Appointment of the Arbitrators in Multi-Party Arbitration - Article 15 - Chamber of Arbitration of Milan Rules: A Commentary

Author(s):

Laura Salvaneschi

Page Count:

12 pages

Media Description:

PDF from "Chamber of Arbitration of Milan Rules: A Commentary"

Published:

April, 2012

Jurisdictions:

Italy,

International

Practice Areas:

Arbitrators and Arbitral Tribunals,

Designation of Arbitrators,

Arbitral Awards,

CAM,

Multiple Parties

Author Detail:

LAURA SALVANESCHI is Professor of Civil Procedure Law at the Bicocca University of Milan, where she now also teaches Arbitration Law. She has authored a number of scientific papers on different areas of civil procedure, in particular arbitration law. Noteworthy case studies are “The interest in challenging judicial decisions” and “multi-party arbitration”, as well as many several essays and notes on the reform of arbitration law published in collected works. She is a partner in the BEP Bonelli Erede Pappalardo office, where she practises litigation and arbitration in relation to cases involving contracts, corporate law, banking and finance law, bankruptcy, insolvency and family law.

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Description:

Originally from Chamber of Arbitration of Milan Rules: A Commentary

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ARTICLE 15 - APPOINTMENT OF ARBITRATORS IN MULTI-PARTY ARBITRATION

1. Where the request for arbitration is filed by or against several parties, if the parties form two sides when filing the request for arbitration and the statement of defence and the arbitration agreement provides for a panel of arbitrators, each group shall appoint an arbitrator and the Arbitral Council shall appoint the president, unless the arbitration agreement delegates the appointment of the entire panel or of the president to another authority.

2. Regardless of the arbitration agreement, if the parties do not form two sides when filing the request for arbitration and the statement of defence, the Arbitral Council, without considering any appointment made by any of the parties, shall appoint the Arbitral Tribunal.

1. Introduction
1.1. An arbitration involving more than two parties may raise a variety of substantive and procedural problems with respect to the appointment of arbitrators and composition of the panel.1

In general, these issues are caused by the following two facts at least.2

On the one hand, many arbitration agreements in which the clause provides for a three-person tribunal follow a two-step approach, namely: (i) each party appointing one member of the panel, (ii) and the two partynominated arbitrators designating a third arbitrator (a common variant to this clause provides for an appointing authority to designate the third arbitrator). This clause is commonly included even in contracts involving more than two parties:3 in this situation, however, when the request for arbitration is filed by or against several parties to the contract, the appointment of arbitrators is precluded by the presence of a multi-party dispute and, consequently, the appointment cannot work in conformity with the arbitration clause and must follow a different rule.4

Table of Contents:

1. Introduction.
2. The solution adopted by the Italian Code of Civil Procedure relating to ad hoc arbitration.
3. The rules for appointment provided under the first paragraph of Article 15.
4. The rules for appointment provided under the second paragraph of Article 15.