Arbitration Rules & Clause
The ARIAS Arbitration Rules were first published in 1994 and, to our knowledge, are being used increasingly in arbitration cases. Following the enactment of the English Arbitration Act 1996, the Society, via the expert assistance of editor-in-chief John Powell, produced a second edition which was formally launched on 30th May 1997. The ARIAS Arbitration Rules are designed to be the preferred procedural rules for arbitrations of insurance disputes not just in England but wherever the seat of arbitration may be. In our view, adherence by arbitrators to recognised sound rules greatly enhances the safety of arbitration awards and minimises the danger of awards being appealed.
In 1992, ARIAS (UK) produced a recommended arbitration clause and this was approved by Lloyd’s, LIRMA and the Association of British Insurers. A new version, known as the ARIAS Arbitration Clause, was published simultaneously with the second edition of the ARIAS Arbitration Rules – largely to cater for and dovetail with the ARIAS Arbitration Rules and to take account of the provisions of the English Arbitration Act 1996. Despite that, the Clause and the Rules are appropriate for use in any jurisdiction worldwide.
Concern has been expressed in some quarters over the difficulty in appealing Arbitration Awards. This has resulted in certain issues being decided in arbitration without the benefit of judicial precedent. While ARIAS (UK) considers this to be an issue for the contracting parties and makes no recommendation on this issue, we have prepared a paragraph that may be added to any Arbitration Clause by contracting parties who wish to facilitate an appeal from the award of Arbitrators but only in circumstances where the Arbitrators themselves consider that the industry would benefit for judicial consideration of specific legal issues. This paragraph is described as the Appeal Amendment Clause.
Copies of the ARIAS Arbitration Rules, the ARIAS Clause and the Appeal Amendment Clause can be viewed and downloaded using the links below.
