The Shanghai Services Federation or SSF — a non-government organization founded in December 2005 in Shanghai — released a set of ad hoc arbitration rules for the services industry, the first of its kind in the country, on Dec 2.

Comprising four chapters and 44 articles, the rules encompass various stages of provisional arbitration procedures, including scope of application, composition of an arbitrary tribunal and selection of arbitrators.

The document systematically regulates the entire process of ad hoc arbitration, with a focus on the mechanism connection and procedural independence between mediation, arbitration and litigation.

It aims to ensure smooth and efficient ad hoc arbitration with the simplest procedural provisions, while falling in line with existing international ad hoc arbitration provisions and standard documents.

The Shanghai Services Federation, which published these rules, boasts 1,662 member units and stands as a cross-industry, cross-disciplinary organization representing the city's service sector.

Ad hoc arbitration — a form of arbitration alongside institutional arbitration — refers to arbitration specifically conducted to resolve a particular case.

Established in the international arbitration arena by the Convention on the Recognition and Enforcement of Foreign Arbitral Awards in 1958, this convention laid the dual foundation of institutional arbitration and ad hoc arbitration.

It set the international legal basis for ad hoc arbitration, which has been a predominant means for resolving disputes in international maritime conflicts.

Shi Weidong, vice-president of the Shanghai Law Society, said the ad hoc arbitration system was of great significance in enhancing the competitiveness of the Shanghai International Commercial Arbitration Center and the Shanghai International Shipping Center.

The release of the rules is said to mark a new starting point for the federation to explore a system and legal service model that aligns with internationally recognized dispute resolution mechanisms.

Zhou Haidong, deputy director of the Lujiazui Management Bureau of the China (Shanghai) Pilot Free Trade Zone Administration Committee, was positive about the future.

Zhou said that as the core area of the Shanghai International Shipping Center, the city's Pudong New Area had gathered a large number of high-level shipping business entities.

The introduction of the ad hoc arbitration system held significant importance in supporting Shanghai's comprehensive construction of an international shipping center and enhancing the legal environment for shipping.

Source: eastday.com