond through electronic means; or
    4. Require that all written submissions be filed exclusively by email or other electronic means.
  2. The parties shall exchange all documents upon which each intends to rely according to a schedule set by the Arbitral Tribunal. After consultation with the parties, the Arbitral Tribunal may limit any requests for document production.
  3. When documents to be exchanged are maintained in electronic form, the party in possession of such documents may make them available in the form most convenient and economical for it (which may be paper copies), unless the Arbitral Tribunal determines, on application, that there is a compelling need for access to the documents in a different form. Requests for documents maintained in electronic form should be narrowly focused and structured to make searching for them as economical as possible. The Arbitral Tribunal may direct testing or other means of focusing and limiting any search.
  4. The Arbitral Tribunal may, on application, require a party to permit inspection of relevant premises or objects with reasonable notice.
  5. In the event a party fails to comply with an order for information exchange, the Arbitral Tribunal may draw adverse inferences and may also take such failure into account when allocating costs.
  1. The Arbitral Tribunal may, upon application by a party (the “Applicant”), grant interim measures.
  2. Such interim measures may include an order to:
    1. Maintain or restore the status quo pending determination of the dispute;
    2. Take action that would prevent, or refrain from taking action that is likely to cause (1) current or imminent harm, or (2) prejudice to the arbitral process itself;
    3. Provide a means of preserving assets out of which a subsequent award may be satisfied; or
    4. Preserve evidence that may be relevant and material to the resolution of the dispute.
  3. The Applicant shall satisfy the Arbitral Tribunal that:
    1. Harm not adequately reparable by an award of damages is likely to result if the measure is not ordered, and such harm substantially outweighs the harm that is likely to result to the party against whom the measure is directed if the measure is granted; and
    2. There is a reasonable possibility that the Applicant will succeed on the merits of the claim. The determination on this possibility shall not require a full hearing and shall not affect the discretion of the Arbitral Tribunal in making any subsequent determinations.
  4. With regard to an application for an interim measure under paragraph 2(d) of this Article, the requirements in paragraphs 3(a) and (b) of this Article shall apply only to the extent the Arbitral Tribunal considers appropriate.
  5. The Arbitral Tribunal may modify, suspend, or terminate an interim measure it has granted, upon application of any party or, in exceptional circumstances and upon prior Notice to the parties, on the Arbitral Tribunal’s own initiative.
  6. The Arbitral Tribunal may require the Applicant to provide appropriate security in connection with such a measure.
  7. The Arbitral Tribunal may require any party to promptly disclose any material change in the circumstances that were the basis for applying for or granting the interim measure.
  8. The Applicant may be responsible for any costs and damages caused by the measure to any party if the Arbitral Tribunal later determines that, in the circumstances then prevailing, the measure should not have been granted. The Arbitral Tribunal may award such costs and damages at any point during the arbitration.
  9. An application for interim measures submitted by any party to a judicial authority shall not be deemed incompatible with the agreement to arbitrate, or as a waiver of such agreement.
  1. The Arbitral Tribunal may decide on a document-only basis unless a party requests a hearing and the Arbitral Tribunal deems it appropriate in the circumstances to hold one.
  2. If it deems it appropriate to hold a hearing, the Arbitral Tribunal shall give the parties reasonable notice of the date, time, mode, and place of the hearing (if not remote). In all cases, the Arbitral Tribunal shall, after consultation with the parties and upon consideration of all relevant circumstances, determine the mode and format of any such hearing, including whether it will be conducted in person, remotely by videoconference or other appropriate means of communication, or in a hybrid format.
  3. Unless the parties agree otherwise, the Arbitral Tribunal may direct that hearings shall be recorded. Unless the parties agree, or applicable law requires, otherwise, hearings are private, and any recording of the hearing shall remain confidential.
  1. Each party shall give the Arbitral Tribunal and the other parties the names and addresses of any witnesses it intends to present, the subject of their testimony, and the language(s) in which such witnesses shall give their testimony.
  2. At an appropriate time during the proceedings, the Arbitral Tribunal shall, after consulting the parties, determine the manner and order in which witnesses are examined.
  3. Unless the Arbitral Tribunal directs otherwise, witness testimony should be presented in the form of written statements signed by the witnesses. The Arbitral Tribunal may require any witness to appear at a hearing. If a witness called for examination by either party or by the Arbitral Tribunal fails to appear, the Arbitral Tribunal shall determine the consequences of such a failure, taking into consideration whether a valid excuse was provided.
  4. Subject to the mandatory provisions of any applicable law, the Arbitral Tribunal shall be entitled, but not required to administer any appropriate oath or affirmation to any witness at any hearing, prior to examination of such a witness by either party and/or the Arbitral Tribunal.
  1. After consultation with the parties, the Arbitral Tribunal may appoint one or more independent experts to report to it, in writing, on specific issues to be determined by the Arbitral Tribunal, which shall be communicated to the parties.
  2. Before accepting the appointment, the expert shall submit to the Arbitral Tribunal and to all parties a description of his or her qualifications and a statement of impartiality and independence. Within the time specified by the Arbitral Tribunal, the parties shall inform the Arbitral Tribunal whether they have any objections as to the expert’s qualifications, impartiality, or independence. The Arbitral Tribunal shall decide promptly whether to accept any such objections. After an expert’s appointment, a party may object to the expert’s qualifications, impartiality, or independence only if the objection is for reasons of which the party becomes aware after the appointment has been made. The Arbitral Tribunal shall decide promptly what action to take, if any, on the objection.
  3. The parties shall promptly submit to the expert all information or produce for the expert’s inspection all documents or goods as ordered by the Arbitral Tribunal.
  4. Upon receipt of the expert’s report, the Arbitral Tribunal shall communicate a copy of the report to the parties, who shall be given the opportunity to express, in writing, their opinion on the report. A party shall be entitled to examine any document on which the expert has relied in his or her report.
  5. At the request of any party, the Arbitral Tribunal shall give the parties an opportunity to question the expert at a hearing. At this hearing, parties may present expert witnesses to testify on the points at issue. The provisions of Article 29 shall be applicable to such proceedings.
  6. The Arbitral Tribunal may not delegate its decision-making authority to the expert or anyone else.

If the Arbitral Tribunal duly invites a party to attend any hearing, file a written submission, produce evidence, or take any other steps as ordered by the Arbitral Tribunal in the proceedings, and that party fails to do so on the date(s) or within the time established by the Arbitral Tribunal without showing sufficient cause for such failure, the Arbitral Tribunal nevertheless may proceed with the arbitration and issue a final award on the evidence before it.

  1. As soon as possible after the last hearing concerning matters to be decided in a final award or the filing of the last authorized submissions concerning such matters, whichever is later, the Arbitral Tribunal shall declare the proceedings closed.
  2. After the proceedings are closed, no further submission or argument shall be made, and no further evidence produced. In exceptional circumstances the Arbitral Tribunal may decide, on its own initiative or upon application of a party, to reopen the proceedings at any time before it issues the final award.
  3. Unless the parties agree otherwise, the Arbitral Tribunal shall issue its final award no later than 75 days from the date of the closing of the proceedings.
  4. In any event and taking into consideration the needs for expediency and efficiency, the Administrator may, if it deems it necessary in the circumstances, extend the 75 day period referred to in paragraph 3 of this Article on its own initiative or in accordance with a reasoned request from the Arbitral Tribunal.

A party who knows of any non-compliance with any provision or requirement of the Rules or the arbitration agreement and proceeds with the arbitration without promptly stating an objection in writing, shall be deemed to have waived its right to object.

Section V – The Award

  1. In addition to issuing a final award, the Arbitral Tribunal may issue interim or partial awards as well as orders, decisions, or other rulings. The Arbitral Tribunal may also issue a separate award in favor of the paying party for recovery of all or any part of the advance deposit.
  2. At the request of a party, the Arbitral Tribunal may order any party to provide security for costs.
  3. When there is more than one arbitrator, and in the absence of unanimity, the Arbitral Tribunal shall issue any award, order, decision, or other ruling by majority.
  4. In the case of questions of procedure, the presiding arbitrator may decide alone when the Arbitral Tribunal so authorizes, subject to revision by the Arbitral Tribunal, if any.
  5. The deliberations of the Arbitral Tribunal shall remain confidential.
  1. All awards issued shall be reasoned and made in writing. The Arbitral Tribunal shall make every effort to deliberate and prepare the award without delay. The award shall be signed by the arbitrators, and it shall contain the date on which the award was made and indicate the place of arbitration. Unless the parties agree, or applicable law requires, otherwise, all awards may be signed electronically. Where there is more than one arbitrator and any of them fails to sign, the award shall state the reason for the absence of the signature.
  2. All awards shall be final and binding on the parties, and the parties shall carry out all awards without delay.
  3. The SCCA may make public any award, order, decision, or other ruling unless any party objects to the publication any time before the arbitration has concluded. In case of publication, the SCCA shall, if necessary, anonymize and/or redact the award, order, decision, or other ruling. Unless the parties agree, or applicable law requires, otherwise, the parties and their representatives shall keep any award order, decision, or other ruling confidential at all times.
  4. Before signing the award, the Arbitral Tribunal shall transmit the award in draft form to the Administrator. The SCCA Court shall review the draft award and, where appropriate, propose modifications as to the form of the draft award. No award shall be issued by the Arbitral Tribunal until it has been approved by the SCCA Court as to its form. The award shall be communicated to the parties by the Administrator.
  5. After consultation with the Parties, the Arbitral Tribunal may take any tax consequences of any amounts payable into consideration in any awards, orders, decisions, or other rulings.
  6. If applicable law requires an award to be filed or registered, the Arbitral Tribunal shall cause such requirement to be satisfied. It is the responsibility of the parties to bring such requirements or any other procedural requirements of the place of arbitration to the attention of the Arbitral Tribunal.
  1. The Arbitral Tribunal shall apply the rules of law designated by the parties as applicable to the substance of the dispute. Failing such a designation by the parties, the Arbitral Tribunal shall apply the law which it determines to be appropriate.
  2. If the parties expressly agree to authorize the Arbitral Tribunal to decide the dispute equitably, it may rule on the dispute in accordance with the principles of equity and justice.
  3. In all cases, the Arbitral Tribunal shall decide in accordance with the terms of the contract, if any, and shall take into account any usage of trade applicable to the transaction.
  4. The law applicable to the arbitration agreement shall be the law applicable at the place of arbitration, unless the parties have agreed in writing on the application of other laws or rules of law.
  1. If the parties settle the dispute before the Arbitral Tribunal issues its final award, the Arbitral Tribunal shall terminate the arbitration and may, if requested by all parties, record the settlement in the form of a consent award on agreed terms. The Arbitral Tribunal is not obliged to state the reasons for such a consent award. Where a consent award has been issued, the provisions of Article 36(3) and (4) shall apply.
  2. If it becomes unnecessary or impossible to continue the arbitration due to the non-payment of advance deposits required by the Administrator, the arbitration may be suspended or terminated as provided in Article 43(4).
  3. If it becomes unnecessary or impossible to continue the arbitration for any reason other than as stated in paragraphs 1 and 2 of this Article, the Arbitral Tribunal shall inform the parties of its intention to terminate the arbitration. The Arbitral Tribunal shall then issue an order terminating the arbitration, unless a party raises justifiable grounds for objection.
  1. Within 30 days after the receipt of an award, any party may transmit to the Administrator, with notice to the other parties, a request to interpret the award, correct any clerical, typographical, or computational errors, or make an additional award as to the claims presented but omitted from the award.
  2. Within 45 days from the date the Administrator refers a request as set forth in paragraph 1 of this Article, and any response thereto, to the Arbitral Tribunal, the Arbitral Tribunal shall determine whether such a request is justified. The Arbitral Tribunal shall state the reasons upon which its determination or additional award is based, which shall form part of the concerned award. The provisions of Article 36(3) and (4) shall apply.
  3. The Tribunal may, on its own initiative and within 30 days of the date of the award, correct any clerical, typographical, or computational errors, or make an additional award as to claim presented but omitted from the award. The provisions of Article 36(3) and (4) shall apply.
  4. The parties shall be responsible for all costs associated with any interpretation, correction, or an additional award, and the Arbitral Tribunal may allocate such costs.
  1. The Arbitral Tribunal shall determine the costs of arbitration, other than those to be determined by the SCCA Court, and state these in its award. In its award, the Arbitral Tribunal shall allocate the costs of arbitration among the parties at its discretion, taking into account the circumstances of the case including the extent to which each party has conducted the arbitration in an expeditious and cost-effective manner.
  2. The costs of arbitration shall include, without limitation:
    1. The Arbitral Tribunal fees and expenses;
    2. The costs of assistance required by the Arbitral Tribunal, including expert fees;
    3. The SCCA administrative fees and expenses;
    4. The reasonable legal and other costs incurred by the parties; and
    5. Any costs incurred in connection with an application for interim or emergency relief in accordance with Articles 7 or 28.
  1. The SCCA administrative fees shall be determined by the SCCA Court in accordance with Appendix I and the SCCA Fee Schedule in force at the time of the commencement of the arbitration.
  2. The SCCA Court may adjust the SCCA administrative fees at any time during the arbitration. The SCCA Court shall make the final determination of the SCCA administrative fees and expenses at the conclusion of the proceedings.
  1. The Arbitral Tribunal fees shall be determined by the SCCA Court unless the parties agree to an alternative fee arrangement based on an hourly rate prior to the constitution of the Arbitral Tribunal.
    1. Where the SCCA Fee Schedule applies, the SCCA Court shall determine the Arbitral Tribunal fees in accordance with Appendix I and the SCCA Fee Schedule in force at the time of commencement of the arbitration. The SCCA may adjust the Arbitral Tribunal fees at any time during the arbitration. The SCCA Court shall make the final determination of the Arbitral Tribunal’s fees at the conclusion of the proceedings.
    2. Where an alternative fee arrangement based on an hourly rate applies, the hourly rate agreed to by the nominating party and that nominated co arbitrator shall apply. In the case of a sole or presiding arbitrator, the hourly rate agreed to by the parties and the sole or presiding arbitrator shall apply. Where the parties fail to agree or the SCCA Court directly appoints the arbitrator, the SCCA Court shall determine the hourly rate to be paid to that arbitrator.
  2. The Arbitral Tribunal’s expenses shall be reasonable, and the SCCA Court shall make the final determination thereof at the conclusion of the proceedings.
  3. The SCCA Court shall decide any dispute regarding the Arbitral Tribunal fees and expenses.
  1. After receipt of the Request for Arbitration, the Administrator may request the Claimant to pay a provisional advance in an amount intended to cover the Arbitral Tribunal fees and expenses leading up to the case management conference. Such a provisional advance shall be credited to the Claimant’s share of the advance deposit set forth in paragraph 2 of this Article.
  2. As soon as practicable, the SCCA Court shall fix an advance deposit in an amount likely to cover the costs referred to in Article 40(2)(a)(b)(c), and (e), to be paid by the Claimant and the Respondent in equal shares unless the parties agree, or the SCCA Court instructs, otherwise. The SCCA Court may request payment of additional advance deposits from the parties at any time during the arbitration.
  3. Where counterclaims, claims for the purpose of a set-off, or crossclaims are submitted, or where it otherwise appears appropriate in the circumstances, the Administrator may request separate advance deposits for the SCCA administrative fees and the Arbitral Tribunal fees.
  4. If the advance deposit is not paid in a timely manner and in full as requested by the Administrator, the Administrator shall so inform the parties in order that one or more of them may make the required payment. If such payment is not made, the Arbitral Tribunal may order the suspension or termination of the arbitration. If the Arbitral Tribunal has not yet been appointed, the Administrator may suspend or terminate the arbitration.
  5. Failure of a party asserting claims to pay the advance deposit shall be deemed a withdrawal of such claims.
  6. Once the Arbitral Tribunal issues the final award, the Administrator shall send the final award to the parties, provided that the SCCA administrative fees and expenses and the Arbitral Tribunal fees and expenses have been fully paid to the Administrator by the parties.
  7. After the Arbitral Tribunal has issued a final award or a termination order, the Administrator shall render an accounting to the parties of the advance deposit received and return any unused deposits to the parties after the period of time as set forth in Article 39(1) has passed.
  1. Confidential information disclosed by parties or witnesses during the arbitration shall not be divulged by arbitrators (including any Emergency Arbitrator), any person appointed by the Arbitral Tribunal, the Administrator, the SCCA Board of Directors and its members, and the SCCA Court and its members, the SCCA Committees and its members, and the SCCA and its employees. Unless the parties agree, or applicable law requires, otherwise, the aforementioned bodies and persons shall keep confidential all matters relating to the arbitration and the source of any anonymized and/or redacted award, order, decision, or other ruling if published as set forth in Article 36(3).
  2. Unless the parties agree otherwise, the Arbitral Tribunal may issue orders concerning the confidentiality of the arbitration or any matters in connection with the arbitration and may take measures to protect trade secrets and confidential information.
  1. The Arbitral Tribunal, or any Emergency Arbitrator, shall interpret and apply these Rules insofar as they relate to their powers and duties. The Administrator shall interpret and apply all other Rules.
  2. In the case of disagreement with regard to the interpretation of the Rules, the version in the language chosen by the parties shall prevail over versions in other languages.
  1. Parties, arbitrators, and the SCCA shall adopt information security measures that are reasonable in the circumstances of the case. In determining which specific information security measures are reasonable for a particular arbitration, the following factors should be considered: (1) the risk profile of the arbitration; (2) the existing information security practices, infrastructure, and capabilities of the parties, arbitrators, and the SCCA; (3) the burden, costs, and the relative resources of the parties, arbitrators, and the SCCA; (4) the proportionality relative to the size, value, and risk profile of the dispute; and (5) the efficiency of the arbitration.
  2. The Arbitral Tribunal has the power to determine the specific information security measures applicable to the arbitration. The Arbitral Tribunal may modify the measures previously established for the arbitration at the request of any party or on the Arbitral Tribunal’s own initiative in view of the evolving circumstances of the case.

Appendix I – Arbitration Costs and Fees

A request to commence an arbitration in accordance with Article 5 of the Rules must be accompanied by a registration fee of SAR 5,000. Such payment is non‑refundable and shall be credited to the Claimant’s share of the SCCA administrative fees.

  1. As per Article 41 of the Rules, the SCCA Court shall determine the SCCA administrative fees and expenses. As per Article 43 of the Rules, the SCCA Court shall fix an advance deposit for SCCA administrative fees and expenses. Unless the parties agree, or the SCCA Court instructs, otherwise, the parties shall pay the SCCA administrative fees and expenses in equal shares, which shall be based on the amount in dispute and calculated in accordance with Article 4 of this Appendix.
  2. In exceptional circumstances, including but not limited to situations where the parties have agreed upon additional services or to conduct the arbitration in a manner not reasonably contemplated at the time of the constitution of the Arbitral Tribunal, the SCCA Court may fix a higher amount in SCCA administrative fees than would result from applying the SCCA Fee Schedule.
  3. If an arbitration terminates before the Arbitral Tribunal has issued the final award, the SCCA Court shall determine the SCCA administrative fees at its discretion, taking into account the stage reached in the arbitration and any other relevant circumstances.
  4. The parties are jointly and severally liable for the SCCA administrative fees and expenses.
  1. As per Article 42(1) of the Rules, the SCCA Court shall determine the Arbitral Tribunal fees in accordance with the SCCA Fee Schedule in force at the time of the commencement of the arbitration. The parties may agree to an alternative fee arrangement based on an hourly rate prior to the constitution of the Arbitral Tribunal.
    1. Where the Arbitral Tribunal fees are based on the SCCA Fee Schedule as set forth in Article 42(1)(a) of the Rules, the following applies:
      1. As per Article 43 of the Rules, the SCCA Court shall fix an advance deposit for the Arbitral Tribunal fees and expenses. Unless the parties agree, or the SCCA Court instructs, otherwise, the parties shall pay the Arbitral Tribunal fees and expenses in equal shares, which shall be based on the amount in dispute and calculated in accordance with Article 4 of this Appendix. The Arbitral Tribunal fees shall cover all the work carried out in connection with the arbitration and are deemed to be approved by the arbitrator upon accepting the appointment.
      2. In the case of a panel of three arbitrators, the total in Arbitral Tribunal fees shall be distributed as follows: 40% for the presiding arbitrator and 30% for each co-arbitrator unless the members of the Arbitral Tribunal agree otherwise. The SCCA Court shall determine any disagreement regarding the distribution of the Arbitral Tribunal fees.
      3. The Administrator shall release the Arbitral Tribunal fees and expenses once the Arbitral Tribunal has issued the final award or termination order, or when the Administrator has otherwise closed the case. Upon request by an arbitrator, the Administrator may make partial payments after certain milestones in the arbitration have been completed.
      4. In the event of any exceptional circumstances beyond an arbitrator’s control that render him or her incapable of performing his or her duties, or in the event of an arbitrator’s death after accepting appointment and before issuing the final award, the SCCA Court, in consultation with the remaining arbitrators, shall determine the amount in Arbitral Tribunal fees to be paid to that arbitrator, taking into account the work he or she has performed and all other relevant circumstances.
      5. In the event that an arbitrator withdraws, has been removed, or successfully challenged in accordance with Article 18 of the Rules, or ceases to serve as an arbitrator for any other reason, the SCCA Court, in consultation with the remaining arbitrators, shall determine the amount in Arbitral Tribunal fees to be paid to that arbitrator, taking into account the work he or she has performed and all other relevant circumstances.
      6. If an arbitration terminates before the Arbitral Tribunal has issued the final award, the SCCA Court shall determine the Arbitral Tribunal fees, taking into account the stage reached in the arbitration and any other relevant circumstances.
    2. Where the Arbitral Tribunal fees are based on an hourly rate as set forth in Article 42(1)(b) of the Rules, the following applies:
      1. An arbitrator shall be compensated for the work carried out in connection with the arbitration at the rate agreed to prior to his or her appointment.
      2. In the event of a postponement or cancellation of scheduled hearings in accordance with Article 29 of the Rules, the Arbitral Tribunal shall be compensated for lost time as follows:
        1. Where a scheduled hearing is cancelled at the Arbitral Tribunal’s request, or at the request of any party 60 days before the first hearing day, no fees shall be paid to the Arbitral Tribunal;
        2. Where a scheduled hearing is cancelled at the request of any party less than 60 days but more than 30 days before the first hearing day, the Arbitral Tribunal shall be paid for each day of lost time at 50% of the applicable hourly rate for eight hours; or
        3. Where a scheduled hearing is cancelled at the request of any party 30 days or less before the first hearing day, the Arbitral Tribunal shall be paid for each day of lost time at 75% of the applicable hourly rate for eight hours.
        If an arbitrator has spent time on the case during the scheduled hearing days, he or she shall be paid based on his or her hourly rate or the cancellation fee, whichever is higher. Where scheduled hearing days are postponed or cancelled other than by agreement of all parties or request of the Arbitral Tribunal, this may be taken into account when considering any subsequent apportionment of costs.
  2. As per Article 42(2) of the Rules, the Arbitral Tribunal expenses, including those of any former or substitute arbitrators, shall be reasonable and shall be determined by the SCCA Court at the conclusion of the proceedings. Expenses may include, without limitation:
    1. Reasonable travel, accommodation, and other expenses incurred by the arbitrators for the purposes of fulfilling their obligations as arbitrators; and
    2. Reasonable costs of expert advice in accordance with Article 31 of the Rules and any other assistance for the Arbitral Tribunal.
  3. The parties are jointly and severally liable for the Arbitral Tribunal fees and expenses, irrespective of which party appointed an arbitrator.
  1. To determine the SCCA administrative fees under the SCCA Fee Schedule and the Arbitral Tribunal fees (where subject to the SCCA Fee Schedule), the amount in dispute shall be calculated as follows:
    1. The amount in dispute shall be calculated by adding together all claims filed by the parties.
    2. If any claim is not quantified or remains undetermined, the SCCA Court shall determine the amount to be used for the calculation, taking into account the circumstances of the case.
    3. If any claim is non-monetary in nature, the filing party shall estimate the value behind its claim to be used as the basis for the calculation. Absent that, the SCCA Court shall determine the amount to be used for the calculation, taking into account the circumstances of the case.
    4. Paragraph 1 of this Article equally applies to any claims for the purpose of a set-off, unless the Arbitral Tribunal, in consultation with the parties, determines that such set-off will not require significant additional work.
  2. Any increase in the amount in claims shall be taken into account in the calculation of the SCCA administrative fees under the SCCA Fee Schedule and the Arbitral Tribunal fees (where subject to the SCCA Fee Schedule).
  1. As per Article 43(2) of the Rules, the SCCA Court shall fix the advance deposit for costs referred to in Article 40(2)(a)(b)(c), and (e) of the Rules. Where the SCCA Fee Schedule applies, the SCCA Court may fix an advance deposit for Arbitral Tribunal fees that is higher or lower than the average amount that would result from applying the SCCA Fee Schedule.
  2. Upon payment of the advance deposit, the Administrator shall transmit the case file to the Arbitral Tribunal.
  3. Any request for additional deposits under Article 43(2) of the Rules shall take into account fluctuations in the amount in dispute, changes in estimated expenses, the use of experts appointed by the Arbitral Tribunal, or any other circumstances, including but not limited to evolving difficulties or the complexity of the arbitration.
  4. When the parties have agreed to an alternative fee arrangement based on an hourly rate as set forth in Article 42(1)(b) of the Rules, the Administrator may, in consultation with the Arbitral Tribunal, request the parties to deposit an amount likely to cover the Arbitral Tribunal fees and expenses.
  5. Upon request by any party, the SCCA Court may allow the advance deposit for Arbitral Tribunal fees to be paid in installments, subject to any terms and conditions the SCCA Court deems appropriate.
  6. If a party’s share of Arbitral Tribunal fees exceeds SAR 1,000,000 (“the Threshold Amount”), such party may post a bank guarantee for any amount above the Threshold Amount. The Administrator shall establish the terms governing all bank guarantees and may modify the Threshold Amount at any time at its discretion. In the event that a party also advances the defaulting party’s share, it may do so by posting a bank guarantee to cover the defaulting party’s share.
  1. All advance deposits paid on account of the costs referred to in Article 40(2)(a)(b)(c), and (e) of the Rules shall be deposited with the SCCA by wire transfer, check, or other methods approved by the Administrator, and shall remain on deposit until the Arbitral Tribunal has issued the final award or termination order, or the Administrator has otherwise closed the case. The payment of advance deposits shall not result in any charges for the SCCA.
  2. Advance deposits do not yield interest or earnings for the parties or the Arbitral Tribunal.
  3. Amounts paid to the Arbitral Tribunal do not include any possible value added tax (VAT) or other taxes or charges and imposts applicable to Arbitral Tribunal fees. Parties have a duty to pay any such taxes or charges. However, the recovery of any such charges or taxes is a matter solely between the arbitrator and the parties. Where applicable law so requires, the Administrator shall collect withholding tax and remit such tax to the appropriate tax authority.
  1. At its discretion, the SCCA Court shall fix the costs of the procedure following an application made in accordance with Article 39 of the Rules, which shall include any SCCA administrative fees and expenses and any Arbitral Tribunal fees and expenses arising in relation to such request.
  2. The SCCA Court may request the parties to pay appropriate amounts as an advance deposit to cover SCCA administrative fees and expenses and Arbitral Tribunal fees and expenses.
  3. Applications made in accordance with Article 39 of the Rules shall not be forwarded to the Arbitral Tribunal until the advance deposit is paid in full.
  1. Where the Arbitral Tribunal appoints a tribunal secretary, the SCCA Secretary Regulations in force at the time of the commencement of the arbitration shall apply.
  2. As per Section 24 of the SCCA Secretary Regulations, the Arbitral Tribunal shall determine the total in tribunal secretary fees and expenses and shall state them in the final award as per Section 27 of the SCCA Secretary Regulations.
  3. Where the SCCA Fee Schedule applies, the tribunal secretary fees shall form part of the Arbitral Tribunal fees in accordance with Section 25 of the SCCA Secretary Regulations. In all other cases, the Arbitral Tribunal shall fix an hourly rate after consultation with the parties and the SCCA Court. The tribunal secretary fees and expenses shall be reasonable and, where applicable, charged separately.
  4. The parties are jointly and severally liable for the tribunal secretary fees and expenses.

Appendix II – Expedited Procedure Rules

  1. The Expedited Procedure Rules supplement the Rules. By agreeing to arbitration under the Rules, the parties agree that the Expedited Procedure Rules shall apply.
  2. The Expedited Procedure Rules shall apply if the parties so agree, or where the amount in dispute does not exceed SAR 4,000,000 or an equivalent amount, exclusive of the costs of arbitration, representing the aggregate amount in claims.
  3. The Administrator may, at any time during the arbitration, on its own initiative or upon the request of a party and after consultation with the Arbitral Tribunal and the parties, decide that the Expedited Procedure Rules shall no longer apply to the case. In that case, the Arbitral Tribunal shall remain in place unless the SCCA Court considers that it is appropriate to replace or reconstitute the Arbitral Tribunal as set forth in Article 16 of the Rules and shall designate the presiding arbitrator. In that case, each party shall be deemed to have waived its right to nominate an arbitrator, and the SCCA Court may revoke the confirmation or appointment of any arbitrators.
  1. The Claimant shall, concurrent with filing the Request for Arbitration, send a copy of the Request for Arbitration, including all accompanying documents, to the Respondent and shall notify the Administrator of having done so, specifying the mode of service employed and the date of service.
  2. In the Request for Arbitration and the Answer, the parties shall present detailed submissions on the facts, claims, and defenses, together with all of the evidence then available on which such party intends to rely.
  3. The Administrator may abbreviate the time limit for the Answer provided for in Article 6 of the Rules.

Upon receiving the Request for Arbitration, the Administrator may conduct an administrative conference with the parties and their representatives to discuss the application of these procedures, arbitrator selection, any attempt to mediate the dispute, and any other administrative matters.

If an objection is submitted as to the applicability of the Expedited Procedure Rules, the Administrator shall make a final determination.

If, after filing of the initial claims, a party amends its claim such that it exceeds SAR 4,000,000 exclusive of the costs of arbitration, the case shall continue to be administered in accordance with the Expedited Procedure Rules unless the parties agree, or the Administrator or Arbitral Tribunal determine, otherwise. After the Arbitral Tribunal is constituted, no new or different claim, nor any change in the amount in dispute, may be submitted unless the Arbitral Tribunal deems appropriate.

  1. The parties may nominate a sole arbitrator within a time limit to be fixed by the Administrator.
  2. Absent such a nomination, the sole arbitrator shall be appointed as follows:
    1. The Administrator shall simultaneously submit to each party an identical list of five proposed arbitrators. The parties may agree to an arbitrator from this list and shall so advise the Administrator.
    2. If the parties are unable to agree upon an arbitrator, each party may strike two names from the list, number the remaining names in order of preference, and return it to the Administrator within 10 days from the transmittal date of the list to the parties. The parties are not required to exchange selection lists.
    3. From among the persons who have been approved on the parties’ lists, and in accordance with the designated order of mutual preference, the Administrator shall invite an arbitrator to serve.
    4. If, for any reason, the appointment cannot be made from the submitted lists, the SCCA Court may make the appointment without the circulation of additional lists. The parties will be given notice by the Administrator of the arbitrator’s appointment, together with any disclosures. In that case, each party shall be deemed to have waived its right to nominate an arbitrator.
  1. After the Arbitral Tribunal’s constitution, the Arbitral Tribunal may schedule a case management conference with the parties, their representatives and the Administrator to discuss the case procedure and schedule. Within 14 days of its constitution, the Arbitral Tribunal shall issue a procedural order. The Administrator may extend this time limit in accordance with a reasoned request from the Arbitral Tribunal or on its own initiative if it decides it is necessary to do so.
  2. The Arbitral Tribunal may, after consultation with the parties, decide if the dispute is to be decided solely on the basis of documentary evidence, or if a hearing is required for the examination of any witness or expert witness as well as for any oral argument.
  1. In consultation with the parties, the Arbitral Tribunal shall establish a procedural timetable in the procedural order referred to in Article 7 of this Appendix for completing and exchanging any written submissions.
  2. Where based on written submissions, all submissions are due within 30 days of the procedural order’s date unless the Arbitral Tribunal determines otherwise.
  3. After submission of the response to the Request for Arbitration, the parties shall in principle be entitled to submit one statement of claim and one statement of defense and counterclaim, and, where applicable, one statement of defense in reply to the counterclaim or crossclaim.
  4. Requests for document production shall be limited to documents that are directly relevant to the matters in dispute or to its outcome and shall be reasonably restricted in terms of time frame, subject matter, and persons or entities to which the requests pertain.
  1. Where an oral hearing is to be held, the Arbitral Tribunal shall set the date, time, and location of the hearing. The hearing may take place in person or via videoconference, telephone, or other suitable means, at the discretion of the Arbitral Tribunal. No transcript or stenographic record shall be required unless the parties agree otherwise.
  2. The oral hearing shall take place within 60 days of the procedural order’s date unless the Arbitral Tribunal deems it necessary to extend that period. The oral hearing shall not exceed one day unless the Arbitral Tribunal determines otherwise. The Administrator shall notify the parties in advance of the hearing date.
  1. The award shall be made in writing and shall be final and binding on the parties. Unless the parties agree, applicable law requires, or the Administrator determines, otherwise, the award shall be made no later than 30 days from the date of the closure of the proceeding as provided for in Article 33 of the Rules.
  2. In any case, the final award shall be made within 180 days from the date the Arbitral Tribunal was constituted unless the Administrator decides, in exceptional circumstances, to extend the time limit for issuing such final award.

The SCCA administrative fees and the Arbitral Tribunal fees shall be determined by the SCCA Court in accordance with the SCCA Fee Schedule under the Expedited Procedure Rules in force at the time of the commencement of the arbitration.

  1. The provisions of the Expedited Procedure Rules shall apply in addition to the provisions of the Rules that are not in conflict with the Expedited Procedure Rules.
  2. The Administrator may abbreviate the time limits provided for in this Appendix, as well as any time limits that it has set.

Appendix III – Emergency Arbitrator Procedure Rules

  1. A party that seeks emergency relief in accordance with Article 7 of the Rules (the “Applicant”) may transmit an application for emergency relief, including all accompanying documents (the “Application”), to the Administrator and the other parties. The Administrator shall terminate the emergency arbitration if it has not received a Request for Arbitration from the Applicant within 10 days of the receipt of the Application, unless the Emergency Arbitrator determines that a longer period of time is necessary.
  2. The Applicant shall, at the same time as it files the Application with the SCCA, send a copy of the Application to all other parties. The Application shall contain the following information:
    1. A description of the circumstances giving rise to the Application and of the underlying dispute referred to arbitration;
    2. A statement of the emergency relief sought;
    3. The reasons why the Applicant needs urgent interim or conservatory measures that cannot await the constitution of the Arbitral Tribunal;
    4. The reasons why the Applicant is entitled to such emergency relief;
    5. A statement certifying that all other parties have been provided with a copy of the Application or, if not, an explanation of the steps taken in good faith to provide a copy or notification to all other parties;
    6. Comments on the language, the place of arbitration, and the applicable law; and
    7. Proof of advancing the amount referred to in Article 9(1) of this Appendix.
  3. The Application may contain such other documents or information as the Applicant considers appropriate or as may contribute to the efficient examination of the Application.
  4. The Application shall be drawn up in the language of the arbitration agreed upon by the parties or, in the absence of any such agreement, in the language of the arbitration agreement.
  5. The Emergency Arbitrator Procedure Rules shall not apply if:
    1. The Application was submitted after the Arbitral Tribunal’s constitution;
    2. The parties have agreed to opt out of the Emergency Arbitrator Procedure Rules; or
    3. They have agreed to another pre-arbitral procedure that provides for emergency, provisional or precautionary relief, or similar measures.
  6. If the Administrator determines, on the basis of the information received, that the Emergency Arbitrator Procedure Rules apply with reference to Article 7 of the Rules and the Articles of this Appendix, a copy of the Application, shall be transmitted to the responding party. If determined otherwise, the Administrator shall inform the parties that the Emergency Arbitrator Procedure Rules do not apply.
  1. The SCCA Court shall appoint an Emergency Arbitrator within one business day from the receipt of the Application.
  2. No Emergency Arbitrator shall be appointed after the Arbitral Tribunal is constituted.
  3. The Emergency Arbitrator shall be and remain impartial and independent. Prior to accepting the appointment, a prospective Emergency Arbitrator shall disclose to the Administrator, in accordance with Article 17 of the Rules, any circumstances that may give rise to justifiable doubts as to his or her impartiality or independence and shall sign a statement of acceptance, availability, impartiality, and independence. The Administrator shall provide a copy of such disclosure and statement to the parties.
  1. Any challenge to the appointment of the Emergency Arbitrator shall be submitted within one business day of the Administrator’s communication to the parties concerning the Emergency Arbitrator’s appointment and the circumstances disclosed by the Emergency Arbitrator, or from the date when the facts and circumstances on which the challenge is based became known to that party.
  2. The challenge shall be decided by the SCCA Court after affording an opportunity for the Emergency Arbitrator and the other party or parties to provide comments in writing within three business days.
  3. If the Emergency Arbitrator resigns, is incapable of performing his or her duties, or is removed for any reason, and the office becomes vacant, the Administrator shall appoint a substitute Emergency Arbitrator within one business day.

Once the Emergency Arbitrator has been appointed, the Administrator shall so notify the parties and shall transmit the Case file to the Emergency Arbitrator. Thereafter, all written communications from the parties related to the emergency arbitration shall be submitted directly to the Emergency Arbitrator with a copy to the other party and to the Administrator. A copy of any written communications from the Emergency Arbitrator to the parties shall be submitted to the Administrator.

  1. Where the parties have not agreed upon the place of arbitration for the emergency arbitration, the place of arbitration shall be determined as set forth in Article 22 of the Rules.
  2. The Emergency Arbitrator may meet with the parties by videoconference, telephone, or any other suitable means of communication, as well as in person at any location the Emergency Arbitrator deems appropriate.
  1. Within two business days of the appointment, the Emergency Arbitrator shall establish a procedural timetable for consideration of the Application.
  2. The Emergency Arbitrator shall conduct the proceedings in the manner which he or she deems appropriate, taking into account the urgency inherent in emergency arbitrations and ensuring a reasonable opportunity for all parties to be heard.
  3. The Emergency Arbitrator shall have the authority vested in the Arbitral Tribunal under Article 24 of the Rules, including the authority to rule on his or her own jurisdiction, including any objections with respect to the existence, validity or scope of the arbitration agreement, without prejudice to the Arbitral Tribunal’s determination. The Emergency Arbitrator shall resolve any disputes over the applicability of this Appendix.
  1. The Emergency Arbitrator’s decision shall take the form of an interim award or order.
  2. In the interim award or order, the Emergency Arbitrator shall determine whether the Application is admissible in accordance with Article 7 of the Rules and whether the Emergency Arbitrator has jurisdiction to order interim measures of protection.
  3. The Emergency Arbitrator shall have the power to award or order any provisional or precautionary measures that he or she deems necessary, including but not limited to measures intended to:
    1. Maintain or restore the status quo pending determination of the dispute;
    2. Take action that would prevent, or refrain from taking action that is likely to cause, current or imminent harm or prejudice to the arbitration itself;
    3. Provide injunctive relief and measures for the protection or conservation of property, including preserving assets out of which a subsequent award may be satisfied; or
    4. Preserve evidence that may be relevant and material to the resolution of the dispute.
  4. The Emergency Arbitrator shall state the reasons on which his or her interim award or order is based, which may be in summary form. When deciding a party’s request for emergency relief, the Emergency Arbitrator shall take into account the circumstances of the case. Relevant factors may include but are not limited to:
    1. Whether harm not adequately reparable by an award of damages is likely to result if the measure is not ordered, and whether such harm substantially outweighs the harm that is likely to result to the party against whom the measure is directed if the measure is granted; and
    2. Whether there is a reasonable possibility that the requesting party will succeed on the merits of the claim. The determination on this possibility shall not affect the Arbitral Tribunal’s discretion in making any subsequent determination.
  5. Upon request by any party, the Emergency Arbitrator may modify or vacate the interim award or order for good cause.
  6. Any interim award or order by the Emergency Arbitrator may be subject to such conditions as he or she deems appropriate, including requiring the provision of appropriate security.
  7. The interim award or order shall be made no later than 14 days from the date on which the file was transmitted to the Emergency Arbitrator in accordance with Article 4 of this Appendix. The Administrator may, in exceptional circumstances, extend the time limit pursuant to a reasoned request from the Emergency Arbitrator or on the Administrator's own initiative if it deems necessary.
  1. The Emergency Arbitrator shall issue the interim award or order promptly and in compliance with Article 36 of the Rules.
  2. Any interim award or order shall have the same effect as an interim measure made in accordance with Article 28 of the Rules. Parties agree that such interim award or order shall be binding on the parties from the date it is made and undertake to carry out the interim award or order immediately and without delay. The parties also irrevocably waive their rights to any form of appeal, review, or recourse to any court or other judicial authority with respect to such interim award or order.
  3. The interim award or order shall cease to be binding on the parties:
    1. If the Emergency Arbitrator or the Arbitral Tribunal so decides;
    2. Upon the Arbitral Tribunal rendering a final award, unless the Arbitral Tribunal expressly decides otherwise;
    3. Upon the withdrawal of all claims or the termination of the arbitration before the issuance of a final award; or
    4. If the Request for Arbitration is not submitted in accordance with Article 5(2) of the Rules, or the dispute is not registered by the Administrator, the party against which the interim award or order is issued may in this case request the Emergency Arbitrator to issue a new interim award or order withdrawing the previous interim award or order.
  1. A party applying for the emergency measure shall advance an amount of SAR 75,000 as an advance deposit on the date of request.
  2. The advance deposit is intended to cover:
    1. SCCA administrative fees in the amount of SAR 15,000; and
    2. Emergency Arbitrator fees and expenses in the amount of SAR 60,000.
  3. As per Article 7(3) of the Rules, the emergency arbitration shall be deemed to commence on the date the Administrator determines at its discretion that the filing requirements have been satisfied and the fees as set for the in paragraph 2 of this Article have been paid.
  4. The SCCA Court may, at any time during the emergency arbitration, decide to increase the requested deposit, taking into account the nature of the case and the nature and amount of work performed by the Emergency Arbitrator and the Administrator. If the Applicant fails to pay the increased costs within the time limit fixed by the Administrator, the Application shall be considered as withdrawn.
  5. The Emergency Arbitrator’s interim award or order shall fix the costs associated with the emergency arbitration and allocate them among the parties, subject to the Arbitral Tribunal’s power to determine finally the allocation of such costs.
  6. If the emergency arbitration is terminated prior to an interim award or order, the SCCA Court shall determine, at its discretion, the amount to be reimbursed to the Applicant, if any, taking into account the stage reached in the emergency arbitration and any other relevant circumstances.
  1. The Administrator shall have the power to decide, at its discretion, all matters relating to the administration of the emergency arbitration where not expressly provided for in this Appendix.
  2. For all matters concerning emergency arbitration not expressly provided for in this Appendix, the Administrator and the Emergency Arbitrator shall act in the spirit of the Rules and this Appendix.

Appendix IV – Online Dispute Resolution Procedure Rules

  1. The Online Dispute Resolution Procedure Rules (the “ODR Procedure Rules”) shall apply where the parties agree in writing, and where the sum in dispute does not exceed SAR 200,000, representing the aggregate amount in claims, exclusive any costs of arbitration. If, after filing of the initial claims, a party amends its claim causing the sum in dispute to exceed SAR 200,000, the Administrator will continue to administer the case under the ODR Procedure Rules unless the parties agree, or the Administrator or arbitrator determines, otherwise. The same shall apply in the case of a crossclaim or claim for the purpose of a set-off. After the arbitrator is appointed, no new or different claim shall be submitted except with the arbitrator’s consent.
  2. The ODR Procedure Rules shall apply in addition to any provisions of the Rules that are not in conflict with the ODR Procedure Rules. If in conflict, the provisions of the ODR Procedure Rules shall prevail.
  3. The Administrator may, at any time during the arbitration, on its own initiative or upon request by a party, and after consultation with the arbitrator, decide that the ODR Procedure Rules shall no longer apply to the case, and that the administration shall continue exclusively under the Rules.
  1. A party wishing to file an arbitration under the ODR Procedure Rules shall submit the Request for Arbitration, along with any supporting documents, using the SCCA ODR Platform (“ODR Platform”). In addition to the information requested in Article 4 of the Rules, the Request for Arbitration shall also include the email addresses of the parties and, if known, of their representatives.
  2. If the Request for Arbitration is submitted through the Claimant’s representative, the representative shall provide a Power of Attorney with the Request for Arbitration that warrants that the representative is authorized to act on the Claimant’s behalf in the arbitration.
  3. The SCCA filing fee as per the ODR Fee Schedule is due on the day of filing the Request for Arbitration and, unless the Administrator directs otherwise, shall be paid by the Claimant using the ODR Platform.
  4. The arbitration shall be deemed to have commenced on the date the Administrator notifies the parties that the Request for Arbitration is available on the ODR Platform.
  1. Within 10 days from the commencement of the arbitration, the Respondent shall file an Answer to the Request for Arbitration using the ODR Platform.
  2. The Respondent may file a counterclaim, along with any supporting documents and its and/or its representative’s email address, within 10 days from the commencement of the arbitration using the ODR Platform. The Respondent shall pay the SCCA filing fee using the ODR Platform. In the case of party representation, Article 2(2) of this Appendix shall apply. This paragraph shall equally apply in case of any other claims.
  3. Within 10 days from the Administrator’s confirmation of receipt of a counterclaim, the Claimant shall file an Answer to the counterclaim using the ODR Platform. The same shall apply in case of any other claims.
  4. When no Answer is filed to a claim, such claim shall be deemed as denied by the other party.
  1. Unless the Administrator instructs, or the arbitrator determines, otherwise, a Notice as set forth in Article 4 of the Rules between the parties, the Administrator, and the arbitrator shall be exchanged using the ODR Platform.
  2. The Administrator shall notify the parties and the arbitrator of the availability of any Notice received on the ODR Platform. A Notice shall be deemed as received by a party when the Administrator notifies the parties of its availability on the ODR Platform.
  3. Time limits shall be calculated from the date the Administrator transmits a Notice as set forth in paragraph 2 of this Article. The Administrator may at its discretion extend any deadlines for a reasonable amount of time. Once appointed, the arbitrator shall make such determinations.
  1. The SCCA Court shall promptly appoint a sole arbitrator who shall disclose any circumstances that may give rise to justifiable doubts as to his or her impartiality or independence. If after the appointment circumstances arise that may give rise to such doubts, the arbitrator or party shall promptly disclose such information to the Administrator and all parties. Upon receipt of such information from the arbitrator or party, the Administrator shall communicate it to all parties.
  2. Any challenge of the arbitrator shall be transmitted using the ODR Platform within two business days of the Notice by the Administrator to the parties of the arbitrator’s appointment and the circumstances disclosed. Absent any challenge by this deadline, the arbitrator shall be reaffirmed. If a challenge has been submitted, the Administrator shall invite the other party to submit comments. The SCCA Court shall determine at its discretion whether to reaffirm or replace the arbitrator.

Upon the appointment of the arbitrator, the Claimant shall pay additional deposits for SCCA administrative fees and arbitrator fees as per the ODR Fee Schedule using the ODR Platform.

Unless the parties agree otherwise, the place of arbitration shall be Riyadh, Kingdom of Saudi Arabia.

Unless the parties agree otherwise, the language of arbitration shall be Arabic.

  1. The arbitrator shall conduct the arbitration in such manner as he or she deems appropriate, provided that the parties are treated on an equal basis and that each party has the right to be heard and is given a fair opportunity to present its case.
  2. The arbitrator shall manage the arbitration with a view to maintaining efficiency and economy while expediting the resolution of the dispute.
  3. The arbitrator and the parties should endeavor to avoid unnecessary delay or expense while at the same time avoiding surprises, assuring equal treatment, and safeguarding each party’s opportunity to present its claims and defenses fairly.
  1. The arbitrator shall issue the final award based on the parties’ written submissions. The arbitrator may at his or her discretion request for additional information or evidence from the parties as he or she deems appropriate.
  2. If the parties so agree or the arbitrator deems it appropriate, a hearing shall be held via telephone or videoconference under the following conditions:
    1. Unless the arbitrator directs otherwise, the hearing shall not exceed one day.
    2. The parties shall inform each other, the arbitrator, and the Administrator of the names of all participants in advance of the hearing. Persons not involved in the arbitration shall not be admitted unless approved by the parties and the arbitrator prior to the hearing.
    3. Any unauthorized transcript, stenographic record, or any other form of recording is prohibited. A party desiring a transcript, stenographic record, or other form of recording may arrange for one only after prior written consent from all parties and the arbitrator.
    4. The parties shall pay the costs of the hearing in advance on an equal basis, subject to reallocation by the arbitrator in the final award.
  1. The arbitrator shall issue the final award within 30 days of his or her appointment or, in case of a challenge, the date of his or her reaffirmation. In exceptional circumstances, the Administrator may extend this time limit at its discretion as it deems appropriate.
  2. The arbitrator shall state the reasons upon which his or her final award is based and shall allocate the costs of arbitration among the parties.
  3. Before signing the final award, the arbitrator shall transmit it in draft form to the SCCA. No award shall be issued by the arbitrator until it has been reviewed by the SCCA as to its form. The SCCA shall transmit the final award to the parties using the ODR Platform, which shall constitute proper service. Where requested by the Administrator or a party, or where applicable law requires, the arbitrator shall provide the Administrator with one or more signed original hard copies of the final award for transmission to the parties.
  4. The final award shall be binding on the parties and shall constitute a duly executed final award for the purposes of enforcement.
  5. If applicable law requires an award to be filed or registered, the arbitrator shall cause such requirement to be satisfied. It is the responsibility of the parties to bring such requirements or any other procedural requirements of the place of arbitration to the attention of the arbitrator.
  1. Parties agreeing to the ODR Procedure Rules confirm that they have made their own inquiries as to the ODR Platform’s suitability and adequacy for use in the arbitration and assume their liability and all risks relating to the use of this technology, including any risks relating to security, privacy, and confidentiality.
  2. The arbitrators, any person appointed by the arbitrator, the Administrator, the SCCA Board of Directors and its members, the SCCA Court and its members, the SCCA Committees and its members, and the SCCA and its employees shall not be liable to any person for any act or omission in connection with the arbitration or any operation of the ODR Platform, except to the extent that such limitation of liability is prohibited by applicable law.

SCCA Model Clauses for Arbitration

 

SCCA Standard Clauses

Parties seeking to include an SCCA arbitration in their contracts may utilize one of the model clauses provided below, in consultation with their legal counsel.

Standard SCCA Arbitration 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 the SCCA Arbitration Rules.

Standard SCCA Mediation-Arbitration 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 (the “SCCA”) in accordance with the SCCA Mediation Rules.

If settlement is not reached within [__] days after service of a written request for mediation, the dispute, controversy, or claim shall be settled by arbitration administered by the SCCA in accordance with the SCCA Arbitration Rules.

 

Adaptations to SCCA Standard Clauses

 

Parties can tailor the SCCA standard clauses to their specific needs by including additional elements such as the number of arbitrators, selection method, place of arbitration, and language of arbitration. The SCCA’s Guide to Drafting ADR Clauses at www.sadr.org can be consulted for guidance, and legal counsel should be consulted as needed.

If parties wish to utilize the Expedited Procedure Rules for disputes that exceed SAR 4,000,000, they must opt in by explicitly adding a provision to the following effect:

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 the SCCA Expedited Procedure Rules [regardless of the amount in dispute / provided the amount in dispute does not exceed SAR [__] at the time of filing the Request for Arbitration].

If parties wish to exclude the application of the Expedited Procedure Rules, Online Dispute Resolution Procedure Rules, or Emergency Arbitrator Procedure Rules, they must opt out by explicitly adding a provision to the following effect:

The [Expedited Procedure Rules / Online Dispute Resolution Procedure Rules / Emergency Arbitrator Procedure Rules] shall not apply.

According to Article 36(3) of the Rules, the SCCA can publish any award, order, decision, or other ruling in an anonymized or redacted form unless a party objects before the arbitration concludes. If parties wish to prevent publication, they must explicitly add a provision to the following effect:

No award, order, or decision made in the arbitration shall be published.

 

Special Notes About the Substantive Law Applicable to the Contract and Arbitration Agreement

 

If parties choose a substantive law other than Shari’ah to govern the contract or the arbitration agreement but want to ensure Shari’ah compliance (especially when the place of arbitration is not Saudi Arabia), they may add a provision to the following effect:

The law governing the [contract and/or arbitration agreement] shall be [__] to the extent that such law does not conflict with Shari’ah as outlined in the [e.g., Shari’ah Standards of the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI)], in which case Shari’ah shall take precedence.

According to Article 37(4) of the Rules, the default law governing the arbitration agreement shall be the law of the place of arbitration. If parties wish to choose another law, they must explicitly add a provision to the following effect:

The law governing the arbitration agreement shall be [___].