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Get to know the International Chamber of Commerce and its relation to arbitration.
International Chamber of Commerce (ICC) is located in Paris, France. ICC was established in 1919 or 102 years ago. ICC is the world’s largest business organization [1] consists of more than 45 million business institutions from over 100 countries. ICC’s primary mission is to promote trade and including international investment.
ICC is the organization that publishes INCOTERMS (International Commercial Terms). INCOTERMS are terms regarding the delivery of goods or conditions relating to the delivery of goods between a seller and a buyer to stipulate both parties’ obligations and liabilities, including the cost of risks that may occur.
The current ICC Chair is Mr Ajaypal Singh Banga, with Mr John W.H. Denton AO as ICC Secretary General [2].
There are three main activities of ICC,
- rules setting
- dispute resolution
- policy promoting
Because the members of various business institutions are involved in the international business, ICC holds authority over the members in standard setting to govern cross-border commerce. Although these standards are voluntary, ICC has tracked thousands of commercial transactions every day and has become part of international trade.
Moreover, ICC also supports United Nations, World Trade Organization, and other intergovernmental organizations on international and regional levels, such as G20 [3]. As the international business entity, ICC is the first organization that the United Nation granted Consultative Status with the Economic and Social Council and the Observer Status of United Nations [4].
ICC holds a significant role in arbitration proceedings through the ICC International Court of Arbitration founded in 1923. International Court of Arbitration is regarded as one of the world’s leading arbitration institutions as there are more than 24,000 resolved disputes since its establishment [5] and still maintains its popularity until now.
Although the ICC International Court of Arbitration is called a court, it does not deliver official decision or make judgements for the disputes. However, it applies the exercise of judicial supervision of arbitration proceedings under ICC International Court of Arbitration’s scope of responsibility, i.e.
- Verify, appoint and replace arbitrators, along with deciding on any challenge against them.
- Review the arbitration proceedings to ensure they are correct, fast, and effective as required.
- Consider and approve all arbitral awards to improve the quality of the awards and award enforcement capability.
- Manage the costs.
- Oversee emergency proceedings before the start of the arbitration [6].
The objectives of the ICC International Court of Arbitration are to ensure the appropriate use of ICC Rules and assist parties and arbitrators to overcome obstacles of procedures. The Court’s Secretariat, which consists of over 80 lawyers and support personnel, will support these efforts.
ICC International Court of Arbitration uses English and French as official languages.
According to Queen Mary University of London 2018 statistics, ICC was the most preferred institution at 77% [7]. And even though the 2019 voting result was at 71% [8], ICC was still the most preferred arbitration institution.
ICC had revealed the 2020 statistics for arbitration and alternative dispute resolution service and remarked that ICC International Court of Arbitration is the world’s preferred arbitral institute with 946 new arbitration cases in 2020 highest record of new cases since 2016. Part of the new cases was made up of small but complex cases that significantly affected statistics.
From 946 registered cases submitted through arbitration proceedings, 929 cases proceeded with ICC Rules. Meanwhile, there were a total of 17 cases filed under the ICC’s Appointing Authority Rules, in which the parties had proceeded ad hoc or outside of the ICC’s institutional framework, yet they could still seek assistance from ICC Court on specific case management services. Out of these 17 ICC’s Appointing Authority Rules cases, 5 cases went completely ad hoc, and the other 12 cases still proceeded under UNCITRAL Rules.
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- [1] https://iccwbo.org/about-us/
- [2] Data retrieved on 25 February 2020.
- [3] https://iccwbo.org/global-issues-trends/global-governance/g20/
- [4] https://iccwbo.org/media-wall/news-speeches/un-general-assembly-grants-observer-status-international-chamber-commerce-historic-decision/
- [5] statistical data 2005
- [6] https://iccwbo.org/dispute-resolution-services/icc-international-court-arbitration/
- [7] Queen Mary University of London. 2018 International Arbitration Survey P.13
- [8] Queen Mary University of London. International Arbitration Survey – Driving Efficiency in International Construction Disputes P 11
