Foreign arbitration plays a great important role, in settling international commercial disputes.
Here, we will address the most prominent aspects, related to the implementation of foreign arbitral awards or rulings, in light of the New York Convention, on foreign arbitral rulings and their enforcement.
First, the arbitration rulings mean not only the judgment issued by a tribunal, to decide in specific case, but also the judgment issued by a permanent arbitration court, to which the parties resort, lodging their dispute file.
But what is meant by a foreign arbitration ruling? If the arbitration includes one or more foreign parties, then it is faced with the possibility of being subjected to a foreign law or laws applicable, in a specific country and not necessarily in another, as stipulated in the arbitration (submission) agreement,
or arbitration clause, between the disputing parties.
As for local arbitration, the national law of the country shall be applicable, in the whole dispute settlement procedures and process.
During the implementation of foreign arbitral award, the court of the contracting state, in which a case is held, in reference to the an agreement concluded between the parties, must refer the dispute to arbitration, at the request of one of the parties, except if it appears to the court that the agreement is null and void, non-binding, or that it cannot be implemented, outright.
In addition, each member state must acknowledge the validity of the arbitral award and proceed to implement it, in accordance with the procedures of trial, adopted in that country.
Nor should any harsher terms or higher fees be imposed than the terms and fees involved in implementing national arbitration awards, in the
But what if one of the member states want to withdraw from the implementation of the agreement for any reason? It may go ahead with the withdraw from the agreement, by submitting a written notification to the Secretary-General of the United Nations, and the withdrawal shall take place, after the expiration of a one year period, from the date of receipt of the notification by the Secretary-General.
Regarding arbitration provisions, in respect of what are the necessary measures that were taken for their recognition or implementation, prior to the date of withdrawal, the provisions of the same agreement shall be applicable to them, without change, even following the withdrawal of the contracting state.
In the article, to come, we will dot the (Is) of applying such foreign rulings or awards difficulties, on a foreign party (ies).