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1Feb/10Off

Ukraine – arbitration-friendly jurisdiction. Stockholm

Arbitration Institute of the Stockholm Chamber of Commerce

There are not many cases in public domain which may help us to determine all significant issues of recognition and enforcement of the awards of this world-renowned arbitration institution.

In case No. 22/200 the economic court of Donetsk Region adopted decision on 13.01.2010 on termination of the consideration of case since the parties agreed to arbitrate in “Arbitration Court of Stockholm” (not the Arbitration Institute of the Stockholm Chamber of Commerce (SCC)). Thus, you may think that Ukrainian courts are liberal in their attitude to such details as the name of an arbitration institution.

stockholm Ukraine   arbitration friendly jurisdiction. Stockholm

However, in case No 37/257пн the judges of the same court suspended the court hearing and obliged the respondent to provide the court with “evidences of existence of the Arbitration Institute of the Stockholm Chamber of Commerce”. As you can see not all judged are aware of the existence of that arbitration institution.

The economic court of Kyiv Region in its decision of 14.07.2006 in case No. 129/3-06 stated that the arbitration agreement referred to the Arbitration Court of Stockholm. Thus, concluded the court, “since the parties specified the name of the arbitration institution that did not exist, according to Article 2 of the Convention on the Recognition and Enforcement of Foreign Arbitral Awards and Article 6 of the European Convention on International Commercial Arbitration there are all necessary reasons for the court to institute the proceedings and consider the case”

Certainly, you may say that the above decision is not in line with the practice of other practice and common sense. Yes, you are right. The parties agreed to arbitrate their dispute and the mistake in name of the arbitration institution should not be treated as fatal failure. But..

Hence, if you are dealing with the Arbitration Institute of the Stockholm Chamber of Commerce and there is a “risk” that Ukraine is a country of enforcement of an award, please specify the above name correctly.

(c) by International arbitration blog

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