Arbitration under the auspices of KLRCA begins with the agreement of 2 or more parties for the reference to an arbitration proceeding under the KLRCA Arbitration Rules. The KLRCA Arbitration Rules offers a comprehensive procedural process upon which parties may agree for the conduct of arbitral proceedings arising out of their commercial relationship. It adopts the UNCITRAL Arbitration Rules (as revised in 2013).
The KLRCA Arbitration Rules cover all aspects of the arbitral process, providing a model arbitration clause, setting out procedural rules regarding the appointment of arbitrators and the conduct of arbitral proceedings, and establishing rules in relation to the form, effect and interpretation of the award.
Investor-State Arbitration under the ICSID Convention
The KLRCA is a longstanding partner of the International Centre for Settlement of Investments Disputes (ICSID) in Washington. ICSID is the world’s leading institution devoted to international investment dispute settlement. It has extensive experience in this field, having administered the majority of all international investment cases. States have agreed on ICSID as a forum for investor-State dispute settlement in most international investment treaties and in numerous investment laws and contracts.
The first collaboration agreement between KLRCA and ICSID was signed in 1979. The two institutions decided to further strengthen their collaboration by signing a new agreement in 2014. In addition to fostering cooperation between the KLRCA and ICSID, the 2014 agreement provides that the KLRCA can be used as an alternative hearing venue for ICSID cases, should the parties to proceedings conducted under the auspices of ICSID desire to conduct proceedings at the seat of the KLRCA. This applies mutatis mutandis to the Additional Arbitration and Conciliation Rules of ICSID.
Investor-State Arbitration under the 2009 ASEAN Comprehensive Investment Agreement
The 2009 ASEAN Comprehensive Investment Agreement is multilateral investment treaty between all member States of ASEAN, which comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore and Thailand. Section B of the 2009 ASEAN Comprehensive Investment Agreement provides for the resolution of investment disputes between an investor and a member State.
In particular, Article 33 of Section B of the 2009 ASEAN Comprehensive Investment Agreement allows for such disputes to be referred, inter alia, to the KLRCA.
The KLRCA is an independent international body with experienced workforce and ultramodern premises that can cover all needs of the parties involved in Investor-State arbitrations. The KLRCA offers hearing facilities at Sulaiman Building and ancillary administrative services to tribunals operating ad hoc or under the auspices of another institution.