Singapore International Arbitration Centre ANNUAL REPORT I 2016 Court of Arbitration Board of Directors Gary Born Cavinder Bull, SC John Savage QC President United Kingdom Vice President Singapore Vice President United Kingdom Davinder Singh, SC Cavinder Bull, SC Dr Claudia Annacker Cao Lijun Chairman Singapore Deputy Chairman Singapore France China Gautam Banerjee Nishith Desai Paul Friedland Emmanuel Gaillard Prof Bernard Hanotiau Singapore India USA France Belgium David Liu Rajiv K Luthra Dr Michael Moser Darius Khambata, SC Toby Landau QC China India Hong Kong India United Kingdom Chelva Rajah, SC John Savage QC Dr Eun Young Park Prof Jan Paulsson Dr Michael Pryles AO PBM Singapore United Kingdom South Korea USA Australia Giles White Jeanette Wong Lucy Reed Harish Salve, SC South Africa Singapore Singapore India Hiroyuki Tezuka Ariel Ye Alvin Yeo, SC Japan China Singapore CEO’s Report 2016 2016 SIAC’s Silver Jubilee and a Memorable Year Building on its milestone achievements in 2015, SIAC again set new records in 2016, which saw the highest ever number of cases filed (343), the highest ever number of administered cases (307), the highest ever total sum in dispute (USD11.85 billion; SGD17.13 billion) and the highest ever sum in dispute for a single administered case (USD3.47 billion; SGD5.02 billion). 2016 marked SIAC’s 25th anniversary as well as the publication of the 6th edition of the Arbitration Rules of the Singapore International Arbitration Centre and the announcement of the 1st edition of the Investment Arbitration Rules of the Singapore International Arbitration Centre. SIAC commemorated its Silver Jubilee with a successful inaugural SIAC Congress Week 2016. We look back fondly at some of the highlights of 2016 in the SIAC 2016 Year in Review below. Lim Seok Hui Chief Executive Officer 4 The SIAC 2016 Year in Review Darius Khambata Senior Counsel New Member of the SIAC Court of Arbitration In February 2016, Mr Darius Khambata, Senior Counsel, a highly regarded member of the Indian legal community and leading international arbitration practitioner, joined the SIAC Court of Arbitration. Davinder Singh, SC Mr Khambata practises before the Bombay High Court and the Supreme Court of India. He has previously held distinguished public law offices and has appeared in several important constitutional, corporate and commercial matters, and in significant domestic and international commercial arbitrations. New Chairman of SIAC In December 2016, Mr Davinder Singh, SC was appointed as the new Chairman of SIAC. Our former Chairman, Mr Lucien Wong, SC stepped down following the announcement of his appointment as the Attorney-General of Singapore. Mr Wong leaves an impressive legacy, his dynamic leadership having guided SIAC through an exciting and transformative period of growth and expansion. All of us at SIAC extend our heartfelt thanks to Mr Wong for his invaluable contributions, and wish him every success for the future. Mr Singh is the Chief Executive Officer of Drew & Napier LLC, and is widely recognised as a leading disputes practitioner. He was in the first batch of Senior Counsel appointed in Singapore. In addition to being a top litigator, he has an active international arbitration practice involving complex commercial disputes and multiple jurisdictions. Delphine Ho Kevin Nash Registrar Deputy Registrar & Centre Director New Registrar and Promotion of Deputy Registrar In May 2016, SIAC welcomed its new Registrar, Ms Delphine Ho. Ms Ho was previously in private practice with leading Singapore firms, where her areas of practice included international and domestic arbitrations, cross-border commercial disputes, building and construction as well as company and shareholder matters. Prior to joining SIAC, she was serving in the Singapore legal service as an Assistant Registrar of the Supreme Court of Singapore. Also in May 2016, our Deputy Registrar, Mr Kevin Nash, who served as Acting Registrar of SIAC during the interim period prior to Ms Ho’s commencement as Registrar, was promoted to Deputy Registrar & Centre Director. Mr Nash’s additional responsibilities in his new role of Centre Director include business development and the recruitment and professional development of the SIAC Secretariat. 6 SIAC Rules 2016 SIAC Investment Arbitration Rules Singapore International Arbitration Centre Investment Arbitration Rules of the Singapore International Arbitration Centre Left to right: Lim Seok Hui, Yu Jianlong, Cavinder Bull, SC, Philip Ong, Deputy Consul-General, Consulate-General of the Republic of Singapore in Shanghai 32 M a x w e l l R o a d # 0 2- 01 NEW M a x w e l l Ch a m b e r s S i n g a p o r e 0 6 9115 Left to right: Sophia Feng, Kevin Nash SIAC IA Rules T + 6 5 6 713 97 7 7 F + 6 5 6 713 97 7 8 corpcomms @ siac.org.sg w w w. s i a c . o r g . s g 1 st Edition, 1 Januar y 2017 NEW The 6th edition of the Arbitration Rules of the Singapore International Arbitration Centre (SIAC Rules 2016) came into effect on 1 August 2016. Some of the key highlights of the SIAC Rules 2016 include new provisions on consolidation, multiple contracts, joinder of additional parties and delocalisation of the seat of arbitration. The introduction of an innovative procedure for early dismissal of claims and defences makes SIAC the first amongst the world’s major commercial arbitration centres to adopt this provision in its Rules. In addition, further enhancements have been made to the popular Expedited Procedure and Emergency Arbitrator special procedures (both of which were first introduced in July 2010). The SIAC Rules 2016 have been widely feted and quickly adopted by users from around the world to facilitate the cost-effective and efficient resolution of disputes. Capping off a busy and exciting year for SIAC was the announcement of the 1st edition of the Investment Arbitration Rules of the Singapore International Arbitration Centre (SIAC IA Rules 2017), a specialised set of rules to address the unique issues present in the conduct of international investment arbitration. The SIAC IA Rules 2017 came into effect on 1 January 2017. Some of the key highlights of the SIAC IA Rules 2017 include a default list procedure for the appointment of the sole or presiding arbitrator and an opt-in mechanism for the appointment of an Emergency Arbitrator; strict timelines on challenges to arbitrators with built-in discretion for the arbitration to proceed during the challenge; a procedure for early dismissal of claims and defences; provisions for submissions by non-disputing parties and to enable the Tribunal to order the disclosure of third-party funding arrangements and to take such arrangements into account when apportioning costs; timelines for the closure of proceedings and the submission of the draft Award; and provisions relating to confidentiality and the discretionary publication of key information relating to the dispute. SIAC Overseas Offices In 2016, SIAC opened its representative office in the China (Shanghai) Pilot Free Trade Zone (FTZ). This is SIAC’s third overseas office and follows the establishment of its Mumbai and Seoul representative offices. SIAC’s Shanghai office will be instrumental in promoting SIAC’s worldclass international arbitration services to Chinese users. Chinese parties have consistently ranked amongst the top 5 foreign users of SIAC in the last 5 years, and were the top foreign user of SIAC in 2012 and 2014. The Shanghai office will work with mainland Chinese arbitration commissions to promote the development of international arbitration and global best practices, by organising training workshops and networking events for arbitrators and practitioners. In keeping with its global outlook, SIAC also signed a Memorandum of Agreement with the Gujarat International Finance Tec-City Company Limited (GIFTCL) and GIFT SEZ Limited (GIFT SEZ) to establish a representative office in India’s first-ever International Financial Services Centre in GIFT City. The GIFT City representative office will work closely with SIAC’s existing Mumbai office to promote SIAC’s services to businesses and investors in GIFT City and throughout India. 8 Q&A Session with Minister K Shanmugam, Toby Landau QC and Gary Born The social highlight of the SIAC Congress Week was the SIAC Charity Gala Dinner, a black-tie event held in celebration of SIAC’s 25 years in arbitration, which included a charity auction in support of the Community Justice Centre (CJC). Thanks to the generosity of the international and Singapore legal and business communities, SIAC was able to raise SGD125,000 in auction proceeds, cash pledges and ticket sales from the SIAC Charity Gala Dinner for the CJC’s charitable programmes. Board & Court Members; former SIAC management; SIAC Congress Organising Committee; SIAC Secretariat; Lim Seok Hui; Guest of Honour SMS Indranee Rajah; Lucien Wong, SC; Gary Born; See Kee Oon, Presiding Judge, State Courts and Chairman, CJC Board of Directors; Chew Kwee San, Council Member, Tan Chin Tuan Foundation and Vice Chairman, CJC Board of Directors In conjunction with the SIAC Congress Week, SIAC also organised the second YSIAC Essay Competition, which received a total of 47 entries from 17 jurisdictions. SIAC Celebrates 25th anniversary with SIAC Congress Week 2016 On 25 to 27 May 2016, SIAC successfully held its inaugural SIAC Congress Week. The SIAC Congress Week kicked off with a YSIAC Lunchtime Talk by Mr Toby Landau QC, member of the SIAC Court of Arbitration and an eminent barrister and arbitrator. The standing-room only event attracted 193 attendees. The next event was the SIAC-CIArb Debate, which featured a stellar cast of international arbitration luminaries comprising the President and members of the SIAC Court of Arbitration, namely, Mr Gary Born, Professor Bernard Hanotiau, Mr Toby Landau QC and Ms Lucy Reed. Mr Francis Xavier, SC acted as the moderator. The Debate was attended by 198 delegates. SIAC’s flagship biennial event, the SIAC Congress 2016, attracted 363 delegates. Highlights of the Congress programme included a Keynote Address by the Guest of Honour, Minister K Shanmugam, Minister for Home Affairs and Minister for Law, a Q&A session with Minister Shanmugam and Mr Gary Born moderated by Mr Toby Landau QC, followed by 2 plenary sessions which focussed on the new provisions in the SIAC Rules 2016. Left to right: Jannet Cruz-Regalado, Steven Lim, Gary Born, Louie Ogsimer, Andrew Yeo at the SIAC Rules 2016 Roadshow, Manila SIAC Rules 2016 Roadshow, Shanghai SIAC Rules 2016 Roadshow - User’s Guide to the SIAC Rules 2016 From September to November 2016, SIAC went on a global roadshow to promote the SIAC Rules 2016. Cities visited included Hong Kong (6 September), Tokyo (15 September), Mumbai (30 September), Delhi (1 October), Shanghai (27 October), Jakarta (16 November), London (2-3 November) and Manila (24 November). Panellists included the President and members of the SIAC Court of Arbitration, the SIAC Secretariat and distinguished Singapore and international arbitration practitioners. The events were well-attended by private practitioners, in-house counsel, government officials and members of the academe. 10 2016 At a Glance Members of the audience at the YSIAC Advocacy Workshop, Mumbai YSIAC Advocacy Workshops 2016 The YSIAC Advocacy Workshops 2016 featured a mock emergency arbitration scenario and provided younger lawyers with an opportunity to put their advocacy skills to the test before panels comprised of leading arbitration practitioners from multiple jurisdictions, including the President and members of the SIAC Court of Arbitration. In addition to lively rounds of oral argument, panel members gave tips on oral advocacy to the workshop participants. The YSIAC Advocacy Workshops were held in Tokyo (15 September), Mumbai (29 September), Seoul (13 October), Shanghai (26 October) and Manila (25 November). 343 307 new cases handled by SIAC SIACadministered cases An increase of 2.75x the total sum in dispute in 2015 USD 11.85B (SGD17.13 billion) total sum in dispute USD Left to right: Lucien Wong, SC, Guest of Honour Minister K Shanmugam, Lim Seok Hui, Gary Born 3.47B 6 Left to right: Kevin Kim Kap-You, Toby Landau QC, Sae Youn Kim, Dr Eun Young Park at the YSIAC Advocacy Workshop, Seoul 53 SIAC Costs and Duration Study In October 2016, SIAC released its Costs and Duration Study based on actual cases filed with SIAC under the SIAC Rules 2013. The study results showed that the mean duration of cases was 13.8 months, and the median duration was 11.7 months. The mean total costs of arbitration were USD80,337 (SGD109,729), and the median total costs of arbitration were USD29,567 (SGD40,416). The study underscores SIAC’s firm commitment to providing greater transparency, certainty and efficiency for its users from all parts of the world. 70 307 (SGD5.02 billion) highest sum in dispute for a single administered case all accepted Emergency Arbitrator (EA) applications in 2016 all accepted Total EA applications since EA provisions introduced in 2010 28 accepted 70 Expedited Procedure (EP) applications in 2016 181 accepted Total EP applications since EP provisions introduced in 2010 Since introduction of SIAC Rules 2016 (effective 1 August 2016) 20 applications for consolidation involving 1 SIAC Charity Gala Dinner 52 cases (as of 31 December 2016, 6 applications granted) application for joinder – not granted 12 Statistics New Cases Filed Sum in Dispute SIAC set a new record in 2016, with 343 new case filings, the highest since SIAC commenced operations in 1991. This figure represents a 27% increase from the 271 new cases filed in 2015 and a 55% increase from the 222 new cases filed in 2014. 2016 also saw the highest ever number of administered cases filed with SIAC, with 307 such cases registered at the Centre. SIAC has seen new case filings nearly quadrupled (3.81 times) in the last decade. In 2016, SIAC set new records for the total sum in dispute for all new case filings, the total sum in dispute for SIAC-administered cases, and the highest ever sum in dispute for a single administered case. Total Number of New Cases Handled by SIAC (2006-2016) 400 343 350 The total sum in dispute for all new case filings with SIAC amounted to USD11.85 billion (SGD17.13 billion).* This amount was 2.75 times the total sum in dispute of USD4.41 billion (SGD6.23 billion)* in 2015 and 3.40 times the total sum in dispute of USD3.81 billion (SGD5.04 billion)* in 2014. The total sum in dispute for new SIAC-administered cases in 2016 amounted to USD11.72 billion (SGD16.95 billion).* In 2016, the average value for all new case filings was USD38.46 million (SGD55.63 million).* The average value for new SIACadministered cases was USD42.31 million (SGD61.20 million).* The highest sum in dispute for a single administered case was USD3.47 billion (SGD5.02 billion).* * 300 271 Nationality of Parties 222 250 International and Domestic Cases Handled by SIAC in 2016 235 197 200 Singaporean parties continued to be the largest contributor of cases to SIAC in 2016 with 323 Singaporean parties, 54 of which were companies that were Singapore-incorporated subsidiaries of international companies. 188 160 150 100 The currency exchange rate adopted for all USD conversions was the rate as at 31 December of the relevant year. 259 90 86 20% 80% of new cases filed with SIAC in 2016 were international in nature, and 42% did not involve Singaporean parties. 99 80% 50 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 International 2016 Domestic The following chart depicts the top 10 foreign users at SIAC in 2016: Total Number of SIAC-Administered Cases (2006-2016) Top 10 Foreign Users 180 350 307 300 160 153 140 120 100 244 250 165 150 60 197 191 200 160 India (1) 2007 2008 38 36 28 27 27 China (2) USA (3) Indonesia (4) South Korea (4) Australia (5) Malaysia (6) Hong Kong (7) UK (7) 19 Netherlands (8) In 2016, Indian parties were the top foreign user of SIAC, followed by parties from China and USA. Parties from India and China have remained strong contributors of cases to SIAC over the past 5 years. There was a significant increase in the number of parties from Indonesia, Malaysia, the Netherlands and UK compared to 2015. The other parties in the top 10 list of foreign users were Australia, Hong Kong and South Korea. 67 50 2006 38 20 85 58 42 40 132 100 76 80 220 2009 2010 2011 2012 2013 2014 2015 2016 14 SIAC received cases from parties from 56 jurisdictions, which are detailed below. Arbitrator Appointments Number of New Cases by Nationality of Parties in 2016 AMERICAS Claimant 1. Bermuda 0 (+1) 2. British Virgin Islands 4 3. Canada Respondent Total Number of Parties Asia Pacific Claimant Respondent Total Number of Parties 0 0 (+1)* 29. Australia 15 (+4) 15 (+2) 30 (+6)* 10 14 30. Bangladesh 4 2 6 31. Brunei 0 2 2 4. Cayman Islands 1 1 2 32. Cambodia 0 3 3 5. Mexico 0 1 1 33. China 25 (+7) 39 (+5) 64 (+12)* 6. Panama 0 1 1 34. Hong Kong SAR 14 (+2) 10 (+1) 24 (+3)* 35. India 56 (+23) 61 (+13) 117 (+36)* 36. Indonesia 12 (+1) 24 (+1) 36 (+2)* 37. Japan 1 (+4) 3 (+5) 4 (+9)* 3 0 3 7. USA 10 (+8) 8. Uruguay 1 0 1 AFRICA Claimant 9. Mauritania 0 1 1 10. Mauritius 14 4 18 11. Nigeria 1 4 5 12. Seychelles 0 1 1 13 (+11) 23 (+19)* Respondent Total Number of Parties EUROPE Claimant Respondent Total Number of Parties 13. Belgium 0 (+6) 0 0 (+6)* 14. Cyprus 0 (+1) 0 (+2) 0 (+3)* 15. Czech Republic 0 1 1 16. France 3 (+2) 0 (+3) 3 (+5)* 17. Germany 2 (+3) 0 2 (+3)* 18. Ireland 0 (+1) 0 0 (+1)* 19. Isle of Man 4 0 4 20. Italy 1 1 2 21. Netherlands 10 (+3) 22. Norway 1 0 1 23. Russia 0 2 2 5 (+1) 15 (+4)* 24. Spain 1 1 (+1) 2 (+1)* 25. Sweden 0 0 (+1) 0 (+1)* 26. Switzerland 11 3 (+1) 14 (+1)* 27. Ukraine 0 (+1) 0 0 (+1)* 28. United Kingdom 4 (+16) 3 (+4) 7 (+20)* As of 31 December 2016, SIAC had made a total of 167 individual appointments of arbitrators to 137 sole arbitrator tribunals and 30 appointments to three-member tribunals. Of these arbitrator appointments, 127 were appointments made under the SIAC Rules, 6 were appointments made in cases administered under the UNCITRAL Arbitration Rules and the remaining 34 were made in ad hoc arbitrations. When SIAC is called upon to appoint arbitrators, they are chosen on the basis of their expertise and experience relevant to the dispute. The neutrality of a potential arbitrator’s nationality to that of the parties to a dispute is another key factor that SIAC takes into account in the arbitrator selection process. The appointment process includes a conflict search by the prospective appointees, which is completed in a very short time frame. Arbitrators appointed by SIAC in 2016 were nationals of Australia, Canada, China, France, Germany, Greece, Hong Kong, India, Ireland, Italy, Malaysia, New Zealand, the Philippines, Singapore, South Africa, South Korea, Switzerland, Taiwan, UK, USA and Vietnam. 34.0% of arbitrators appointed by SIAC were Singaporean, 27.3% were from the UK and 10.6% were Australian. 38. Kazakhstan 0 1 1 39. Malaysia 12 (+2) 11 (+3) 23 (+5)* 40. Marshall Islands 3 4 7 41. Myanmar 0 1 1 42. Nepal 0 1 1 Arbitrators nominated in 2016 (and confirmed by SIAC), which were 174 in total, were nationals of Australia, Austria, Belgium, Brunei, China, France, Hong Kong, India, Indonesia, Ireland, Malaysia, Netherlands, New Zealand, Singapore, South Korea, Switzerland, UK and USA. 32.5% of the arbitrators nominated (and confirmed by SIAC) were Singaporean and 30.9% were from the UK. 43. New Zealand 1 0 1 44. Philippines 5 11 16 45. Samoa 0 1 1 46. Singapore 163 (+1) Gender Diversity in Arbitrator Appointments 150 (+9) 313 (+10)* 47. Solomon Islands 0 2 2 48. South Korea 13 (+11) 14 27 (+11)* 49. Sri Lanka 2 2 4 50. Taiwan 2 3 5 51. Thailand 3 4 7 52. Vietnam 4 12 16 MIDDLE EAST Claimant 53. Iran 0 2 2 54. Qatar 2 (+1) Respondent 2 In 2016, there were 341 arbitrator appointments, of which 44 were female arbitrators. Total Number of Parties Of the 167 arbitrators appointed by SIAC, 38 (22.8%) were female; Of the 145 arbitrators nominated by the parties, 5 (3.4%) were female; and Of the 29 arbitrators nominated by co-arbitrators, 1 (3.4%) was female. Nationality in Arbitrator Appointments 4 (+1)* 55. Saudi Arabia 0 1 1 56. United Arab Emirates 8 2 (+3) Nationality of Arbitrators Appointed by SIAC in 2016 10 (+3)* Others 8.5% Others 10.8% * Indicates the number of parent companies from this jurisdiction, whose subsidiaries were parties to an arbitration at SIAC but incorporated elsewhere. For example, 6 Australian parent companies had subsidiaries which were parties to an arbitration at SIAC. Sectors Parties filed claims in relation to disputes from a number of sectors, such as commercial,1 maritime/shipping, trade, corporate,2 construction/engineering, insurance, mining, energy, intellectual property/information technology and banking and financial services. Commercial, trade and maritime/shipping disputes have been a consistent source of disputes at SIAC and this remained the case in 2016. 1 Commercial disputes include disputes involving agency, distribution, franchising, licensing and service agreements, as well as claims relating to the interpretation of business documents. 2 Corporate disputes include disputes involving joint ventures, asset acquisitions, sale and purchase of shares, mergers and the constitution or dissolution of a company or partnership. Nationality of Arbitrators Nominated in 2016 Analysis of New Cases by Dispute Sector (2016) Singapore 34% New Zealand 1.7% Hong Kong 1.7% Switzerland 1.7% Canada 2.2% Singapore 32.5% China 2.2% USA 3.4% India 2.8% USA 2.8% Malaysia 3.9% Others 6% Malaysia 7.8% Construction / Engineering 16% India 7.3% Commercial 24% Australia 7.9% Corporate 16% Maritime / Shipping 19% Australia 10.6% UK 27.3% UK 30.9% Trade 19% 16 Challenges to Arbitrators 4 challenges to arbitrators were decided by the SIAC Court of Arbitration in 2016. Of these, 3 of the challenges were rejected by the SIAC Court of Arbitration and 1 challenge was upheld. Additionally, there were 2 challenges to arbitrators filed in 2016 which were not decided by the Court, as the arbitrator who was the subject of the challenge withdrew in 1 case, and the challenge was deemed withdrawn in another case when the parties settled the dispute. Nationality of Parties in EA Cases (2010-2016) Emergency Arbitration The Emergency Arbitrator (EA) provisions were introduced in the SIAC Rules 2010 in order to address situations where a party is in need of emergency interim relief before a Tribunal is constituted. SIAC was the first international arbitral institution in Asia to introduce EA provisions in its arbitration rules. Cayman Islands 2 1 Luxembourg 4 Cyprus 4 Germany 2 1 Netherlands 1 1 Switzerland 11 SIAC RULES 2013 SIAC RULES 2016 British Virgin Islands Timeframe for Appointment of EA Within 1 business day USA Within 1 day Timeframe for Issuance of Order or Award of Interim Relief Rules are silent Maximum of 14 days from appointment of EA Fees of EA Capped at 20% of sole arbitrator’s maximum fee but not less than SGD20,000 unless Registrar determines otherwise Fixed at SGD25,000 unless Registrar determines otherwise In 2016, SIAC received 6 applications to appoint an EA. SIAC accepted all 6 requests, bringing the total number of EA applications accepted by SIAC since the introduction of these provisions in 2010 to 53, and further consolidating SIAC’s position as a world leader in EA proceedings. For the 2 EA applications made under the SIAC Rules 2016, the 14-day timeline for the issuance of the order or award of interim relief was met. ASIA Europe 3 1 Singapore Brunei 2 NORTH AMERICA China 3 6 17 Indonesia 21 6 5 Hong Kong 1 1 India 8 7 15 South Korea 1 Sri Lanka 2 Japan To further increase the speed of EA proceedings, under the SIAC Rules 2016, the timeframe for the appointment of an EA has been revised to within 1 day of receipt by the Registrar of an application for emergency interim relief and payment of the administration fees and deposits, instead of 1 business day. The SIAC Rules 2016 also provide that the order or award of interim relief must be issued within a maximum of 14 days from the appointment of the EA. In order to ensure that EA proceedings are cost-effective for cases of any quantum, the fees of an EA are now fixed at SGD25,000, unless the Registrar determines otherwise. The administration fee for EA applications remains at SGD5,000 for overseas parties, and SGD5,350 (inclusive of 7% GST) for Singaporean parties. United Kingdom 7 Canada 2 Enhancing Emergency Arbitration Proceedings 2 5 Thailand 2 1 United Arab Emirates 3 1 Vietnam Philippines 1 2 Since 2010, parties have applied for emergency relief in disputes arising out of the following sectors: AFRICA Australia Mauritius 2 Seychelles 1 4 5 8% Others 7 Nationality of Claimant 13% Construction / Engineering 7 Australia 19 36% Corporate 13% Commercial 13% Maritime / Shipping Nationality of Respondent Expedited Procedure The Expedited Procedure (EP) was introduced in 2010 and has developed into another of SIAC’s most popular procedures for saving time and costs. To allow more cases to make use of this mechanism, the monetary threshold for EP has been raised from SGD5 million to SGD6 million in the SIAC Rules 2016. 17% Trade 7 9 Further, in keeping with the objective of promoting the swift resolution of disputes, under the SIAC Rules 2016, the Tribunal may, in consultation with the parties, determine whether a case conducted under EP is to be decided on the basis of documentary evidence only. Finally, the SIAC Rules 2016 also make clear that in the event of any conflict between the terms of the arbitration agreement and the provisions under EP, the latter would apply. In 2016, SIAC received 70 requests for EP, of which 28 requests were accepted. SIAC has received a total of 307 EP applications (and accepted 181 requests) since the introduction of these provisions in 2010. 18 Consolidation and Joinder Of the 6 applications for consolidation which were accepted: In recognition of today’s increasingly complex commercial disputes, and the need to provide an efficient and cost-effective framework for managing multi-contract disputes, the SIAC Rules 2016 introduced a new streamlined process for the commencement of disputes arising out of or in connection with multiple contracts/multiple arbitration agreements. 1 was made under Rule 8.1(a) 1 was made under Rule 8.1(c)(i) 2 were made under Rules 8.1(c)(i) and (iii) 1 was made under Rule 8.1(c)(ii) 1 was made under Rules 8.1(c)(i),(ii) and (iii) Under the new Rules, the claimant in a multi-contract dispute has, at the commencement of the arbitration proceedings, the option of: (a) filing a Notice of Arbitration in respect of each arbitration agreement invoked, and concurrently submitting an application for consolidation; or (b) filing a single Notice of Arbitration in respect of all arbitration agreements invoked. In the latter case, the claimant is deemed to have commenced multiple arbitrations, one in respect of each arbitration agreement invoked, and the single Notice of Arbitration is considered to be an application to consolidate all such arbitrations. Further, after arbitration proceedings have been commenced, any party may make an application for the consolidation of multiple arbitrations. Such an application may be made to the SIAC Court of Arbitration (if made prior to the constitution of any Tribunal) or to the Tribunal directly (if made after the Tribunal has been constituted). The SIAC Rules 2016 also introduced new provisions on joinder, under which both parties and non-parties may apply to be joined in an arbitration that is pending under the Rules. An application for joinder may be made before or after the constitution of the Tribunal. Since the introduction of the new provisions on consolidation and joinder in the SIAC Rules 2016 on 1 August 2016, SIAC has received 20 applications for consolidation involving 52 cases, and 1 application for joinder. The application for joinder was not granted. Governing Law of Contracts Parties included a choice of law clause in the underlying contract in 88% of new cases filed at SIAC in 2016. In all, the laws of 21 different jurisdictions were specified as the governing law of the underlying contract. The choices of governing law in these contracts are shown in the chart. Other choices of governing law included those of Australia, China, Denmark, Hong Kong, Indonesia, Japan, Malaysia, Mauritius, Nepal, Nigeria, Papau New Guinea, Russia, Thailand, USA, Vietnam and Western Australia. Others 11% Indian law 9% Singapore law 49% Not specified 12% English law 19% All 20 applications for consolidation were made prior to the constitution of the Tribunal. As of 31 December 2016, 6 applications had been granted by the SIAC Court of Arbitration. Contract Dates The dates of contracts for new cases filed in 2016 are shown in the chart below. Disputes arising from contracts entered into during the period from 2014 to 2016 accounted for 51.3% of new case filings. Dates of contracts for cases filed at SIAC in 2016 25% 22.7% 21.1% 20% 16.6% 15% 10% 9.1% 7.8% 7.5% 6.1% 5% 3.5% 2.1% 2.1% 0.3% 0.3% 0.3% 0.5% Left to right: Nicholas Lingard presenting prize to Rajat Rana, winner of YSIAC Essay Competition 2016 Left to right: Lucien Wong, SC, SMS Indranee Rajah, Lim Seok Hui, Gary Born 1992 2003 2004 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 20 Left to right: Gary Born, Prof Bernard Hanotiau, Lim Seok Hui, Madhur Baya, Pranav Mago, Alex Kamath, Francis Xavier, SC, Ganesh Chandru, Sophia Feng, Janice Lee at the SIAC-CIArb Debate The SIAC Team Guest of Honour SMS Indranee Rajah at the SIAC Charity Gala Dinner Awards A total of 144 awards was issued in 2016. These included 7 awards/orders issued by Emergency Arbitrators for urgent interim relief.* Prior to their issuance, all awards are scrutinised by the Secretariat and approved by the Registrar as to the form of the award. In addition, the Registrar may draw the Tribunal’s attention to points of substance without affecting the Tribunal’s liberty of decision. SIAC’s scrutiny process helps to avoid errors and enhances the enforceability of awards. * Of the 6 EA applications in 2016, 4 resulted in 1 EA award/order each. 1 case had 3 interim awards, and in 1 case, there was no award but a ruling that the EA did not have jurisdiction. Concluding Remarks of the CEO We would like to thank members of our Board, Court and YSIAC Committee, as well as all of our partners and friends in the local and international legal and business communities, for your invaluable contributions and unwavering support, which were instrumental to the success of our various projects and initiatives. We remain deeply committed to ensuring that SIAC consistently delivers worldclass dispute resolution services and remains at the forefront of international arbitration. Services in Ad Hoc Arbitrations In addition to fully administering arbitrations, SIAC also offers a service for the appointment of arbitrators in ad hoc arbitrations seated in Singapore and when designated as the appointing authority. The President of the SIAC Court of Arbitration is the statutory appointing authority under applicable legislation in Singapore. In 2016, SIAC was called upon to appoint arbitrators in 34 ad hoc arbitrations. www.siac.org.sg Singapore International Arbitration Centre 32 Maxwell Road # 02-01 Maxwell Chambers Singapore 069115 T +65 6713 9777 F +65 6713 9778