• Journal of Arbitration Studies
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• v.29 no.2
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• pp.3-34
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• 2019

The resumption of economic cooperation between South and the North Korea will be a new growth engine for our economy. Many Korean companies are preparing to invest in North Korea in accordance with the progress of inter-Korean relations. However, there are many risks inherent in inter-Korean economic cooperation, as experienced in previous cases. Specifically, one should be prepared for unfair measures such as the expropriation of investment assets of South Korean enterprises by North Korea authorities. Therefore, it is essential to review the protection measures of investment in North Korea and to review the investment dispute settlement system. The South and the North have an agreement to establish the inter-Korean Commercial Arbitration Committee to resolve the disputes that may arise if one party's investments are lost due to inappropriate or unfair measures due to the other party's authority. However, the Investment Agreement, which governs the Inter-Korean Commercial Arbitration Committee, contains a number of declarative statements that are somewhat ineffective. Even today, nearly 20 years after the adoption of the Agreement, the specific detailed procedures have shown no real progress, such as in the enactment of arbitration rules. Therefore, at present, it is difficult to expect a system that can effectively address the damage of our corporations which have invested in North Korea. When the assets freeze after the suspension of Kumgang tourism and the closure of the Kaeseung Industrial Complex by North Korea, the activation of the inter-Korean Commercial Arbitration Committee is the most important prerequisite for economic cooperation with North Korea. For this purpose, the resolution of disputes through the Inter-Korean Commercial Arbitration Committee has to be made more concrete, with the effectiveness of the dispute settlement system enhanced by means of various efforts.

• Journal of Arbitration Studies
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• v.34 no.1
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• pp.3-26
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• 2024

"Arbitration" is a procedure to settle a dispute over property rights or disputes based on non-property rights that the parties can resolve through a reconciliation, not by a judgment of a court, but by an award of an arbitrator, and is a kind of Alternative Dispute Resolution(ADR). Arbitration is the most representative and efficient ADR system in many fields, so by activating it, disputes can be resolved smoothly and ultimately, and social costs caused by a heavy increase in lawsuit can be reduced. Arbitration costs are often evaluated as 'cheap', but in reality, they can be similar to or exceed litigation costs. Nevertheless, unlike the Civil Procedure Act, which stipulates the litigation aid system for those who are hard to pay litigation costs, the Arbitration Act or the Arbitration Industry Promotion Act does not have the arbitration aid system for those who are hard to pay arbitration costs. However, considering ① the utility of arbitration compared to other dispute resolution procedures, such as litigation, ② the possibility of resolving trial delays through vitalizing arbitration, ③ the need to guarantee access to arbitration, ④ the feasibility of revitalizing arbitration by the arbitration aid system, it is necessary to introduce the Arbitration Aid System. To explain the details of the Arbitration Aid System, a person who intends to apply for arbitration or a party who continues arbitration could be the applicant. Regarding the judge, this paper suggests the establishment of a council for arbitration aid to prevent the possibility of prejudgment by the arbitral tribunal. Also, if the council accepts the application for arbitration aid, it would be appropriate for the arbitral tribunal to determine the allocation of arbitration costs considering the decision of the council and to include it into arbitral awards.

• Journal of Arbitration Studies
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• v.21 no.2
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• pp.47-64
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• 2011

The China International Economic and Trade Arbitration Commission(CIETAC) released online arbitration rules which apply the resolution of disputes over electronic commerce transactions, as well as other economic and trade disputes in which the parties agree to do. The evidence submitted by the parties may be electronic evidence created, sent, received or stored by electronic, optical or magnetic means. Electronic evidence with a reliable electronic signature shall carry the same effect and probative force as a document with a hand-written signature. Where a case is tried in a tribunal, the arbitration tribunal shall conduct an online trial hearing using internet video conference or other electronic or computer communication means. Unless the parties have another agreement, summary procedure shall apply to cases where the amount in dispute exceeds RMB 100,000 but no more than RMB 1 million, or where the amount in dispute exceeds RMB 1 million and a party submits a written application for summary procedure after obtaining the written consent of the other party. Unless the parties have agreed otherwise, fast-track procedure shall apply to cases where the amount in dispute does not exceed RMB 100,000 or where the amount in dispute exceeds RMB 100,000 and a party submits a written application for fast-track procedure after obtaining the written consent of the other party. Notable features of the Online Rules are as follows; first, there is not detailed consideration for online arbitration. Second, communications between the parties and the tribunal are allowed only through the Secretariat. Third, elaborate provisions regarding the electronic submission and transmission of documents is provided for. Forth, various factors must be considered by the tribunal in deciding the evidence's reliability. Fifth, reasonable endeavours is levied on CIETAC to keep data communications secure and encrypted. Sixth, the tribunal has the right to investigate and collect relevant evidence. And finally different procedures are provided for in consideration of the various types of E-commerce.

• Journal of Arbitration Studies
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• v.14 no.1
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• pp.273-314
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• 2004

There is a belief in the construction industry that the traditional court system may not be an ideal forum to effectively and efficiently resolve construction disputes due to the protracted proceedings and the three tier appeal system resulting in a long delay in the final and conclusive settlement of the dispute, relatively high costs involved, the lack of requisite knowledge and experience in the relevant industry, etc. Hence, they assert that certain alternative dispute resolution ('ADR') methods, such as mediation, conciliation, arbitration or a new system for dispute settlement in the form of any combination thereof should be developed and employed for construction disputes so as to resolve them more promptly and efficiently to the satisfaction of all the disputants concerned. This paper discusses certain merits of such assertions and the need for additional considerations for effective resolution of the construction disputes in light of the complexity of the case, importance of expert witnesses, parties' relationship and non-level playing field of the construction industry and so on. At the same time, however, given the inherent nature of disputes rendering the parties involved in an adversarial position, it would rather be difficult, if not practically impossible, to satisfy all the parties concerned in the dispute. Accordingly, in this study, it is also purported to address the demerits of such assertions by studying the situation from a more balanced perspective, in particular, in relation to the operation of such ADRs. In fact, most of such ADRs as stipulated by special acts, such as the Construction Industry Basic Act of Korea, in the form of mediation or conciliation, have failed to get support from the industry, and as a result, such ADRs are seldom used in practice. Tn contrast, the court system has been greatly improved by implementing a new concentrated review system and establishing several tribunals designed to specialize in the review and resolution of specific types of disputes, including the construction disputes. These improvements of the court system have been warmly received by the industry. Arbitration is another forum for settlement of construction disputes, which has grown and is expected to grow as the most effective ADR with the support from the construction industry. In this regard, the Korean Commercial Arbitration Board ('KCAB') has established a set of internal rules end procedures in operation to efficiently handle construction disputes. Considering the foregoing, this paper addresses the most important elements of the arbitration, i.e., arbitration agreement and arbitral award, primarily focusing on the domestic arbitrations before the KCAB. However, since this parer is prepared for presentation at the construction disputes seminar for the public audience, it is not intended for academic purposes, nor does it delve into any specific acadcmic issues. Likewise, although this paper addresses certain controversial issues by way of introduction, it mainly purports to facilitate the understanding of the general public, including the prospective arbitrators on the KCAB roster without the relevant legal education and background, concerning the importance of the integrity of the arbitration agreement and the arbitral award. In sum, what is purported in this study is simply to note that there are still many outstanding issues with mediation, conciliation and arbitration, as a matter of system, institutional operation or otherwise, for further study and consideration so as to enhance them as effective means for settlement of construction disputes, in replacement of or in conjunction with the court proceeding. For this purpose, it is essential for all the relevant parties, including lawyers, engineers, owners, contractors and social activists aiming to protect consumers' and subcontractors' interests, to conduct joint efforts to study the complicated nature of construction works and to develop effective means for examination and handling of the disputes of a technical nature, including the accumulation of the relevant industrial data. Based on the foregoing, the parties may be in a better position to select the appropriate dispute resolution mechanism, a court proceeding or in its stead, an effective ADR, considering the relevant factors of the subject construction works or the contract structure, such as the bargaining position of the parties, their financial status, confidentiality requirements, technical or commercial complexity of the case at hand, urgency for settlements, etc.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.58
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• pp.99-124
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• 2013

International commercial arbitration is a specially formed mechanism for the final and binding settlement of disputes arisen between contracting parties regarding procedures, structures or other contractual relationship agreed by them. It is a resolution system which is processed autonomously by arbitrators who are appointed by contracting parties without involving the national court. If the contracting parties want to settle their disputes by arbitration, there must be a valid agreement. With a valid agreement, the most important concern is which law(called as the substantive law) should be applied in order to determine the rights and obligations of both contracting parties in relation to the dispute. At this point, the substantive law is really important because it is applied to the dispute itself directly during proceedings as well as it plays an crucial role in scrutiny and enforcement of arbitral awards. This article discusses about the substantive law under international commercial arbitration, specially focusing on the regulations of the ICC rules of arbitration, which is the most widely used all over the world and UNCITRAL Model law, which most countries' rule and laws are based on. By discussing how these rules and regulations should be interpreted and applied, it is expected to provide practical help to practitioners when they agree on an arbitration agreement.

• The Korean Journal of Air & Space Law and Policy
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• v.33 no.2
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• pp.225-266
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• 2018

In 2017, 1,252 cases of damages relief related to air passenger transport service were received by the Korea Consumer Agency, a 0.8% drop from 1,262 cases in 2016, the first decline since 2013. In 2017, 444 cases (35.4%) out of received cases of damages relief in the field of air passenger service received by the Korea Consumer Agency were agreed on, and out of cases that were not agreed on, the most number of 588 cases (47.0%) were concluded due to information provision and counseling, and 186 cases (14.9%) were applied to the mediation of the Consumer Dispute Mediation Committee. Major legislations that contain regulations for the damages relief and disputes resolution of air service consumers include the Aviation Business Act and the Consumer Fundamental Act, etc. The Aviation Business Act provides the establishment and implementation of damage relief procedure and handling plan, and the receiving and handling of request of damage relief by air transport businessman, and the notice of protection standard for air traffic users. The Consumer Fundamental Act provides the establishment and management of the consumer counseling organization, the damage relief by the Korea Consumer Agency, the consumer dispute mediation, and the enactment of the criteria for resolving consumer disputes. The procedures for damages relief of air service consumers include the receiving and handling of damages relief by air transport businessman, the counseling, and receiving and handling of damages relief by the Consumer Counseling Center, the advice of mutual agreement by the Korea Consumer Agency, and the dispute mediation system by the Consumer Dispute Mediation Committee. The current system of damage relief and dispute mediation for air service consumer have the problem in the exemption from obligation of establishment and implementation of damage relief plan by air transport businessman under the Aviation Business Act, the problem in the exemption from liability in case of nonfulfillment and delay of transport by aviation businessman under the criteria for resolving consumer disputes in the aviation sector, and the uppermost limit in procedure progress and completion of consumer dispute mediation under the Consumer Fundamental Act. Therefore, the improvement measurements of the relevant system for proper damage relief and smooth dispute mediation for air service consumer are to be suggested as follows: First is the maintenance of the relevant laws for damage relief of air service consumer. The exemption regulation from obligation of establishment and implementation of damage relief plan by air transport businessman under the Aviation Business Act shall be revised. To enhance the structualization and expertise of the relevant regulation for protection and damage relief of air service consumer, it will be necessary to prepare the separate legislation similar to the US Federal Regulation 14 CFR and EU Regulation EC Regulation 261/2004. Second is the improvement of criteria for resolving air service consumer disputes. For this, it will be necessary to investigate whether the cause of occurrence of exemption reason was force majeure, and distinguish the exemption from liability in case of nonfulfillment and delay of transport by aviation businessman under the criteria for resolving consumer disputes in the aviation sector, and revise the same as exemption reasons regulated under the air transport chapter of the Commercial Act and Montreal Convention 1999, and unify the compensation criteria for the nonfulfillment of transport that the substitute flight was provided and the delay of transport. Third is the reinforcement of information provision for damage relief of air service consumer. Aviation-related government agencies and concerned agencies should cooperate with airlines and airports to provide rapidly and clearly diverse information to the air traffic users, including laws and policies for damages relief of air service consumers. Fourth is the supplement to the effectiveness, etc. of consumer dispute mediation. If there is no sign of acceptance for dispute mediation, it is not fair to regard it as acceptance, therefore it will be necessary to add objection system. And if a dispute resolution is requested to another dispute settlement agency in addition to the Consumer Dispute Mediation Committee, it is excluded from the damage relief package, but it should be allowed for the party to choose a mediation agency. It will be necessary to devise the institutional measures to increase the completion rate of mediation so that the consumer dispute can be resolved efficiently through the mediation. Fifth is the introduction of the air service consumer arbitration system. A measure to supplement the limitations of the consumer dispute mediation system is to introduce the consumer arbitration system, but there are two measurements which are the introduction of the consumer arbitration under the Consumer Fundamental Act and the introduction of the consumer arbitration under the Arbitration Act. The latter measurement is considered to be appropriate. In conclusion, as a policy task, the government should prepare laws and system to enhance the prevention and relief of damages and protection of the rights and interests of air service consumers, and establish and implement the consumer-centric policy for the advancement of air service.

• Journal of Arbitration Studies
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• v.25 no.4
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• pp.51-75
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• 2015

Administrative ADR to solve new problems has the characteristics of a new project, hence ADR is established and operated with a lack of human and material resources in the process of introducing administrative ADR. Therefore, it is preferred to resolve conflicts by less costly counseling and mutual agreement before mediation. When we try to settle the disputes through administrative ADR at the stage before mediation, it causes problems for the neutrality and impartiality of the dispute settlement procedures. In this case administrative ADR systems should introduce devices that ensure the impartiality of the process. In some issues becoming social problems, relevant administrative agencies are inclined to establish ADR systems. If ADR systems become available, a person who may use ADR services may have some trouble grasping ADR institutions because he/she can hardly distinguish their business affairs. By subdividing administrative affairs, when the disputes have the issues that touch on various fields of the affairs, parties in the disputes have to take ADR procedures one by one in all ADR-related institutions. This may lead to too heavy a burden on the disputing parties, furthermore forcing them to give up the remedies of their rights. For more efficient ADR operations, it is necessary that the institutions which set up and operate ADR systems should actively exchange and cooperate with one another. They need to forge and strengthen the solidarity between administrations and courts. The administrative agencies which run ADR themselves have to build up the devices for preparing human resources and material facilities for administrative ADR.

• Journal of Environmental Policy
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• v.13 no.4
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• pp.161-190
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• 2014

The Nagoya Protocol will enter into force on 12 October, 2014 during the period of UNCBD COP12 which will be held in Pyeongchang, Korea. In this circumstance, it is essential to analyze other countries' legislations and find various related issues. Based on that analysis, Korea can set its course for related policies and also improve its own legislations. EU and China were selected as comparison countries since EU is one of the leading countries trying to establish an international environmental law system and China is regarded as a model country representing LMMC (Like-Minded Mega-diverse Countries) in the world. Based on this study, it is highly recommended for Korea to assert the need for dispute resolution between private and government parties and also trilateral co-management of trans-boundary genetic resources and related traditional knowledge among Korea, China and Japan. In addition, Korea also needs to improve its legislation towards integrating the management and control of genetic resources.

• Journal of Arbitration Studies
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• v.20 no.3
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• pp.3-24
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• 2010

In the approaching 21th century, the outstanding development in international trade and commerce has established arbitration as the preferred form of dispute resolution on international business transaction. Because the form of commercial dispute becomes more complicated and varied with the quantitative increase of them, the reasonable and rapid settlement of them must be the important problem simultaneously. In this article, the author discusses various issues on the recognition and enforcement of an foreign arbitral awards under Korean Arbitration Act, which is modeled after the Model Law on International Commercial Arbitration of the UNCITRAL of 1985. The Dec. 31, 1999 amendment to the Korean Arbitration Act admits the basis for enforcement of foreign arbitral awards rendered under United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958(commonly known as the New York Convention). Korea has acceded to the New York Convention since 1973. When acceding to the convention, Korea declared that it will apply the Convention to the recognition and enforcement of awards made only in the territory of anther Contracting State on the basis of reciprocity. Also, Korea declared that it will apply the Convention only to differences arising out of legal relationships, whether contractual or not, which are considered as commercial under the national law of Korea. The provision relating to the enforcement of arbitral awards falling under the New York Convention consists of Article III, IV, V. In particular, Article V of the New York Convention enumerates the grounds for refusal of recognition foreign arbitral awards. The grounds are separated into two categories : One that abides by procedures and the others are based on national legal sovereignty. In Korea, a holder of a foreign arbitral award is obliged to request from the court a judgment ordering enforcement of awards. Because Korea requires enforcement to be based on a judgement, the result is that arbitral of award holders are forced to institute domestic litigation.

• Journal of Arbitration Studies
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• v.24 no.4
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• pp.29-47
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• 2014

In recent years, with the rapid development of electronic commerce, companies engaging in e-commerce want to take advantage of fast and easy way to solve ever-growing disputes online. South Korea's e-commerce disputes are mainly solved by mediation process of Korea E-commerce Mediation Committee. The whole process of online mediation can be carried out by the network, with the advantages of high efficiency and speed. On the other hand, the introduction of CIETAC's online Arbitration Rules in China meets the actual needs. Especially the requirement of hearing trials' procedures should be easier and faster, making the dispute can be resolved in a short time. Furthermore, the whole process from applying to ruling is conducted online, which meets the needs of e-commerce business that want to solve the disputes faster and more efficient. In addition, the cost of online arbitration is much lower than the average arbitrations. The implementation of the CIETAC's Online Arbitration Rules, will further promote the development of e-commerce in China. With the increase of trade volume between China and Korea, the e-business are also increasing. Although South Korea has not yet implemented online arbitration until now, CIETAC's effort for combining arbitration and mediation have good implications for development Korea's e-commerce online dispute system to promote e-Commerce between Korea and China.