2. London Court of International Arbitration (lcia). The London Court of International Arbitration History of the lcia

On 5 April 1883, the Court of Common Council of the City of London set up a committee to draw up proposals for the establishment of a tribunal for the arbitration of domestic and, in particular, of trans-national commercial disputes arising within the ambit of the City.

In 1884, the committee submitted its plan for a tribunal that would be administered by the City Corporation, with the co-operation of the London Chamber of Commerce. However, though the plan had arisen out of an identified and urgent need, it was to be put on ice pending the passing of the Arbitration Act of 1889. In April 1891, the scheme was finally adopted and the new tribunal was named “The City of London Chamber of Arbitration”. It was to sit at the Guildhall in the City, under the administrative charge of an arbitration committee made up of members of the London Chamber and of the City Corporation. The Chamber was formally inaugurated on 23 November 1892, in the presence of a large and distinguished gathering, which included the then President of the Board of Trade. Considerable interest was also shown both by the press and in legal commercial circles.

In April 1903, the tribunal was re-named the "London Court of Arbitration" and, two years later, the Court moved from the Guildhall to the nearby premises of the London Chamber of Commerce. The Court's administrative structure remained largely unchanged for the next seventy years.

In 1975, the Institute of Arbitrators (later the Chartered Institute) joined the other two administering bodies and the earlier arbitration committee became the "Joint Management Committee", reduced in size from the original twenty four members to eighteen, six representatives from each of the three organisations. The Director of the Institute of Arbitrators became the Registrar of the London Court of Arbitration. In 1981, the name of the Court was changed to “The London Court of International Arbitration", to reflect the nature of its work, which was, by that time, predominantly international. New and innovative rules were also adopted that year. In 1985, not far short of its centenary, new and innovative rules were promulgated and the LCIA Arbitration Court was established, marking the coming of age of the LCIA as an international institution.

In 1986, the LCIA became a private not-for-profit company, limited by guarantee, and fully independent of the three founding bodies. It then set about consolidating its position in the international arena, under the guidance of Sir Michael Kerr, the first President of the LCIA Court, and Bertie Vigrass, the first Registrar of the independent LCIA.

The current arbitration rules of the LCIA were promulgated in 1998 and are currently under review.

Organisation

The LCIA operates under a three-tier structure, comprising the Company, the Arbitration Court and the Secretariat. The Director General of the LCIA fulfils the role of chief executive officer, with day-to-day responsibility of the conduct of the business of the LCIA, and is the principal point of contact between the institution and its Board and Court. The Company

The LCIA is a not-for-profit company limited by guarantee. The LCIA Board, made up largely of prominent London-based arbitration practitioners, is principally concerned with the operation and development of the LCIA's business and with its compliance with applicable company law. The Board does not have an active role in case administration, though it does maintain a close interest in the LCIA's administrative function, particularly through the Arbitration Court, whose members it appoints. The Arbitration Court

The LCIA Court is made up of up to thirty five members, selected to provide and maintain a balance of leading practitioners in commercial arbitration, from the major trading areas of the world and of whom no more than six may be of UK nationality. In addition, former presidents are invited to become Honorary Vice Presidents, for so long as they may wish to remain in that role, and overseas bodies associated with the LCIA may be invited to nominate special delegates to the Court. The LCIA Court is the final authority for the proper application of the LCIA rules. Its principal functions are the appointment of tribunals, the determination of challenges to arbitrators, and the control of costs. The functions of the LCIA Court are performed, in the name of the LCIA Court, by the President, by a Vice President or by a Division of the LCIA Court of three or five members, of whom one will be the President or a Vice President, or in the case of administrative functions, by the Registrar or Deputy Registrar. The Secretariat Headed by the Registrar, the casework Secretariat is based at the International Dispute Resolution Centre in London and is responsible for the day-to-day administration of all disputes referred to the LCIA. LCIA case administration is highly flexible. All cases are allocated dedicated soft and hard copy files and account ledgers. Every case is monitored, but the level of administrative support adapts to the needs and wishes of the parties and the tribunal, and to the circumstances of each case. The LCIA's administrative services are not confined to the conduct of arbitration and of a wide range of other ADR procedures under its own rules. It also acts as administrator in UNCITRAL-rules cases, and not merely as appointing authority, and provides a fundholding facility in otherwise ad hoc proceedings.

The LCIA is one of the leading international institutions for commercial dispute resolution. Its organisation, operation, outlook and services are worldwide, in the fields of arbitration, mediation and other forms of ADR.

The LCIA has access to the most eminent and experienced arbitrators, mediators and experts from many jurisdictions, and with the widest range of expertise. The LCIA's dispute resolution services are available to all contracting parties, without any membership requirements.

The Arbitration Court of the LCIA is a body of eminent arbitrators which is the final arbiter for the proper application of the LCIA Rules. Its key functions include appointing Tribunals, determining challenges to arbitrators and controlling costs. There is no connection between the LCIA and any State Court.

Does the word “London” denote an essentially English institution?

Typically, more than 75% of the cases referred to the LCIA involve no UK parties at all. London simply denotes the physical location of the institution’s headquarters. The LCIA is a thoroughly international institution.

Is the LCIA a government body, or a government funded body?

The LCIA is not linked to, or associated with, the government of any jurisdiction. It is a private, not-for-profit company, limited by guarantee and is entirely neutral and independent of any other organisation.

Must I be a member of the LCIA before I can use the LCIA’s dispute resolution services?

No. Any contracting party may provide for LCIA arbitration and/or mediation and/or other forms of ADR in their contract, without the prior agreement of the LCIA. No fees are payable to the LCIA for its dispute resolution services until, and unless, an arbitration or ADR process is commenced.

Can I refer my dispute to the LCIA if there is no LCIA clause in my contract?

Arbitration and ADR are consensual processes. If one party wishes to refer a dispute to the LCIA, but the other does not, the LCIA has no jurisdiction to determine the dispute. The best course is always to write a clear and unequivocal LCIA clause into your contract. However, if there is no such clause, or if you wish to vary a clause to provide for the LCIA’s services, it may be possible to obtain the other side’s agreement to do so. In that case, the LCIA will be pleased to provide a separate arbitration agreement.

How long does the average LCIA arbitration last?

There is no such thing as an “average” arbitration. Sums in issue, and technical and legal complexity, may vary greatly between one case and another, as may the volume of evidence, oral and written, that may be required to determine the dispute. However, currently, around half of all cases referred to the LCIA that run their course from Request for Arbitration to Final Award are typically concluded in 12 months or less, and more than three quarters in 18 months or less.

Does the LCIA favour one arbitrator or three?

The LCIA will follow the express agreement of the parties as to the number of arbitrators. However, if there is no agreement, the presumption in the LCIA Rules (Article 5.4) favours a sole arbitrator, unless the circumstances of the case demand three. These circumstances will include, for example, the sum in issue and the legal or technical complexity of the case.

Can a party always appoint its own arbitrator?

The parties themselves may not appoint arbitrators. They may, however, nominate arbitrators for appointment by, the LCIA Court, which retains the discretion not to appoint a nominee that it considers not to be independent or impartial, or to be otherwise unsuitable.