Confidentiality, flexibility and time efficiency. These are some of the advantages of choosing alternative dispute resolution if a dispute arises in a commercial contractual relationship. And there are other reasons why two parties choose a dispute resolution method other than court proceedings.
Arbitration proceedings are confidential, unlike in public courts. This means that trade secrets are not at risk of being disclosed to outsiders. The procedure is also often shorter than in court, allowing the parties to refocus on their core business more quickly. Another advantage is that the rules governing arbitration allow the parties to have a greater say in the process, for example in the choice of arbitrators to be appointed to resolve the dispute.
Which dispute resolution method is best?
There are several different methods of dispute resolution. It can be difficult to know in advance which one is the most suitable. A complex issue in a comprehensive contract is best resolved through arbitration, while a specific legal issue can be resolved in just three weeks using the service SCC Express.
Include a dispute resolution clause in the contract
A perfect contract that protects against disagreement – does it exist? No, unfortunately not. However carefully a contract has been negotiated and analysed in detail, it is the dispute resolution clause that determines how secure the contract is for the parties. By deciding right from the time the contract is concluded how to resolve a dispute, the parties can avoid wasting valuable time and unforeseen costs. A dispute resolution clause increases predictability and, when choosing the right kind, can also help to save a business relationship.
What is an appropriate dispute resolution clause for a commercial contract?
Here you will find templates and models for dispute resolution clauses referring to the SCC and our various services.
If the contract does not include a dispute resolution clause, you can still resolve the dispute with us.
How to contact the SCC
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Model clauses
We recommend that a dispute resolution clause is included in any business agreement. Where the parties agree to arbitrate any disputes under the SCC Rules, we recommend that the SCC Model Clauses are included in the contract.
There is a number of variations to suit the parties wishes; clauses referring to the Arbitration Rules or the Rules for Expedited Arbitrations only, and various combination clauses giving greater flexibility when the size and character of any dispute is more difficult to predict.
Expert advice
Cost calculator
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Estimated cost
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Next stepWhat does it cost
The costs consist of the fee to the arbitrators/mediator, the administrative fee of the SCC and any expenses incurred.
The SCC determines the costs based on the amount in dispute, which is the total value of all claims, counterclaims and set-offs. This means that the parties often can anticipate the arbitration costs. Use the calculator to estimate such costs!
When the amount in dispute exceeds EUR 100,000,000 the SCC Board determines the advance on costs based on a case by case analysis..
Conditions | |
| The amount in dispute: | € |
| Number of arbitrators: | |
Chairperson's fee | |
| Minimum | € |
| Median | € |
| Maximum | € |
Advance on Costs (excl. VAT) | |
| The fee to the chairperson (median) | € excl. VAT |
| Administrative fee of the SCC | € excl. VAT |
| Expenses (estimate) | € excl. VAT |
| Total | € excl. VAT |
Conditions | |
| The amount in dispute: | € |
| Number of arbitrators: | |
Chairperson's fee | |
| Minimum | € |
| Median | € |
| Maximum | € |
The fee to the chairperson (median) | |
| Chairperson | € |
| Co-arbitrator * | € |
| Co-arbitrator * | € |
Advance on Costs (excl. VAT) | |
| The fee to the chairperson (median) | € excl. VAT |
| Administrative fee of the SCC | € excl. VAT |
| Expenses (estimate) | € excl. VAT |
| Total | € excl. VAT |
*Each co-arbitrator shall receive 60% of the chairpersons fee. After consultation with the tribunal, the Board may decide that another rate shall apply. | |
Conditions | |
| The amount in dispute | € |
Fee of the Mediator | |
| Fee* | € |
Advance on Costs (excl. VAT) | |
| Administrative fee of the SCC | € excl. VAT |
| Expenses (estimate) | € excl. VAT |
| Total | € excl. VAT |
*The mediator's fees equivalent to EUR 4,000 for the preparation of the case and EUR 4,000 for each day of mediation. The mediator's fees shown in the table above are calculated from a one-day mediation. | |
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The fee of the arbitrator and other costs are determined by the Board when the amount in dispute exceeds this amount. Contact us for cost estimates.