Events & Announcements

    Section of Litigation, Alternative Dispute Resolution

    New Prague Rules on Efficient Conduct of Proceedings in International Arbitration

    On December 14, 2018, the Rules on the Efficient Conduct of Proceedings in International Arbitration, also known as the Prague Rules, are scheduled to be released. These proposed rules on the taking of evidence in arbitration adopt a more inquisitorial approach. The hope is that the new rules will help reduce the duration and cost of arbitrations. Parties and Arbitral Tribunals may decide to apply the Rules as a binding document or as guidelines to all or any part of the proceedings. These rules came about because of dissatisfaction with the time and costs involved in document production and the direct and cross-examination of witnesses.

    Read the Prague Rules

    Town Hall: The Imperative of Prevention

    Please join us on June 30, 2020, for the ABA-Dispute Resolution Section town hall discussion. This town hall will discuss ways in which commercial practice is evolving in response to the needs of corporate clients. With a full set of negotiation skills neutrals, litigators, and business-people can intervene at the stage of mere disagreements, friction, or simple misunderstanding by initiating a pre-planned or contemporaneous process to address and resolve the tension constructively and preserve business relationships.

    FINRA Proposes Changes to FINRA Rules 12100, 12202, 12214, 12309, 12400, 12601, 12702, 12801, and 12900 (Customer Code)

    On November 5, 2019 FINRA filed with the SEC a proposal to amend FINRA Rule 12000 series to expand the options available to customers if a firm or associated person is or becomes inactive. FINRA is also proposing to amend the Code to allow customers to amend pleadings, postpone hearings, request default proceedings and receive a refund of filing fees if the customer withdraws the claim under these situations. FINRA believes that the proposed amendments would provide customers with expanded options and flexibility to change case strategy if FINRA notifies them that a member or associated person has become inactive during a pending arbitration. For more information please visit the FINRA page.

    SEC Approves Rule Amendment

    On May 30, 2019, the Securities and Exchange Commission approved a rule amendment to expand time for non-parties to respond to arbitration subpoenas and orders of appearance of witnesses or production of documents. Rules 12512 (d) and (e) and 12513 (d) and (e) will extend the response time for non-parties to object to an order or subpoena from 10 calendar days of service to 15 calendar days of receipt of the order or subpoena. The amendments exclude first-class mail as an option to serve documents on the non-party and as an option for the non-party to file the objection to the scope or propriety of the order or subpoena. The rule became effective on July 1, 2019 for cases filed on or after that date. For more information please visit the FINRA page.

    The New Singapore Convention on Mediation

    Tim Schnabel, a former attorney with the United States Department of State, has written an article concerning the new UNCITRAL convention on mediated settlement agreements (to be called the Singapore Convention). Tim Schnabel was primarily responsible for negotiating the convention on behalf of the United States. The article is available for free on SSRN and is entitled "The Singapore Convention on Mediation: A Framework for the Cross-Border Recognition and Enforcement of Mediated Settlements."

    Women in Dispute Resolution 2016–2017 Directory

    The mission of the Women in Dispute Resolution (WIDR), a committee of the American Bar Association's Dispute Resolution Section, is to educate about the lack of diversity among neutrals in alternative dispute resolution settings (arbitrations and mediations) and to increase the number of diverse neutrals. WIDR is pleased to announce that the 2016-2017 Directory is now available! The WIDR Directory provides contact information along with each member's expertise and experience. WIDR is open to all members of the ABA Dispute Resolution Section and the directory reflects representation of both men and women. Please use this directory and forward it to your clients, partners, colleagues, law school classmates, and fellow ABA members, as well as contacts you may have in your community. Our goal is to get this directory into the hands of as many people as possible who have a say in hiring neutrals. A complete listing of all WIDR members, including those not in the directory, can be found on the Dispute Resolution Section membership page.

    Now Available: 2019 FINRA Arbitrator and Mediator Diversity Statistics

    FINRA recently posted their 2019 diversity statistics. There are slow and steady increases in the arbitration categories: women up 2 percent, from 37 percent in 2018 to 39 percent in 2019; African Americans up 4 percent, from 15 percent in 2018 to 19 percent in 2019; and Asian American categories up 2 percent, from 1 percent in 2018 to 3 percent in 2019. Although there is some encouragement from these statistics, there is still more commitment that is needed since Hispanic or Latino went down 2 percent, from 8 percent in 2018 to 6 percent in 2019.

    The Hague Rules on Business and Human Rights Arbitration

    Since 2013 there has been an interest in interest in the possibility of using international arbitration as a method for resolving issues concerning business and human rights. After almost a year of gathering responses and drafting the Hague Rules on Business and Human Rights Arbitration (BHR Arbitration) are set to be launched in December 2019. The Hague Rules are based on the UNCITRAL Arbitration Rules, with modifications needed to address certain issues likely to arise in the context of business and human rights disputes.

    New CPR Revised 2019 Administered Arbitration Rules

    In April 2019, the CPR launched revisions to their Administered Arbitration Rules. Some of the key features include adoption of CPR’s Screen Selection Process as the default mechanism for Arbitrator selection, the inclusion of a new “Young Lawyer” Rule, and the express procedural guidance on early disposition. The CPR’s Rules for Administered Arbitration were developed by CPR to provide procedures to facilitate the conduct of arbitration fairly, expeditiously, and economically.

    Chartered Institute of Arbitrators

    CIArb is proud to announce the release of a new book, “A Brand-New World: The Evolution and Future of Arbitration.” This collection of essays is the work of 30 members who are either practitioners below the age of 40 or students from US and internationally. The book examines issues such as the future of arbitration, changing technology and disputes arising from shifting natural resources. For information about the Book Launch being held November 19, 2019 please visit the CIArb website.

    SEC Approves Rule Amendment

    On December 10, 2018, the Securities and Exchange Commission approved a rule amendment to establish $200 Honorarium for Contested Subpoenas or Orders. FINRA has amended Rules 122214 (c) and 13214 (c) of the Codes to provide that FINRA will pay each arbitrator an honorarium of $200 to decide, without a hearing session: (i) a discovery-related motion; (ii) a motion that contains one or more contested subpoena requests or contested orders for production or appearance; or (iii) a motion that contains one or more contested subpoena requests and contested orders for production or appearance. The amendments are effective for cases filed on or after January 7, 2019. For more information please visit the FINRA page.

    SEC Approves Rule Amendment

    On May 17, 2018, the Securities and Exchange Commission approved a rule amendment to create a less formal method for adjudicating small claims. The proposal amends Rules 12600 and 12800 (Customer Codes) and Rules 13600 and 13800 (Industry Code) to provide parties who have claims of $50,000 or less the opportunity to argue their cases before a single arbitrator in a shorter, limited telephonic hearing format. The rule will become effective on September 17, 2018 for cases filed on or after that date. For more information please visit the FINRA page.