The Court of Arbitration
Court of Arbitration was founded in 1991 by the Chamber of Commerce and Industry and Upper-Silesian Economic Association in Katowice, and since then, it has been operating continuously by the Chamber of Commerce and Industry in Katowice as an independent unit created with the aim of settling national and international disputes, within the framework of mediation or arbitrary proceedings.
The Court also runs mediations and may administer arbitrations ad hoc. Cases are considered confidentially, in first resort, quickly and efficiently.
Arbitration is a modern and, at the same time, traditional mode of settling civil and economic cases by arbiters, according to the rules directly or indirectly chosen by the parties. Settling disputes by courts of arbitration, as an alternative for common courts of law, entirely allows for the specificity and needs of trading, including international trading, for the Court of Arbitration by the Chamber of Commerce and Industry in Katowice also arbitrates cases with participation of foreign entities.
For an asset dispute to be settled by the Court of Arbitration, parties of the legal relation have to give their joint consent in writing or conclude a contract including a proper arbitration clause. The clause we advise to place in trade contracts reads as follows:
“All disputes resulting from the hereof agreement will be settled by
the Court of Arbitration by the Chamber of Commerce and Industry
in Katowice, in accordance with the Statute of this Court.”
The principal advantages of a Court of Arbitration in comparison with a court of common law include:
• Saving of time and money – a proceeding is quicker, for concluded in one instance and the arbitrary procedure is constructed in a way that quickens the course of the proceeding in its every stage. Owing to this, the cases are considered much faster than in courts of common law, which is extremely important in economic relations. Pace of a proceeding obviously maintains the highest level of arbiters’ substantial work. What is more, costs of a proceeding are significantly lower in comparison with charges of a court of common law,
• Reduction of formal issues – court of common law is highly formalized and any formal fault causes at least an extension of a proceeding’s course or its interruption. Court of arbitration, on the other hand, puts an emphasis on reaching the material truth, calling the parties to remove formal faults on each stage of a proceeding. Moreover, as practice shows, the parties are more prompt to negotiate an agreement in an arbitrary proceeding,
• Parties’ impact on the selection of arbiters and course of action – the parties may influence both the selection of the bench as well as the course of action. Choosing an arbiter, the partners (parties) may be guided by his/her qualifications, knowledge and reliability, what allows to increase the competence of the bench. The list of arbiters recommended by the Court includes highly qualified specialists of different law areas. An arbiter may also be a person not included in the list and not educated in law; however, he/she may be a specialist in the field of a particular case. Possibility of selecting arbiters enables reaching an agreement in accordance with a specific character of the case.
• Confidentiality of a proceeding - in state courts a trial is usually public. Most often, entrepreneurs are not interested in publicizing the fact of their conducting a case, therefore, confidentiality of an arbitrary proceeding is its essential characteristic. Often, during the trial, one is to give information constituting a trade secret. Arbitration ensures absolute confidentiality of a proceeding and no one, except the parties, arbiters and the proceeding’s participants, is informed about the trial.
• Executability of an arbitrary verdict – verdict of an arbitrary proceeding binds the parties on a par with a verdict of a court of common law. Moreover, owing to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards dated 10th June 1958, which was signed by Poalnd – verdicts of courts of arbitration are executed in approximately 150 countries around the world, which makes it an essential element in exacting receivables and an additional trump of arbitration in comparison with state courts, whose verdicts are executed in merely several countries.
The Statute of the Court of Arbitration by the Chamber of Commerce and Industry in Katowice grants parties’ agents the same rate of pay that they would receive for representing the party in the court of common law.
We kindly invite you to benefit from the services of our Court of Arbitration.