Overview of an Arbitration - ICSID Convention Arbitration (2022 Rules)
An ICSID Convention arbitration proceeding is governed by:
- the ICSID Convention
- the ICSID Institution Rules
- the ICSID Arbitration Rules
- the ICSID Administrative and Financial Regulations.
The main steps in an ICSID Convention arbitration are depicted in the following flow chart.
Conduct of an ICSID Convention Arbitration
The ICSID Convention
The ICSID Convention provides the framework for the conduct of an arbitration proceeding. The main procedural provisions are contained in Chapters IV to VII of the Convention. The conditions for jurisdiction are in Chapter II.
All provisions of the Convention are mandatory unless the Convention allows parties to agree otherwise. If a question of procedure arises which is not covered by the Convention or by the applicable Arbitration Rules, the Tribunal has discretion to decide the question (Article 44 of the Convention).
The ICSID Institution Rules
The ICSID Institution Rules explain how to institute an arbitration proceeding, including the form and content of the Request for arbitration. They apply to the steps taken between filing a Request for arbitration until dispatch of the notice of registration. Article 36 of the ICSID Convention also applies to initiation of an arbitration. On average, cases are registered within three weeks of the Centre receiving the Request for arbitration with all supporting materials and the fee for lodging the Request.
The ICSID Institution Rules do not apply to the institution of post-Award remedy proceedings under the ICSID Convention and Arbitration Rules. The applicable Institution Rules are those in effect on the date when the Request for arbitration was filed. The current rules came into effect on July 1, 2022.
The ICSID Arbitration Rules
The ICSID Arbitration Rules govern the arbitration proceeding once a Request for arbitration has been registered. They complement the ICSID Convention procedural provisions, including provisions concerning post-Award remedies.
Article 44 of the ICSID Convention provides that arbitrations will be conducted in accordance with the Arbitration Rules in effect on the date on which the parties consented to arbitration, except as the parties otherwise agree. The current rules came into effect on July 1, 2022.
The ICSID Administrative and Financial Regulations
The ICSID Administrative and Financial Regulations contain provisions concerning:
- the costs of the proceeding (Regulations 14 to 18)
- publication of case-related information (Regulations 25 and 26)
- functions with respect to individual proceedings, including the ICSID Secretariat’s services (Regulations 17, 22, 28 and 29)
- immunities and privileges (Regulations 30 and 31)
- official languages (Regulation 32).
The current ICSID Administrative and Financial Regulations came into effect on July 1, 2022.