Some other regions such as Europe tend to stagnate….

Try to enact commercial arbitration law

to reduce burden on National court

Recent trends and developments of international arbitration in the Asia-Pacific

region

 The popularity of international arbitration in Asia continues to rise, driven by the

increasing complexity and number of international transactions.
 SIAC handled 357 new case filings in 2022, with 88% of them being international cases.
 HKIAC handled a total of 515 cases in 2022, of which 83.1% were international cases.
 SIAC ranked as the 2nd preferred arbitral institution globally, while HKIAC ranked 3rd.

Recent trends and developments in Vietnam

 The Law on Commercial Arbitration, based on the 2006 amended UNCITRAL Model
Law, took effect on January 1, 2011.
 The COVID-19 pandemic has accelerated the application of technology in dispute
resolution in Vietnam.
 VIAC handled 292 new case filings in 2022, an 8.15% increase from 2019, with 60% of
these cases being international, including those involving Foreign Direct Investment
(FDI).
 Practitioners in Vietnam are continuously working to promote and improve ADR
methods to adapt to the evolving legal landscape.

. To respond demands of society Recently, the University of Law in Ho Chi Minh City
has proposed a mechanism for recognizing online arbitration in the draft Commercial
Arbitration Law.

Actually this is just a matter of legalization, because in social reality it has been
happening.

Number of new cases handled by VIAC

 In 2022, VIAC handled 292 new cases, reflecting an 8.15% increase from 2021.
 From 1993 to 2022, VIAC managed a total of 2,513 cases. Among these, 39.99%
involved domestic disputes, while 60.01% involved disputes with foreign elements,
including those where at least one party was a foreign direct investment enterprise.
Growing importance of arbitration and ADRs for enterprises in the region

Why is international arbitration becoming more popular?

 Confidentiality: Arbitration allows for private proceedings, protecting sensitive business

information.
 Expertise and impartiality: Arbitrators are often specialists in the field of dispute,
providing more relevant and informed decisions.
 Enforceability: The decisions made through international arbitration are generally
enforceable across borders under the New York Convention.
 Recognition and enforcement under the New York Convention: Arbitration awards
are widely recognized, making it easier for businesses to secure outcomes internationally.
 "Public order" as a ground for refusal of recognition and enforcement: There are limited
grounds for refusal, ensuring smoother enforcement.
 Flexibility: Arbitration proceedings are more adaptable to the needs of the parties
involved.
 Applicable law and language: The parties can choose the governing law and language,
making the process more flexible.
 Representation by foreign lawyers: International arbitration allows for the use of
foreign lawyers, promoting accessibility for global enterprises.
 No appellate proceedings, and prompt finality: Arbitration usually has no appeal
process, ensuring that disputes are resolved swiftly and conclusively.

The most advantages of I.Arbitration and mediation is the friendliness, EX: we don’t need
to stand up when speaking, we can establish the procedures, choosing the languages if pos

However, Some countries like VietNam or Indonesia, they lack cassation merchanism
For the Arbitral awards, so the judments are requently annulled – and then the Parties must
go back to National courts. It does not make sense here !

That’s why, recently, my minitry of justice requested cassation mechanism proposal to

parliament , In Vietnam average, usually a law would enter into force only 10 years,

We are about to enact the new Commercial Arbitration

The most advantages of I.Arbitration and mediation is the friendliness, EX: we don’t need
to stand up when speaking, we can establish the procedures, choosing the languages if pos

However, Some countries like VietNam or Indonesia, they lack cassation merchanism
For the Arbitral awards, so the judments are requently annulled – and then the Parties must
go back to National courts. It does not make sense here !

That’s why, recently, my minitry of justice requested cassation mechanism proposal to

parliament , In Vietnam average, usually a law would enter into force only 10 years,
 We are about to enact the new Commercial Arbitration

Growth of Mediation

 As international arbitration becomes more costly and time-consuming, mediation is

gaining importance as an alternative dispute resolution method.
 Various international arbitration institutions are revising their rules to incorporate
mediation into the arbitration process, encouraging its use as a more efficient resolution
tool.
 In investment arbitration, ICSID has introduced separate mediation rules in 2022,
allowing mediation even in cases that do not involve ICSID member countries.

Dislike EUROPEAN countries where there are many common conventions , like green papper,
Directive 2008/52/EC of the European Parliament … and many… It creates a uniform legal
environment.

In ASIA, some nation like Vietnam, South korea, Mediation is obligated step before first
instance court, while some country like Thailand or China, this process is not obligated

Singapore Convention on Mediation

• The Singapore Convention on Mediation aims to establish a common legal framework, granting
enforceability to settlement agreements reached through international commercial mediation.

• Adopted at the UN General Assembly in December 2018, it has been in effect since September
2020.

• As of December 2023, 56 countries have signed the convention, with 12 countries ratifying it.
Japan ratified the Convention on October 1, 2023, and it will enter into force in Japan on April 1, 2024.

• Japan adopts an opt-in reservation, meaning the Convention will apply only to cases where both
parties agree to its enforceability under the Convention or the new implementing law.

Developments of International Arbitration and ADRs in Japan

 On April 28, 2023, Japan introduced the following significant legislation:

o Amended Arbitration Act
o Act for the Implementation of the Singapore Convention on Mediation
 o Amended Act on the Promotion of the Use of Alternative Dispute Resolution
 Amendments to the Arbitration Act of Japan will take effect on April 1, 2024,
aligning Japan’s arbitration framework with the 2006 amendments to the UNCITRAL
Model Law and introducing reforms to facilitate smoother arbitration proceedings.

Updates on the Amendments to the Arbitration Act of Japan

 New enforcement mechanism: Courts may order the payment of penalties for non-
compliance with interim measures issued by arbitral tribunals.
 Enforceability of interim measures: The new reforms ensure that interim measures
ordered by arbitral tribunals will be enforceable.
 Anti-suit injunctions and evidence preservation orders: These can be issued by
arbitral tribunals as interim measures, enhancing the effectiveness of the arbitration
process.

Amendments to the Arbitration Act of Japan (Cont'd)

 The Tokyo District Court and Osaka District Court will have special concurrent
jurisdiction over court cases relating to arbitration.
 The amendments also allow courts to waive Japanese translations of foreign language
documents in certain cases, making arbitration more accessible and less burdensome.

Exclusions under the New Law

 The law will not apply to disputes related to consumer, labor, or family matters.
 Settlements reached in court procedures or approved by foreign courts will also be
excluded from this law’s scope.

Amendments to the ADR Act for Settlement Agreements in Domestic Mediation

 The amendments to the ADR Act will take effect on April 1, 2024, granting
enforceability to settlement agreements reached through certified dispute resolution
procedures in domestic mediation.
 The goal is to facilitate domestic arbitration and help parties resolve disputes more
efficiently than through traditional court proceedings.
New Law to Implement the Singapore Convention on Mediation

 Japan will enact a new law to implement the Singapore Convention on Mediation for
settlement agreements reached in international mediation, expected to take effect on
April 1, 2024.
 A settlement agreement reached through international mediation will become
enforceable in Japan once a court issues an enforcement decision.

Dynamic region, more and more cross-boder transactions appeared