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CIArb News

CIArb updates Terms of Appointment and Remuneration Guideline

22 February 2017 News

CIArb’s Practice and Standards Committee (PSC) recently published its latest revamped International Arbitration Practice Guideline, dealing with Terms of Appointment and Remuneration.

Download: Terms of Appointment including Remuneration

The revised Guideline has been expanded from the previous edition, which dealt solely with remuneration. The new version of the Guideline includes for the first time, best practices relating to negotiating the terms of appointment generally as well as remuneration.

It will be particularly useful to arbitrators sitting in international commercial arbitrations which are not administered by an institution, as institutions usually deal with these issues. This Guideline will be helpful in drafting terms of appointment and contains a handy list of other matters that arbitrators should consider including.

As practices vary across different jurisdictions, the Guideline warns that arbitrators should, before proposing any terms, take care to establish whether there are any specific requirements or limitations imposed by the applicable arbitration rules and/or the lex arbitri or prevailing in local practice that need to be reflected in their terms of appointment.

For example, in some jurisdiction it is common practice for a prospective arbitrator to discuss with the party appointing them the terms of appointment before the appointment is accepted; while in others - discussing such issues prior to the constitution of the arbitral tribunal may lead to a challenge to the arbitrator’s appointment on the grounds of appearance of bias and/or lack of independence.

The Committee is currently working on two further Guidelines on Experts including Tribunal-appointed Experts and Managing Arbitrations and Procedural Orders, to be published in the coming months.

For a full list of the CIArb Guidelines, see