ICC launches new Dispute Board service

Dispute Boards (DBs) are independent bodies normally set up at the outset of a contract and which remain in place for its duration. Comprising one or three members thoroughly acquainted with the contract, DBs can help parties resolve their disagreements and disputes by providing informal assistance and by issuing recommendations or decisions.

Given the increasing demand for Dispute Boards (DBs), especially in mid- and long-term contracts, ICC has considered it appropriate to create a new dispute resolution facility for parties wishing to provide for a DB in their contracts. This facility consists of documents and a service centre – the ICC DB Centre – to help the parties set up and operate a DB.

The key document is the ICC Dispute Board Rules consisting of 34 articles covering, amongst other things, the types of DB available under the rules, the establishment and activity of the DB, the procedure for informal assistance and for issuing recommendations and decisions, and the obligations and compensation of DB members. The rules are accompanied by a model DB member agreement and standard dispute board clauses for use by parties in their contracts.

These documents were drawn up under the auspices of the ICC Commission on Arbitration and are the result of widespread discussions and consultations within ICC’s international business structure. ‘Users of ICC dispute resolution services come from all over the world and from all areas of the business community, so these consultations are a necessary and valuable part of drawing up new rules,’ said Peter Wolrich, Commission chair and member of the drafting committee.

Under the new ICC DB Rules, the ICC DB Centre may be called upon to appoint DB members, decide on challenges of DB members and review DB Decisions as to form. ‘In contrast to ICC arbitration, ADR and administered expertise proceedings, ICC plays a role which is limited to certain specific functions,’ explained Peter Wolrich. ‘The ICC DB Centre’s powers to appoint DB members and decide on challenges of DB members help to avoid possible deadlocks, while its review of DB Decisions is an added value option available to the parties.’

For further information on this new ICC dispute resolution facility, click on Dispute Boards in the left hand margin.

The ICC Dispute Board documents are published in ICC Publication No. 829, available free of charge. Requests for copies may be sent by fax to +33 1 49 53 57 74.