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Arbitration remains a popular means of resolving modern commercial disputes. Aided by its finality and the enforceability of awards, arbitration has continued to thrive, despite the disruption caused by the coronavirus (COVID-19) pandemic. Indeed, the arbitration space has adapted well to the crisis, with remote proceedings conducted using videoconferencing technology to ensure cases could continue. Remote arbitration hearings have offered parties an efficient and effective means of resolving disputes throughout the pandemic.

MEXICO

Santamarina y Steta, S.C

“In general terms, arbitration is growing in Mexico. For instance, according to the latest International Chamber of Commerce (ICC) ‘Dispute Resolution Statistics’ report, Mexico ranked 10th globally, with an increase in the number of parties involved in arbitration and in appointed arbitrators. Likewise, Mexican arbitration institutions have reported a constant increase in the number of arbitrations in recent years. Furthermore, together with traditional commercial disputes, matters regarding construction, insurance, supply chains and leases have increased.”

ARGENTINA

Marval O’Farrell Mairal

“Recent years in Argentina have been characterised by a significant increase in state intervention in regulated industries, such as the oil & gas and telecommunications sectors. While many of these regulations were related to the coronavirus (COVID-19) health crisis, others predate the pandemic. As a result, the number of disputes in these sectors also increased considerably. The main recurring issue being debated in these cases is which party should be responsible for the disruption to contracts caused by a change in the original terms on which the parties entered into their transaction and to what extent these changes may or may not qualify as force majeure.”

UNITED KINGDOM

Willkie Farr & Gallagher (UK) LLP

“We have recently been seeing a significant amount of arbitration activity in England and Wales and have not noticed any slowdown due to the coronavirus (COVID-19) pandemic or Brexit. We have continued to see an increase in both institutional and ad hoc arbitrations in which parties have selected England and Wales as the seat of the arbitration or English law as the governing law. This is borne out by recent statistics published by leading arbitral institutions, such as the London Court of International Arbitration’s (LCIA’s) ‘2020 Annual Casework Report’ and the International Chamber of Commerce’s (ICC’s) ‘2020 Dispute Resolution Statistics’.”

FRANCE

FLV & Associés

“The global pandemic crisis has continued to impact business in general, despite 2021 probably being a slightly better year than 2020. In this context, it is rather difficult to assess arbitration activity. On the one hand, statistics from arbitration institutions, such as the International Chamber of Commerce (ICC) in France, have shown a general rise in the number of cases registered in 2020, with Paris often being chosen as a place of arbitration and, while official statistics for 2021 have yet to be published, one can hope that the trend continued through last year.”

SPAIN

Herbert Smith Freehills Spain LLP

“Arbitration in Spain has seen changes during the past two years, mostly because of the coronavirus (COVID-19) pandemic. From the moment the Spanish government adopted measures against COVID-19, there has been concern as to the effect these measures would have over existing contracts. Concepts such as ‘force majeure’ and ‘rebus sic stantibus’ have appeared often over the last year. In this regard, the most common theme has been conflict related to the applicability of rebus sic stantibus.”

RUSSIAN FEDERATION

Allen & Overy

“It is too early for statistics for 2021 to be published by arbitral institutions. However, it seems that case numbers are growing. Arbitration clauses providing for arbitration administered by a foreign arbitral institution, but seated in Russia, are becoming more common. However, so far it has not led to a significant increase in the number of Russia-seated cases in the dockets of major international arbitral institutions. In terms of common themes, Russia-related post M&A and construction disputes are growing in number. Also, there is a notable increase in commercial disputes relating to the non-performance of contracts in 2020 and 2021 during the coronavirus (COVID-19) restrictions.”

SINGAPORE

Ashurst LLP

“Arbitration activity in Singapore is at an all-time high, with Singapore ranked jointly with London as the most popular seat for international arbitration in the world and case numbers reaching record levels. In 2020, for example, the Singapore International Arbitration Centre (SIAC) surpassed 1000 new filings for the first time, albeit with two sets of associated cases accounting for 261 and 145 related cases respectively. The significant physical and economic dislocation caused by the pandemic continues to cause and exacerbate many disputes in the region.”

HONG KONG

Hogan Lovells

“Hong Kong continues to be a leading seat for international arbitration and arbitration activity continues to be buoyant. The ‘Queen Mary 2021 International Arbitration Survey’ revealed that Hong Kong is the third most preferred seat, after London and Singapore, and the Hong Kong International Arbitration Centre (HKIAC) is the third most preferred institution, after the International Chamber of Commerce (ICC), and had 483 new cases submitted to HKIAC in 2020. Of those cases, 318 were arbitrations, 16 were mediations and 149 were domain name disputes.”

SAUDI ARABIA

EKP

“The number of arbitrations in Saudi Arabia has been growing exponentially over the last few years and this growth continued in 2021. The Saudi Center for Commercial Arbitration (SCCA) has seen an increasing number of cases year on year with around half of all arbitrations being construction related. This is followed by cases related to banking and capital markets, education, aviation and entertainment. Seventy-five cases were registered in the SCCA in 2020, which includes arbitrations, mediations and limited services cases, and there has been a growth in arbitration proceedings generally.”

SOUTH AFRICA

Herbert Smith Freehills

“Arbitral institutions in South Africa generally do not report their caseload statistics and, as such, it is difficult to monitor actual arbitration activity. However, indications are that during the first half of 2021, arbitration activity slowed somewhat, largely due to the effects of the coronavirus (COVID-19) pandemic. At the same time, mediation activity appears to have increased. Many disputes which arose during the last 12 months, understandably, are linked in some way to COVID-19 or the government’s efforts to curtail the spread of the virus. Many insurance-related disputes have been submitted to court for resolution.”

CONTRIBUTORS

Allen & Overy

Ashurst LLP

EKP

FLV & Associés

Herbert Smith Freehills

Herbert Smith Freehills Spain LLP

Hogan Lovells

Marval O’Farrell Mairal

Santamarina y Steta, S.C

Willkie Farr & Gallagher (UK) LLP