KIM&CHANG
Newsletter | July 2016, Issue 2
International Arbitration & Cross-Border Litigation
Successful Dismissal of an Application for Interim Relief under the Emergency Arbitration Procedures of the ICC
A team from our International Arbitration & Litigation Practice Group successfully defended a domestic corporation against an application for interim relief under the emergency arbitration procedures of the International Arbitration Rules of the International Chamber of Commerce (ICC).
The proceedings were presided by a French national who was appointed to serve as the emergency arbitrator. This dispute was governed by the laws of Switzerland, and was seated in Geneva, Switzerland.
Background
In this case, the domestic corporation faced an application by its European counterpart, which sought immediate prohibition against the usage of certain technology information.
Because the technology in question was central to the client’s business operations, an approval of the other side’s interim application would have had devastating consequences to the client’s business. In an apparent move to make the domestic corporation’s defense more difficult, the applicant submitted its application on a holiday, in a lengthy Application that totaled almost 1,000 pages (including exhibits).
Details
Our International Arbitration & Cross-Border Litigation Practice Group immediately mobilized a team of dedicated professionals who proceeded to work around the clock for several days and within one week.
They successfully put together an Answer, which was similar in volume to the other side’s Application. Four days later, our attorneys attended the hearing in Paris, examining witnesses and making oral pleadings. The Emergency Arbitrator rendered a decision within just two days thereafter, dismissing the other side’s Application for prohibition against the use of technology.
This allowed our client to avert the potentially devastating consequences to its business.
Considerations
These types of emergency arbitrations may be filed more frequently in the future, especially against corporations that rely on the technical cooperation of another company as a key part of its day- to- day business.
However, to date, there are only a few firms, including well-known international firms, which have had first-hand experience in this type of procedure.
Going forward, the recent successful experience by Kim & Chang’s International Arbitration & Cross-Border Litigation Practice Group in the emergency arbitration proceeding is expected to lend valuable insight in such proceedings.
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