Beijing Arbitration Commission

Appropriate drafting of dispute resolution clauses in international business transactions is an important reflection of an attorney’s dedication to clients’ best interests. On May 17, 2011, BAC’s Secretary-General Wang Hongsong responded to an invitation to meet with over 50 attorneys from King & Wood’s Litigation and Arbitration division for a discussion about effective drafting of arbitration clauses.

Secretary-General Wang first presented some of the benefits in choosing a Chinese arbitration agency for resolving China-related international commercial disputes, including: parties’ ability in this way to secure the People’s Courts’ assistance with respect to property and evidence preservation efforts during arbitration proceedings; the ability to obtain enforcement directly through the courts, without first petitioning for recognition of an international arbitration award; Chinese parties’ familiarity with local rules, arbitrators and laws; as well as the economy, speed, and other characteristics of domestic arbitration. Ms. Wang also emphasized that the rules and procedures of some of the more well-established arbitration agencies—like BAC—are quite sophisticated and up to the latest international standards, not only permitting parties to appoint their own arbitrators from outside the approved list, but also—in the event of a failure of arbitrator-led mediation attempts—to appoint new arbitrators for subsequent proceedings. In addition, in order to meet parties’ diverse dispute resolution-related needs, BAC has developed separate sets of rules, including its Mediation Rulesand its Rules for Evaluation of Construction Project Disputes,to provide parties with dispute resolution that is both expedient and tailored to their respective situation and needs.

During the event, Secretary-General Wang Hongsong also discussed other matters, such as the basic elements of an arbitration clause and some common problems that arise in the arbitration process, and presented model clauses designed to meet clients’ different needs. This exchange not only gave attending attorneys a better understanding of China’s evolving arbitration system, but also provided them with a complete set of reference materials for drafting dispute resolution clauses.