Definition

Arbitration is said to be international when a dispute implicates the interests of international trade (Article 1492 of the code of civil procedure). The arbitration is set up thanks to a contract which can be either an arbitration clause or an arbitration agreement.

The specificity of international arbitration is that all the clauses as well as the arbitral awards have to be internationally recognized in order to be enforced in the entire world.  

I- Conditions of validity

An arbitration clause can be inserted in consumption contracts.

3 requirements are necessary to create an international arbitration: capacity, consent and ability to compromise.

Formal requirements: article 1493 of the code of civil procedure does not provide that the convention should be written. The choice of the parties is of paramount importance.

II- The arbitration’s procedural set up

>In order to establish the applicable law, it is the one chosen by the parties that has to be applied.

>The applicable law to the procedure: the parties can choose the applicable law for the procedure they can even create the rules by mixing different domestic laws or they can also decide to refer to regulations.

If no choice has been made, then it is for the arbitrators to choose it.

– The request can be unilateral or joint.

– The parties can determine the seat of the arbitration as well as its object and the language they want to use during the arbitration.

The request includes the names of the parties and their representatives, a summary of the dispute, indications about the aim of the request, the contracts signed by the parties and other relevant information.

The parties will agree by mutual agreement on the applicable law.

The time of the choice is irrelevant, the parties can choose the applicable law before the dispute or when the dispute arose.

The parties can decide to choose an international treaty or the lex mercatoria.

If they do not make any choice then it is for the arbitrator to choose it by considering the usage of trade.

The parties can choose the applicable law as they wish, however they cannot choose a law which would be contrary to public order.

III- The outcome of the arbitration : the award

The arbitral award has to be reasoned and pronounced by a majority of the votes in a 6-months period of time.

Enforcement of an award is needed in order to obtain the execution of a writ.

The arbitration award holds the binding force of the res judicata, it does not have to be contrary to public policy.

When the arbitration award is delivered the arbitrator is relieved.

The award is appealable before the appeal relevant court, if the parties did not preclude this right in the existent clause.

The prevailing party will have to domesticate the award before the defendant’s court, in order to enforce the award on the defendant’s assets.

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