Parties must draft arbitration agreements with Chinese parties clearly and precisely to ensure validity and avoid unwanted litigation.

By Oliver E. Browne and Isuru Devendra

A Beijing court recently adopted a pro-arbitration approach in upholding the validity of an arbitration agreement designating a non-existent arbitral institution. While the decision reflects the increasingly pro-arbitration attitude of Chinese courts, the case also highlights the importance of drafting arbitration agreements involving Chinese parties clearly and precisely.

Background and decision

In Chinalight International Trade Co. Ltd v Tata International Metals (Asia) Ltd, the Beijing No. 4 Intermediate People’s Court was asked to determine the validity of an arbitration agreement designating a non-existent arbitral institution to administer disputes submitted to arbitration under the agreement.

By Jennifer Archie and Hanna Roos 

Cyber security breaches are now an everyday reality permeating all aspects of business and private life, including the world of international commercial and investment treaty arbitration. These breaches can relate to the subject matter of the dispute, communications between parties and their counsel or between tribunal members, or the website and IT systems of the parties or the arbitral institution, among others. Hanna Roos and Jennifer Archie recently published a note for Practical Law