Rules of Arbitration

  1. INTRODUCTORY PROVISIONS
    1. KRIB Court of Arbitration
      1. The Arbitration Court at the Confederation of Employers and Industrialists in Bulgaria (KRIB Court of Arbitration) is an independent judicial institution to the Confederation of Employers and Industrialists in Bulgaria (KRIB). The organisation of the KRIB Court of Arbitration and the status of the arbitrators are defined in the Statutes of the KRIB Court of Arbitration (the “Statutes”), which represent Appendix No.1 of these Rules.
      2. The KRIB Court of Arbitration does not itself resolve disputes. It administers the resolution of disputes in accordance with the present Rules of Arbitration of the KRIB Court of Arbitration (the “Rules”).
      3. Every dispute is resolved by an arbitral tribunal which includes a sole arbitrator or several arbitrators (the “Arbitral Tribunal”). The Arbitral Tribunal is constituted under the terms of these Rules and is the only body authorised to render an arbitral award in compliance with these Rules.
      4. The seat of the KRIB Court of Arbitration is in Sofia, and its address is: Sofia, Stolichna Municipality, Triaditsa Region, 8, Khan Asparuh Str..
    2. Scope of Application. Arbitration Agreement
      1. These Rules are applicable to disputes which have been referred to the KRIB Court of Arbitration, as well as when the arbitration agreement refers to these Rules. Unless the parties agree otherwise, their agreement to refer the dispute to the KRIB Court of Arbitration constitutes an acceptance of these Rules.
      2. The KRIB Court of Arbitration resolves disputes, if they are referred to it pursuant to an arbitration agreement.
      3. The arbitration agreement must be in writing. The agreement is also in writing when it is contained in letters or electronic communications exchanged between the parties, or in the form of messages exchanged between them by other means of communication which allow the documentation of the agreement or in other document, including general conditions, to which a written contract existing between the parties refers in such a manner which makes the arbitration agreement part of their contract.
      4. A written arbitration agreement is also deemed to exist when the claimant submits a claim before the KRIB Court of Arbitration and the respondent in writing or in the form of statement recorded in the minutes of the arbitration hearing accepts the dispute to be resolved by the KRIB Court of Arbitration, or when it participates in the arbitral proceedings, without challenging the jurisdiction of the KRIB Court of Arbitration.
    3. Applicable Procedural Rules
      1. The case proceedings are conducted in accordance with these Rules in such a manner as to ensure equality and the possibility for each party to defend their rights.
      2. The KRIB Court of Arbitration and the Arbitral Tribunal shall apply the rules agreed by the parties regarding the conducting of the case proceedings, unless they contradict the imperative rules of the law applicable to the arbitration proceedings or the principles of these Rules.
      3. With regard to matters not regulated by the agreement between the parties, by these Rules or by the imperative rules of the law applicable for the arbitral proceedings, the Arbitral Tribunal shall proceed on the basis of its reasonable judgement, guided by the nature of the arbitration and the subject of the dispute, while respecting the right of defence of the parties and the equality between the parties.
      4. The parties are obliged to fulfil all the instructions and orders of the KRIB Court of Arbitration and the Arbitral Tribunal in connection with the conducting of the case proceedings.
      5. The Arbitral Tribunal and the parties shall make every effort to ensure efficient and cost-effective proceedings, depending on the complexity of the case.
      6. When the parties have agreed to refer the dispute to the KRIB Court of Arbitration, they are deemed to have accepted the application of the Rules which are in force on the day of the commencement of the arbitration proceedings.
      7. If the party does not immediately state its opposition in writing or during an arbitration hearing against a violation of a non-imperative provision of the applicable procedural law, the arbitration agreement or these Rules, it shall be considered to have waived its right to invoke the violation.
    4. Place of the Arbitration
      1. The place of the arbitration shall be in Sofia, unless the parties have agreed for another place and this has been accepted by the Arbitration Council.
      2. The Arbitral Tribunal may undertake internal discussions where it finds appropriate and in a way it finds appropriate.
    5. Language of Correspondence and Language of the Proceedings
      1. The correspondence between the parties and the KRIB Court of Arbitration shall be conducted either in Bulgarian or in English.
      2. The parties may agree to the case proceedings to be conducted either in Bulgarian or in English.
      3. If the language of the proceedings has not been agreed in accordance with para. 2, immediately after the transmission of the file to the Arbitral Tribunal, the latter shall determine the language of the proceedings, taking into account all the relevant circumstances, including the language of the contract. The Arbitral Tribunal may require each document, which has not been drafted in the language of the proceedings, to be submitted together with a translation into the language of the proceedings certified by the relevant party.
    6. Written Notifications
      1. All written notifications from the KRIB Court of Arbitration, the Secretariat, the Arbitral Tribunal or a party, as well as all attached documents, may be delivered in person to the addressee or delivered by courier, email or by other means of communication which allow for the documentation of the sending and the receipt of the notification by and to the relevant email address, under the conditions of para. 2.
      2. The sending and receipt of written notifications and attached documents by electronic means via email may be performed only when the addressee has expressly agreed to this form of communication, and has provided the Arbitral Tribunal with its email address.
      3. Notwithstanding the provision of para. 2, the Statement of Claim, the Answer to the Statement of Claim, the written evidence and submissions must be provided by the parties to the Secretariat in writing, in a sufficient number of copies, in a way to ensure one copy for each party, arbitrator, and the Secretariat.
      4. Notwithstanding the provision of para. 2, the Secretariat shall send to the parties the expert reports and the arbitral awards on the case by courier or shall deliver them in person.
      5. Written notifications and documents may also be delivered to a party by delivering to a representative indicated by the party.
      6. Written notifications or documents sent by the Secretariat shall be deemed to have been received by the relevant party to the case, if they have been delivered in person or an attempt has been made to the deliver them by courier or to an email address determined in accordance with this provision, namely: (1) the address indicated in writing in the case by the relevant party or by its representative; or (2) given the absence of (1) – the address indicated by the party for receiving notifications in connection with the arbitration agreement or the contract, to which this agreement relates; or (3) given the absence of (2) – the address which may be determined from publicly available sources; or (4) given the absence of (3) – the address which previously has been regularly used by the party in its communications with the other party to the case.
      7. After exhaustion of the possibilities for delivery provided for in para. 6, and in accordance with the specific circumstances of the case, the Arbitration Council or the Arbitral Tribunal may order the use of another address for delivery.
      8. A party which has temporarily or permanently changed the address which it has reported in the case or the address, at which it has once been notified, shall inform the Secretariat of its new address. Each party shall ensure compliance with this obligation also by its representative. In the event of failure to comply with these obligations, the notification or the documents shall be sent to the last known address of the party or its representative, and shall be considered delivered on the third day after the sending.
    7. Time Limits
      1. Time limits which have not been determined upon an agreement between the parties or in these Rules shall be determined by the Arbitration Council and after the transmission of the file to the Arbitral Tribunal – by the latter.
      2. Written notifications or documents shall be considered received by the party on the date on which they are delivered, and in the event of delivery by electronic means – on the date on which the communication is sent.
      3. The time limits shall be deemed fulfilled, if the written notification or document has been delivered in person, sent by courier or sent electronically on the date on which the relevant time period expires, at the latest.
      4. The time limits shall start to run on the day following the date of the receipt. When this following day is a non-working day in the country where the notification or the communication delivered, the time limit shall start to run on the first following working day. If the last day of the relevant time period is a non-working day in the country where the notification or the communication is delivered, the period shall expire at the end of the first following working day.
      5. All the time limits for taking actions by the Arbitral Tribunal may be extended by the Arbitration Council. All the time limits for taking actions by the parties or other participants in the proceedings may be extended by the Arbitration Council, and after the transmission of the file to the Arbitral Tribunal – by the latter.
    8. Confidentiality
      1. The arbitrators, the members of the Arbitration Council, the Supervisory Board and the Commissions of the Arbitration Panel, the employees of the Secretariat of the KRIB Court of Arbitration, and all the experts appointed by the Arbitral Tribunal shall be obliged to ensure confidentiality of all documents and information in the arbitration cases of the KRIB Court of Arbitration, which may come to their knowledge. The internal documentation of the KRIB Court of Arbitration and the correspondence between its bodies, the Secretariat and the arbitrators is confidential and shall not be revealed to the parties or third parties.
      2. Unless otherwise agreed by the parties, the KRIB Court of Arbitration shall publish shortened versions of the rendered arbitral awards and dissenting opinions after deleting numerical data, names and addresses.
  2. COMMENCING THE ARBITRATION
    1. Statement of Claim
      1. The Statement of Claim shall be deemed submitted on the day on which it is received at the KRIB Court of Arbitration.
      2. The Statement of Claim shall contain:
        1. an indication of the KRIB Court of Arbitration and a request for the dispute to be resolved by arbitration;
        2. the names, identification data, including registration data for the purposes of tax law, the addresses, the telephone numbers, and email address (if such exists) of the parties and their representative(s);
        3. at discretion – an agreement under Art. 6, para. 2, relating to the sending and receipt of notifications and documents by electronic means and indicating the email address for this purpose;
        4. a description of the nature and the circumstances of the dispute which gives rise to the claim/s;
        5. an indication of evidence relating to the circumstances on which the claim is based;
        6. a value of the claim/s at the time of submission of the Statement of Claim ;
        7. an indication of the defence sought by indicating the nature of the claim;
        8. a proposal concerning the number of arbitrators, the language, and the place of arbitration, the applicable substantial law in the event that the parties have not come to an agreement about these matters in advance;
        9. a nomination of an arbitrator, indicating his/her address;
        10. a description of the documents attached to the Statement of Claim ;
        11. the claimant’s signature.
      3. The following documents must be attached to the Statement of Claim:
        1. a copy of an arbitration agreement that justifies the jurisdiction of the KRIB Court of Arbitration
        2. a power of attorney – in the event that the Statement of Claim has been signed by an authorised representative; and
        3. a document proving the payment of the registration fee.
      4. The text of the Statement of Claim and the attachments thereto shall also be provided on an electronic carrier.
      5. In the event that the Statement of Claim does not comply with the requirements of para. 2, letters “b”, “d”, “g” and “k” or there are no copies or attachments or a registration fee is not paid, the Secretariat shall offer the claimant the possibility of remedying the defects within a period of 10 days from the receipt of the notification for the defects. Prior to the remedy of defects and the payment of the registration fee, the Statement of Claim shall not be considered and no procedural actions shall be taken. In the event that the claimant fulfils the instructions of the Secretariat within the time limits, the claim shall be deemed to have been submitted on the date on which the Statement of Claim was initially received at the KRIB Court of Arbitration.
      6. If the claimant does not refer to an arbitration agreement or does not provide such, the Secretariat shall invite the claimant to provide such within the period under the previous paragraph or to provide a written declaration that despite the lack of an arbitration agreement the claimant requires a copy of the Statement of Claim to be delivered to the respondent.
      7. If the claimant does not remedy the defects within the specified time limit or does not provide an arbitration agreement justifying the jurisdiction of the KRIB Court of Arbitration or within the same time period does not make a written statement that it requires a copy of the Statement of Claim to be delivered to the respondent, the Statement of Claim shall be returned to the claimant upon a decision of the Arbitration Council.
      8. After receiving a fully compliant Statement of Claim and the payment of the registration fee, the Secretariat of the court shall notify the respondent of this, and shall send it a copy of the Statement of Claim and the attachments thereto, the Rules, the List of Arbitrators and the Tariff of Arbitration Fees and Costs of Litigation in the Court of Arbitration at the Confederation of Employers and Industrialists in Bulgaria (the “Tariff”) – Appendix No. 2 of these Rules.
    2. Answer to the Statement of Claim. Counterclaim. Set-off
      1. Within a period of 30-days after the receipt of the Statement of Claim, the respondent may submit an answer which must contain the following information at least:
        1. respondent’s full name, identification data, description and address;
        2. respondent’s statement regarding the nature and circumstances of the dispute which have given rise to the claim/s;
        3. an indication of evidence relating to the circumstances upon which its objections are based;
        4. respondent’s answer with regard to the defence sought by the other party;
        5. an objection that the KRIB Court of Arbitration has no jurisdiction, in the event that the respondent challenges its jurisdiction;
        6. a proposal concerning the number of arbitrators, the language and the place of arbitration, the applicable substantial law in the event that the parties have not come to an agreement about these matters in advance;
        7. a nomination of arbitrator indicating his/her address, if the Arbitral Tribunal consists of three arbitrators;
        8. a description of the documents attached to the Answer to the Statement of Claim ;
        9. a signature of the respondent.
      2. The following documents must be attached to the Answer to the Statement of Claim:
        1. a power of attorney – in the event that the Answer to the Statement of Claim has been signed by an authorised representative;
        2. a document for the payment of the registration fee in the event that a Counterclaim has been submitted or a right to a set-off has been claimed.
      3. The respondent may request the extension of the time limit set out for an answer, if in its application for that the respondent indicates its considerations or suggestions concerning the choice of an arbitrator or Arbitral Tribunal or nominates an arbitrator. If the respondent fails to indicate its considerations or suggestions concerning the choice of an arbitrator or Arbitral Tribunal, or to nominate an arbitrator, the time limit for an answer or for the submission of a Counterclaim shall not be extended.
      4. The Answer to the Statement of Claim shall be sent to the claimant.
      5. A Counterclaim shall be submitted and/or a right to set-off shall be claimed within the time limit for an Answer to the Statement of Claim.
      6. The right to a set-off may also be claimed before the conclusion of the final case hearing, if the right of the respondent which is subject to the set-off has been established with the force of res judicata or is conceded by the party against which it has been submitted.
      7. In the case of submission of the Counterclaim and of claiming a right to a set-off, the provisions for the initial claim shall be applicable, including the payment of a registration fee and arbitration fee.
      8. The non-submission of an answer does not mean that the respondent concedes the claim.
    3. Value of the Claim
      1. The value of the claim shall be equal to the sum of money or the value of the claimed rights.
      2. The value of the claim shall be determined:
        1. with regard to claims for monetary receivables – by the amount of the claimed sum of the money;
        2. with regard to claims for recapturing of real estate – one quarter of the market price, and with regard to claims for recapturing of movables – by their contract price, and when such does not exist – by their market price;
        3. with regard to claims for establishing the existence or transformation of legal relations – by the value of the contract at the moment of the submission of the Statement of Claim and with regard to rent contracts for indefinite time – by the rent price for one year;
        4. with regard to claims for periodical payments for a definite time – by the sum of all payments, and for an indefinite time – by the sum of payments for three years;
        5. with regard to claims for action or inaction, the value of the claim shall be equal to the amount of the monetary interest of the claimant.
      3. The value of the claim shall be indicated by the claimant in the Statement of Claim. When a number of claims are submitted in the Statement of Claim the value of each claim shall be indicated separately.
      4. When a right to a set-off is claimed, the respondent shall be obliged to indicate the cost of its receivable in accordance with the rules of para.1 and para. 2 of this article.
      5. If the claimant has not determined the value of the claim or has determined it incorrectly, or it cannot be calculated precisely, the Arbitration Council may at its own initiative determine the value of the claim.
      6. The Arbitral Tribunal shall be entitled to make a final determination of the value of the claim, when necessary.
      7. The above rules shall also be applicable for determination the value of the set-off.
  3. ARBITRAL TRIBUNAL
    1. Appointment of the Arbitrators
      1. The arbitrators are appointed under the terms and conditions provided for by these Rules. An Arbitrator may be any natural person with legal capacity regardless of his/her nationality.
      2. Every nomination of an arbitrator made by a party shall be confirmed by the Arbitration Panel in accordance with the Statutes. An arbitrator included in the List of Arbitrators shall not require further approval.
      3. When confirming or appointing arbitrators, the Arbitration Panel shall take into account the abilities and capabilities of the future arbitrator to conduct arbitration proceedings in compliance with these Rules. In the event of international arbitration, the Arbitration Panel shall also take into account the nationality of the future arbitrator, his/her place of residence and other connections with the countries from which the parties or other arbitrators come. If the parties are of different nationalities, the chairperson of the Arbitral Tribunal shall have a nationality which does not coincide with the nationalities of any of the parties, unless all the parties agree that this requirement shall not be applicable.
      4. The Arbitration Panel shall not be obliged to provide grounds for its decision to reject the confirmation of an arbitrator, or its decision to appoint or confirm an arbitrator.
    2. Requirements for Arbitrators
      1. Arbitrators must exercise their powers completely independently, impartially, in accordance with the good faith, objectively and effectively. They shall be obliged not to disclose any information which may have come to their knowledge in connection with or for reason of the performance of their obligations as arbitrators.
      2. When a person has been proposed to be an arbitrator, he/she must indicate all circumstances which might cause any doubts as to his/her impartiality or independence or which might contradict the agreement between the parties. From the moment of his/her appointment until the completion of the arbitration proceedings, the arbitrator continues to be obliged to disclose to the parties immediately any new circumstances which may arise. The assessment as to what circumstances need to be disclosed shall be undertaken in accordance with the Guidelines on Conflicts of Interest adopted by the International Association of Lawyers (IBA Guidelines on Conflicts of Interest in International Arbitration (2004), which constitute Appendix No. 3 of these Rules.
      3. Before confirmation or appointment, the arbitrator shall submit the following documents to the Secretariat in a form determined by the Arbitration Council:
        1. a consent to be appointed as an arbitrator;
        2. a written declaration of his/her impartiality, independence, qualifications, commitment, and ability to conduct and resolve the case effectively, as well as a written statement that he/she agrees to be guided by the Rules and the appendices thereto, the Statutes and the Rules of Ethics of the KRIB Court of Arbitration, the IBA Guidelines on Conflicts of Interests in International Arbitration, the Tariff of Arbitration Fees and Costs and the Tariff of Arbitrators’ Fees, as well as a written curriculum vitae;
      4. The Secretariat shall provide the parties with a copy of the declaration and the curriculum vitae submitted by each arbitrator.
      5. An arbitrator who is prevented from performing his/her obligations for more than 30 days shall be obliged immediately to inform the Secretariat. The same obligation shall be borne by an arbitrator for whom grounds for incompatibility have arisen.
    3. Constitution of the Arbitral Tribunal
      1. The parties may agree whether the case shall be resolved by a sole arbitrator or by three arbitrators.
      2. If the parties have not determined the number of arbitrators within the time limit for an Answer to the Statement of Claim, the dispute shall be resolved by a sole arbitrator, unless the Arbitration Council considers that the circumstances require the dispute to be resolved by three arbitrators.
      3. All arbitrators nominated by the parties shall be confirmed by a commission of the Arbitration Panel in accordance with the Statutes, unless the nominated persons are included in the List of Arbitrators.
      4. When the dispute needs to be resolved by a sole arbitrator and the parties do not nominate the arbitrator within the time limit for an Answer to the Statement of Claim or the arbitrator nominated by them within the same period is not confirmed by a commission of the Arbitration Panel in accordance with the Statutes, the parties shall be given an additional single 10-day period to jointly nominate another person. If the second arbitrator nominated by the parties is not confirmed by a commission of the Arbitration Panel in accordance with the Statutes, the arbitrator for the case shall be appointed directly by the same commission of the Arbitration Panel.
      5. When the dispute is to be resolved by an Arbitral Tribunal consisting of three arbitrators, the claimant shall nominate an arbitrator in its Statement of Claim, and the respondent in its Answer to the Statement of Claim. If the arbitrator nominated by a party is not confirmed by a commission of the Arbitration Panel in accordance with the Statutes, the party shall be a given an additional single 10-day period to nominate another person. If the party fails to nominate an arbitrator or the second nominated arbitrator is not confirmed by a commission of the Arbitration Panel in accordance with the Statutes, the arbitrator shall be appointed directly by the same commission of the Arbitration Panel. The chairperson of the Arbitral Tribunal shall be appointed directly by a commission of the Arbitration Council in accordance with the Statutes.
      6. When the dispute needs to be resolved by an Arbitral Tribunal consisting of three arbitrators and there are several claimants or respondents, they shall jointly nominate one arbitrator.
      7. When a third person is joined into the proceedings and the dispute is resolved by a sole arbitrator, all the parties shall jointly nominate the arbitrator. When a third person is joined into the proceedings and the dispute is resolved by three arbitrators, the joined person shall nominate a sole arbitrator jointly with the claimant/s or the respondent/s. In this event the initial nominations made by the parties before the joinder of the third person shall be no longer valid.
      8. In the events under the previous two paragraphs, if a joint nomination has not been made or the joint nomination has not been confirmed by a commission of the Arbitration Panel in accordance with the Statutes, all arbitrators shall be appointed by the same commission of the Arbitration Panel. In this case the nominations for arbitrators already made shall be no longer valid and a commission of the Arbitration Panel shall appoint a sole or respectively three arbitrators to resolve their dispute, and in the latter case it shall appoint one of them as a chairperson of the Arbitral Tribunal.
    4. Challenge of Arbitrators
      1. An arbitrator may be challenged when there are circumstances that give rise to reasonable doubts about his/her impartiality or independence, as well as when the arbitrator does not possess the necessary qualification agreed by the parties. A party which has nominated an arbitrator or has participated in his/her nomination may challenge the same only for reasons which have become known after the appointment.
      2. The challenge by a party shall be made in writing to the Secretariat, and the party shall indicate the grounds for this. The challenge shall be made within a 14-day period after the date on which the party became aware about the constitution of the Arbitral Tribunal or after it became aware about the circumstances which give grounds for the challenge. The Secretariat shall immediately inform the arbitrator concerned, the remaining arbitrators, and the remaining parties with regard to the challenge and the grounds for it.
      3. If the arbitrator does not withdraw within a 15-day period, the Arbitration Council shall make a decision regarding the challenge. The Arbitration Council shall decide after the Secretariat has given the arbitrator concerned, the remaining arbitrators and parties the opportunity to express their position. The decision may not be reviewed and the grounds for it shall not be made public.
    5. Termination of the Arbitrators’ Mandate
      1. The mandate of an arbitrator shall be terminated upon death, resignation, successful challenge before the Arbitration Council and upon request of all the parties.
      2. The mandate of an arbitrator may be terminated by the Arbitration Council upon arbitrator’s own initiative or upon request of a party, when the arbitrator is factually or legally incapable to perform his obligations or does not perform them in compliance with these Rules, when the arbitrator does not adhere to the approved time limits, as well as in case of violation of the Statutes, the IBA Guidelines on Conflicts of Interests in International Arbitration or the Rules of Ethics of the KRIB Court of Arbitration. The Arbitration Council shall make a decision after allowing the arbitrator concerned, the parties in the case and other members of the Arbitral Tribunal to express their position within a reasonable time limit. The decision is final.
      3. Upon terminating the mandate of an arbitrator, the new arbitrator shall be appointed by a commission of the Arbitration Panel.
      4. In the event of replacement of an arbitrator, if necessary and after taking into account the position of the parties, the Arbitral Tribunal may consider once again case matters which have been considered up to that moment, as far as it has not made an arbitral award with regard to these matters.
    6. Objections to the Jurisdiction of the KRIB Court of Arbitration
      1. The parties may make an objection related to the lack of jurisdiction of the KRIB Court of Arbitration within the time limits for an Answer to the Statement of Claim respectively the Answer to a set-off statement. An objection regarding the jurisdiction of the KRIB Court of Arbitration in connection with a matter which may arise during the proceedings must be made immediately. If within the indicated time limits, an objection has not been made it shall be deemed that the parties have accepted the jurisdiction of the KRIB Court of Arbitration.
      2. If the respondent does not submit an Answer to the Statement of Claim or if any of the parties makes a timely objection regarding the existence, validity or scope of the arbitration agreement, the Arbitration Council shall decide whether the arbitration proceedings may continue, after making an initial (prima facie) examination whether the arbitration agreement exists and justifies the jurisdiction of the KRIB Court of Arbitration. In the event that the Arbitration Council decides that the proceedings may continue, then every decision regarding the jurisdiction of the Arbitration Council shall be taken by the Arbitral Tribunal itself. If the Arbitration Council accepts that no arbitration agreement exists or that the arbitration agreement does not justify the jurisdiction of the KRIB Court of Arbitration, then it shall terminate the proceedings with a ruling which will be notified to the parties.
      3. The Arbitral Tribunal shall also decide about its jurisdiction when the jurisdiction is challenged due to the non-existence or invalidity of the arbitration agreement.
      4. The arbitration agreement included in the contract is independent of the other clauses therein. The invalidity of the contract does not per se result in the invalidity of the arbitration agreement included therein.
      5. The Arbitral Tribunal shall decide with regard to every objection about its jurisdiction issuing a ruling or award.
      6. Case proceedings shall continue even if any of the parties does not participate therein.
  4. ARBITRAL PROCEEDINGS
    1. Constitution of the Arbitral Tribunal and case transmission
      1. The Secretariat shall send the case documents to the Arbitral Tribunal after it has been constituted and after the payment of the determined fees and deposit for costs.
    2. Preparation for the Conducting of the Case Proceedings
      1. The Arbitral Tribunal shall examine the case and shall undertake actions for clarifying circumstances arising therefrom, as well as for collecting additional evidence in the shortest time possible.
      2. Within a period of up to 2 months after the transmission of the file, the Arbitral Tribunal shall prepare a case report containing:
        1. a description of the statements and the claims of the parties;
        2. a legal qualification of the claims of the parties, unless the Arbitral Tribunal deems it inappropriate at this stage;
        3. a list of questions which need to be clarified with regard to the case;
        4. a ruling with regard to evidence acceptance, unless the Arbitral Tribunal deems it inappropriate at this stage;
        5. a ruling with regard to procedural matters, if necessary.
      3. Simultaneously with the initial report and after consultation with the parties, the Arbitral Tribunal shall prepare  a schedule regarding the steps and actions under the case and the time limits for them, in the following way:
        1. deadlines for providing written submissions, evidence and requests for the admission of other evidence,
        2. a deadline for amendment and supplement of the claims of the parties on the merits,
        3. dates of the case hearings,
        4. time limits for other actions, if necessary.
      4. The initial report and schedule shall be sent to the Secretariat and the parties.
      5. The report and the schedule may be amended and supplemented by the Arbitral Tribunal.
    3. Consolidation of Arbitration Proceedings
      1. In the event that new arbitration proceedings are commenced before the KRIB Court of Arbitration between parties which are already involved with each other in another arbitration proceedings before the KRIB Court of Arbitration, each of the parties may, prior to the expiry of the time limit for an Answer to the Statement of Claim in the new proceedings, request the consolidation of the proceedings in both cases. The consolidation of the proceedings is admissible only in the following cases:
        1. upon the mutual agreement of all the parties in both proceedings; or
        2. if all the claims in both proceedings have been submitted on the basis of one and the same arbitration agreement; or
        3. in the event that the claims in both proceedings have been submitted on the basis of more than one arbitration agreement – if both arbitration agreements are compatible with each other and all the disputes in both arbitration proceedings have arisen in connection with one and the same legal relation.
      2. The consolidation of the proceedings under para. 1 shall be made on the basis of a decision of the Arbitration Council, taken after the parties and the arbitrators of the first proceedings have been given the opportunity to express their position. All the relevant circumstances shall be taken into account when the Arbitration Council makes its decision.
    4. Joinder of Third Parties
      1. Within the time limit for an Answer to the initial Statement of Claim, each of the parties may submit a claim against a third person for a joint consideration with the initial claim. The rules for the initial claim shall be applicable to this claim.
      2. The agreement of the initial parties and the third person is required for the joinder. If agreement is reached by all the parties, the Arbitration Council shall make a decision with regard to the joinder. When considering this matter, the Arbitration Council shall take into account all the relevant circumstances.
    5. Amendment and Supplement of the Claims
      1. Prior to the expiration of the time limits specified in the schedule under Art. 19, para. 3, each of the parties may amend or supplement the claims made in the initial claim, the counterclaim or the set-off without the consent of the opposing party. The Arbitral Tribunal may allow a later request for amendment or supplement if this will not cause excessive complication for the defence of the opposing party or the timely resolution of the case.
    6. Suspension of the Proceedings
      1. The case proceedings shall be suspended:
        1. upon the request of all the parties.
        2. upon the explicit provision of law.
      2. Upon the request of a party, the case proceedings may also be suspended when a court, court of arbitration or other body is resolving a dispute whose decision may affect the correct resolution of the case.
      3. The suspended case proceedings may be recommenced upon the request of a party or when the grounds for suspension do not longer exist.
      4. The rulings for total or partial suspension of the proceedings and its recommencement shall be rendered by the Arbitral Tribunal. If the Arbitral Tribunal has not been constituted, the rulings based on the circumstances under Art. 23, para. 1, shall be rendered by the Arbitration Council.
    7. Termination of the Proceedings
      1. The case proceedings shall be terminated:
        1. upon the withdrawal of the claim, unless the respondent objects to the termination and requests that the dispute be resolved on the merits, by paying the relevant fee in accordance with the Tariff;
        2. upon the request of all the parties;
        3. upon the explicit provision of the law.
        4. if within a period of six months from the suspension of the case proceedings on the basis of Art. 23, para. 1, letter “a”, none of the parties requests the recommencement of the proceedings;
        5. if the prerequisites required for the resolution of the dispute on the merits are not present;
        6. when due to the inactivity of the claimant, including due to non-payment of arbitration fees or the initial deposit for costs, the case has not been proceeded with for more than three months.
      2. The rulings for the termination of the case shall be rendered by the Arbitral Tribunal, and if it has not been constituted – by the Arbitration Council.
    8. Venue of the Hearings
      1. The hearings of the KRIB Court of Arbitration shall take place at its seat and address.
      2. After consultation with the parties, the Arbitral Tribunal may determine a venue for holding hearings and meetings at any place which it deems appropriate.
    9. Schedule of Hearings and Notification to the Parties
      1. The case hearings shall be scheduled by the Arbitral Tribunal.
      2. The parties to the case shall be notified of the arbitration hearing at least 15 days in advance. Upon a party’s consent, its notification about the hearing may be sent to an email address indicated by that party.
      3. A party shall not be sent notifications about the schedule of a hearing, if it was notified about the scheduling during the previous hearing.
    10. Translation
      1. Amendment and Supplement of the Claims If necessary, the KRIB Court of Arbitration may appoint a translator after a consultation with the parties.
    11. Hearings
      1. The case hearings shall be conducted by the Arbitral Tribunal.
      2. The parties may participate in the hearings personally or through their representatives. The absence of a duly notified party from a hearing is not an obstacle to it being held. The Arbitral Tribunal may reschedule the hearing for another date, if the absent party has indicated good reasons for its absence and has provided evidence of such.
      3. Third parties are not allowed to be present at hearings of the court, unless with the explicit agreement of the parties.
      4. The parties may agree the case to be resolved only on the basis of written evidence and submissions, without scheduling a hearing with the participation of the parties, but in this event the Arbitral Tribunal may also schedule a hearing with the participation of the parties, if this is necessary for the correct resolution of the case.
    12. Evidence
      1. The Arbitration Tribunal shall assess the admissibility, applicability, meaning and weight of the evidence individually and in total on the basis of its inner conviction.
      2. The parties may reach an agreement regarding the rules for collection of evidence and the admissible evidential means. In the event of a lack of an agreement between the parties or if this is required to ensure equality between the parties and the ability of each of them to protect their rights, the Arbitral Tribunal may by itself define the rules for the collection of evidence or deviate from that which has been agreed upon between the parties.
      3. Based on the circumstances surrounding the case, the Arbitral Tribunal may accept facts claimed by one party as proven, if the other party has created obstacles for the collection of evidence admitted by the Arbitral Tribunal.
      4. After consultation with the parties, the Arbitral Tribunal shall be entitled to declare that the submission of evidence is admissible up to a given stage of the proceedings.
    13. Collection of Evidence
      1. The parties shall provide written evidence in original or in copies certified by them. Written evidence which is not drafted in the language of the proceedings shall be submitted with a translation certified by the party into the language of the proceedings. The evidence provided by one party shall be timely delivered to the other party. The parties may use as evidence communication sent by email. In the event of a dispute, the authenticity of the communications or their delivery to the addressee can be established with other evidential means.
      2. When an expert has been appointed in the case, each of the parties shall be obliged to cooperate with the expert with regard to the collection of the necessary information, including by ensuring access for the examination of documents, goods or other items when this is necessary for the preparation of an expert report.
      3. After submitting his report, the expert shall participate in the hearing, in order to answer the questions of the parties and to give additional clarifications, if such are necessary. Upon the agreement of the parties, the Arbitral Tribunal may release the expert from the obligation to appear at the hearing.
      4. Each party may provide as evidence in the case reports made by experts appointed by it. Upon request of each of the parties or upon its own initiative, the Arbitral Tribunal may request the questioning of the experts during the arbitration hearing.
      5. In the event of absence of an expert for questioning without good reasons, the Arbitral Tribunal may exclude his/her report from the evidence in the case.
      6. Witnesses shall be questioned only if the party which has nominated them has ensured their presence and has explained what circumstances it wants to prove as a result of their questioning.
      7. Witness testimony may also be provided in writing. Upon request of each of the parties or upon its own initiative, the Arbitral Tribunal may request the questioning of witnesses during the arbitration hearing. In the event of an absence of a witness for questioning without good reasons, the Arbitral Tribunal may remove his testimony from the evidence in the case.
      8. The Arbitral Tribunal may require the parties to provide other evidence, and to summon witnesses, to appoint experts of its own choice and to request certificates and other documents from third parties. The parties shall be duly informed about evidence collected ex officio and they shall be given the opportunity to express their position about such, as well as to provide evidence.
    14. Minutes of the Hearing
      1. Minutes of the arbitration hearing shall be kept. They shall be signed by the chairperson of the Arbitral Tribunal, and by the person who has drafted them.
      2. Upon the discretion of the Arbitral Tribunal, an audio and/or video recording of the hearing may be made.
    15. Applicable Law
      1. The Arbitral Tribunal shall apply the law, usages or other rules chosen by the parties.
      2. When the parties have not chosen applicable law or if the choice is invalid, the Arbitral Tribunal shall apply the law which it deems most appropriate.
      3. In any case, the Arbitral Tribunal shall apply the clauses of the contract and the trade usages.
    16. Settlement
      1. If the parties reach a settlement, they can request it to be reproduced in the form of an award made by consent.
      2. The Arbitral Tribunal may refuse to reproduce the settlement in the form of an arbitration award made by consent, if it contradicts the law or good morals.
    17. Interim Measures
      1. Unless the parties have agreed otherwise, the claimant may request the Arbitral Tribunal to impose suitable measures upon the respondent to guarantee the claim, by paying the fee required for this claim as determined in the Tariff. The party that requested the interim measures shall be obliged to indicate specific measures which can not affect third parties.
      2. The Arbitral Tribunal shall render a ruling with regard to the claim, after giving the respondent the possibility to express its position. The Arbitral Tribunal may set conditions upon the claimant in order to grant the requested measures.
  5. ARBITRAL AWARD
    1. Award
      1. The arbitration proceedings end with the making of an award, when there are no obstacles for the case to be resolved on the merits. The Arbitral Tribunal shall render an award also in the case when the claim has been acknowledged.
      2. The Arbitration Tribunal may also make partial awards which will resolve some of the disputed matters finally.
    2. Making of the Award
      1. When the Arbitral Tribunal considers that the case has been clarified from a factual and legal point of view, it shall declare the pleadings to be concluded and shall commence making of the award.
      2. If after declaring the pleadings to be concluded, but before rendering an award, it is established that the right of defence of either party has been violated or that the case requires additional clarification with regard to the circumstances surrounding it, the Arbitral Tribunal shall render a ruling to recommence the conducting of the case proceedings. In this event the Arbitral Tribunal shall undertake the necessary actions to remedy the violations or to add evidence to the case.
      3. The Arbitral Tribunal shall make an award after discussion. The discussion may also be conducted via conference call or other technical means.
      4. The award shall be made by a majority of the members of the Arbitral Tribunal. If a majority cannot be formed, the award shall be made by the chairperson unilaterally.
      5. When the case is being resolved by a sole arbitrator, the award is made by him/her.
      6. The award must be motivated, unless it reproduces a settlement between the parties or if they express their consent that it shall not contain motives.
      7. A draft of the award shall be prepared and submitted to the Secretariat within a period of 30 days after the pleadings are declared concluded.
      8. With regard to factually and legally complex cases, the period under para. 7 may be two months. The assessment shall be made by the Arbitral Tribunal which shall notify the parties of this with the ruling under para. 1.
      9. The Arbitration Council may extend the period under the previous two paragraphs upon its own initiative or if the Arbitral Tribunal makes a motivated request for such. The parties shall be notified about the extension of the period.
      10. An arbitrator who does not agree with the draft of the award may within a period of 7 days from the date of its submission to the Secretariat, submit to the Secretariat his/her dissenting opinion in writing. If such is not submitted within this period, it shall be considered that the arbitrator has waived his/her right to submit a dissenting opinion and he/she may not submit such later.
    3. Form and Content of the Award
      1. The award must be written.
      2. The award must contain:
        1. the name of the KRIB Court of Arbitration;
        2. the date and place when the award was rendered;
        3. the names of the arbitrators;
        4. the names and the addresses of the parties, of their representatives and of other participants in the proceedings;
        5. the subject of the dispute and a short summary of the circumstances of the case;
        6. motives, unless it reproduces a settlement between the parties, or if they give a consent that it shall not contain motives;
        7. dispositive, including with regard to the costs and the interim measures;
        8. signatures of the arbitrators
    4. Scrutiny of the Аward
      1. Prior to the signature of the arbitral award, the Arbitral Tribunal shall send it to the Secretariat in the form of a draft. The Secretariat shall submit the draft for a scrutiny to a Commission of the Arbitration Panel in accordance with the Statutes. The Commission of the Arbitration Panel may make recommendations with regard to the formal requirements of the award, but without prejudice to the freedom of decision-making by the Arbitral Tribunal, it may also underline certain matters of procedural or material legal nature. In its decision the Commission of the Arbitration Panel shall give the Arbitral Tribunal a time limit to consider its recommendations and remarks and submit the draft of the arbitral award for a new scrutiny. No arbitral award may be made by the Arbitral Tribunal, prior to it being approved with regard to its form by a Commission of the Arbitration Panel or correspondingly by the Arbitration Council in accordance with the Statutes.
    5. Signing, Rendering and Notification of the Award
      1. The award shall be signed by all arbitrators immediately after its approval in accordance with the procedure under Art. 38. If any of the arbitrators is incapable or refuses to sign the award, then this shall be certified by the remaining arbitrators on the award. The award and motives thereto shall be signed in one copy for each of the parties, and in one copy for the KRIB Court of Arbitration. The award shall be deemed rendered upon its signature. The award is final and terminates the dispute.
      2. After it has been rendered, the award shall be recorded in the Award Book and this shall be communicated to the parties to the case by the Secretariat.
      3. The award shall be notified to the parties, only if the arbitration fees and the costs of the arbitration have been completely paid by the parties or one of them. Each party shall be provided with one original of the award.
      4. Upon the request of a party, the Secretariat shall additionally provide a certified copy of the award.
    6. Correction and Interpretation of the Award
      1. Upon the request of a party or upon its own initiative, the Arbitral Tribunal may correct the award with regard to calculating, drawing, or another apparent factual error which it may have omitted.
      2. Each of the parties may require the Arbitral Tribunal to interpret the award. An interpretation may not be requested after the award has been executed.
      3. The request for a correction or for interpretation shall be made within a period of 30 days from the receipt of the award. When the Arbitral Tribunal acts upon its own initiative, it shall make the correction within a 45-day period from rendering of the award.
      4. When receiving a request for correction and interpretation of the award, the Arbitral Tribunal shall hear the parties and shall give them to opportunity to provide written submissions within a specified time limit.
      5. The Arbitral Tribunal shall render an award about the correction or interpretation within a period of 30 days from the date of the request. The award regarding these matters shall be rendered in accordance with Art. 36 – Art. 39. The correction and interpretation shall become part of the award.
    7. Supplement of the Award
      1. The party may request a supplement of the award, if the Arbitral Tribunal has not decided upon the entire request or upon all of the requests.
      2. The request for a supplement must be made within a 30-day period from the receipt of the award with a copy for the opposing party. When receiving a request for supplementation of the award, the Arbitral Tribunal shall hear the parties and allow them to provide written submissions within a specified time limit.
      3. When the request for supplement is justified, the Arbitral Tribunal shall render an additional award within a 30-day period from the date of the request. The additional award shall be issued in accordance with Art. 36 – Art. 39.
  6. FEES AND COSTS
    1. Calculation and Payment
      1. The costs of the arbitration proceedings include the arbitration fees, the costs of the proceedings, and the costs of the parties.
      2. The parties shall pay arbitration fees and advance on costs for proceedings based on these Rules and the Tariff. The applicable tariff is the one in force at the moment when the initial Statement of Claim is submitted.
      3. “Arbitration fees” are the amounts collected to cover the general costs of the KRIB Court of Arbitration, including remuneration for the arbitrators without value added tax. The arbitration fees include a fixed registration fee and a proportional fee and are payable into the KRIB bank account.
      4. “The costs of the proceedings” are the amounts necessary to cover: the costs of the arbitrators within limits set by the Arbitration Council, value added tax on the remunerations of the arbitrators, if such is due, costs for individual actions in the proceedings, such as the delivery of written notifications, collecting evidence, questioning witnesses, remunerations and costs for experts and other actions necessary for the conducting of the case proceedings. The costs of the proceedings shall be paid in advance by the parties into the KRIB bank account, and the unexpended amounts shall be refunded to the relevant party after the completion of the proceedings.
      5. “The costs of the parties” are costs for their defence before the KRIB Court of Arbitration, with the exception of the costs of the proceedings.
      6. The claimant shall pay a registration fee when submitting the Statement of Claim. The respondent shall pay a registration fee when submitting a Counterclaim or claiming a right to a set-off. The registration fees are non-refundable.
      7. The proportional fee shall be paid in parts at specific stages of the development of the case, as set out in these Rules. The claimant shall pay a proportional arbitration fee calculated on the basis of the total amount of the value of all claims submitted by him/her. The respondent shall pay a proportional arbitration fee calculated on the basis of the cost of all Counterclaims and set-off statements submitted by him/her. The above provisions shall be applied respectively to a joinder of third party.
      8. After the expiry of the period for an Answer to the Statement of Claim, the Secretariat shall determine the amount of the proportional arbitration fee in accordance with the Tariff, as well as the time limit in which the party owing the corresponding proportional arbitration fee shall pay half of the amount. The file shall not be transmitted to the Arbitral Tribunal until the payment of half of the calculated arbitration fee is received.
      9. After the Arbitral Tribunal has drafted the case report in accordance with Art. 19, para. 2, the Secretariat shall notify the parties and shall determine the time limit in which they shall pay the difference to the complete amount of the proportional arbitration fee, payable by each of them correspondingly.
      10. Failure to pay the arbitration fees in accordance with these Rules and the Tariff is a ground for termination of the proceedings related to the respective claim, and respectively for non-acceptance for considering the set-off statement pursuant to Art. 24, para.1, letter “e”.
      11. The amounts required to cover the proceedings costs shall be determined by the Secretariat and after its constitution – by the Arbitral Tribunal, which may correspondingly modify them according to the circumstances. The amounts shall be payable by the parties in advance, and the distribution of the burden between the parties and the time limit for advance payment shall be determined by the Arbitral Tribunal, and before its constitution – by the Secretariat. No action shall be taken, prior to the making of an advance payment sufficient enough to cover the costs for its execution.
      12. In the event of a tacit or express refusal or omission by a party to pay the part of the arbitration fee apportioned to it, or to pay the proceedings costs in advance, each other party shall be entitled to pay this part on behalf of the first party.
    2. Decision as to the Costs of the Arbitration
      1. Each case award made by the Arbitral Tribunal shall contain an award with regard to the allocation of the costs in the arbitration proceedings. Each act of the Arbitral Tribunal, correspondingly of the Arbitration Council which terminates the proceedings shall contain a decision with regard to the allocation of the costs in the arbitration proceedings.
      2. Unless the parties have agreed otherwise, the costs for the arbitration fees, the costs of the proceedings, and the reasonable costs of the parties shall be borne by the party against which the arbitral award has been made. When the claim has been found partially grounded, they shall be awarded proportionally to the grounded part of the claim.
      3. The party which claims costs to be awarded for its defence, shall provide evidence of such. Upon the request of a party, the Arbitral Tribunal, and in the absence of such – the Arbitration Council, shall be entitled to award costs of a lower amount, if it finds that the costs claimed by the party are excessive.
      4. Upon termination of the proceedings due to the withdrawal of a claim, the lack of jurisdiction or due to the non-payment of arbitration fees the respondent may request the Arbitral Tribunal to award it the costs made by it in connection with that claim.
    3. Storage of Files and Awards
      1. The Secretariat shall store closed files for a period of ten years from their termination date. After the expiry of this period, the files shall be destroyed with the exception of the awards and motives thereto, as well as the reached settlements.
    4. Final Provision
      1. With regard to all matters which are not regulated expressly in these Rules the bodies of the KRIB Court of Arbitration and the Arbitral Tribunal shall act in the spirit of these Rules and shall do what is necessary to render a valid and enforceable arbitral award.

These Rules were adopted on the basis of a Decision of the Board of Directors of KRIB at its meeting held on 17.09.2014, and came into force on 17.09.2014.
Rules of Arbitration