• Korea Trade Review
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• v.43 no.6
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• pp.139-160
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• 2018

The purpose of this paper is to analyze how governments determine interim measures based on relevant case studies. In most countries, the arbitral tribunal will recognize the interim measures, but china still recognizes the court's own authority. This is inconsistent with international trend. Although the Arbitration Act and the Civil Procedure Act were amended in 2017, but there is no consistency between these laws and arbitration rules for interim measures. Therefore, this paper analyzes the attitude of the Chinese government to interim measures and suggests practical implications for international arbitration dispute resolutions. Understanding the advantages and disadvantages of temporary measures and timely use in China can play an important role in protecting the rights of Korean companies in commercial arbitration.

• International Commerce and Information Review
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• v.19 no.2
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• pp.169-190
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• 2017

The purpose of this article by looking into the international commercial arbitration system of China is to provide solutions regarding commercial disputes that may occur in trade between China and Korea. For the research, literature review based on the Chinese Arbitration Law and CIETAC Arbitration Rules was employed. According to the research, the arbitration system of China applies partially differentiated legislation between domestic and international arbitration rules, unaccepting any ad-hoc arbitration, a limitation to the party autonomy, a deficiency of independence given to the arbitral institution, the participation of jurisdiction on arbitration is severe and it brings hardships in the execution of arbitral award. Beside these, in China's arbitral institution the jurisdiction directly progresses adjustments during the arbitration procedure and the following result is written as the award. Thus, the research is expected to provide legal and practical solutions to the commercial dispute with Chinese companies by looking into the main contents of legislations of the international commercial arbitration system in China.

• Journal of Arbitration Studies
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• v.25 no.3
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• pp.91-111
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• 2015

This paper discusses the problem of extraordinary delay in the commercial arbitration process, increased arbitration fees, and denial of the benefits of arbitration to other parties due to the abuse of procedural rights by relevant parties in commercial arbitration process. This paper proposes measures to reduce abuse of process in commercial arbitration, such as statutory modification, judicial supervision, amendment of arbitration rules and the intervention of disciplinary bodies.

• Journal of Arbitration Studies
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• v.24 no.2
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• pp.161-181
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• 2014

This thesis, which mainly focuses on the characteristics of the Chinese arbitration system, will mainly deal with three characteristics and analyze the causes that directly or indirectly influence them. The first characteristic is China does not recognize ad hoc arbitration. Ad hoc arbitration is the initial form of arbitration, and it occupies an important position in many countries; however, China's judicial system does not recognize it. There are many disadvantages for building a system of ad hoc arbitration in China; i. e., the arbitration system in China is undeveloped and shot-time established, and it lacks social and civil society basis, along with a credit system, which the Western ad hoc arbitration relies on. The second characteristic is the existence of excessive judicial supervision and control over arbitration in China. Judicial supervision over arbitration has been the customary practice in each country of the modern world, but sharp variation exists in the legal stipulations and the courts' attitude toward the standard to be applied in the supervision over arbitration. In China, there has always been a controversy over judicial supervision, and the standards applied in the supervision over arbitration by courts in different regions are less than identical. The last characteristic is the existence of a combination of mediation with arbitration, which is called Arb-Med in China. Such means that in the process of arbitration, the arbitrator may conduct mediation proceedings for the case it is handling if both parties agree to do so. Under the Chinese law, Arb-Med may lead to a binding and enforceable outcome. However, it has several legal disadvantages and almost no country adopts this system. China still insists that this system will go on because Arb-Med was first made in China, and its effect was proven through long-time practice in CIETAC.

• Journal of Arbitration Studies
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• v.25 no.3
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• pp.113-133
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• 2015

This article reviews some recent decisions of the Supreme People's Court (SPC) of the People's Republic of China (PRC) on the recognition and enforcement of several South Korean arbitral awards. It explains the implementation of the New York Convention in the PRC and in particular the so-called Report System under the current Mainland Chinese law and judicial practice. It identifies some deficiencies in the People's Courts' approaches to the application and interpretation of the New York Convention and argues that the Mainland Chinese courts should adopt the pro-enforcement principle in the determination of the relevant issues under the New York Convention. It proposes further enhancement of the Report System and that the current categorization of 'domestic, foreign-related and foreign' in the context of arbitration agreements and arbitral awards needs to be further reviewed and clarified by the SPC. Last but not the least, it recommends some steps that South Korean parties should take to enhance the enforceability of South Korean Arbitral Awards in Mainland China.

• Journal of Arbitration Studies
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• v.33 no.4
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• pp.37-67
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• 2023

Arbitration is a just and efficient method for resolving economic disputes. It adapts to the needs of economic development and is an important institution in today's society. Around the world, a tradition of resolving disputes through arbitration spontaneously developed in ancient times and gradually evolved into a legal system with the development of jurisprudence starting from the Middle Ages. In China, formal legislation on arbitration began in the modern era during the Republic of China period. However, the origins of arbitration as a method for resolving disputes can be traced back to ancient times, during the Qin and Han dynasties. The most significant modern arbitration legislation in China is the "Arbitration Law" enacted in 1995, which drew on the experiences of foreign arbitration laws. Despite this, there are still many areas in arbitration legislation that require improvement based on practical experiences. Currently, revisions to the Arbitration Law are underway, and historical experiences may offer valuable insights, assisting in better integrating the Arbitration Law with Chinese society. This article primarily focuses on the role and impact of the imported modern commercial arbitration system in China and how it can be harmonized with China's legal culture in the future.

• Journal of Arbitration Studies
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• v.20 no.2
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• pp.131-149
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• 2010

Since the Arbitration Law of China took effect in 1995, arbitration has grown with the economy. At the end of 2009, there were 202 arbitration institutions in China. Among them, China International Economic and Trade Arbitration Commission(CIETAC) has adopted online arbitration and has settled internet domain name disputes since 2001. CIETAC Domain Name Dispute Resolution Center(DNDRC) has accumulated abundant experiences of online arbitration in the field of domain name disputes. Based on those experiences, on 1 May 2009, CIETAC implemented the CIETAC Online Arbitration Rules(Rules') to regulate the resolution of e-business disputes as well as other business disputes. With this background, this article aims to study the status quo, practices and issues of online arbitration conducted by CIETAC. For the purpose of the article, a general picture of online arbitration is outlined first, followed by introducing the steps of the online arbitration procedure. According to the 'Rules', the entire arbitration process is conducted using online communication methods which are cost-effective and efficient. To facilitate the development of online arbitration, legal barriers need to be removed. This article considers main legal issues of online arbitration in China and proposes amendment to Chinese Arbitration Law, in particular, the recognition of the validity of electronic arbitration agreements and awards.

• Journal of Arbitration Studies
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• v.23 no.4
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• pp.191-209
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• 2013

The amount of international trade conducted through Hong Kong (HK) is increasing, thus rendering the legal framework governing contracts of sale between Mainland China (China) and HK is of particular importance. The status of HK under the CISG is currently unclear, however. First, the CISG entered into force in China in 1988. This important development had no legal effect for HK though as China lacked the power to enter into international conventions for HK. Second, the "Letter of Notification" deposited to the Secretary-General of the UN referred a list of treaties to be applied to HK, taking effect from July 1, 1997. This list, however, made no mention of the CISG. Third, China made a reservation in Article 95 of the CISG. Pursuant to Article 1(1)(b) of the CISG, the CISG cannot apply to HK. As a result, the Chinese Arbitral Tribunal apply the Chinese law according to the closest connection principle with the contract. In this case, attention must be given to the different result to which the CISG is applied. Liability for damages pursuant to the Chinese Contract Law (CCL) is just the same as Article 74 CISG, but CCL does not govern the case with substitute transaction and without substitute transaction when the contract is avoided. Therefore, the contract should be governed by the CISG from a business perspective when a contract is concluded between China and HK; otherwise, a promisee could not be fully compensated for all loss incurred.

• Journal of Arbitration Studies
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• v.18 no.3
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• pp.23-50
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• 2008

In a global economy where, private parties increasingly favour arbitration over litigation, many foreigners are unfortunately reluctant to arbitration with China's parties because the China national courts do not scrutinize the merits when deciding whether to recognize and enforce foreign awards. As a result, the finality of arbitral awards hangs in uncertainty. Overseas concern is that China's courts may abuse "Public Policy" grounds provided for in the New York Convention to set aside or refuse to enforce foreign awards. The purpose of this article is to examine the distrust to enforcement of arbitral awards whether that is just an assumption. In spite of the modernize and internationalize her international arbitration system and many reforms provided in the related law and rules, the most vexing leftover issues are caused of the lack of "rule of law" in China. This situation imply the risk of pervert 'Public Policy' as the ground for refusing enforcement of arbitral awards. Some cases reflect the fear. But it is unclear whether those cases caused from the lack of "rule of law" in China. Same uncertainty present between Hon Kong-China under th one country-two legal system after the return of Hong Kong to China on 1 July 1997. While China is striving to improve its enforcement mechanism in regard to the enforcement of arbitral awards, it can only be expect following the establishment of rule of law in the future.

• Journal of Arbitration Studies
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• v.14 no.2
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• pp.135-172
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• 2004

While doing business in China foreign companies occasionally find themselves embroiled in disputes with Chinese individuals, companies or the Chinese Government. There are three primary ways to resolve a commercial dispute in China are negotiation, arbitration and litigation. The best way of dispute resolution is negotiation as it is the least expensive method and the working relationship of both parties concerned in dispute. But negotiations do not always give rise to resolution. Arbitration is the next choice. Unless the parties concerned can agree to resort to arbitration after the dispute has arisen, the underlying contract namely, sales contract or separate agreement must show that disputes will be resolved by arbitration. Agreements to arbitration specify arbitration body and governing law. There are two Chinese government -sponsored arbitration bodies for handling cases involving at least one foreign party: China International Economic and Trade Arbitration Commission(CIETAC) and China Maritime Arbitration Commission(CMAC) for maritime disputes. Contracts regarding foreign companies doing business in China often designate CIETAC arbitration. CIETAC distinguishes between two kinds of dispute resolutions, foreign-related arbitration and domestic arbitration. For a dispute to be classified as foreign-related arbitration, one of the companies must be a foreign entity without a major production facility or investment in China. CIETAC has published rules which govern the selection of a panel if the contract does not specify how the choice of arbitration will be handled. CIETAC's list of arbitrators for foreign-related disputes, from which CIETAC's arbitrators must en chosen, includes may non-Chines arbitrators. But many foreign experts believe that some aspects of CIETAC needs to be improved. The purpose of this paper is to improve the understanding of arbitration in China, CIETAC by way of studying the current situation and improvement of international commercial arbitration in China.