HERE ARE SOME BASIC BUT FREQUEBNTLY ASKED QUESTIONS AND THEIR ANSWERS AS TO THE WORKS OF THE AACC ARBITRATION INSTITUTE

What is the purpose and objective of AACC arbitration institute?

The Arbitration Institute of the Addis Ababa Chamber of Commerce (hereinafter referred to as "AACC Arbitration Institute or the Institute") is a body for dealing with matters of commercial dispute resolution. (The AACC Arbitration Institute is part of but independent from the chamber.)

The Institute itself does not settle disputes rather it facilitates arbitration and alternative dispute resolution activities.

The following are the main objectives of the Institute: -

• To facilitate the settlement of disputes in accurate accord with the rules of the Institute
• To provide information and advisory services concerning arbitration and other alternative disputes resolution mechanisms,
• To provide the Institute's good office to ad-hoc arbitration activities, and
• To organize workshops, seminars and training concerning arbitration.

How is it organized?
Basically, the Institute will have a Council and a Secretariat. The Council will consist of 7 members who shall be appointed for a period of 3 years by the Board of Directors of the Chamber. Members of the Council shall be prominent personalities such as members of the business community, professional groups and academicians of higher educational institutions.
The Secretariat will be running the daily activities of the Institute. It is headed by the Director of the Institute and shall have the relevant staff. Currently, the Institute is carrying out its purpose with 2 lawyers.

Modus operandi: how are the rules of the Institute framed?

Basically, AACC Arbitration Institute has, as its model, the rules and basic principles of UNCITRAL Arbitration Rules (1998), which has laid fundamental network in the subject area among countries around the world. In the process of drafting these rules, however, national legal system realities have been considered. In addition, other national and international arbitration rules that are found to be modern and comprehensive were also taken in along the way in line with the UNCITRAL Arbitration Rules.

In this regard, within the basic principles and framework of UNCITRAL Arbitration Rules, reference has been made to:

• Rules of the Arbitration Institute of Stockholm Chamber of Commerce
• International Chamber of Commerce Arbitration Rules, 1998,
• China International Economy and Trade Arbitration Commission (CIETAC),
• International Arbitration and Mediation Center of the World Intellectual Property Organization (WIPO),
• [Draft] Rules for Arbitration of the Ethiopian Chamber of Commerce,
• Rules of the Cairo Regional Center for International Commercial Arbitration (CRCICA),
• Center d'Arbitrage Rhone-Alpes (C.A.R.A) Rules of Arbitration,
• Rules for Arbitration of the Kuala Lumpur Regional Center for Arbitration, and
• Singapore Arbitration Rules.
  

This way, the Institute has tried its best to make its rules comprehensive and standardized.

How does it receive complaints?

As Article 3 (1) of the AACC Arbitration Rule states, parties who wish to make use of the facility provided by the Institute should make a written request that they want to have its services. When the parties demand so, they must actually have a prior arbitration agreement in written form to the effect that AACC Arbitration Rules will be applicable to their dispute on their contractual relationship. The dispute they face on their contract may relate to claims, breach, termination, or invalidity or any subsequent amendment of the contract thereof. This may be stated in the Arbitration Clause of the contract they already made or contract made later on for the same effect.

For example the arbitration clause may be stated as " any disputes, controversies or claim arising out of or relating to this contract, or the breach, termination or invalidity or any subsequent amendment of this contract thereof, shall be settled by arbitration in accordance with the Arbitration rules of AACC Arbitration Institute as at present in force."
In addition, parties may wish to consider: a) arbitrator appointing authority, b) number of arbitrators, c) place of arbitration and d) language of arbitration."

How does it treat complaints lodged?

Once one of the parties bring a claim on any dispute he has with the other contracting party, the Institute starts to resolve the dispute by letting the other party know that case for arbitration has been lodged against him at the Institute. With that, the Institute provides the other party to defend or bring counterclaim within 45 days from the date of receipt of the notice of arbitration (Article 5.1 of AACC Arbitration Rule).

When this is done, the case will be referred to the Arbitral Tribunal, which is composed of Arbitrators (to be) appointed by the parties or if the Institute is to appoint arbitrators, arbitrators appointed by the same. When the case is referred to the Arbitrators, they will commence "Arbitral Proceedings" wherein they collect evidences, listen to oral arguments and if necessary expert witnesses while giving the parties equal opportunity to participate in such proceedings. The closing of such proceeding will then lead to provision of Award by the Arbitral Tribunal.

What kind of cases does the institute treat?

The AACC Arbitration Institute provides its services to commercial disputes. Yet such disputes arise between AACC members or non-members. Once the Institute is requested to give its services by these people, its doors always remain wide open. It gives its services to both members and non-members alike.

How does the institute enforce its rulings?

The Institute does not have its own enforcing power. Yet once the arbitral tribunal gives its award on the case, it will have recognition by regular courts. And hence, when such award is taken to such courts, they will automatically give order to its execution.

Does it have any relationship with public bodies, international organizations, courts and others?

The Institute is developing its own relationship with public bodies, government institutions and international organizations. It is taken for granted that courts are natural complementary bodies for the Arbitration Institute and vice versa. The Institute also has a good relationship with the Ministry of Justice. On an international level, the Institute has signed a cooperation agreement with the Comité Français d'Arbitrage of Paris.