SCC Case 45/2001 - Chapter 23 - SCC Arbitral Awards - 1999-2003

About the Editors:
Sigvard Jarvin has been involved in more than 215 international arbitrations under the arbitration rules of the ICC, the Stockholm Arbitration Institute, the Dutch Arbitration Institute, the American Arbitration Association, LCIA, UNCITRAL, the Cairo Regional Centre, and other arbitration organizations. He was general counsel to the ICC International Court of Arbitration, Paris (1982-1987) and member of the Court (1988-1995). He also chaired the ICC working party revising the ICC/CMI Maritime Arbitration Rules (1997-1998).

Mr. Jarvin was the rapporteur at the 1990 and 1998 ICCA Congresses and was chairman of the foreign section of the Swedish Bar from 1999 to 2000, and he is also a member of the board of the Institute of Arbitration Law at Stockholm University and a member of the ICC Commission on Arbitration and the International Arbitration Club, London. He is cited yearly as one of the best arbitration lawyers in France in Chambers Global — The World’s Leading Lawyers , published by Chambers & Partners.

Annette Magnusson, is a Professional Support Lawyer at the firm of Mannheimer Swartling, Stockholm. She was formerly Assistant Secretary General and legal counsel for the Arbitration Institute of the Stockholm Chamber of Commerce.

Observation Commentary by:

Xing Xiusong & He Xiaoli, Partners, Global Law Office, Shanghai, Members of the London Court of International Arbitration

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Description:

Originally from SCC Arbitral Awards 1999-2003

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Subject-matters:

(1) Ex parte award.
(2) Jurisdiction of the arbitrator over the end user where the contract had been signed by the end user’s agent. Applicable law to decide this issue.
(3) Foreign trade agency relationship in Chinese law. The Chinese Foreign Trade Agency System Tentative Provisions (the “Tentative Provisions”) of 29 August 1991.

Findings:
(1) In accordance with Article 28 of the Rules of the Arbitration Institute of the Stockholm Chamber of Commerce, the arbitrator proceeded and rendered an award in the absence of any appearance by the Respondents.
(2) The arbitrator, applying the law of the country where the thirdparty end user acted, i.e. China, concluded that the third-party end user had not become a party to the arbitration agreement.
(3) The Tentative Provisions do not establish a direct relationshipbetween the principal and the opposite party to the contract as a result of the agent’s contract with the opposite party.

Parties: Claimant: Alpha International S.A. (France)
Respondent: 1. Beta Industry Company (China)
2. Gamma Industry Company (China)

Table of Contents:

XXIII. SCC case 45/2001

Subject-matters:

(1) Ex parte award.

(2) Jurisdiction of the arbitrator over the end user where the contract had been signed by the end user’s agent. Applicable law to decide this issue.

(3) Foreign trade agency relationship in Chinese law. The Chinese Foreign Trade Agency System Tentative Provisions (the "Tentative Provisions") of 29 August 1991.

Observations by Xing Xiusong & He Xiaoli