Coronavirus (COVID-19)

This subtopic is a source of resources for arbitration practitioners in light of the coronavirus (COVID-19) pandemic.

Across the world, arbitral organisations and practitioners have responded, and will continue to respond, to the outbreak with practical guidance, advice and adjustments to their standard operating procedures as society adjusts to the virus.

Coronavirus and its affects require parties, practitioners and arbitrators to think carefully about how the pandemic may influence arbitral proceedings already on foot or which have yet to be commenced.

In advance of commencing arbitral proceedings (including any applications for expedited and emergency arbitration), it is vital for practitioners to check the latest guidance provided by any relevant arbitral organisation that may impact standard processes. In pending proceedings, parties should liaise with their tribunals and the other parties to resolve any challenges that arise, including in relation to conducting hearings during this period when social distancing, travel restrictions and other limitations apply.

It is also very likely that any arbitration-related court processes will be impacted by the outbreak, and it will be important to stay up to date with the latest guidance from the relevant

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Drawing the line—court review of arbitral institutions’ administrative decisions in Brazil (Vale v B3 & others)

Arbitration analysis: Reversing a first-instance judgment that had dismissed the claim for lack of jurisdiction and legal standing, the São Paulo Court of Appeals held that Brazilian courts may review administrative decisions rendered by arbitral institutions prior to the constitution of the arbitral tribunal. The dispute concerned a decision by the President of the Market Arbitration Chamber (CAM) applying Article 3.6 of its Rules to appoint all three arbitrators and to disregard respondent Vale S.A.’s prior appointment of a co-arbitrator. The court held that the provision presupposes both a plurality of parties and an actual ‘absence of consensus’, which was not present in the case at hand, as the multiparty claimants acted jointly and with convergent interests up to that stage of the proceedings. It further held that the statutory right of each party to appoint a co-arbitrator under the Brazilian Arbitration Act cannot be displaced by institutional discretion in such circumstances. The decision reinforces the judicial control over institutional acts that affect fundamental procedural rights in arbitration and clarifies the São Paulo Court of Appeal’s stance on the distinction between jurisdictional and administrative acts in arbitration. Written by Renato Stephan Grion, partner at Pinheiro Neto Advogados, and Thiago Del Pozzo Zanelato, senior associate at Pinheiro Neto Advogados.

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