New BIMCO Law & Arbitration Clause under way
BIMCO says it has started work to develop a new Law & Arbitration Clause. The new clause will provide a short and “one size fits all” approach to dispute resolution, while adding Hong Kong as the fourth named arbitration venue. The addition of Hong Kong reflects its increased popularity as a centre for dispute resolution and that it is currently ranked among the top maritime arbitration centres in the world.
The goal is for the new clause to be suitable for London, New York, Singapore, and Hong Kong arbitration. It will be available in a generic digital version, where the parties can make their choice amongst the named arbitration venues listed in a dropdown menu, as well as in freestanding versions for each arbitration venue. An “Other” option will remain for parties to fill in the law and arbitration venue of their own choice.
“Arbitration is a vital part of international shipping and BIMCO contracts. I am therefore very pleased that we have launched the process and gathered representatives of the four arbitration venues for a first joint discussion of the new draft clause,” said Francis Sarre, Chairman of BIMCO’s Documentary Committee.
As part of the development of the new law and arbitration clause the mediation provision, which currently forms part of the BIMCO Dispute Resolution Clause, will be singled out and republished as a freestanding clause.
The new clauses will be presented for adoption by the Documentary Committee at its next meeting on 22 September.
