Draft Law of Ukraine

“On Arbitration Courts (Arbitration)”

This draft governs the procedure of creation and work of arbitration courts (arbitration) in Ukraine. According to its provisions arbitration court (arbitration) shall be set up according to agreement or relevant decision of concerned natural persons and/or legal entities. It shall have the right to resolve any dispute that may arise out of civil and economic legal relationships. At the same time this draft defines the list of cases, which are not subject to consideration by arbitration courts.

According to this draft arbitration courts of the following types may be set up in Ukraine:

• temporary arbitrations - to resolve some definite dispute, and
• arbitrations that will act on regular basis.

Arbiter may be any person who is nor directly or indirectly interested in certain result of the dispute resolution, and has knowledge, experience, business and moral qualities recognized by parties of the dispute, which are needed to resolve such dispute. This draft contains the list of persons who cannot be arbiters.

Authorities exercised by arbiter shall not be entrepreneurial activity and shall be of creative character. Therefore arbiter shall receive corresponding fee that is the part of expenses connected with dispute resolution.

A permanent body of arbitration courts’ self-governance – Arbitration Chamber of Ukraine - shall be founded to ensure and to organize work of arbitration courts in Ukraine.

At present regulations on arbitration court is envisaged in the Civil Code of Ukrainian SSR, Civil Procedural Code of Ukraine, Economic Procedural Code of Ukraine and other laws of Ukraine. Therefore adoption of this draft-law will facilitate protection and exercise of natural persons’ and legal entities’ rights.