Introduction and background
Traditional arbitration (Known in local parlance as Giligil or Shimgilina), has been one
of the oldest and most popular dispute resolution mechanisms among the Ethiopian
societies covering, virtually all kinds of controversies.
Although in Ethiopia modern arbitration of commercial disputes appears a relatively
recent phenomenon, interestingly, the Addis Ababa Chamber of Commerce emerged
as a pioneer body to be the authorized institution to shoulder such a daunting task at
a time when Ethiopia had no substantive and procedural laws governing arbitrations.
One of the most important legal mandates conferred when The Addis Ababa Chamber
of Commerce and Sectoral Associations (AACCSA) was established and incorporated by
an imperial charter as a private chartered body way back in 1947 was “the conduct of
any arbitration upon commercial and industrial differences between members.” The
law maker was under no confusion in its incorporation charter to provide the chamber
with such power as arbitration is the most convenient, effective, less expensive,
flexible and confidential dispute resolution mechanism.
Indeed arbitration has far more advantages and benefits to commercial disputes than
all the conventional state backed judicial bodies. It enables the parties to try to solve
their dispute without publicity of the causes of their dispute that harms their business
relation with other customers and even maintain the sustainability of pre-existing
business bond. Arbitration also provides a unique opportunity to get specialized
arbitrators well conversant with the subject matter of dispute and allow parties to be
adjudicated in the language of their preference rather than the choice of external
body.
Objectives
Arbitration has been one of the most important legal mandates of the Chamber of
Commerce and Sectoral Associations to be provided both under proclamation no /1978
and the current proclamation 341/2003.
The AACCSA Arbitration Institute (AI) is the first and still the only private Commercial
arbitration body to be established in the entire Chamber system and Ethiopia. AACCSA
AI was established in January 26, 2002 as an independent dispute resolution organ for
the business community. The major objectives of the Institute are;
1. To administrate and facilitate the settlement of disputes in accurate accord with the
Arbitration Rules of the AACCSA.
2. To ensure the proper and effective application of the relevant AACCSA Rules.
3. To promote and disseminate the settlement of commercial disputes by Alternative
Dispute Resolution (ADR) mechanisms.
In addition to its major objectives, AI also serves as arbitrator appointing body in
countless commercial contracts concludes both by private and public bodies at
nationally and internationally. AI plays its duty of organizing trainings, workshops
and seminar as part of its responsibility to build the capacity of its arbitrators,
mediators, conciliators and adjudicators as one of its responsibility to familiarize
and use arbitration in particular and alternative dispute resolution in general.
Various rules
In order to live up to the expectations of its customers and to enable it effectively
discharge its legal mandate; AACCSA Board of Directors has adopted various rules
applicable for institutional as well as ad hoc arbitrations, mediations, conciliation,
and adjudication. As part of the continuous effort to ensure the independence of
the activities the Institute from all other services of the chamber, AACCSA Board
of Directors has also adopted the AACCSA AI procedural rules. These rules confirm
the commitment of AACCSA to set up an arbitration body that commands the
respect of its customers and free from any intervention and influence by any organ
of the chamber.
So far the AACCSA Board of Directors has issued the following rules;
1. The Revised Arbitration rule adopted on November 25, 2008.
2. Code of Ethics for arbitrators, adjudicators, mediators and conciliators.
3. Adjudication rules adopted on September 14, 2007.
4. Conciliation/Mediation rules Adopted on August 22, 2006.
5. The Arbitration Institute Procedural Rules adopted on 16 June 2009.
Utmost efforts have been made to conform to accepted international standards
and local laws in the preparation of these rules. All rules adopted by AACCSA
Board of Directors are available both in English and Amharic and posted in the
chamber’s official web site. Since by their very nature these rules are dynamic,
there have been continuous work undergoing to keep the rules up-to-date and the
reader is always advised to refer to the latest version from our official web site.
Other AI Services.
AACCSA AI also provides free legal advices for all members of the chamber and
assists in drafting arbitral and other ADR clauses on commercial contracts. The
AACCSA AI is well equipped with the necessary sound recording and transcription
facilities for all of its customers. Sound proof arbitration room and excellent
secretarial services are also available for ad hoc and institutional arbitration and
other ADR services. Above all, the AACCSA AI is conveniently located at the newly
built ITMAS building 1st floor on Liberia street just behind Dejazmatch Hospital and
in a walking stand from the Palace of justice where federal high, first instance
courts are housed. Therefore, AACCSA always urge and invite customers to visit
and obtain its service before or even after proceeding to courts.
Past performance and future plan
As a pioneer and the only legally mandated institutional commercial dispute
resolution body attached with the chamber system, the AACCSA AI has helped
resolve several cases through arbitration and other alternative dispute resolution
mechanisms. AI has been doing its best to promote and familiarize arbitration and
other ADR mechanisms using the private, public print and electronic media. The
Institute has been regularly and aggressively promoting arbitration and other ADR
services using the Chamber media. In response to the fledgling private sector and
expanding local and foreign investments, AACCSA AI is well prepared and
organized to provide its service at the desired level.
Finally, AACCSA AI wish to remind its customers before proceeding to any private
resolution of commercial disputes that he/she gets legitimate services and obtain
legal receipts for all costs associated with such services that are deductible by the
revenue authorities and avoid unnecessary losses.
The Addis Ababa Chamber of Commerce and Sectoral Associations Arbitration Institute.
(AACCSA AI)
“Serving your Commercial disputes amicably solved.”