• Search

Commercial Arbitration

Last verified on Tuesday 11th June 2019

Turkey

Utku Coşar, İpek Sumbas Çorakçı and Alper Arslan

    Infrastructure

  1. 1.The New York Convention
    Is your state a party to the New York Convention? Are there any noteworthy declarations or reservations?
    1. Turkey is a signatory to the New York Convention, which it ratified on 2 July 1992. Turkey made two reservations to the application of the New York Convention. It declared that it will apply the New York Convention (i) on the basis of reciprocity, and (ii) only to differences arising out of legal relationships, whether contractual or not, that are considered as commercial.

  2. 2.Other treaties
    Is your state a party to any other bilateral or multilateral treaties regarding the recognition and enforcement of arbitral awards?
    1. Turkey is also a party to the Geneva Convention on International Commercial Arbitration which it ratified in 1992, and to the Convention on the Settlement of Investment Disputes between States and Nationals of other States (ICSID Convention or Washington Convention), which came into force in 1989.

  3. 3.National law
    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?
    1. The principal legislation governing international arbitration in Turkey is the International Arbitration Law No. 4686 (IAL), which entered into force in 2001. The IAL is based on the 1985 UNCITRAL Model Law. However, there are some principles not foreseen in the Model Law including provisions such as the cost of arbitration, terms of reference or additional circumstances as to the termination of proceedings contained in article 13/B of the International Arbitration Act, which are applicable if the parties have not agreed on other institutional rules. The 2006 amendments of Model Law have not been adopted by the IAL.

      Domestic arbitration is governed by section 11 of the Code of Civil Procedure, Law No. 6100 (CCP) (articles 407 to 444), which are mostly parallel to the provisions of the IAL and thus in accordance with the UNCITRAL Model Law.

  4. 4.Arbitration bodies in your jurisdiction
    What arbitration bodies relevant to international arbitration are based within your jurisdiction? Do such bodies also act as appointing authorities?
    1. Although there are a number of arbitration bodies established by various cities’ chambers of commerce, the most predominant Turkish arbitration institutions are the Istanbul Arbitration Centre (ISTAC), Istanbul Chamber of Commerce and the Turkish Union of Chambers and Commodity Exchanges Court of Arbitration (the latter mostly preferred for domestic arbitration).

      ISTAC was established in 2015 by the Law on the Istanbul Arbitration Centre No. 6570 (LIAC), which went into effect on 1 January 2015. According to the LIAC, ISTAC is to oversee the settlement of both domestic and international disputes, which can also act as an appointing authority.

      Moreover, by the Prime Ministry’s Office Circular No. 2016/25 (which was published in the Official Gazette dated 19 November 2016 and No. 29893), it was provided that all public authorities shall consider including ISTAC arbitration clauses in their domestic and international agreements. Likewise, the template contracts attached to the Tender Application Regulations (within the scope of the Public Procurement Contracts Law No. 4735) were amended (effective from 19 January 2018). Pursuant to the amendments, the administration may prefer to include an arbitration clause in the contracts instead of referring to disputes to the Turkish courts. Moreover, if arbitration is chosen as a dispute resolution mechanism and if the dispute has a domestic nature, the arbitration should be governed by the ISTAC Arbitration Rules. On the other hand, if the dispute is of an international nature, the administration may choose either the ISTAC Arbitration Rules or the provisions of the IAL.

       

  5. 5.Foreign institutions
    Can foreign arbitral providers operate in your jurisdiction?
    1. There are no legal restrictions as to operation of foreign arbitral providers in Turkey. In practice, both domestic and international arbitration proceedings that are governed by foreign arbitral institutions such as the ICC may be seated in Turkey.

  6. 6.

    Courts
    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?

    1. There is no specialist arbitration court in Turkey. However, pursuant to the additional article 1 of the IAL and article 410 of the CCP the issues which need to be conducted by the national courts during the arbitration proceedings are to be heard either by civil or commercial courts of first instance, depending on the subject of dispute. Further, pursuant to article 15 of the IAL and 439 of the CCP, annulment lawsuits against an arbitration awards are to be heard by the regional courts in Turkey.   

    Agreement to arbitrate

  7. 7.Formalities
    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?
    1. Arbitration agreements must be in writing, which may take the form of a written document signed by the parties, a letter, a telegram, a telex, a fax exchanged between the parties, or an electronic medium. An arbitration agreement may be concluded as part of the main agreement, or by a standalone agreement. Moreover, in cases where a claimant claims the existence of a written arbitration agreement in its statement of claim, and the respondent fails to object to this in its statement of defence, the requirement of a valid arbitration agreement is deemed to have been met. Additionally, a valid arbitration agreement is deemed to have been made if the parties make a reference to a document containing an arbitration clause that is intended to constitute a part of the main agreement.

      Turkish courts have held that in order for an arbitration agreement to be valid, the parties’ intention to refer the dispute to arbitration must be clear, without doubt. It should be noted that the representatives signing the arbitration agreement are required to have a special authority which clearly specifies that they are granted the authority to make an arbitration agreement (Court of Appeals, 19th Civil Law Chamber, 21 May 2007, File No. 2007/380, Decision No. 2007/5114). 

      When defining the arbitration agreement, IAL article 4/1 states that an arbitration agreement is an agreement where the parties agree to refer all or certain disputes that arise or may arise from an existing legal relationship whether contractual or not, to arbitration. Moreover, IAL article 4/4 and CCP article 412/4 both state that parties cannot make objections against the arbitration agreement that the main agreement is invalid or that the arbitration agreement relates to a dispute which has not yet arisen. Therefore, under the IAL and the CCP, it is possible to refer future disputes to arbitration provided that they are arising from an existing legal relationship.

  8. 8.Arbitrability
    Are any types of dispute non-arbitrable? If so, which?
    1. The CCP (governing domestic arbitration) and IAL (governing international arbitration) provide that disputes regarding the rights in rem over immovable properties and disputes that are not subject to parties’ wills cannot be resolved by arbitration (article 408 of the CCP; article 1/4 of the IAL). According to this, commercial disputes may be referred to arbitration, whereas disputes concerning criminal issues, family law or issues related to employees’ payments arising from labour contracts cannot. Consequently, issues on matrimonial and civil status falling within the exclusive jurisdiction of courts or other tribunals (eg, bankruptcy proceedings, issues on infringement of human rights and on criminal law) are non-arbitrable.

  9. 9.Third parties
    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?
    1. In principal, an arbitration agreement only binds the parties to such agreement. Moreover, according to the Court of Appeals, being a beneficiary to an agreement involving an arbitration clause does not make the beneficiary a party to the arbitration agreement, unless such party is found to have consented to it (Court of Appeals 11th Civil Law Chamber, 25 June 2015, File No. 2014/9538, Decision No. 2015/8707). 

      Third-party intervention to the arbitral proceedings is not provided in Turkish arbitration legislation; however, pursuant to IAL article 6, an arbitral tribunal cannot render an interim injunction or an interim attachment decision binding the third parties. On the other hand, it is possible for the parties to agree on procedural rules that allow third party intervention.

  10. 10.Consolidation
    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?
    1. The IAL and CCP do not contain any specific provisions governing the consolidation of separate arbitral proceedings. In principle, parties can choose procedural rules that allow consolidation of proceedings such as the ICC Rules of Arbitration. There are no restrictions preventing the consolidation of the proceedings as long as the conditions set out in the IAL and CCP, such as granting each party equal rights and powers to make their claims and defences, are met. However, there is no reported case of the Court of Appeals revealing its approach towards the consolidation of proceedings in arbitration.

  11. 11.

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

    1. Under Turkish law, there is no regulation or Court of Appeals decision providing that the arbitration agreement signed by a group company will also be binding on another company within the same group, which is not a party to the arbitration agreement. As previously stated, as a general rule under Turkish law, an arbitration agreement and an arbitral award only bind the parties to such agreement.

  12. 12.Separability
    Are arbitration clauses considered separable from the main contract?
    1. As stated above, the IAL and the CCP provide that parties cannot challenge the arbitration agreement on the basis that the main agreement is invalid (IAL article 4/4, CCP article 412/4). Moreover, when determining the validity of the arbitration agreement, the arbitral tribunal shall treat the arbitration clause as an independent clause from the other provisions of the agreement. The arbitral tribunal’s decision that the main agreement is invalid shall not automatically give rise to the invalidity of the arbitration agreement (IAL article 7/H, CCP article 422).

  13. 13.Competence-competence
    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?
    1. Both the IAL and the CCP provide that challenges to the jurisdiction of the arbitral tribunal including any objections with respect to the existence or validity of the arbitration agreement, should be decided by the arbitral tribunal (IAL article 7/H, CCP article 422). According to the Court of Appeals, the challenges made to the jurisdiction of the arbitral tribunal should be brought before the tribunal; however, the arbitral tribunal’s decision on jurisdiction may be subject to review in an action of annulment of the final award rendered by the arbitral tribunal (Court of Appeals, 15th Civil Law Chamber, 27 June 2007, File No. 2007/2145, Decision No. 2007/4389). The IAL and the CCP include provisions that foresee the annulment of the arbitral award due to the incompetence of the arbitral tribunal. According to this, an arbitral award may be annulled if the tribunal: (a) decided on its competence or incompetence in violation of the law, (b) decided on a matter that falls beyond the scope of the arbitration agreement, (c) decided on a matter that exceeds the arbitrator or the arbitral tribunal’s authority (IAL article 15, CCP article 439).

  14. 14.Drafting
    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?
    1. When drafting an arbitration clause, the parties’ intention to refer the dispute to arbitration must be clear, without leaving any doubt. The arbitration clause will most likely be considered invalid by the courts, in case there is an uncertainty of the parties’ intention to refer the dispute to arbitration. 

      Moreover, the arbitration clause should not grant a superior position to one of the parties during the proceedings, otherwise it may be considered against public policy. The Court of Appeals held that a socioeconomically superior party’s having the other party agree on an arbitration clause that only gave the stronger party the right to choose an arbitrator was invalid (General Assembly of the Court of Appeals Civil Law Chambers, 12 February 1992, File No. 1991/13-606, Decision No. 1992/56). Similarly, in an enforcement lawsuit, the Court of Appeals ruled that an arbitration clause that grants the right to appoint the arbitral tribunal to only one of the parties would not be valid and thus not enforceable. However, in that particular case, the Court of Appeals found that the relevant clause was valid and not against public policy as it granted both of the parties the right to choose the arbitral tribunal (Court of Appeals Plenary Session of Civil Law Chambers, 9 June 1999, File No. 1999/19-467, Decision No. 1999/489).

      Furthermore, arbitrability of the dispute should be considered during the drafting of an arbitration clause. For instance, in one case, the arbitration clause provided in a company’s articles of association was found invalid by the Court of Appeals since the general assembly resolutions may only be annulled by the courts (Court of Appeals 11th Civil Law Chamber, 5 December 2012, File No. 2011/13485, Decision No. 2012/19915).

  15. 15.Institutional arbitration
    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?
    1. There is little data available regarding the number of ad hoc arbitral proceedings seated in Turkey or the applicable rules governing such proceedings. However, it is generally considered that institutional arbitration is more commonly used in international arbitration. The arbitration rules of the International Chamber of Commerce International Court of Arbitration, Swiss Chambers’ Arbitration Institution, Stockholm Chamber of Commerce, London Court of International Arbitration and United Nations Commission on International Trade Law are generally used for international arbitration proceedings. The arbitration rules of ISTAC is also expected to be used commonly as explained in question 4.

  16. 16.Multi-party agreements
    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.
    1. There is no provision in the IAL and the CCP regarding the validity of a multi-party arbitration agreement. However, in principle, in order to be valid, a multi-party arbitration agreement should meet all the conditions in the IAL and CCP that are provided in relation to the validity of the arbitration agreements. Regarding the appointment of arbitrators, as previously stated in question 14, the Court of Appeals has held that an arbitration clause, which does not give one of the parties the right to choose the arbitral tribunal, would be against public order and thus invalid. Therefore, when drafting a multi-party arbitration agreement, the parties should ensure that all parties are granted equal rights and powers in the arbitration. On the other hand, there is no reported decision of Court of Appeals concerning either multi-party arbitration agreements or the appointment of the arbitrators in such proceedings.

    Commencing the arbitration

  17. 17.Request for arbitration
    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?
    1. Unless agreed otherwise by the parties, the proceedings shall commence either when an application to the court for the appointment of the arbitrators is made or (depending on the parties’ agreement) to the appointing institution, or if the appointment is left to the parties, the nomination of the claimant’s arbitrator and the request to the other party to nominate their own. If the names of the arbitrators are specifically determined in the arbitration agreement, the proceedings shall start on the day the other party receives the request for the settlement of the dispute by arbitration. 

      It is important to note that if one of the parties obtains an interim relief (interim injunction or attachment) before the initiation of the arbitration proceedings, the arbitration must be filed by that party within 30 days (or, two weeks under the CCP for domestic arbitration) after obtaining the interim relief. Otherwise, the interim relief would automatically cease to have effect (IAL article 10, CCP article 426).

      Moreover, as explained in question 38, pursuant to IAL article 10/B and CCP article 427, unless otherwise agreed by the parties, the award regarding the merits should be rendered within one year of the date of appointment of the arbitrator in arbitration cases with a sole arbitrator, and from the date of the recording of the first meeting minutes by the arbitral tribunal in cases with more than one arbitrator. The arbitration term may be extended by the agreement of the parties, or failing such an agreement, by the court upon the request of one of the parties. The failure to render an award within the term of arbitration is a ground for annulment (IAL article 15, CCP articles 427 and 439).

    Choice of law

  18. 18.Choice of law
    How is the substantive law of the dispute determined? Where the substantive law is unclear, how will a tribunal determine what it should be?
    1. With respect to domestic arbitration, the CCP does not include any rules regarding the applicable law to the merits of a dispute. Unless agreed otherwise, Turkish law will be applicable as domestic arbitration does not include a foreign element. 

      With regard to international arbitration, article 12/C of the IAL states that the arbitral tribunal shall decide pursuant to the substantial law chosen by the parties and take the commercial manners and customs into account in the interpretation and completion of the contract provisions. Unless agreed otherwise, a reference to a law of a state shall be construed as the substantial law of such state, not the procedural or conflict of law rules of such state. In the absence of the parties’ agreement, the arbitral tribunal shall decide in accordance with the laws of the state that they deem to have the closest connection to the dispute. Additionally, in both domestic and international arbitration, unless expressly authorised to do so by the parties, the arbitral tribunal may not render an award ex aequo et bono or act as an amiable compositeur.

    Appointing the tribunal

  19. 19.Choice of arbitrators
    Does the law of your jurisdiction place any limitations in respect of a party’s choice of arbitrator?
    1. Legal persons cannot act as arbitrators, only real persons may (IAL, article 7/B, CCP, article 416). Moreover, the arbitrators must be impartial and independent and should disclose any circumstances that may give rise to justifiable doubts as to their impartiality or independence. For domestic arbitration, the CCP provides that if the arbitral tribunal is formed with more than one arbitrator, at least one of the members should be a lawyer with a minimum of five years’ experience. 

      For international arbitration, article 7/B of the IAL states that when the competent court is requested to select the arbitrator or arbitrators in a dispute, it shall take into consideration the agreement of the parties, as well as the impartiality and independency of the arbitrators. According to this article, if the parties are of different nationalities and a sole arbitrator is to be appointed, this arbitrator shall not be of a nationality of the parties, and if three arbitrators are to be appointed, two of them shall not be of the same nationality as one of the parties. The same procedure shall apply in cases where more than three arbitrators are to be appointed.

      Moreover, there may be special laws applicable to individuals which may prevent them from acting as an arbitrator. For instance, Turkish judges cannot act as arbitrators as they are not permitted to assume any official or private occupation other than those prescribed by law (Court of Appeals General Assembly on the Unification of Judgments, 13 May 1964, File No. 1964/1, Decision No. 1964/3).

  20. 20.Foreign arbitrators
    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?
    1. There are no restrictions precluding foreign nationals to act as arbitrators seated in Turkey. On the contrary, as explained in question 19, according to article 7/B of the IAL, if an application is made to the competent court for the appointment of arbitrators, the court shall take the following rule into consideration: if the parties are of different nationalities and a sole arbitrator is to be appointed, this arbitrator shall not be of a nationality of the parties, and if three arbitrators are to be appointed, two of them shall not have the nationality of one of the parties.

  21. 21.Default appointment of arbitrators
    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?
    1. In the absence of the parties’ agreement, the default procedure provided in the IAL (article 7/B) and CCP (article 416) is as follows:

      • if the parties fail to agree on the sole arbitrator to be appointed, the arbitrator is appointed by the court upon the request of one of the parties;
      • if three arbitrators are to be appointed, each party shall appoint one arbitrator, and these two arbitrators appointed by the parties shall appoint the third arbitrator. If a party fails to appoint an arbitrator within 30 days (in CCP, a month) of receipt of the request from the other party or if the two party-appointed arbitrators fail to appoint the third arbitrator within the same time limit, the arbitrator shall be appointed by the court upon the application of the requesting party;
      • if more than three arbitrators are to be appointed, the arbitrators, who will appoint the last arbitrator, shall be determined by the parties in equal numbers in accordance with the above-mentioned procedure. 

      Arbitrators may be appointed by the court upon the request of a party even if the parties agreed on the procedure for the appointment of arbitrators if (i) one of the parties fails to follow the agreed procedure, or (ii) the parties or the arbitrators are unable to reach an agreement where the selection is left to the parties according to the parties’ agreement, or (iii) the third party, body or institution authorised to make the selection fails to do so.

       

  22. 22.Immunity
    Are arbitrators afforded immunity from suit under the law of your jurisdiction and, if so, in what terms?
    1. Article 7/E of the IAL and article 419 of the CCP provide that unless otherwise agreed by the parties, an arbitrator who accepts his or her appointment in the arbitration proceedings, but refrains from carrying out duties without a justifiable reason, shall be responsible to indemnify the parties for any damages incurred as a result thereof. Other than these provisions in the IAL and the CCP, there is no specific regulation under Turkish law on this matter. Moreover, to the authors’ knowledge, there is no reported decision of Court of Appeals concerning the scope of arbitrator’s liability. However, according to the Court of Appeals, the legal relationship between the parties and the arbitrator arises from a proxy contract (General Assembly of the Court of Appeals Civil Law Chambers, 6 December 1969, File No. 969/T-110, Decision No. 866). According to the Turkish Code of Obligations, the representative must act with due care as a prudent representative, and the arbitrators’ liability may come into question if there is intent, negligence or incautiousness in arbitrators’ action. Parties may limit the liability of the arbitrators or refer to certain institutional rules that limit arbitrator’s liability, however, previously made agreements limiting the liability for gross negligence are not valid under Turkish law.

  23. 23.Securing payment of fees
    Can arbitrators secure payment of their fees in your jurisdiction? Are there fundholding services provided by relevant institutions?
    1. Cost of the proceedings include the fees of the arbitration. According to article 16/c of the IAL, the arbitral tribunal may request from the claimant to deposit an advance for the costs of the arbitration. CCP article 442 is in the same vein as the IAL; however, according to the CCP, the arbitral tribunal may request the deposit of advance from both parties. 

      If the advance is not paid within the required time limit, the arbitral tribunal may suspend the proceedings. If the advance is paid within 30 days (a month according to the CCP) following the notification of the suspension of the arbitration, the proceedings shall continue, otherwise the proceedings will be terminated.

    Challenges to arbitrators

  24. 24.Grounds of challenge
    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?
    1. The IAL and CCP provides that arbitrators may be challenged if the arbitrators do not have the qualifications agreed by the parties, if there is a ground for challenge provided in the arbitration procedure agreed by the parties, or if there are circumstances that may raise justifiable doubts as to the impartiality and independence of the arbitrators (IAL article 7/C, CCP article 417).

      ISTAC Rules article 16 lists the grounds of challenge as follows:

      An arbitrator may be challenged if she/he does not possess the qualifications that were agreed to by the parties, if there are circumstances and facts which give raise to doubts as to her/his impartiality and independence, or if there are other reasons that prevent the arbitrator from performing arbitrator’s duty. The request for challenge of an arbitrator shall be made to the Secretariat by submitting a written statement. In such statement, the facts and circumstances on which the challenge was based shall be specified.

      Parties may freely agree on the procedure for challenging an arbitrator. The IAL provides that the party that intends to challenge an arbitrator or the arbitral tribunal may make a challenge within 30 days (two weeks according to the CCP) after the appointment of the arbitrator or after becoming aware of the circumstances which give rise to the challenge. If the arbitral tribunal rejects the requesting party’s challenge to one or more arbitrators, such party may apply to the court within 30 days (a month according to the CCP) and request the court to set the arbitral tribunal’s decision aside and accept the challenge. 

      The challenges of an arbitral tribunal or as many arbitrators as to result in the tribunal losing its majority vote may only be made to the competent court and the decision of the court shall be final. If the court accepts such a challenge, the arbitration proceeding comes to an end. In case the parties have not agreed on specific names to act as arbitrators in the arbitration agreement, the process of selecting arbitrators shall restart (IAL article 7/D, CCP article 418).

      Unless agreed otherwise by the parties, the IBA Guidelines on Conflicts of Interest in International Arbitration is not binding, but in practice, some tribunals take them into account as guidance.

    Interim relief

  25. 25.

    Types of relief
    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?

    1. For international arbitration, IAL Article 6 provides that the parties may apply to the court to obtain an interim injunction or interim attachment decision before or during the arbitration proceedings, and doing so does not constitute a violation to the arbitration agreement. In addition, unless otherwise agreed, the arbitral tribunal may decide to grant interim injunction or interim attachment upon the request of one of the parties; however, it cannot decide on such measures which are binding upon the third parties and which should be executed by the execution authorities or performed by any other public authority. If one of the parties does not abide by the interim measure decision issued by the arbitral tribunal, the other party may apply to the court and request the court to grant an interim injunction or interim attachment decision. Moreover, the parties’ rights to make requests under the CCP and the Code of Execution and Bankruptcy are reserved.

      Similarly, the CCP also enables granting of the interim injunction by the arbitral tribunal upon the request of a party for domestic arbitration. According to CCP article 414/2, upon the request of a party, the court may decide on the enforceability of the interim injunction rendered by the arbitral tribunal. Moreover, it is also possible to apply to the courts for interim injunction before the initiation of the arbitration proceedings. However, during the arbitration proceedings, the parties may only apply to the court to obtain interim injunction decisions if the arbitral tribunal or a third party appointed by the parties is not in a condition to act timely or effectively. In the absence of such situations, the application to the court is dependent upon the approval of the arbitral tribunal or a written agreement of the parties (CCP article 414/3).

      If one of the parties obtains an interim injunction decision from the court before the initiation of the arbitration, that party must file an arbitration case within 30 days (or two weeks under the CCP) after obtaining the decision. Otherwise, it will automatically cease to have effect (IAL article 10/A, CCP article 426). The court’s interim relief given before or during the arbitration proceedings will automatically cease to have effect when the arbitral award becomes enforceable, or upon dismissal of the case by the arbitral tribunal (IAL article 16/5, CCP article 414/4). 

      Anti-suit injunctions are not specifically regulated under Turkish law. However, in case a dispute is brought before a court in spite of an arbitration agreement, the other party may raise an arbitration objection (as a preliminary objection). If the court decides to accept the objection, it shall dismiss the case on procedural grounds (IAL article 5, CCP article 413).

  26. 26.Security for costs
    Does the law of your jurisdiction allow a court or tribunal to order a party to provide security for costs?
    1. As explained in question 23 above, the arbitral tribunal may request the provision of an advance for the costs of the arbitration (IAL article 16/C, CCP article 442). Otherwise, the security for cost is not regulated under the IAL. However, there is no provision in IAL or CCP that impedes the parties from applying to the court or the arbitral tribunal for the security for costs to be granted as an interim relief as explained under question 25. The arbitral tribunal or the court may subject such relief to the provision of an appropriate security.

    Procedure

  27. 27.

    Procedural rules
    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)?

    1. Parties may freely agree on the applicable procedural rules that govern the conduct of the arbitration as long as they are in line with the mandatory rules. According to the IAL and the CCP, the parties must be granted equal rights and powers in the arbitration and they shall be granted the opportunity to make their claims and defences.

  28. 28.Refusal to participate
    What is the applicable law (and prevailing practice) where a respondent fails to participate in an arbitration?
    1. According to both the IAL and CCP, if the claimant does not submit the statement of claim within the time limit without any justifiable cause or if the statement of claim is not in compliance with the requirements and if such incompliance is not remedied within the period prescribed by the tribunal, the arbitral tribunal shall terminate the proceedings. However, if the respondent fails to submit a statement of defence, such failure shall not be considered as an acceptance of the claims and the proceedings will continue. If one of the parties fails to participate in the hearings or refrains from submitting its evidence without any justifiable cause, the arbitral tribunal may render an award based on the existing evidence. (IAL, article 11/C, CCP article 430).

  29. 29.

    Admissible evidence
    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?

    1. Witness and expert evidence, as well as documentary evidence, are usually admitted during the arbitration proceedings. Unlike the proceedings before the national courts, parties generally submit written witness statements during the arbitration proceedings.

      IAL article 12/A and CCP article 431/1 provide that the arbitral tribunal may decide to appoint experts and conduct site inspections. The arbitral tribunal may also decide to require the parties to provide necessary explanations, documents and information to the experts. The parties may present their evidence with their petitions or refer to the evidence they intend to submit (IAL article 10/D, CCP article 428/2). Both the IAL and the CCP enable court assistance regarding the taking of evidence which is explained in question 30.

      As the parties may freely agree on the procedural rules that will govern the arbitration proceedings they can agree to make reference to certain procedural rules, such as the IBA Rules on the Taking of Evidence in International Commercial Arbitration or the Prague Rules, and decide the extent to which they are to be bound by them. If there is no agreement as to the applicable procedural rules, the arbitrators shall conduct the proceedings pursuant to the IAL (for international arbitration) or the 11th section of the CCP (for domestic arbitration) (IAL article 8/A, CCP, article 424).

  30. 30.Court assistance
    Will the courts in your jurisdiction play any role in the obtaining of evidence?
    1. For international arbitration, article 12/B of the IAL provides that the arbitral tribunal may request court assistance for the taking of evidence and in that case, the courts shall apply the provisions of the CCP. For domestic arbitration, CCP article 432 states that one of the parties may seek court assistance for the collection of evidence if it is approved by the arbitral tribunal.

      Apart from the taking of evidence, in domestic arbitration, article 414 of the CCP provides that upon the request of a party, the tribunal may grant an order for the determination of evidence. Moreover, it is also allowed for the parties to apply to the court for the determination of evidence in cases where the arbitral tribunal or a third party appointed by the parties is not in a condition to act timely or effectively. In the absence of such situations, the application to the court is dependent upon the approval of the arbitral tribunal or a written agreement of the parties. 

  31. 31.Document production
    What is the relevant law and prevailing practice relating to document production in international arbitration in your jurisdiction?
    1. The IAL does not include any specific provisions regarding document production. However, as previously stated, the arbitral tribunal may decide for the parties to provide necessary explanations, documents and information to the experts. 

      Moreover, as the parties are allowed to determine the applicable procedural rules, the arbitral tribunal may order the production of documents as long as it is within the scope of the tribunal’s authority under the agreed rules.

  32. 32.Hearings
    Is it mandatory to have a final hearing on the merits?
    1. It is not mandatory to conduct a final hearing on the merits under the IAL or the CCP. The arbitral tribunal may decide to hold hearings for the submission of evidence or to hear oral statements or explanations from experts; however, it may also decide on the basis of the case file without conducting any hearings. However, unless agreed otherwise, upon the request of one of the parties, the arbitral tribunal shall hold a hearing at an appropriate stage of the proceedings (IAL article 11/A, CCP article 429/1).

  33. 33.

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

    1. If deemed necessary, the arbitral tribunal may meet or conduct hearings at another place by giving prior notice to the parties (IAL article 9, CCP article 425).

    Award

  34. 34.Majority decisions
    Can the tribunal decide by majority?
    1. Unless agreed otherwise, the tribunal may decide by the majority of the votes. Moreover, if authorised by the parties or the other members of the arbitral tribunal, the president may solely decide on the procedural matters (IAL article 13/A, CCP article 433). 

      However, if there is an agreement of the parties that the award is to be rendered unanimously and if the tribunal fails to do so, the proceedings shall be terminated. (IAL article 13/B (5), CCP article 435/d).

  35. 35.Limitations to awards and relief
    Are there any particular types of remedies or relief that an arbitral tribunal may not grant?
    1. The type of awards that may be granted is related to the applicable substantive law of the dispute. On the other hand, the award should be within the scope of the authority given to the arbitral tribunal by the parties; an award may be annulled if it is exceeding the scope of the arbitrators’ authority. In addition to this, Turkish law does not recognise punitive and exemplary damages; therefore, if the arbitral tribunal awards to punitive or exemplary damages, it may be annulled based on the violation of public order.

  36. 36.Dissenting arbitrators
    Are dissenting opinions permitted under the law of your jurisdiction? If so, are they common in practice?
    1. Dissenting opinions are permitted, and they are generally attached to the award.

  37. 37.Formalities
    What, if any, are the legal and formal requirements for a valid and enforceable award?
    1. With regard to international arbitration, the award must include the following: the names, surnames, titles and addresses of the parties, representatives and, if any, attorneys as well as the, legal grounds on which the award is based, the reasoning thereof, quantum of damages, place of arbitration; date of award, and a statement that an action for annulment may be filed against the award. Also, the names, surnames, signatures and any dissenting opinion should be included in the award (IAL article 14/A).

      Apart from the above, for domestic arbitration, the rights and obligations imposed on the parties and the procedural costs should be clearly and definitively stated in a numbered sequence. The time period to file an annulment action must be specified in the award as well. Moreover, the CCP does not require all of the signatures of the arbitral tribunal, and deems the signatures of the arbitrators decided in majority sufficient (CCP article 436).

  38. 38.Time frames
    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?
    1. Unless otherwise agreed by the parties, the award regarding the merits shall be rendered within one year from the date of appointment of the arbitrator in arbitration cases with a sole arbitrator, and from the date of the recording of the first meeting minutes by the arbitral tribunal in cases with more than one arbitrator. The term of arbitration may be extended by the agreement of the parties, or failing such an agreement, by the court upon the request of one of the parties. An award that is not rendered within the prescribed time limit may be annulled (IAL articles 10/B and 15, CCP articles 427 and 439).

      Moreover, the correction of computational, clerical or other similar errors in the award may be requested from the arbitral tribunal, provided that the other party is informed thereof, within 30 days (two weeks under the CCP) of the receipt of the award. The arbitral tribunal may, on its own motion, make the said correction within the same time period. In international arbitration, the parties may also request the interpretation of the entire award or specific parts of it; however domestic arbitration provides that the parties may apply for the explanation of the award. The tribunal then has 30 days (a month according to the CCP) to correct or interpret/explain the award. 

      Any party, with notice to the other party may request, within 30 days (a month according to the CCP) of the receipt of the award, the arbitral tribunal to make an additional award for claims that were made during the proceedings but not included in the award. The tribunal shall render an additional award within 60 days (a month according to the CCP) after the request.

    Costs and interest

  39. 39.

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

    1. Unless agreed otherwise between the parties, the unsuccessful party shall bear the costs of the arbitration. Where both parties partially prevail, the costs are apportioned among them according to their degree of success.

  40. 40.Interest on the award
    Can interest be included on the principal claim and costs? Is there any mandatory or customary rate?
    1. The issue of interest shall be decided pursuant to the substantial law applicable to the dispute. Under Turkish law, if the parties have not agreed on a different rate, the legal interest rate (for 2019, 9 per cent per annum) shall be applicable to the principal claim and costs of the proceedings. Regarding commercial matters, the applicable interest on the principle claim shall be the advance interest (for 2019, 19.50 per cent per annum), on the condition the application of the advance interest is explicitly requested.

    Challenging awards

  41. 41.Grounds for appeal
    Are there any grounds on which an award may be appealed before the courts of your jurisdiction?
    1. According to the IAL and the CCP (except for the enforcement proceedings of foreign arbitral awards), arbitral awards can only be subject to an action of annulment and cannot be appealed.

  42. 42.Other grounds for challenge
    Are there any other bases on which an award may be challenged, and if so what?
    1. Both international and domestic arbitral awards are subject to annulment proceedings. The grounds for annulment are as follows:

      • incapacity of one of the parties or the invalidity of the arbitration agreement;
      • non-compliance in arbitrator appointment procedure under the parties’ agreement or the procedure provided by the IAL (for international arbitration) or the CCP (for domestic arbitration);
      • not rendering the award within the term of arbitration;
      • unlawful decision of the arbitrators as to their competence;
      • arbitral tribunal’s deciding on a matter that falls beyond the scope of the arbitration agreement, or not deciding the entirety of the claim or deciding in excess of their authority;
      • non-compliance of the parties’ agreement as to the procedure, or in the absence of such an agreement, with the IAL (for international arbitration) or the CCP (for domestic arbitration) provided that such non-compliance affected the substance of the award;
      • the award being contrary to the principle of equality between the parties (and the right to be heard for domestic arbitration).
      • the matter subject to the award not being arbitrable under Turkish law; and
      • the award being contrary to the public order.

      It should be noted that for international arbitration, the arbitrability and the public order issues are considered ex officio by the court, whereas the rest of the grounds should be proven by the party requesting the annulment. The CCP does not make such distinction for the domestic arbitral awards.

      Awards may be annulled partially or fully. 

      Moreover, for domestic arbitration, article 443 of the CCP provides that provisions of the restitution of the proceedings shall be applicable to arbitration to the extent that they are in line with the nature of the arbitration proceedings. According to this, if the conditions for the restitution of the proceedings are met (such as the successful party’s fraudulent action effecting the award, or if it is proven that the witness, whose statement was taken as basis of the award, had committed perjury), the court shall annul the arbitral award and refer the dispute to the courts or a new tribunal.

  43. 43.Modifying an award
    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?
    1. IAL article 15 states that the parties may partially or wholly waive their right to file an annulment lawsuit. Such waiver can be made in the arbitration agreement or the parties may later agree in writing. It is important to note that, the IAL allows this wavier only for the parties with domiciles or habitual residences outside Turkey.

      The waiver of the right to file an annulment lawsuit is not foreseen in domestic arbitration.

    Enforcement in your jurisdiction

  44. 44.Enforcement of set-aside awards
    Will an award that has been set aside by the courts in the seat of arbitration be enforced in your jurisdiction?
    1. According to article V of the New York Convention, the award may be not be enforced if the party against whom it is invoked proves that the award has been set aside in the seat of arbitration. In a case regarding the enforcement of an arbitral award, which was governed by the New York Convention, the Court of Appeals stated that if an action of annulment was pending in the seat of arbitration, the court from which the enforcement is requested should suspend the proceedings until the conclusion of the said action of annulment (Court of Appeals, 2 February 2017, 15th Civil Law Chamber, File No. 20171094, Decision No. 2017/3777). On the other hand, in a recent decision of the Regional Judicial Court of İstanbul, it was held that the initiation of an action for annulment of an award in the seat of arbitration does not prevent its enforcement in another state and that the wording of the New York Convention gives the judge the discretion whether to refuse the enforcement of an award that has been annulled (Istanbul Regional Judicial Court, 14th Civil Law Chamber, 11 October 2018, File No. 2018/130, Decision No. 2018/1042).

      The enforcement of foreign arbitral awards rendered in countries that are not party to the New York Convention is subject to the International Private and Procedural Law No. 5718 (IPPL). The IPPL states that to be enforced, arbitral awards are required to be binding and enforceable on the parties. Thus, an arbitral award rendered in non-party state to the New York Convention cannot be enforced if it has been set aside in its seat.

  45. 45.Trends
    What trends, if any, are suggested by recent enforcement decisions? What is the prevailing approach of the courts in this regard?
    1. With an increase in the number of enforcement cases, the courts are gaining more expertise and enforcement decisions are becoming more arbitration-friendly. However, although there are decisions to the contrary, it should be noted that the arbitral awards which result in the reduction of income of the state (or regarding receivables in violation of tax or customs legislation) may be found against public policy, and thus either annulled or not enforced by the Court of Appeals. According to the Court of Appeals, partial review of the merits may be necessary in determining whether the award is against public order in such cases (Court of Appeals Plenary Session of Civil Law Chambers, 8 February 2012, File No. 2011/13-568, Decision No. 2012/47; Court of Appeals, 13th Civil Law Chamber, 17 April 2012, File No. 2012/8426, Decision No. 2012/10349, Court of Appeals, 13th Civil Law Chamber, 16 March 2017, File No. 2015/16140, Decision No. 2017/3322).

  46. 46.State immunity
    To what extent might a state or state entity successfully raise a defence of state or sovereign immunity at the enforcement stage?
    1. A state or state entities can be a party to an arbitration agreement, provided that the matter is arbitrable. States or state entities may enjoy sovereign immunity provided that the matter is regarding their sovereign powers, in other words, they are not entitled to enjoy immunity in matters concerning private law relations.

      There are no specific rules applicable to the enforcement of arbitral awards against a state; however, according to article 82 of the Code of Execution and Bankruptcy, state property cannot be attached. According to the Court of Appeals, this provision concerns the assets of the Turkish Republic and not the assets of foreign states (Court of Appeals 12th Civil Law Chamber, 25 April 2004, File No. 2004/6469, Decision No. 2004/13007).

    Further considerations

  47. 47.Confidentiality
    To what extent are arbitral proceedings in your jurisdiction confidential?
    1. Turkish legislation is silent on the issue of confidentiality of arbitration proceedings. On the other hand, as the parties may choose the procedural rules freely, they may refer to certain institutional rules that provide confidentiality of the proceedings or may include provisions in the arbitration agreement or in the terms of reference to keep the proceedings confidential.

  48. 48.Evidence and pleadings
    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)?
    1. As stated above, legislation is silent on the issue of confidentiality of arbitration proceedings. The parties may decide to keep the evidence and pleadings confidential in the arbitration agreement or they may refer to institutional rules that provide confidentiality to such documents.

      General rules are applicable to court proceedings in relation to the arbitration or the enforcement proceedings. According to this, only the parties of the case or their representatives may obtain copies of the documents. There is no specific provision preventing the use of such documents in other proceedings.

  49. 49.Ethical codes
    What ethical codes and other professional standards, if any, apply to counsel and arbitrators conducting proceedings in your jurisdiction?
    1. Article 34 of the Turkish Attorney Law provides that the attorneys are required to carry out the duties they assume with care, accuracy and integrity, and act in compliance with the professional rules set by the Union of Bar Associations of Turkey. These rules and standards include not representing parties with conflicting interest and keeping the information that has been entrusted to them or that they come upon in the course of performing their duties confidential. 

  50. 50.Procedural expectations
    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?
    1. Practitioners should be aware that the courts consider the term of arbitration as a serious issue as not rendering the award within the time limit is a ground for annulment. According to the legislation, the term may be extended by the agreement of the parties, or failing such an agreement, by the court upon the request of one of the parties. Therefore, even if the agreed procedural rules authorise the arbitral institution or the tribunal to extend the term, parties tend to apply to the court to obtain a time extension if the parties fail to agree on a time extension.

      Moreover, as previously explained in question 7, the representatives are required to have a special power explicitly granting them the authority to make an arbitration agreement to bind their principal to arbitrate.

  51. 51.

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

    1. Turkish law does not provide any specific regulations in relation to third-party funding except for the CCP provisions (CCP articles 334–340) regarding legal aid that is to be provided by the state treasury. Moreover, there is no requirement to disclose the existence and identity of funders, and thus there is limited publicly available information on the use of third-party funding. However, there are few publicly known ICSID arbitration cases in which third-party funding was used by Turkish investors in cases (for instance: Muhammet Çap & Sehil Inşaat Endustri ve Ticaret Ltd. Sti. v Turkmenistan, ICSID Case No. ARB/12/6 (Çap v Turkmenistan) and Kılıç İnşaat İthalat İhracat Sanayi ve Ticaret Anonim Şirketi v. Turkmenistan, ICSID Case No. ARB/10/1; see Çap v Turkmenistan, Procedural Order 3 dated 12 June 2015).

Interested in contributing to this Know-how?

E-mail our Insight Manager


GAR know-how provides reliable cross-jurisdictional insight to help cement the building blocks of international practice. In this section, select experienced practitioners answer commonly asked questions for key jurisdictions so allowing readers to be better-placed to solve the challenges of their working days.

Questions

    Infrastructure

  1. 1.The New York Convention
    Is your state a party to the New York Convention? Are there any noteworthy declarations or reservations?
  2. 2.Other treaties
    Is your state a party to any other bilateral or multilateral treaties regarding the recognition and enforcement of arbitral awards?
  3. 3.National law
    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?
  4. 4.Arbitration bodies in your jurisdiction
    What arbitration bodies relevant to international arbitration are based within your jurisdiction? Do such bodies also act as appointing authorities?
  5. 5.Foreign institutions
    Can foreign arbitral providers operate in your jurisdiction?
  6. 6.

    Courts
    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?


  7. Agreement to arbitrate

  8. 7.Formalities
    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?
  9. 8.Arbitrability
    Are any types of dispute non-arbitrable? If so, which?
  10. 9.Third parties
    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?
  11. 10.Consolidation
    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?
  12. 11.

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


  13. 12.Separability
    Are arbitration clauses considered separable from the main contract?
  14. 13.Competence-competence
    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?
  15. 14.Drafting
    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?
  16. 15.Institutional arbitration
    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?
  17. 16.Multi-party agreements
    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.
  18. Commencing the arbitration

  19. 17.Request for arbitration
    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?
  20. Choice of law

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

  23. 19.Choice of arbitrators
    Does the law of your jurisdiction place any limitations in respect of a party’s choice of arbitrator?
  24. 20.Foreign arbitrators
    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?
  25. 21.Default appointment of arbitrators
    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?
  26. 22.Immunity
    Are arbitrators afforded immunity from suit under the law of your jurisdiction and, if so, in what terms?
  27. 23.Securing payment of fees
    Can arbitrators secure payment of their fees in your jurisdiction? Are there fundholding services provided by relevant institutions?
  28. Challenges to arbitrators

  29. 24.Grounds of challenge
    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?
  30. Interim relief

  31. 25.

    Types of relief
    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?


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

  34. 27.

    Procedural rules
    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)?


  35. 28.Refusal to participate
    What is the applicable law (and prevailing practice) where a respondent fails to participate in an arbitration?
  36. 29.

    Admissible evidence
    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?


  37. 30.Court assistance
    Will the courts in your jurisdiction play any role in the obtaining of evidence?
  38. 31.Document production
    What is the relevant law and prevailing practice relating to document production in international arbitration in your jurisdiction?
  39. 32.Hearings
    Is it mandatory to have a final hearing on the merits?
  40. 33.

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


  41. Award

  42. 34.Majority decisions
    Can the tribunal decide by majority?
  43. 35.Limitations to awards and relief
    Are there any particular types of remedies or relief that an arbitral tribunal may not grant?
  44. 36.Dissenting arbitrators
    Are dissenting opinions permitted under the law of your jurisdiction? If so, are they common in practice?
  45. 37.Formalities
    What, if any, are the legal and formal requirements for a valid and enforceable award?
  46. 38.Time frames
    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?
  47. Costs and interest

  48. 39.

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


  49. 40.Interest on the award
    Can interest be included on the principal claim and costs? Is there any mandatory or customary rate?
  50. Challenging awards

  51. 41.Grounds for appeal
    Are there any grounds on which an award may be appealed before the courts of your jurisdiction?
  52. 42.Other grounds for challenge
    Are there any other bases on which an award may be challenged, and if so what?
  53. 43.Modifying an award
    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?
  54. Enforcement in your jurisdiction

  55. 44.Enforcement of set-aside awards
    Will an award that has been set aside by the courts in the seat of arbitration be enforced in your jurisdiction?
  56. 45.Trends
    What trends, if any, are suggested by recent enforcement decisions? What is the prevailing approach of the courts in this regard?
  57. 46.State immunity
    To what extent might a state or state entity successfully raise a defence of state or sovereign immunity at the enforcement stage?
  58. Further considerations

  59. 47.Confidentiality
    To what extent are arbitral proceedings in your jurisdiction confidential?
  60. 48.Evidence and pleadings
    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)?
  61. 49.Ethical codes
    What ethical codes and other professional standards, if any, apply to counsel and arbitrators conducting proceedings in your jurisdiction?
  62. 50.Procedural expectations
    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?
  63. 51.

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