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GAFTA Arbitration Process FAQs

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parent_64337'><span class='nav_group_folder'><span class='nav_group_header'></span><a class='nav_group_item pg_arbitration' href='/Arbitration' title='Arbitration' data-description=''>Arbitration</a><a class='nav_group_item pg_arbitrationnews' href='/arbitration-news' title='Arbitration News' data-description=''>Arbitration News</a><a class='nav_group_item pg_arbitrationfaq' href='/Arbitration-FAQ' title='Arbitration FAQ' data-description='Our frequently asked questions about the arbitration process'>Arbitration FAQ</a><a class='nav_group_item pg_defaultersonawardsofarbitration' href='/Defaulters-on-Awards-of-Arbitration' title='Defaulters on Awards of Arbitration' data-description=''>Defaulters on Awards of Arbitration</a><a class='nav_group_item pg_findanarbitrator' href='/Membership-Directory/arbitrators' title='Find an Arbitrator' data-description=''>Find an Arbitrator</a><a class='nav_group_item pg_howtobecomeagaftaqualifiedarbitrator' href='/Gafta-Qualified-Arbitrator-Status' title='How to Become a Gafta Qualified Arbitrator' data-description=''>How to Become a Gafta Qualified Arbitrator</a><a class='nav_group_item pg_guidelinesforgaftaappointmentofarbitrators' href='/Guidelines-for-Gafta-Appointment-of-Arbitrators' title='Guidelines for Gafta Appointment of Arbitrators' data-description=''>Guidelines for Gafta Appointment of Arbitrators</a><span class='nav_level_3'><a class='nav_group_item pg_forarbitrators' href='/For-Arbitrators' title='For Arbitrators' data-description=''>For Arbitrators</a><span class='nav_level_3_items'><a class='nav_item' href='/Contract-Changes-Articles-and-Circulars' title='Contract Changes Articles and Circulars'>Contract Changes Articles and Circulars</a></span></span></span></span></li> <li class='has_children page_29260' data-page_level='1'><a href='/Membership' title='' data-description='Any company involved in the agricultural commodities and general produce business, trading in grains, pulses, rice, general produce, spices and feedingstuffs or any company providing services to those companies should be a member of Gafta.'>Membership</a><span class='has_children_expand'></span><span class='nav_group parent_29260'><span class='nav_group_folder'><span class='nav_group_header'></span><a class='nav_group_item pg_membership' href='/Membership' title='Membership' data-description='Any company involved in the agricultural commodities and general produce business, trading in grains, pulses, rice, general produce, spices and feedingstuffs or any company providing services to those companies should be a member of Gafta.'>Membership</a><a class='nav_group_item pg_joingafta' href='/join-gafta' title='Join Gafta' data-description='Become a Gafta member today and join the global network of grain, feed and cereal traders '>Join Gafta</a><a class='nav_group_item pg_findanarbitrator' href='/Membership-Directory/arbitrators' title='Find an Arbitrator' data-description=''>Find an Arbitrator</a><a class='nav_group_item pg_membershipdirectory' href='/Membership-Directory' title='Membership Directory' data-description='Find and network with others in the international grain, feed and cereal trade with our Gafta members directory '>Membership Directory</a><a class='nav_group_item pg_memberwebinars' href='/Member-Webinars' title='Member Webinars' data-description=''>Member Webinars</a><span class='nav_level_3'><a class='nav_group_item pg_electronicplatformmou' href='/Electronic' title='Electronic Platform MOU' data-description=''>Electronic Platform MOU</a><span class='nav_level_3_items'><a class='nav_item' href='/Signatories' title='MOU Signatories'>MOU Signatories</a></span></span><a class='nav_group_item pg_gaftaprofessionalfirmsmembership' href='/Gafta-Professional-Firms-Membership' title='Gafta Professional Firms Membership' data-description=''>Gafta Professional Firms Membership</a></span></span></li> <li class='has_children page_29306' data-page_level='1'><a href='/All-Contracts' title='' 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pg_sustainabilitypledge' href='/Sustainability-Pledge' title='Sustainability Pledge' data-description=''>Sustainability Pledge</a><a class='nav_group_item pg_directory' href='/Sustainability-Pledge-Directory' title='Directory' data-description=''>Directory</a><a class='nav_group_item pg_informationhub' href='/Information-Hub' title='Information Hub' data-description=''>Information Hub</a><a class='nav_group_item pg_unsdgs' href='/UN-SDGs' title='UN SDGs' data-description=''>UN SDGs</a><a class='nav_group_item pg_signsustainabilitypledge' href='/Sign-Sustainability-Pledge' title='Sign Sustainability Pledge' data-description=''>Sign Sustainability Pledge</a><a class='nav_group_item pg_sustainabilitypledgeflyer' href='/Sustainability-Pledge-Flyer' title='Sustainability Pledge Flyer' data-description=''>Sustainability Pledge Flyer</a><a class='nav_group_item pg_sustainabilitypledgeenquiry' href='/Sustainability-Pledge-Enquiry' title='Sustainability Pledge Enquiry' 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Feed Safety</a><span class='nav_level_3_items'><a class='nav_item' href='/Pesticide-Residues' title='Pesticide Residues'>Pesticide Residues</a></span></span><span class='nav_level_3'><a class='nav_group_item pg_issuesandnews' href='/issues-and-news' title='Issues and News' data-description=''>Issues and News</a><span class='nav_level_3_items'><a class='nav_item' href='/Covid-19' title='Covid-19'>Covid-19</a></span></span><a class='nav_group_item pg_statistics' href='/statistics' title='Statistics' data-description=''>Statistics</a><a class='nav_group_item pg_positionpapersandconsultations' href='/Position-Papers-and-Consultations' title='Position Papers and Consultations' data-description=''>Position Papers and Consultations</a><a class='nav_group_item pg_committees' href='/Trade-Policy/Committees' title='Committees' data-description=''>Committees</a><a class='nav_group_item pg_membership' href='/Trade-Policy/Membership' title='Membership' data-description=''>Membership</a><a class='nav_group_item pg_partnerships' href='/Trade-Policy/Partnerships' title='Partnerships' data-description=''>Partnerships</a><a class='nav_group_item pg_usefullinks' href='/Useful-Links' title='Useful Links' data-description=''>Useful Links</a><a class='nav_group_item pg_accreditedinternationalorganisations' href='/Accredited-International-Organisations' title='Accredited International Organisations' data-description=''>Accredited International Organisations</a></span></span></li> <li class='has_children page_29340' data-page_level='1'><a href='/Events-Training' title='' data-description=''>Events & Training</a><span class='has_children_expand'></span><span class='nav_group parent_29340'><span class='nav_group_folder'><span class='nav_group_header'></span><a class='nav_group_item pg_eventstraining' href='/Events-Training' title='Events & Training' data-description=''>Events & Training</a><span class='nav_level_3'><a class='nav_group_item pg_agribilityonlinelearning' href='/Agribility' title='Agribility Online Learning' data-description=''>Agribility Online Learning</a><span class='nav_level_3_items'><a class='nav_item' href='/Agribility-Partners' title='Agribility Partners'>Agribility Partners</a><a class='nav_item' href='/Online-Short-Courses' title='Online Short Courses'>Online Short Courses</a></span></span><span class='nav_level_3'><a class='nav_group_item pg_gaftaexams' href='/Gafta-Exams' title='Gafta Exams' data-description=''>Gafta Exams</a><span class='nav_level_3_items'><a class='nav_item' href='/Trade-Diploma' title='Trade Diploma exam'>Trade Diploma exam</a><a class='nav_item' href='/Arbitrator-Diploma' title='Arbitrator Diploma exam'>Arbitrator Diploma exam</a><a class='nav_item' href='/Appeal-Board' title='Appeal Board exam'>Appeal Board exam</a></span></span><a class='nav_group_item pg_hoteldiscounts' href='/Hotel-Discounts' title='Hotel Discounts' data-description=''>Hotel Discounts</a><a class='nav_group_item pg_howtoregister' href='/How-to-Register' title='How to Register' data-description=''>How to Register</a><a class='nav_group_item pg_in-housetraining' href='/In-House-Training' title='In-House Training' data-description=''>In-House Training</a><a class='nav_group_item pg_londongrainsweek' href='/LondonGrainsWeek' title='London Grains Week' data-description=''>London Grains Week</a><span class='nav_level_3'><a class='nav_group_item pg_networking' href='/Networking' title='Networking' data-description=''>Networking</a><span class='nav_level_3_items'><a class='nav_item' href='/ADFAQs' title='Gafta Annual Dinner FAQs'>Gafta Annual Dinner FAQs</a></span></span><span class='nav_level_3'><a class='nav_group_item pg_standalonelearning' href='/Stand-Alone-Learning' title='Stand Alone Learning' data-description=''>Stand Alone Learning</a><span class='nav_level_3_items'><a class='nav_item' href='/KYGC' title='Know Your Gafta Contracts'>Know Your Gafta Contracts</a></span></span><a class='nav_group_item pg_sponsorship' href='/Sponsorship' title='Sponsorship' data-description=''>Sponsorship</a><span class='nav_level_3'><a class='nav_group_item pg_structuredtraining' href='/Structured-Training' title='Structured Training' data-description=''>Structured Training</a><span class='nav_level_3_items'><a class='nav_item' href='/GPD' title='Gafta Professional Development (GPD)'>Gafta Professional Development (GPD)</a><a class='nav_item' href='/DLP' title='Distance Learning Programme (DLP)'>Distance Learning Programme (DLP)</a></span></span></span></span></li> <li class=' page_29302' data-page_level='1'><a href='/Events' title='' data-description=''>Calendar</a></li> <li class='has_children page_29267' data-page_level='1'><a href='/news' title='' data-description=''>News</a><span class='has_children_expand'></span><span class='nav_group parent_29267'><span class='nav_group_folder'><span class='nav_group_header'></span><a class='nav_group_item pg_news' href='/news' title='News' data-description=''>News</a><a class='nav_group_item pg_gaftaworld' href='/gaftaworld' title='Gaftaworld' data-description='Bi-monthly trade magazine Gaftaworld by the Grain and Feed Trade Association'>Gaftaworld</a><a class='nav_group_item pg_annualreport' href='/annual-report' title='Annual Report' data-description=''>Annual Report</a><a class='nav_group_item pg_jobboard' href='/Job-Board' title='Job Board' data-description=''>Job Board</a><a class='nav_group_item pg_recipes' href='/Recipes' title='Recipes' data-description=''>Recipes</a></span></span></li> <li class='has_children page_28578' data-page_level='1'><a href='/Home' title='' data-description='Our aim is to promote international trade in agricultural commodities - and more recently spices and general produce - and to protect the interests of our members worldwide, providing the support and international contacts they require.'>Home</a><span class='has_children_expand'></span><span class='nav_group parent_28578'><span class='nav_group_folder'><span class='nav_group_header'></span><a class='nav_group_item pg_home' href='/Home' title='Home' data-description='Our aim is to promote international trade in agricultural commodities - and more recently spices and general produce - and to protect the interests of our members worldwide, providing the support and international contacts they require.'>Home</a><a class='nav_group_item pg_privacy' href='/privacy' title='Privacy' data-description=''>Privacy</a><span class='nav_level_3'><a class='nav_group_item pg_about' href='/about' title='About' data-description='Find out about Gafta and its history of promoting international trade in grain, feed and cereals '>About</a><span class='nav_level_3_items'><a class='nav_item' href='/History' title='History'>History</a><a class='nav_item' href='/about-igpa' title='About IGPA'>About IGPA</a></span></span><a class='nav_group_item pg_staff' href='/Staff' title='Staff' data-description='Meet the people who make up the expert Gafta Team and help maintain the international trade of grain, feed and cereals'>Staff</a><a class='nav_group_item pg_council' href='/Council' title='Council' data-description=''>Council</a><a class='nav_group_item pg_committees' href='/Trade-Policy/Committees' title='Committees' data-description=''>Committees</a><a class='nav_group_item pg_officelocations' href='/Office-Locations' title='Office Locations' data-description='Find your nearest Gafta Office in our global network '>Office Locations</a><a class='nav_group_item pg_careers' href='/careers' title='Careers' data-description='Latest vacancies in International Grain and Feed Trade at Gafta and Gafta members'>Careers</a><a class='nav_group_item pg_contact' href='/Contact' title='Contact' data-description='Get in touch with the Gafta team if you have any questions we would love to hear from you '>Contact</a><a class='nav_group_item pg_honourforgaftadg' href='/JaineCC' title='Honour for Gafta DG' data-description=''>Honour 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type="text/javascript"> SSS_faq = { init : function() { $('div.faq .answer').slideToggle('fast'); $('div.faq .question').click(function() { SSS_faq.toggle(this) }); }, toggle : function(elt) { $(elt).toggleClass('active'); $(elt).siblings('.answer').slideToggle('fast'); } } $(function() { SSS_faq.init(); }); </script> <h1 class="faq_header">Arbitration FAQ</h1></ br> <div class="faqs_content"> <p></p></ br> <div id="ctl00_ctl00_CorePlaceHolder_DisplayPagePlaceHolder_ctl00_fAQ_ctl00_pnlFAQs" class="faq_list"> <div id="ctl00_ctl00_CorePlaceHolder_DisplayPagePlaceHolder_ctl00_fAQ_ctl00_pnlCategory" class="faq_category"> </div> <div class="faq_list_items"> <div class="faq"> <h2 class="question"> How do I commence arbitration? </h2> <div class="answer"><p>In order to claim arbitration at Gafta we require a simple e-mail to <a href="mailto:arbitration@gafta.com">arbitration@gafta.com</a>, with copy to your counter party that outlines the names of parties involved, a copy of the relevant contract/contracts, addresses (email and physical) for both parties involved, names of any arbitrators appointed (or if you request a Sole Arbitrator) and also names of any legal teams authorised to act. Gafta will acknowledge receipt of the claim to both parties and then open a pending case for the claim and allocate a Gafta reference number. We will advise next steps once the case has been created.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What is the difference between Gafta 125 rules and Gafta 126 rules? </h2> <div class="answer"><p><strong>Gafta 125 Arbitration Rules</strong><br />Usually for larger more complex claims.</p> <ul> <li>Determined by a Tribunal of 3 or a sole arbitrator</li> <li>Parties are able to appeal</li> <li>Usually more expensive and takes longer than 126 cases</li> </ul> <p><strong>Gafta 126 Rules &ndash; Expedited Arbitration Procedure Rules</strong><br />This is for smaller claims that require an expedited arbitration.</p> <ul> <li>Determined by a Sole Arbitrator only</li> <li>Parties can agree to contract into Gafta 126 Rules even if the original contract mentions Gafta 125 Rules</li> <li>No right of appeal</li> <li>Can be cheaper and faster than Gafta 125 Arbitration cases</li> </ul></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Can non-members come to Arbitration? </h2> <div class="answer"><p>Yes. You are not required to be a member of the Association in order to commence arbitration. The parties must however have contracted into Arbitration Rules 125 or 126 so that in the event of a dispute, the matter is referred to Gafta.</p> <p>There is a charge of &pound;1,700 for all non-member parties on issuance of each Gafta award.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How do I appoint an arbitrator? </h2> <div class="answer"><p>Under Gafta 125 Rules, parties are to appoint their own arbitrators unless the parties are wishing to proceed with a sole arbitrator or if Gafta have been requested to appoint an arbitrator on behalf of the parties. Parties can choose an arbitrator from the list of <strong><a href="/Membership-Directory/arbitrators" target="_blank">Gafta Qualified Arbitrators</a></strong> and will have to contact the chosen arbitrator for their approval of their appointment.</p> <p>Under Gafta 126 Rules &ndash; The dispute shall be heard and determined by the Arbitrator appointed either by agreement of the parties or by Gafta. If the parties are appointing, then they must do so by agreeing to a sole arbitrator chosen from the list of <strong><a href="/Membership-Directory/arbitrators" target="_blank">Gafta Qualified Arbitrators</a></strong></p> <p>If the parties apply to Gafta to appoint a sole arbitrator, they must provide the items as per 3.3 of Gafta 126 Rules before Gafta can appoint.</p> <p>The appointment fee for Gafta to appoint a Sole arbitrator under 126 Rules is &pound;150.00.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What are the backgrounds of the arbitrators? </h2> <div class="answer"><p>Gafta qualified arbitrators must have been actively engaged in the grain and feed trade for at least ten years. Gafta is keen to promote greater transparency in the appointment of Arbitrators and has published two documents <a href="/Guidelines-for-Gafta-Appointment-of-Arbitrators" target="_blank" rel="noopener">Guidelines for Gafta Appointment of Arbitrators</a> and <a href="/write/MediaUploads/Arbitration/Arbitrators_Letter_of_Appointment_2022.pdf" target="_blank" rel="noopener">a Letter of Appointment as an Arbitrator</a>. The Guidelines set out the selection criteria which Gafta considers when appointing arbitrators. The Letter of Appointment is a Letter which is signed by Arbitrators annually and sets out the terms on which they are appointed. Gafta also have a <a href="/write/MediaUploads/Arbitration/Gafta-Arbitrator-Directory-2021.pdf" target="_blank" rel="noopener">directory of Gafta qualified arbitrators</a>.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How do we apply to Gafta to appoint a sole arbitrator under Gafta 125 Rules? </h2> <div class="answer"><p>The Claimant should seek agreement from the Respondents for Gafta to appoint a sole arbitrator. Where the parties have agreed to the appointment of a sole arbitrator, or where the respondent has not responded to the claimant&rsquo;s notice under 3.1(a) of Gafta 125 Rules, or where the respondent has not agreed to a sole arbitrator but has not appointed an arbitrator, Gafta shall appoint an arbitrator on receipt of the first statements and evidence submitted.</p> <p><strong>N.B. Parties are only seeking agreement for Gafta to appoint a sole arbitrator. The sole arbitrator is not to be chosen by the parties </strong></p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How do we apply to Gafta to appoint a sole arbitrator under Gafta 126 Rules? </h2> <div class="answer"><p>Gafta 126 Rules provide the following:</p> <p>"3.2 If there is no agreement on the identity of the Arbitrator within a period of 14 days from the request of either party, then either party may apply to Gafta for an Arbitrator to be appointed.</p> <p>3.3 Applications to Gafta for the appointment of an Arbitrator shall be accompanied by:</p> <p>(a) prima facie evidence that the parties have entered into a contract subject to these Rules,</p> <p>(b) copies of the notices (i) stating their intention to refer a dispute to arbitration and (ii) stating that an application will be made to Gafta for the appointment of an Arbitrator,</p> <p>(c) the appropriate fee ruling at the date of application which is &pound;150.00</p> <p>3.4 Upon an application being made to Gafta under Rule 3.3 for the appointment of an Arbitrator, Gafta will make the appointment and will give notice of the name of the Arbitrator appointed to the parties."</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How do we apply to Gafta to appoint an arbitrator on behalf of the Respondents? </h2> <div class="answer"><p>Under Gafta 125 Rules, where the Respondents have failed to appoint their arbitrator within the 9-day time limit, the Claimants can apply to Gafta to appoint an arbitrator on behalf of the Respondents.</p> <p>Applications to Gafta for the appointment of an arbitrator shall be accompanied by:</p> <ul> <li>prima facie evidence that the parties have entered into a contract subject to these Rules,</li> <li>copies of the notices (i) claiming arbitration and (ii) stating that an application will be made to Gafta for the appointment of an arbitrator,</li> <li>the appropriate fee ruling at the date of application which is &pound;150.00</li> </ul> <p>Upon receipt of the above items, Gafta will make the appointment and give notice of the name of the arbitrator appointed.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> When are the claim submissions due? </h2> <div class="answer"><p>There is no time limit for the service of claim submissions. Unless we receive the claim submissions Gafta will not be able to proceed to appoint a chairman to complete the Tribunal (or a sole arbitrator) and the case will be set as a pending case. However, the claimants will need to renew the case every year from the date of the notice of arbitration for up to 6 years if they are not wanting for the case to be deemed lapsed.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Where do parties send hard copies of submissions during the pandemic? </h2> <div class="answer"><p>Gafta is currently accepting service of electronic submissions. Gafta will then ask the members of the Tribunal if hard copies are required, and if so, we are asking the parties to send hard copies of the required submissions directly to the members of the Tribunal. Gafta will provide physical addresses when needed. Parties will still need to provide hard copies to the other party if needed also.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How much will it cost? </h2> <div class="answer"><p>It is not possible to provide an estimate of costs, as this will depend on a number of variables. These include the complexity of the case, and whether a sole arbitrator is appointed or a Tribunal of three, or whether there is an oral hearing. A non-member fee of &pound;1,700 applies to each party that is a non-member on issuance of each Gafta award. There is an issue fee of &pound;1,250 for a first tier case and &pound;3,500 for an appeal. For 126 cases there is an issue fee of &pound;700.</p> <p>The amount of deposit to be called for is: <br />&pound;12,000 when both parties are members <br />&pound;13,500 when one party is a non-member <br />&pound;15,000 when both parties are non-members <br />&pound;20,000 for all appeals</p> <p>For first tier sole arbitrator cases the amount of deposit to be called for is:<br />&pound;8,000 when both parties are members<br />&pound;9,700 when one party is a non-member<br />&pound;11,400 when both parties are non-members</p> <p>The members of the Tribunal may wish to call for further deposit if the case is more complex to cover the Tribunals fees and expenses.</p> <p>Average Cost of Awards</p> <table border="1"> <tbody> <tr> <td width="240"> <p>&nbsp;</p> </td> <td width="106"> <p>First Tier<br />(125 Rules)</p> </td> <td width="93"> <p>Appeal</p> </td> <td width="95"> <p>126 Rules</p> </td> </tr> <tr> <td width="240"> <p>Association fees</p> </td> <td width="106"> <p>&pound;1,391.92</p> </td> <td width="93"> <p>&pound;3,521.06</p> </td> <td width="95"> <p>&pound;1,016.57</p> </td> </tr> <tr> <td width="240"> <p>Arbitrator fees</p> </td> <td width="106"> <p>&pound;11,014.67</p> </td> <td width="93"> <p>&pound;19,726.13</p> </td> <td width="95"> <p>&pound;4,411.00</p> </td> </tr> <tr> <td width="240"> <p>Total fees (plus Non-Member charges)</p> </td> <td width="106"> <p>&pound;14,654.65</p> </td> <td width="93"> <p>&pound;23,816.78</p> </td> <td width="95"> <p>&pound;7,013.29</p> </td> </tr> </tbody> </table></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Who pays the deposit and when is the deposit due? </h2> <div class="answer"><p>The Claimants will be requested to pay the deposit once the claim submissions have been received and a chairman or sole arbitrator has been appointed by Gafta.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How can deposits be paid? </h2> <div class="answer"><p>Deposits can be paid directly into our bank account, the details of which are:</p> <p><strong>Account Name: </strong>The Grain and Feed Trade Association</p> <p><strong>Bank Details: </strong>HSBC Bank Plc, 1-3 Bishopsgate, London, EC2N 3AQ</p> <p><strong>Account Number: </strong>60402389</p> <p><strong>Sort Code: </strong>40 04 12</p> <p><strong>Swift Code: </strong>HBUKGB4110F</p> <p><strong>IBAN No: </strong>GB52HBUK40041260402389</p> <p>Please refer to the Gafta case number when making a payment so we can identify it. Payment is to be made in POUNDS STERLING, free of all charges.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Can we request invoices? </h2> <div class="answer"><p>If you need an invoice for a deposit, please request one via <a href="mailto:arbitration@gafta.com">arbitration@gafta.com</a> and please confirm before we raise the requested document the full name, address and where applicable EU VAT number of the party to be invoiced.</p> <p>Unfortunately, we are unable to issue an official/VAT invoice at this stage of proceedings. The request is for a deposit against fees yet to accrue. An invoice if required will be issued on request at the end of proceedings once the full final costs are known. In the meantime, Gafta will send a proforma invoice and parties are to arrange for the requested deposit sum to be paid as soon as possible in order for the matter to proceed.</p> <p>If you want invoices for appointment of arbitrator fees, certificates etc., please confirm before we raise the requested document the full name, address and, where applicable, the EU VAT number of the party to be invoiced.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> If there is a remaining balance of the deposit once the award has been issued, will this be returned to the party? </h2> <div class="answer"><p>Whether or not the Claimants are successful in the Award, if there is a remaining balance from the deposit, Gafta will refund the Claimants upon receipt of the Claimants bank details on company headed paper. Any sums awarded in the Award will then need to be arranged between the parties.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> The value of the dispute is relatively low, will this reduce the costs of the arbitration? </h2> <div class="answer"><p>No, not necessarily. Even though the value of the claim may be low, it may still be complex. An option that the parties may wish to consider is the Expedited Arbitration Procedure Rules No. 126. These allow for a quick arbitration so both parties can get on with the business of trade. Both parties must expressly agree to the Rules.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How long will it take? </h2> <div class="answer"><p>It is not possible to give an estimate. The standard timetable for a first tier case provides that once a Claimant has submitted 4 hard copies of their Claim submissions and paid the deposit, the Respondents have 28 days to provide their defence submissions. The Claimants then have 21 days for a final reply. However, very often there will be further exchanges between the parties which results in a lengthier time frame. If either party requests an oral hearing, this again will generally increase the time frame. When all submissions have been received, the Tribunal will close the proceedings and proceed to the Award save as to any further information they believe is necessary. The average time taken from the date of the timetable being set to the date of issue was 7 months for a first tier award and 11 months for an appeal.</p> <p>In more recent months, with the use of electronic submissions and electronic issuance of awards, the average time for both first tier and appeal cases is approx. 5 months.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Can we consolidate the cases if the matters in dispute are similar? </h2> <div class="answer"><p>If parties wish to consolidate matters, there must be an agreement between the parties or parties may request the Tribunal to consolidate matters. Parties are also able to request the same Tribunal members to be appointed across certain cases for consistency.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What if the other side doesn鈥檛 participate in the proceedings? </h2> <div class="answer"><p>The Tribunal/Board will make an award based on the evidence before it. The non-participation by a party will not affect the validity of the Award.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How do we renew a case? </h2> <div class="answer"><p>If neither party submits any documentary evidence or submissions as set out in this Rule or as ordered by the tribunal, within 1 year from the date of the notice claiming arbitration, then, the claimant&rsquo;s claim shall be deemed to have lapsed on the expiry of the said period of 1 year unless before that date the claim is renewed:</p> <ul> <li>by a notice served by either party on the other, such notice to be served during the 30 consecutive days prior to the expiry date, or</li> <li>by the service of documentary evidence or submissions by either party, in which case the claim and counterclaim are each renewed for a further year.</li> </ul> <p>The claim may be thus renewed for successive periods of 1 year, but not to exceed more than 6 years from the date of the first notice served in accordance with Rule 2. Wherever a claim is renewed any counterclaim is also deemed to be renewed.</p> <p>Please be sure to copy in <a href="mailto:arbitration@gafta.com">arbitration@gafta.com</a> when renewing a claim for our files.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Can we withdraw a case? </h2> <div class="answer"><p>Yes, a case can be withdrawn at anytime during proceedings. The Claimants will need to inform the arbitration department that they wish to withdraw the case and Gafta will calculate any fees that may have been accrued during proceedings from both Gafta and the Tribunal and deduct this from the deposit. The remaining balance will then be remitted back to the Claimants upon receipt of bank details on company headed paper.</p> <p>If the case is pending (no deposit yet received) then there may not be any fees and the case will be withdrawn.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> If the Award is in our favour will we have to pay any fees? </h2> <div class="answer"><p>This will depend on the Award, however any non-member fees will need to be paid by the non-member party and payment will need to be discussed between the parties.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What if there is a mistake in the Award? </h2> <div class="answer"><p>Once the Award has been issued, parties may apply for a corrected Award or an additional Award under <strong>Section 57 of the Arbitration Act 1996. </strong></p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How is the Award being issued during the pandemic? </h2> <div class="answer"><p>The awards are currently being electronically issued. This includes electronic signatures and electronic date stamps. No hard copies of the Awards will be sent to the parties unless requested.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What if the Award is in my favour and the other side fails to comply? </h2> <div class="answer"><p>In accordance with Arbitration Rules 125/126, Gafta may post a company who neglects or refuses to carry out or to abide by a final award of Arbitration.</p> <p>The defaulter process comprises of two standard form letters which are sent to the party apparently in default with copy to the reporting party. If no settlement is informed to Gafta after the first letter has been sent, then a second letter will be sent 6-8 weeks later. If no settlement is made after the second letter, then Gafta will request confirmation from the reporting party to bring the name of the party in default to the Gafta Council to seek their approval. Once Council has approved the posting a circular will be sent to all Gafta members informing them of the name and address of the party in default and the Gafta website will be updated to reflect the default.</p> <p>One of the main advantages of commercial arbitration is the comparative ease of enforcing an award internationally compared to the enforcement of a foreign court judgment. This is significantly facilitated by the <em>New York Convention</em> of 1958. The Convention essentially imposes on Contracting States the duty to stay court proceedings if a dispute exists and a valid arbitration agreement is established, and most importantly, to recognise and enforce foreign arbitration awards.</p> <p>If a party wishes to apply to Gafta for the Defaulter service. Please complete the <strong><a href="/write/MediaUploads/Arbitration/Request_for_posting_form.pdf" target="_blank" rel="noopener">request for posting form</a></strong> and send to <a href="mailto:arbitration@gafta.com">arbitration@gafta.com</a>.</p> <p>Parties needing to enforce Awards can do so by requesting Gafta to provide a certificate <strong>(<a href="/write/MediaUploads/Arbitration/Certificate-First_Tier.pdf" target="_blank" rel="noopener">first tier certificate template</a> </strong>and <strong><a href="/write/MediaUploads/Arbitration/Certificate-Appeal.pdf" target="_blank" rel="noopener">appeal certificate template</a>)</strong> and request these certificates to be legalised through De Pinna Notaries.</p> <p>Parties can request Gafta to provide wet signatures from the Tribunal members on the electronically issued Awards.</p> <p><strong>Please note there is an extra cost for this service from both Gafta and De Pinna Notaries. Please email <a href="mailto:arbitration@gafta.com">arbitration@gafta.com</a> for further information. </strong></p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> What if I believe the decision is wrong? </h2> <div class="answer"><p>With 125 Arbitration claims, Gafta provide a two tier arbitration facility. Once the first tier award is published the parties have 30 days from its date to lodge an appeal with Gafta. Gafta will then appoint a board of appeal to hear the appeal against the first tier award of arbitration. They will hear both parties' arguments and when completed will produce an appeal award. This award is final and binding on the parties. With regards to Jurisdiction, it is not always possible to Appeal. If a first tier Tribunal rules that they do have jurisdiction to hear a matter, this decision cannot be appealed. Further, the Expedited Arbitration Procedure Rules No. 126, is a single tier Arbitration system and there is no right of appeal under any circumstance.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> How much will an oral hearing cost? </h2> <div class="answer"><p>For <span style="text-decoration: underline;">all</span> oral hearings Gafta charges &pound;50.00 per hour for both physical and virtual oral hearings. If catering is required for physical hearings, Gafta will also charge an additional &pound;50.00 per day as an admin fee.</p> <p>There may be catering, tribunal and any printing and/or courier fees additional to this.</p></div> <div class="clear"></div> </div> <div class="faq"> <h2 class="question"> Where will the hearing be held? </h2> <div class="answer"><p>The arbitration clause in Gafta Contracts states that arbitration shall be in accordance with the arbitration rules No. 125.&nbsp; Much of arbitration work is dealt with online. 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