News
2001

Publication of Construction Arbitration Report

Construction arbitrations are familiar to ICC. The Statistical Reports of the ICC International Court of Arbitration show that over the last decade construction and engineering disputes have represented between 14% and 20% of all cases referred each year to ICC arbitration.

Following the introduction of the 1998 ICC Rules of Arbitration, the ICC Commission on International Arbitration commissioned a study into the application of these Rules in construction disputes, with a view to improving the efficiency and effectiveness of ICC arbitrations relating to the construction industry.

A Construction Arbitration Section was set up within the Commission's Forum on Arbitration and New Fields. Led by Dr Nael G. Bunni and Judge Humphrey Lloyd QC, its purpose was to study current practice in construction arbitrations and to offer general guidelines for arbitrators called upon to conduct ICC arbitrations in the construction sector.

Following widespread consultations with specialists worldwide and an initial report, a final report was drawn up, which is now published in the Fall 2001 issue of the ICC International Court of Arbitration Bulletin. Readers will find an in-depth discussion of procedures under the 1998 Rules of Arbitration as applied to construction cases. It takes into account the characteristics of these cases, which are often highly complex, generate much documentation and call for careful management. A list of 55 non-binding recommendations and suggestions follows, each cross-referenced to the preceding discussion.

It is a tradition of the ICC International Court of Arbitration Bulletin to publish reports commissioned by the ICC Commission on International Arbitrations on various questions relating to ICC arbitration. Details of previously published reports may be found in the list of contents of back issues.

Other traditional features of the Bulletin are scholarly articles and extracts from ICC arbitral awards. In the latest issue, these are represented by an article on developments in Brazilian arbitration law by Arnoldo Wald and extracts from recent awards referring to the UNIDROIT Principles of International Commercial Contracts, together with a commentary by Fabrizio Marrella.

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