Commercial Arbitration

Last verified on Tuesday 28th March 2023

Commercial Arbitration: Algeria

, and

Infrastructure

1. Is your state a party to the New York Convention? Are there any noteworthy declarations or reservations?

Algeria

Algeria is a party to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, having acceded to the Convention on 7 February 1989, with reciprocity and commercial reservations. Consequently, the Convention only applies to recognition and enforcement of awards rendered in a contracting state.

Answer contributed by , and

2. Is your state a party to any other bilateral or multilateral treaties regarding the recognition and enforcement of arbitral awards?

Algeria

Algeria is a party to several bilateral and multilateral treaties regarding the recognition and enforcement of arbitral awards. This includes, in particular, the Washington Convention on the Settlement of Investment Disputes between States and Nationals of Other States of 1965 and the Amman Arab Convention on Commercial Arbitration of 14 April 1987.

Answer contributed by , and

3. Is there an arbitration act or equivalent and, if so, is it based on the UNCITRAL Model Law? Does it apply to all arbitral proceedings with their seat in your jurisdiction?

Algeria

Arbitration matters in Algeria are governed by the Algerian Civil and Administrative Procedure Code (CAPC), which regulates arbitration proceedings, and which was published on 25 February 2008 and entered into force on 25 February 2009. Although Algeria did not adopt the UNCITRAL Model Law on International Commercial Arbitration, the CAPC largely reflects the principles of international treaties relating to arbitration that Algeria has ratified, such as the Convention on the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention) and the New York Convention.

Answer contributed by , and

4. What arbitration bodies relevant to international arbitration are based within your jurisdiction? Do such bodies also act as appointing authorities?

Algeria

The Conciliation, Mediation and Arbitration Center of the Algerian Chamber of Commerce and Industry (CACI) is competent to organise arbitration proceedings in Algeria. The Conciliation, Mediation and Arbitration Center of the Algerian Chamber of Commerce and Industry may not necessarily act as appointing authority in all cases. Indeed, the choice of appointing authority will depend on the specific arbitration agreement and the preference of the parties involved in the arbitration. In most cases, parties may choose to use an international appointing authority, such as the International Chamber of Commerce (ICC) rather than a local appointing authority.

Answer contributed by , and

5. Can foreign arbitral providers operate in your jurisdiction?

Algeria

Yes, foreign arbitral providers can operate in Algeria. The Algerian Civil and Administrative Procedure Code allows for the conduct of international commercial arbitrations in Algeria, and there are no restrictions on the use of foreign arbitral institutions in these arbitrations. Foreign arbitral providers can offer arbitration services to parties in Algeria, either through ad hoc arbitration or through arbitration administered by a foreign arbitral institution.

Answer contributed by , and

6. Is there a specialist arbitration court? Is the judiciary in your jurisdiction generally familiar with, and supportive of, the law and practice of international arbitration?

Algeria

There is no specialist arbitration court in Algeria. Arbitration-related matters are usually handled by commercial judges and chairmen of first instance tribunals and appellate courts.

In terms of the judiciary’s familiarity with and supportive of the law and practice of international arbitration, the Algerian judiciary tend to acknowledge and be supportive of international arbitration.

Answer contributed by , and

Agreement to arbitrate

7. What, if any, requirements must be met if an arbitration agreement is to be valid and enforceable under the law of your jurisdiction? Can an arbitration agreement cover future disputes?

Algeria

As per articles 1008, 1012 and 1040 of the Algerian CAPC, as to the form, the arbitration agreement must, on pain of nullity, be in writing, or by any other means of communication that permits written proof of its existence.

As to the substance, the arbitration agreement is valid if it meets the requirements of the law chosen by the parties, the law governing the subject matter of the dispute, or the law that the arbitrator considers appropriate. 

Thus, an arbitration agreement must be formally entered into in writing or by any other physical or electronic means of communication. In addition, arbitration agreements related to domestic arbitrations only must designate the arbitrators or the modalities of their designation.

Finally, article 1040 of the CAPC also provides that the arbitration agreement governs both existing and future disputes.

Answer contributed by , and

8. Are any types of dispute non-arbitrable? If so, which?

Algeria

Pursuant to article 1006 of the CAPC, one cannot compromise on matters of public order, status and capacity of persons.

In addition, legal persons governed by public law may not compromise, except in their international economic relations and in matters involving public procurement.

Thus, the main restrictions to arbitrability are:

  • matters related to public policy or status and legal capacity of individuals cannot be resolved via arbitration. The parties to these disoutes must turn to national courts;
  • the state and its subdivisions can have recourse to arbitration if recourse to arbitration is provided by an international treaty or a procurement contract; and
  • state-owned companies can have recourse to international arbitration in their international commercial relationships.

Answer contributed by , and

9. Can a third party be bound by an arbitration clause and, if so, in what circumstances? Can third parties participate in the arbitration process through joinder or a third-party notice?

Algeria

A third party cannot be bound by an arbitration clause since, as per article 113 of the Civil Code, contracts cannot create obligations toward third parties. However, an arbitration agreement can create rights for the benefit of third parties but the said third parties are not bound by the arbitration agreement.

Regarding the participation of third parties in the arbitration process through joinder or a third-party notice, this will depend on the applicable arbitration rules and the agreement of the parties. Thus, the parties are free to agree on the rules that will govern the arbitration proceedings, including rules relating to the joinder of the relevant parties.

Answer contributed by , and

10. Would an arbitral tribunal with its seat in your jurisdiction be able to consolidate separate arbitral proceedings under one or more contracts and, if so, in what circumstances?

Algeria

The CAPC does not contain any provision relating to the ability of an arbitral tribunal to consolidate separate arbitral proceedings under one or more contracts.

Thus, the possibility to consolidate separate arbitral proceedings under one or more contracts should be subject to the rules or agreement governing the arbitration.

Answer contributed by , and

11. Is the "group of companies doctrine" recognised in your jurisdiction?

Algeria

The ‘group of companies doctrine’ (or any other basis for piercing the corporate veil) is not specifically recognised under the Algerian law.

Answer contributed by , and

12. Are arbitration clauses considered separable from the main contract?

Algeria

Article 1008 of the CAPC provides that the arbitration clause must, on pain of nullity, be stipulated in writing in the main agreement or in a document to which it refers. However, this inclusion does not render the arbitration clause dependent on the validity of the main contract.

The arbitration agreement is independent from the contract in which it is set forth (autonomous agreement). Indeed, article 1040 of the CAPC specifies that the validity of an arbitration agreement cannot be challenged on the grounds that the main contract is not valid.

Answer contributed by , and

13. Is the principle of competence-competence recognised in your jurisdiction? Can a party to an arbitration ask the courts to determine an issue relating to the tribunal's jurisdiction and competence?

Algeria

Under Algerian law, a court cannot claim jurisdiction over the subject matter of a dispute already pending before an arbitral tribunal or subject to an arbitration pursuant to a valid arbitration agreement.

Answer contributed by , and

14. Are there particular issues to note when drafting an arbitration clause where your jurisdiction will be the seat of arbitration or the place where enforcement of an award will be sought?

Algeria

The key considerations when drafting an arbitration clause where Algeria will be the seat of arbitration or the place where enforcement of an award will be sought are the following:

  • language: it is important to ensure that all arbitration-related documents (including the arbitration clause) are translated into Arabic in order to be taken into account by local courts;
  • choice of law: parties are free to choose the law governing the contract and the arbitration agreement. However, the choice of law should be tied to the parties or the agreement;
  • applicable arbitration rules that will govern the proceedings: the most commonly used arbitration in Algeria are the ICC rules;
  • seat of arbitration;
  • enforcement of the award; and
  • waiver of appeal.

Answer contributed by , and

15. Is institutional international arbitration more or less common than ad hoc international arbitration? Are the UNCITRAL Rules commonly used in ad hoc international arbitrations in your jurisdiction?

Algeria

Algerian law recognises both institutional and ad hoc arbitration, but institutional arbitration is more prevalent in practice. The most commonly used institutional rules in Algeria are the ICC Rules.

Although Algeria did not adopt the UNCITRAL Model Law on International Commercial Arbitration, the CAPC largely reflects the principles of international treaties relating to arbitration that Algeria has ratified, such as the Convention on the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention) and the New York Convention.

Answer contributed by , and

16. What, if any, are the particular points to note when drafting a multi-party arbitration agreement with your jurisdiction in mind? In relation to, for example, the appointment of arbitrators.

Algeria

When drafting a multi-party arbitration agreement, with Algeria in mind, it is important to ensure clarity in the wording of the arbitration agreement, to specify the appointment process for the arbitrators, consider the language to be used, and choose the applicable governing law that has a relationship with the parties or the contract.

Answer contributed by , and

Commencing the arbitration

17. How are arbitral proceedings commenced in your jurisdiction? Are there any key provisions under the arbitration laws of your jurisdiction relating to limitation periods of which the parties should be aware?

Algeria

Pursuant to article 179 of the Algerian Civil Code, in the event of non-performance of contractual obligations, the indemnification of the prejudice suffered is due only once the debtor has been officially notified, unless otherwise agreed.

Therefore, unless otherwise specified in a commercial contract, prior to introducing a claim before the arbitral tribunal, the debtor should have been notified in writing. Such notification should give the debtor a time period to correct the default. If this is not done, the creditor is then authorised to introduce an indemnification claim before courts or the arbitral tribunal, if the case may be.

In addition to the above, in the event of a breach of an obligation under a procurement contract, pursuant to article 115 of the Algerian Procurement Code, the contracting party of a public procurement may introduce a recourse before the National Procurement Commission or before the competent sectorial commission, prior to introducing any judicial or arbitration proceeding. The competent commission will then have 30 days to issue its decision, which is binding for the state entity.

Regarding limitation, Pursuant to article 308 of the Civil Code, the general statute of limitation period is 15 years. However, to this general rule, there are exceptions provided by the Civil Code.

Thus, pursuant to article 312 of the Civil Code, the statute of limitation period for claims related to sales of goods is one year. In addition, pursuant to article 386 of the Civil Code, claims related to guarantee of goods should be introduced within six months of the notification of defects, unless otherwise agreed in a contract.

Where a commercial contract is governed by Algerian laws, the above statute of limitations applies.

Answer contributed by , and

Choice of law

18. How is the substantive law of the dispute determined? Where the substantive law is unclear, how will a tribunal determine what it should be?

Algeria

The substantive law of the dispute for arbitration is determined by the express intent of the parties to the arbitration agreement. The parties are free to choose the law that will govern their contract and any dispute that may arise from it. However, the chosen governing law must have a connection with the parties or the contract.

Finally, in the absence of definition of the substantive law or an unclear choice of law, the arbitral tribunal may select the applicable law as per the usages in the particular industry, by determining what was the common intent of the parties and by selecting a law that has a nexus to the parties or the contract.

Answer contributed by , and

Appointing the tribunal

19. Does the law of your jurisdiction place any limitations in respect of a party's choice of arbitrator?

Algeria

Under Algerian law, parties are free to choose the arbitrators at their sole discretion.

The arbitration clause shall include the subject matter of the dispute and the appointment of the arbitrator or arbitrators, or the method of appointing them.

Answer contributed by , and

20. Can non-nationals act as arbitrators where the seat is in your jurisdiction or hearings are held there? Is this subject to any immigration or other requirements?

Algeria

Non-nationals can act as arbitrators where the seat is in Algeria or hearings are held there. The CAPC does not impose any nationality requirements for arbitrators.

However, foreign arbitrators must comply with any immigration requirements to enter Algeria and participate in the arbitration proceedings. This may include obtaining a visa or work permit, depending on the duration and nature of their stay in the country.

Answer contributed by , and

21. How are arbitrators appointed where no nomination is made by a party or parties or the selection mechanism fails for any reason? Do the courts have any role to play?

Algeria

The arbitration clause shall include, subject to be set aside, the appointment of the arbitrator or arbitrators, or the method of their appointment. If difficulties might arise during the constitution of the arbitration court due to the act of one of the parties or due to the execution of the procedures of appointing the arbitrator or arbitrators, the latter shall be appointed by the President of the Court within the jurisdiction of which the place of conclusion or execution of the contract falls.  If the appointed arbitrator refuses to carry out the mission entrusted to him or her, he or she shall be replaced by another upon an order from the president of the competent court. If the arbitration clause is null and void or not sufficient to constitute the arbitral tribunal, then the President of the Court shall decide on the methods for appointing the arbitrators.

The arbitration court shall be constituted of one or several arbitrators in an odd number.

The parties can, either directly or by referring to an arbitration law or rule, appoint the arbitrator or arbitrators or determine the conditions of their appointment, removal from office or replacement. In the absence of appointment and in the case of a difficulty in appointing, removing from office or replacing the arbitrators, the most diligent party can do the following:

  • refer the issue before the president of the court within the jurisdiction of which the arbitration falls if the arbitration is taking place in Algeria; and
  • refer the issue to the President of the Court of Algeria if the arbitration is taking place outside Algeria and the parties choose to apply the rules of proceedings in force in Algeria.

Answer contributed by , and

22. Are arbitrators afforded immunity from suit under the law of your jurisdiction and, if so, in what terms?

Algeria

Algerian law does not provide for immunity from suit to arbitrators. However, in the event the arbitrators will commit any criminal offence, the latter may be sanctioned in accordance with the Algeria Criminal Code (for example, in relation to false declaration, corruption, etc).

Answer contributed by , and

23. Can arbitrators secure payment of their fees in your jurisdiction? Are there fundholding services provided by relevant institutions?

Algeria

Algerian arbitration law does not deal with the allocation of arbitration costs or the award of interest. It is left to the applicable arbitration rules or to the arbitration agreement or, in the absence of any rule governing this issue, to the discretion of the arbitral tribunal.

However, arbitrators can secure payment of their fees for their services in the arbitration proceedings, by requesting partial or total payment of their fees prior to starting the arbitration proceedings.

Finally, there are no specific fundholding services provided by relevant institutions in Algeria for the payment of arbitrator’s fees.

Answer contributed by , and

Challenges to arbitrators

24. On what grounds may a party challenge an arbitrator? How are challenges dealt with in the courts or (as applicable) the main arbitration institutions in your jurisdiction? Will the IBA Guidelines on Conflicts of Interest in International Arbitration generally be taken into account?

Algeria

Pursuant to article 1016 of the CAPC, an arbitrator may be challenged for the following cases:

  • when he or she does not meet the qualifications agreed upon by the parties;
  • where there is a ground for recusal under the arbitration rules adopted by the parties; or
  • where circumstances give rise to justifiable doubt as to his or her independence, in particular because of the existence, directly or through an intermediary, of interests, economic or family ties with a party.

 

A party may only challenge an arbitrator it has appointed or contributed to appointing for a cause of which it became aware after the appointment.

The arbitral tribunal and the other party shall be informed without delay of the reason for the challenge. Indeed, the arbitration court and the other party shall be notified of the reason of the challenge without delay. In the event of a dispute and in the event where the arbitration law does not include the methods of settling it or the parties did not seek to settle the dispute, then the judge shall settle it upon the request of the most diligent party.

In the event of a dispute and if the parties or the arbitration rules have not settled or regulated the challenge procedure, the competent judge shall rule by order at the request of the most diligent party. This order is not subject to any appeal.

With respect to the IBA Guidelines on Conflicts of Interest in International Arbitration, it is unclear whether Algeria takes into account or not the IBA Guidelines.

Answer contributed by , and

Interim relief

25. What main types of interim relief are available in respect of international arbitration and from whom (the tribunal or the courts)? Are anti-suit injunctions available where proceedings are brought elsewhere in breach of an arbitration agreement?

Algeria

As per article 1046 of the CAPC, unless otherwise agreed, the arbitral tribunal may order interim measures of protection at the request of either party. However, the enforcement of these measures, if a party refuses to execute such measures, relies on the support of the courts.

In relation to anti-suit injunctions, Algerian law does not specifically address their availability in the context of international arbitration. Indeed, Algerian courts do not intervene in the procedural aspects of arbitrations seated outside Algeria. However, they may intervene in a foreign arbitration if their assistance is requested by an arbitral tribunal if a party does not comply with a provisional measure it ordered.

Answer contributed by , and

26. Does the law of your jurisdiction allow a court or tribunal to order a party to provide security for costs?

Algeria

Pursuant to article 1046 of the CPCA, the enforcement of protective measures – in cases where a party refuses to execute them – relies on the support of the court. Either the arbitral tribunal or the judge may request security interest to be put in place before ordering a provisional or protective measure.

Indeed, the arbitration court can order temporary or preventive measures upon the request of one of the parties, unless otherwise stipulated in the arbitration agreement. In the event where the concerned party does not voluntarily execute this measure, the arbitration court may request the interference of the competent judge. The law of the country of the judge shall apply in this regard.

Answer contributed by , and

Procedure

27. Are there any mandatory rules in your jurisdiction that govern the conduct of the arbitration (eg, general duties of the tribunal and/or the parties)?

Algeria

There are no mandatory rules in Algeria that govern the conduct of arbitration.

Proceedings that should be followed are either determined by the chosen arbitration rules in the arbitration clause, by the arbitration agreement itself or by reference to applicable procedural laws. If the latter is not provided in the agreement, the arbitration court shall determine the proceedings, when necessary, either directly or pursuant to arbitration law or rules.

Answer contributed by , and

28. What is the applicable law (and prevailing practice) where a respondent fails to participate in an arbitration?

Algeria

The respondent shall be notified of the initiation of an arbitral proceeding by fulfilling the applicable notification rules. Failure of the respondent to participate in the arbitration after proper notification, the proceeding is fulfilled in absence of the respondent.

It should be noted that every party shall submit its defence and documents at least 15 days prior to the end of the arbitration time limit, otherwise, the arbitrator shall decide based on what was submitted to him or her during this time limit.

Answer contributed by , and

29. What types of evidence are usually admitted, and how is evidence usually taken? Will the IBA Rules on the Taking of Evidence in International Arbitration generally be taken into account?

Algeria

Pursuant to article 323 of the Civil Code, both hard-copy and electronic evidence is accepted as evidence, as long as the parties are duly identified, and it is conserved and established in a way guarantying its integrity.

In addition, articles 1020, 1023 and 1047 of the CAPC provide that the arbitral tribunal decides at its sole discretion which evidence will be admitted or excluded, subject to applicable arbitration rules or the law of the seat.

With respect to the IBA Rules on the Taking of Evidence in International Commercial Arbitration, or the ‘Prague Rules’ (the Rules on the Efficient Conduct of Proceedings in International Arbitration), no data is available on whether Algeria takes into account or not such rules.

Answer contributed by , and

30. Will the courts in your jurisdiction play any role in the obtaining of evidence?

Algeria

As per article 1047 of the CAPC, the arbitral tribunal shall conduct its own evidentiary process.

If the assistance of the judicial authority is necessary for obtaining evidence, the arbitral tribunal, or the parties in agreement with it, or the most diligent party authorised by it, may request the assistance of the competent judge. The judge shall then apply his or her own law.

Answer contributed by , and

31. What is the relevant law and prevailing practice relating to document production in international arbitration in your jurisdiction?

Algeria

Document production in international arbitration is generally governed by the rules of the arbitration institution or ad hoc rules that the parties have agreed to use.

Answer contributed by , and

32. Is it mandatory to have a final hearing on the merits?

Algeria

No, it is not mandatory to have a final hearing on the merits. In addition, and as per article 1019 of the CAPC, unless otherwise agreed between the parties, deadlines and forms applicable to court proceedings are also applicable to arbitral proceedings seated in Algeria (for example, written exchange of introductory and response briefs for each party are mandatory).

As per international commercial arbitration, the arbitration agreement regulates, directly or by reference to applicable arbitration rules, the procedure to be followed in the arbitral proceedings.

Answer contributed by , and

33. If your jurisdiction is selected as the seat of arbitration, may hearings and procedural meetings be conducted elsewhere?

Algeria

The physical location of the hearings and meetings can be agreed upon by the parties or determined by the arbitral tribunal. Thus, parties are free to choose the seat of arbitration as well as the venue for hearings and meetings. In addition, the CAPC is silent on the possibility that hearings and/or procedural meetings be held remotely. In practice, such possibility is provided under the arbitration agreement or the applicable arbitration rules.

Answer contributed by , and

Award

34. Can the tribunal decide by majority?

Algeria

As per article 1026 of the Algerian CAPC, the award shall be made by a majority vote.

Answer contributed by , and

35. Are there any particular types of remedies or relief that an arbitral tribunal may not grant?

Algeria

Algerian arbitration law does not deal with the allocation of arbitration costs or the award of interest. However, it is possible for the winning party to claim the reimbursement of reasonable costs incurred for the arbitration, subject to applicable arbitration rules or arbitration agreement, law applicable to the subject matter, the provisions of the contract or the at discretion of the arbitral tribunal.

Answer contributed by , and

36. Are dissenting opinions permitted under the law of your jurisdiction? If so, are they common in practice?

Algeria

CAPC does not provide any provisions related to dissenting arbitrators.

In addition, there is no data on Algeria’s tendency to permit or not dissenting opinions.

Answer contributed by , and

37. What, if any, are the legal and formal requirements for a valid and enforceable award?

Algeria

To be valid and enforceable, arbitral awards shall be issued by the majority of the votes. Arbitral awards shall include a brief summary submission of the parties’ claims and defences and shall be grounded.

In addition, and as per article 1027 of the CAPC, the arbitral award must contain the following information:

  • the name and surname of the arbitrator or arbitrators;
  • the date of issuance of the award;
  • the place of its issuance;
  • the names and surnames of the parties, the domicile of each of them and the nomination of the legal representatives and their headquarters; and
  • the names and surnames of the lawyers or those who represented or assisted the parties when needed.

Arbitral awards shall be signed by all arbitrators. If the minority refuses to sign, the other arbitrators shall indicate this, and the award shall have the same effect as if it was signed by all the arbitrators.

Answer contributed by , and

38. What time limits, if any, should parties be aware of in respect of an award? In particular, do any time limits govern the interpretation and correction of an award?

Algeria

Arbitral awards acquire the res judicata by their mere issuance as for the conflict subject of settlement. The arbitrator shall abandon the dispute as soon as he or she settles it. However, the arbitrator can interpret the award or correct the material errors and omissions vitiating it pursuant to the provisions stipulated herein.

Arbitral awards shall not be invoked against third parties.

In addition, as per article 1033 of the Algerian CAPC, the arbitral award may be appealed, within one month of its issuance, before the court of the jurisdiction in which it was made, unless the parties have waived the appeal in the arbitration agreement.

However, regarding the interpretation and correction of an award, although article 1030 provides for the possibility for the arbitrator to interpret the award, to repair material errors and omissions affecting it, the CAPC does not provide for a time limit to do so.

Answer contributed by , and

Costs and interest

39. Are parties able to recover fees paid and costs incurred? Does the "loser pays" rule generally apply in your jurisdiction?

Algeria

The recovery of fees and costs will depend on the agreement between the parties and the decisions of the arbitral tribunal.

It is possible for the winning party to claim the reimbursement of reasonable costs incurred for the arbitration, subject to applicable arbitration rules or arbitration agreement, laws applicable to the subject matter, the provisions of the contract or the discretion of the arbitral tribunal.

Indeed, it should be noted that it is possible for the winning party to claim the reimbursement of reasonable costs incurred for the arbitration, including the arbitrators’ fees.

Answer contributed by , and

40. Can interest be included on the principal claim and costs? Is there any mandatory or customary rate?

Algeria

Algerian arbitration law does not deal with the allocation of arbitration costs or the award of interest. A winning party may claim them, subject to applicable arbitration rules, law applicable to the subject matter and provisions of the contract or arbitration agreement.

Answer contributed by , and

Challenging awards

41. Are there any grounds on which an award may be appealed before the courts of your jurisdiction?

Algeria

International arbitral awards cannot be appealed. It is, however, possible for domestic arbitral awards unless otherwise agreed in the arbitration clause. Domestic arbitral awards can be appealed by a party within a period of one month from the issuance of the award. The appeal must be submitted to the Court of Appeal of the place where the arbitral tribunal was seated. The appeal is introduced by filing a judicial appeal introductory brief with the registry of the Court of Appeal.

The filing must be done by a lawyer since the representation of the parties by a lawyer is mandatory before Algerian courts. The appeal introductory brief must be grounded (ie, it must contain the grounds on which the appeal is based, both substantive and by referring to the relevant articles of the applicable law).

The grounds for the appeal are based either on the failure to correctly apply Algerian law or the wrong interpretation or analysis of the facts (similar to the appeal of a judgment rendered by a lower court).

The Court of Appeal’s judges will review the tribunal’s application of Algerian law to the facts. The CAPC does not address the consequences of the acceptance or the rejection of the appeal. In practice, if the appeal is rejected for the absence of ground, the effect is that the arbitral award is granted the executive formula. If, however, the Court upholds the appeal, the Court will cancel the arbitral award and its decision (and the findings contained in it) will replace the arbitral award. Finally, the Court of Appeal’s decision may be subject to an appeal before the Supreme Court. Such an appeal will not suspend the execution of the Court of Appeal’s decision.

Finally, it should be noted that for international arbitral awards, the ordinance refusing the recognition or enforcement of the international arbitral award may be subject to an appeal. However, the appeal of the ordinance granting the recognition or enforcement of the international arbitral award is available only in limited cases (please see question 42).

Answer contributed by , and

42. Are there any other bases on which an award may be challenged, and if so what?

Algeria

An award may be challenged for the following reasons:

  • the arbitral tribunal has issued the award after the expiry of the term of the arbitration agreement or clause or issued the award based on an invalid arbitration agreement or clause or without one at all;
  • the constitution of the tribunal and appointment of the arbitrators was contrary to the applicable law;
  • the arbitrators determined the dispute in a manner contrary to the mandate attributed to them;
  • the principle of due process (adversarial principle) was not complied with;
  • the arbitrators did not give reasons for the award or gave contradictory reasonings; and/or
  • the award is in violation of international public order.

Answer contributed by , and

43. Is it open to the parties to exclude by agreement any right of appeal or other recourse that the law of your jurisdiction may provide?

Algeria

Yes, it is open to the parties to exclude by agreement any right of appeal or other recourse that the law of Algeria may provide.

Indeed, as per article 1033 of the CAPC, the arbitral award may be appealed, within one month of its pronouncement, before the court in whose jurisdiction it was made, unless the parties have waived the appeal in the arbitration agreement.

Answer contributed by , and

Enforcement in your jurisdiction

44. Will an award that has been set aside by the courts in the seat of arbitration be enforced in your jurisdiction?

Algeria

If an arbitral award has been set aside by the courts in the seat of arbitration, it may not be recognised or enforced in Algeria, considering that Algeria generally recognises and enforces foreign arbitral awards in accordance with the New York Convention.

Answer contributed by , and

45. What trends, if any, are suggested by recent enforcement decisions? What is the prevailing approach of the courts in this regard?

Algeria

The prevailing approach of the courts regarding the enforcement of arbitral awards in Algeria is to ensure that the conditions for recognition and enforcement are met and that the award is not contrary to the Algeria public order.

Answer contributed by , and

46. To what extent might a state or state entity successfully raise a defence of state or sovereign immunity at the enforcement stage?

Algeria

Under Algerian law, the state and its entities generally enjoy sovereign immunity from legal proceedings. The exception to this sovereign immunity is where the state or its entities have entered into a contract that contains an arbitration clause. In such cases, the state or its entities may be deemed to have waived their sovereign immunity with respect to the enforcement of any arbitral award that may arise from the contract.

However, the state or its entities may still be able to raise other defences to the enforcement of an arbitration award, such as public policy or procedural fairness.

Answer contributed by , and

Further considerations

47. To what extent are arbitral proceedings in your jurisdiction confidential?

Algeria

Confidentiality of arbitration is a fundamental principle accepted by scholars and practitioners. However, the law governing arbitration guarantees the confidentiality of the deliberations of the arbitrators only. The law is silent as to the rest of the proceedings. This issue can be determined by the arbitral tribunal, the arbitral agreement or clause or by the applicable procedural rules.

Answer contributed by , and

48. What is the position relating to evidence produced and pleadings filed in the arbitration? Are these confidential? Is there any way that they might be relied on in other proceedings (whether arbitral or court proceedings)?

Algeria

The CAPC does not provide any provision related to the evidence and pleadings.

Article 1025 of the CAPC provides for the confidentiality the deliberations of the arbitrators only.

The law is silent as to the rest of the proceedings. This issue can be determined by the arbitral tribunal, the arbitral agreement or clause or by the applicable procedural rules.

Answer contributed by , and

49. What ethical codes and other professional standards, if any, apply to counsel and arbitrators conducting proceedings in your jurisdiction?

Algeria

Since the representation of the parties by a lawyer is mandatory before Algerian courts of appeal and Supreme Court (except before the tribunal), lawyers must comply with the rules inherent to the practice of their profession.

However, Algerian law does not provide for specific ethical codes or professional standards to counsel and arbitrators conducting proceedings.

Answer contributed by , and

50. Are there any particular procedural expectations or assumptions of which counsel or arbitrators participating in an international arbitration with its seat in your jurisdiction should be aware?

Algeria

The main procedural expectations or assumptions of which counsel or arbitrators participating in an international arbitration with its seat in Algeria should be aware of are as follows:

  • language: the Algerian CAPC provides that the judicial procedures and acts such as side procedures before local courts, court’s documents and exhibits, and debates and pleadings are in the Arabic language, in accordance with article 8 of the CAPC. Thus, it is important for counsel or arbitrators to take into account the Arabic language requirement in the event of recourse to local courts;
  • compliance with the time limits set forth by Algerian law; and
  • counsel or arbitrators should ensure that the proceedings and the award do not violate Algerian public policy.

Answer contributed by , and

51. Is third-party funding permitted in your jurisdiction? If so, are there any rules governing its use?

Algeria

The CAPC does not provide any provision related to the third-party funding.

However, in practice, third-party funding is possible under Algerian law.

Answer contributed by , and

Unlock unlimited access to all Global Arbitration Review content