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IDI Conference 2007. Fast arbitration: The experience of Piedmont Arbitration Chamber Wien, june 16 th , 2007. Need for arbitration?. Is arbitration a tool only for big business? Does arbitration always cost too much? Is arbitration an alternative to court justice?.
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IDI Conference 2007 Fast arbitration: The experience of Piedmont Arbitration Chamber Wien, june 16th, 2007 Daniela Cena – Piedmont Arbitration Chamber
Need for arbitration? • Is arbitration a tool only for big business? • Does arbitration always cost too much? • Is arbitration an alternative to court justice? Daniela Cena – Piedmont Arbitration Chamber
The answer: Institutional arbitration • The arbitration is governed by a public or private institution • Advantages: • Settled Rules of proceedings: possibility to control deadlines and steps of the proceeding • Cost control : table of fees • Assistance during the proceedings • Quality control (arbitrators independence and competence) Daniela Cena – Piedmont Arbitration Chamber
The Chambers of Commerce: • Scope of Market protection • Not in competition with the judicial system, but ... • Their approach is service oriented, by means of cost limitation and speed • Public – institutional approach Daniela Cena – Piedmont Arbitration Chamber
Civil justice in Italy • Pending proceedings before civil courts in 2005: 3.447.816 • New proceedings introduced in 2006: 4.3 mln • Duration: • Courts (1° instance) 4 years • Court of Appeal: over 2 years = Total: 2607 days • Supreme Court: 3 years Daniela Cena – Piedmont Arbitration Chamber
Arbitration before Italian Chambers of commerce (2004): • Duration of arbitral proceedings: 135 days • N. of arbitration proceedings before Chambers of commerce (2006): 487 Daniela Cena – Piedmont Arbitration Chamber
Arbitration cases in 53 Chambers of Commerce Daniela Cena – Piedmont Arbitration Chamber
Arbitration chambers annexed to Chambers of commerce • 103 chambers of commerce • 69 arbitration chambers • 103 mediation centers (the most well-known are probably Milan, Treviso, Piedmont and Rome) Daniela Cena – Piedmont Arbitration Chamber
Piedmont Arbitration Chamber • Founded in 1995, is the only regional chamber in Italy, with a spread presence through a network of offices in all the 8 provinces of Piedmont. • Dating 2004 the organizations of lawyers, accountants and notaries, have entered with a representative into the Chamber governing bodies. Daniela Cena – Piedmont Arbitration Chamber
Reasons for Fast Arbitration “need for justice” for small value disputes spread of arbitration also for SME Cost limitation + fast resolution of the dispute Daniela Cena – Piedmont Arbitration Chamber
Fast Arbitration • Duration: two months after the hearing • Costs: 500 to 1500 Euros each party (depending on the value of the dispute) • Availability: fordisputes up to 150.000 € (200.000 for international disputes) • Hearing: in general one (oral) hearing shall be sufficient • Decision: ritual (same value as a decision by the judge) and ex bono et aequo Daniela Cena – Piedmont Arbitration Chamber
Fast arbitration Fees Daniela Cena – Piedmont Arbitration Chamber
Fast Arbitration A. The instruments/tools • sole arbitrator • oral hearing • ex bono et aequo decision • foreclosures • concentration • models and forms Daniela Cena – Piedmont Arbitration Chamber
Fast arbitration B. The different style of the fast arbitrator • Not linked to ordinary civil process restrictions and limits • Limited only by principle of cross-examination • Can be more creative (can ask for evidences, can dispose cross-examination etc.. ) • Concentration (oral hearing…) Daniela Cena – Piedmont Arbitration Chamber
Fast arbitration C. The proceeding • value limits: up to 150.000 € (art. 19) • particular system for appointment of the arbitrator (preferences of the parties within a list of names of prospectives arbitrators) (art. 23) • an oral hearing, decisions within 2 months (art. 24) • registered verbalisation and use of forms • forfetary costs (art. 26) Daniela Cena – Piedmont Arbitration Chamber
N. of cases (B2B) Daniela Cena – Piedmont Arbitration Chamber
Typology of arbitral procedure Daniela Cena – Piedmont Arbitration Chamber
A European Fast Arbitration Network • The ENDR : a EEIG founded by a group of regional Arbitration Centers in different european countries, to spread low cost arbitration for PME in transnational business Daniela Cena – Piedmont Arbitration Chamber
Bordeaux • Lille • Lyon • Paris • Toulouse • Bilbao • Turin • Trieste • Munchen • Amsterdam Daniela Cena – Piedmont Arbitration Chamber