Arbitration

Model Clauses

The parties can initiate an arbitration only if an arbitration agreement between the parties exists. If the parties choose the JCAA arbitration, JCAA recommends that the following model clauses be inserted in their contracts.

Arbitration under UNCITRAL Arbitration Rules

"All disputes, controversies or differences arising out of or in connection with this contract shall be finally settled by arbitration in accordance with the UNCITRAL Arbitration Rules supplemented by the Administrative Rules for UNCITRAL Arbitration of The Japan Commercial Arbitration Association. The place of the arbitration shall be [city name], [country name]."

Arbitration under Commercial Arbitration Rules

"All disputes, controversies or differences arising out of or in connection with this contract shall be finally settled by arbitration in accordance with the Commercial Arbitration Rules of The Japan Commercial Arbitration Association. The place of the arbitration shall be [city name], [country name]."

Arbitration under Interactive Arbitration Rules

"All disputes, controversies or differences arising out of or in connection with this contract shall be finally settled by arbitration in accordance with the Interactive Arbitration Rules of The Japan Commercial Arbitration Association. The place of the arbitration shall be [city name], [country name]."

Expedited Procedures

Under the Commercial Arbitration Rules and the Interactive Arbitration Rules, expedited arbitration procedures apply in general where the amount in dispute is JPY300 million or less. If the parties prefer the expedited arbitration procedures regardless of the amount in dispute, JCAA suggests that the parties include the following clause in the contracts:

"All disputes, controversies or differences arising out of or in connection with this contract shall be finally settled by arbitration in accordance with the expedited arbitration procedures of the Commercial Arbitration Rules* of The Japan Commercial Arbitration Association. The place of the arbitration shall be [city name], [country name]."

* Note: The parties may also choose the expedited arbitration proceedings under the Interactive Arbitration Rules.

Other optional clauses

If the parties wish to stipulate the number of arbitrators, the following clause may be an option:
"The number of the arbitrators shall be [number]."

If the parties wish to stipulate the language of the arbitration, the following clause may be an option:
"The arbitral proceedings shall be conducted in [language]."