Online Arbitration Rules Come Into Force
The Russian Arbitration Association's Online Arbitration Regulation came into force on 1st October 2015. http://www.arbitrations.ru/dispute-resolution/online-arbitration.php
The Online Arbitration Regulation serves to facilitate the independent, impartial and efficient resolution of commercial disputes arising out of contractual and non-contractual relations through the electronic transfer and storage of information.
Statistics show a significant increase in the number of commercial disputes on an annual basis. A considerable portion of these disputes consists of simple disputes involving comparatively small amounts, such as those concerning debt collection for delivered goods, works and services rendered.
Developed by The Russian Arbitration Association (RAA), the online arbitration system is a platform for addressing disputes in such a way that neither party has to leave the comfort of their office. A major added benefit to this online process is its duration - a maximum of 60 days.
The RAA shall administer Online Arbitration in accordance with the Online Arbitration Regulation and with the association's Internal Rules.
The main features of online arbitration include:
· Submission and retraction of claims online; this includes all evidence pertaining to the case;
· The case is viewed by an arbitrator appointed by The Russian Arbitration Association, mainly based on the documents and explanations forwarded by involved parties;
· Hearing, if necessary, takes place via video or phone conference;
· The final decision made by the arbitrator is likewise sent to all concerned parties in electronic format, following certification by arbitrator and RAA, with electronic signatures. Concerned parties may also receive a hardcopy of the decision made.
The are many noteworthy advantages to online arbitration for businesses, including:
· Quick dispute resolution;
· Workflow optimization, access to documents at any point in time, from any location;
· Reduced cost of arbitration as a result of a decrease in legal and arbitrator's fees, and transportation expenses;
· Convenient for arbitrators and parties involved.
"Given Russia's vastness, online access to information and services is paramount to developing a competitive economy. The creation of a dispute resolution system that does not require concerned parties separated by a considerable distance to be physically present, will result in effective dispute resolution that does not require significant allocation of time and human resources." - says Roman Zykov, secretary general of the Russian Arbitration Association
"There is no doubt that in the near future, online arbitration will be one of the most popular ways of resolving disputes. Given the increased popularity of electronic workflow processes, as well as an increase in the number of commercial transactions, such a mechanism is long overdue. Online arbitration will not only help resolve disputes, but bring up a new generation of arbitrators who will take arbitration to a new level. It also creates new opportunities for lawyers, law firms and companies in general, irrespective of their location, be it Moscow, Krasnodar, or Irkutsk" - comments Vladimir Khvalei, Chairman of Board of the Russian Arbitration Association
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The Russian Arbitration Association was founded in April 2013 in Moscow to unite legal practitioners, law firms and academics. The Association represents broad interests of the business, legal and education communities involved in the alternative dispute resolution in Russia and the CIS. www.arbitrations.ru For more information, please feel free to contact nina.anigbogu@arbitrations.ru