As Amended by the Supreme Court on Nov. 16, 1989
As Amended by the Supreme Court on Dec. 14, 1993
As Amended by the Supreme Court on Aug. 5, 1996
As Amended by the Supreme Court on April 27, 2000
Chapter I. General Provisions
Article 1 (Purpose)
The purpose of these Rules is to provide for procedures by The
Korean Commercial Arbitration Board (hereinafter referred to as the
"KCAB") to expedite fair commercial arbitration under the
Arbitration Law.
Article 2. Types of Arbitration
Commercial arbitration mentioned in Article 1(hereinafter
referred to as "Arbitration") shall be divided into Domestic
Arbitration and International Arbitration. Domestic Arbitration
refers to arbitrations in which the parties have their principal
offices or permanent residences in the Republic of Korea, and
International Arbitration refers to all arbitrations other than
Domestic Arbitration as defined above.
Article 3. Secretariat
(1) The KCAB shall establish the Secretariat at its main office
or branch offices to conduct business in connection with
arbitration.
(2) Matters concerned with system, function and operation of the
Secretariat shall be separately determined by the
KCAB.
Article 4. Panel of Arbitrators
The KCAB shall prepare and maintain a Panel of Arbitrators. The
arbitrators, if they are to be appointed by the Secretariat, shall
be appointed from among those in the Panel of Arbitrators in
accordance with the provisions of these
Rules
Article 5. Arbitration Tribunal
(1) For the purpose of settlement of dispute between the
parties, one or more arbitrators appointed under the provisions of
these Rules, shall constitute an Arbitration Tribunal (hereinafter
referred to as "Tribunal").
(2) The office of the Tribunal shall be set up in the main
office or branch offices of the KCAB.
Article 6. Tribunal Clerk
(1) The KCAB shall designate one or more Tribunal
Clerks(hereinafter referred to as "Clerk") from among the employees
of the Secretariat so as to carry out the administrative affairs
concerning each dispute for arbitration.
(2) The Clerk shall execute the duties prescribed in these Rules
with respect to the designated arbitration
case.
Article 7. Representation
Any party may, in taking proceedings under these Rules, be
represented by a counsel or such other person as shall be
recognized to be proper. However, the Tribunal reserves the right
to prohibit such representation when it is deemed to be
improper.
Article 8. Closed Proceedings
The proceedings of the arbitration shall be kept
confidential.
Chapter II. Agreement of Parties
Article 9. Agreement of Parties
The parties shall be deemed to have made the provisions of the
arbitration procedures of these Rules a part of their agreement
whenever, in the submission of existing disputes or in a contract
containing an arbitration clause, they have provided for
arbitration by the KCAB or under these
Rules.
Chapter III. Statement of Claim
Article 10. Claim
(1) A person desiring to file a claim with the KCAB under these
Rules shall submit the following documents to the Secretariat
accompanied by the arbitration costs as provided in Chapter
IX:
a) A document certifying agreement on arbitration;
b) A power of attorney, in case the claim is made by an
agent.
(2) The following matters shall be stated in the statement of
claim:
a) The full names of the parties and their addresses(in case of
corporations, the full names and addresses of the representatives
shall also be stated);
b) In case the Claimant is represented by an agent, the full
name and address of the agent;
c) The purport of the claim;
d) The grounds for the claim and the method of
proof.
Article 11. Acceptance and Notification of Statement of
Claim
(1) The Secretariat shall, upon submission of a statement of
claim, examine whether such claim is in conformity with the
provisions of Article 10 and accept it upon confirmation of its
conformity.
(2) The Secretariat shall, upon acceptance of the statement of
claim, give such notice to both parties. In this case, a copy of
the statement of claim shall be served on the Respondent
accompanied by such notice.
Article 12. Defence
(1) The Respondent may, within 15 days in case of Domestic
Arbitration and within 30 days in case of International Arbitration
from the date of receipt of the notice in accordance with Paragraph
(2) of Article 11 (hereinafter referred to as "Basic Date"), file a
defence with the same Secretariat by submitting the following
documents:
a) A statement of defence;
b) The original or reproduced copy of documentary evidence, if
any, proving the grounds stated in the said defence;
c) A power of attorney, in case the said defence is made by an
agent.
(2) The following matters shall be stated in the statement of
defence provided in a) of Paragraph (1):
a) The full names of the parties and their addresses(in case of
corporations, the full names and their addresses including the full
names of representatives and their addresses shall also be
stated);
b) In case the Respondent is represented by an agent, the full
name and address of the agent;
c) The purport of the defence;
d) The grounds for the defence and the method of
proof.
(3) The Secretariat shall, upon receipt of the statement of
defence, examine whether such defence is in conformity with the
provision of Paragraph (2) of this Article, and upon confirmation
of its conformity, accept it.
(4) The Secretariat shall, upon acceptance of the statement of
defence, give notice to the same effect to both parties. In this
case, a copy of the said defence shall be served on the
Claimant.
(5) If no statement of defence is filed within the period
provided in Paragraph (1) hereinabove, the Respondent is considered
to have dismissed the claim.
Article 13. Number of Copies of Documents to be
Submitted
The number of copies of the documents to be submitted under the
provisions of Paragraph (1) of Article 10, and Paragraph (1) of
Article 12(inclusive of the case where these provisions apply
mutatis mutandis in Paragraph (3) of Article 14 and Paragraph (3)
of Article 16) shall, except in case where such document is a power
of attorney, be 5(including the original when it is so submitted);
provided, however, that the Secretariat may, if it is deemed
necessary, increase or decrease the number of copies of documents
to be submitted.
Article 14. Counterclaim
(1) The Respondent may submit a counterclaim at any time during
the arbitral proceeding. However, if a counterclaim is filed late
in the proceeding and has an undue effect on the other party or
delays the completion of the proceeding, then the Tribunal may,
pursuant to the other party's request or at its own discretion,
deny filing of such counterclaim.
(2) The proceedings of the Respondent's counterclaim shall be
annexed to the Claimant's request for arbitration.
(3) The provisions of Article 10 through Article 13 shall apply
mutatis mutandis to the acceptance of a counterclaim, its notice
and the answer thereto.
Article 15. Request by Tribunal for Filing of
Counterclaim
When the Tribunal decides that the Respondent's defence includes
the grounds as well as the purport of a counterclaim, the Tribunal
may request to the Respondent that a clarification be made as to
whether such counterclaim would be filed as provided in Article
14.
Article 16. Amendment and Supplement of Claim and
Defence
(1) A party or parties desiring, after filing of a statement of
claim or defence, to amend or supplement the said statement, shall
file such a request with the Secretariat in writing.
(2) During the course of the arbitral proceedings, any
amendments or supplement to claims shall be subject to the approval
of the Tribunal. However, if the said amendments or supplement are
filed late in the proceeding and have an undue effect on the other
party or delay the completion of the proceeding, then the Tribunal
may, pursuant to the other party's request or at its own
discretion, deny filing of such amendments or supplement.
(3) The provisions of Article 10 through Article 13 shall apply
mutatis mutandis to the amendments provided in Paragraph
(1).
Article 17. Fixing of Locale
The place of arbitration, in the absence of an agreement by the
parties, shall be determined by the Secretariat considering the
convenience of the parties and access to documentary
evidence.
Article 18. Settlement by Conciliation
(1) The Secretariat shall, upon the receipt of a conciliation
request from both parties within 15 days in case of Domestic
Arbitration and within 30 days in case of International Arbitration
from the Basic Date, conduct conciliation proceedings before the
dispute is presented for arbitration.
(2) The conciliation proceedings shall be followed by the
appointment of one or three conciliators by the Secretariat from
among those in the Panel of Arbitrators. The Conciliator(s) shall
have the discretion to determine the conduct and manner of the
conciliation proceeding.
(3) If the conciliation succeeds in settling the dispute, the
conciliator shall be regarded as the arbitrator appointed under the
agreement of the parties; and the result of the conciliation shall
be treated in the same manner as such award as to be given and
rendered upon settlement by compromise under the provision of
Article 53, and shall have the same effect as an award
(4) When the conciliation fails to settle the dispute within 30
days after the appointment of conciliator(s), the conciliation
procedure shall come to an end and the arbitration procedure under
these Rules, inclusive of appointment of arbitrator(s), shall
commence immediately. However, the parties may extend the above
period by mutual agreement.
(5) The parties to the conciliation proceeding, in the absence
of an agreement, shall each bear the conciliation costs.
(6) Provisions of Arbitration Costs provided in Chapter IX shall
be applied mutatis mutandis to the case of conciliation and when
arbitral proceeding is commenced pursuant to Paragraph (4) of this
Article, the conciliation costs shall be deemed part of the
arbitration costs.
Chapter IV. Appointment of Arbitrators
Article 19. Qualifications of Arbitrator
No person shall serve as an arbitrator if he has any legal or
financial interest in the outcome of the arbitration, provided,
however, that the parties can appoint such person as an arbitrator
notwithstanding their knowledge of disqualification by mutual
agreement in writing.
Article 20. Appointment by Agreement of
Parties
(1) If, in the agreement of the parties, mention is specifically
made of the names of the arbitrators or the method of appointment
thereof (inclusive of a presiding arbitrator who shall act as
chairman, also inclusive thereof as provided in the following
provisions), the arbitrator(s) shall be appointed in accordance
therewith.
(2) If the arbitrators are to be appointed pursuant to the
agreement of the parties provided in Paragraph (2) of Article 12,
it shall be done in accordance with the following
subparagraphs:
a) When the parties have directly appointed arbitrator(s), a
document stating the full name(s), address(es) and occupation(s) of
the arbitrator(s) together with his/their written acceptance of
assuming appointment shall be submitted to the Secretariat within
15 days from the Basic Date in case of Domestic Arbitration and
within 30 days from the Basic Date in case of International
Arbitration;
b) The Secretariat shall, upon the request of any appointing
party, submit a Panel of Arbitrators of the KCAB;
c) If the agreement of the parties specifies a period of time
within which arbitrator(s) shall be appointed, and any party fails
to make the appointment thereunder within the fixed period, the
Secretariat shall appoint the arbitrator(s);
d) If a time period for appointing arbitrator(s) is not
specified in the agreement, the Secretariat shall immediately
notify the parties to make the appointment of arbitrator(s), and if
within 15 days in case of Domestic Arbitration and within 30 days
in case of International Arbitration thereafter such arbitrator has
not been appointed thereunder, the Secretariat shall appoint the
arbitrator(s);
e) In case arbitrators appointed by the parties in accordance
with parties' mutual agreement are mandated to appoint the other
arbitrator(s), and the parties do not fix the period of appointment
for the other arbitrator or arbitrators do not appoint the other
arbitrator within the period of appointment, the Secretariat shall
notify arbitrators appointed by the parties to make an appointment
of the other arbitrator and if within 15 days in case of Domestic
Arbitration and within 30 days in case of International Arbitration
thereafter such arbitrator has not been appointed thereunder, the
Secretariat shall appoint such arbitrator.
(3) If the parties have not appointed arbitrator(s) or have not
provided the method of appointment as provided in Paragraph (1) of
this Article, or if the Secretariat appoints an arbitrator(s) in
accordance with c) and d) of Paragraph (2) of this Article, an
arbitrator(s) shall be appointed by the Secretariat applying
Article 21 mutatis mutandis.
Article 21. Appointment by Secretariat
(1) If, after the acceptance of a claim, there is no hope of
settlement by conciliation or such conciliation proves unsuccessful
as provided in Article 18, the Secretariat shall without delay
furnish both parties with a list of several candidate arbitrators
by choosing from among the Panel of Arbitrators.
(2) Within 15 days from the date of receipt of the list in case
of Domestic Arbitration, and within 30 days from the date of
receipt of the list in case of International Arbitration, each
party shall return to the Secretariat the list of such candidates
as provided in Paragraph (1) after marking by number the order of
his preference of the names of the candidates in the respective
columns of the said list for a presiding arbitrator and the other
arbitrators. If a party or parties fail to return the list within
the above period, all of the candidates shall be deemed to be of
the same preference and if more than two candidates are marked on
the same order of preference or no particular order of preference
is marked on candidate(s) or if the name(s) to which each party
objects has been deleted, then the KCAB shall adjust the order of
preference giving due consideration to the opponent's order of
preference. The remaining names on the list shall be given the
following order of preference: more than two candidates who have
been marked on the same order of preference; candidate(s) for whom
no particular order of preference is marked; and candidates who
have been deleted.
(3) The Secretariat shall select the arbitrators in accordance
with the designated order of the candidates provided in Paragraph
(2) and shall invite the written acceptance of each such arbitrator
to serve. However, in the event that there are two or more
candidates occupying the same place in the designated order, the
Secretariat shall appoint the arbitrators from among the
candidates.
(4) If the candidates acceptable to both parties refuse to serve
or are unable to perform their duties for any reasons, then
candidates on the next order of preference on the candidate's list
shall be appointed. If the list of candidates has been fully
exhausted, then a new arbitrator shall be appointed pursuant to
this Article.
(5) When the Secretariat requests an acceptance to serve as
arbitrator(s), it invites his/their attention to the requirements
provided in Article 25 of these Rules and enclose a copy of these
Rules.
Article 22. Restriction on Appointment of
Arbitrators
In regards to arbitrator(s) to be appointed by the Secretariat,
if the parties are nationals of different countries and/or are
domiciled in different countries, the sole arbitrator or the
presiding arbitrator shall, upon the request of either party, be
appointed from among the nationals of a country other than that of
any of the parties. However, the request for appointment of
arbitrators provided in this Article shall be filed with the
Secretariat no later than the return of the list of candidates
provided in Paragraph (2) of Article 21.
Article 23. Number of Arbitrators
If the number of arbitrators is specified in the arbitration
agreement, the disputes shall be heard and determined by the same
number of arbitrators as so specified; if, however, there has been
no agreement as such, the number of the arbitrators shall be
determined as 1 or 3 by the Secretariat.
Article 24. Notice of Appointment of
Arbitrators
If the arbitrators have been appointed pursuant to these Rules,
the Secretariat shall without delay notify in writing all the
arbitrator(s) and both parties of the full name(s), address(es) and
occupation(s) of all the arbitrator(s).
Article 25. Disclosure by Arbitrator of
Disqualifications
(1) Upon being notified of his appointment as an arbitrator, he
shall immediately disclose in writing to the Secretariat any and
all circumstances which might cause reasonable question about his
fairness or independence.
(2) Upon receipt of such disclosure of information as prescribed
in Paragraph (1), the Secretariat shall immediately disclose it to
both the Tribunal and the parties. If either party wishes to raise
any objection to the appointment of such arbitrator(s), he or she
shall make the challenge within 15 days from the date of the
establishment of the Tribunal or from the date when the party
making the challenge was informed of those circumstances provided
in Paragraph (1) of this Article. But, if either party does not
submit any objection within the above period, he can not submit any
objection to the qualification of such arbitrator(s) on the same
grounds.
(3) If either party submits an objection to the appointment of
such questioned arbitrator(s) on the ground of notified reason, the
vacancy thus created shall be filled in the same method as provided
in Article 26.
Article 26. Vacancy of Arbitrator
(1) If an arbitrator must resign from the appointed Tribunal
because of resignation, death or other causes, the party which
appointed the arbitrator shall appoint and notify thereof
accordingly, a new arbitrator to take his place in the same manner
of appointment as for the vacating arbitrator concerned. If the
arbitrator was an appointee of the Secretariat, then the
appointment shall be made, and duly notified, pursuant to
Paragraphs (3) and (4) of Article 21.
(2) In case of Paragraph (1), unless the parties have agreed
otherwise, if both parties submit the conclusions of the previous
hearing to the new arbitrator(s) and the new arbitrator(s) do not
raise objections thereto, the proceeding shall continue. However,
if the parties request a new hearing with regard to a witness from
a previous hearing, the arbitrators must conduct the
hearing.
Chapter V. Proceedings of Hearing
Article 27. Time, Date and Place
(1) The Tribunal shall determine the time, date, place and
manner of each arbitration hearing.
(2) The Secretariat shall notify each party of decision provided
in Paragraph (1) 10 days prior to the opening date of the hearing
for Domestic Arbitration, and 20 days prior to the opening date of
the hearing for International Arbitration unless the terms thereof
have been modified by mutual agreement.
(3) In determining the manner of hearings under the provisions
of Paragraph (1) hereinabove, the Tribunal shall give sufficient
consideration in order to prevent a delay of the proceedings
through such ways as an intensive hearing,
etc.
Article 28. Stenographic Record, etc.
(1) The Secretariat shall make necessary arrangements for the
taking of a stenographic or tape record of statements by either
party and/or testimony whenever such record is requested by one or
both parties.
(2) The requesting party or parties shall make an advance
payment to the Secretariat of the expenses involved in such
services referred to in Paragraph (1).
(3) The expenses involved in the services provided in Paragraph
(1) herein by order of the Tribunal shall be paid from the deposits
made in advance by the party under Article
65.
Article 29. Presentation of Translation
Parties shall, upon request, present to the Secretariat or the
Tribunal, translations of the written statements and evidentiary
documents and/or other written materials which are requested by the
Secretariat or the Tribunal.
Article 30. Interpretation or Translation
(1) The Secretariat shall make necessary arrangements for the
services of interpretation or translation upon the request of one
or both parties or by order of the Tribunal.
(2) The requesting party shall deposit an advance payment to the
Secretariat of the expenses involved in such services described in
Paragraph (1).
(3) The expenses involved in the services provided in Paragraph
(1) herein by order of the Tribunal shall be paid from the deposits
made in advance by the party under Article
65.
Article 31. Attendance at Hearings
(1) Parties are entitled to attend the hearing.
(2) Persons not privy to arbitration, but who have an interest
in the outcome of the arbitration award, may submit prima facie
evidence of such interest to the Tribunal, and, subject to approval
from the Tribunal, may attend the hearing.
(3) The Tribunal may order any witness to retire during the
testimony of another witness.
Article 32. Adjournments or Continuations
The Tribunal may, on justifiable grounds, take adjournments or
change the date of hearing upon the request of both parties or on
its own motion. However, the adjournment should be made within 15
days in case of Domestic Arbitration and within 30 days in case of
International Arbitration, not subject to renewal of second
adjournment.
Article 33. Decisions of Tribunal
Whenever there is more than one arbitrator, simple majority rule
shall apply for all decisions, including that of the arbitral
awards, unless parties agree otherwise. However, if no majority
rule is reached with regard to a procedural matter, then the
presiding arbitrator shall decide.
Article 34. Hearing
(1) Statements and statements of defence containing the
statements of claim and the form of presenting evidence may be
submitted so that the hearing may be conducted by the Tribunal in a
manner that will most expeditiously and accurately permit full
presentation of the evidence and arguments of the parties.
(2) The Tribunal, of its own motion or upon the request of the
parties, may submit the summarized text of the statements and
statements of defence submitted by the parties or summarize the
text and present it to the parties for confirmation. In such case,
the Tribunal may hear and award only such summarized
issues.
Article 35. Proceedings of Hearing
(1) A hearing shall commence with the announcement of a case and
both parties' names.
(2) The Clerk shall keep and provide minutes of the proceedings,
containing the following records:
a) Date and place of the hearing;
b) The names of the arbitrator(s), the parties and their agents,
and if witnesses are used, their names and addresses;
c) The statements of the parties or their agents, or a summary
of each hearing. However, unless otherwise instructed by the
Tribunal with regard to the results of the examination of evidence,
a recording may be used as a substitute.
(3) The Tribunal may, at the beginning of the hearing, ask for
statements clarifying issues involved in the dispute.
(4) The party requesting arbitration shall present his statement
on the purport and grounds of the claims, and introduce documentary
evidence and his witnesses. The Respondent shall present his
defence, and introduce documentary evidence and his witnesses.
(5) Exhibits, when produced by either party, may be accepted as
evidence by the Tribunal, and the exhibits so accepted shall be
filed in their numerical order by the Clerk and shall be made a
part of the record.
(6) The Tribunal may vary the procedure when it may be deemed
necessary but the Tribunal shall afford full and equal opportunity
to both parties for the presentation of any materials or relevant
evidence.
(7) If the parties repeatedly submit a series of statements to
show cause of action or as legal defence as to cause undue
confusion, the Tribunal may order the presentation of a summary of
statements prior to the conclusion of the
hearing.
Article 36. Parties' Lack of Care
If the party requesting arbitration fails to state a specific
claim or present a reason or documentary evidence, which unduly
hinders the arbitration proceeding, the Tribunal may close the
hearings. The Tribunal may also close the hearings if the parties
show lack of care in stating claims or presenting evidence, and it
is deemed improper to proceed with the
hearing.
Article 37. Arbitration in the Absence of
Parties
(1) The arbitration may proceed in the absence of either party
who, after due notice, fails to be present, and even if present,
does not participate in the hearing.
(2) In case of Paragraph (1), the documents or other evidence
produced by the absent party or otherwise not participating in the
hearing shall be deemed to have been orally stated or submitted
thereat and the hearing necessary for making an award may proceed
with a party present.
(3) If the parties have been properly notified of the hearing
but fail to attend the hearings two or more times, or even if the
parties attend but fail to participate in the hearing, the Tribunal
may declare a suspension of the arbitration
proceedings.
Article 38. Withdrawal of Request for
Arbitration
(1) The party requesting arbitration may withdraw, in part or in
whole, the request for arbitration at any time prior to the
arbitration decision.
(2) Withdrawal of a request for arbitration shall not have
effect if the other party has already submitted an answer or has
made a statement during hearing.
(3) Withdrawal of a request for arbitration shall be in writing.
A written withdrawal of a request for arbitration must be
dispatched after the other party has been notified of an acceptance
of a request for arbitration. However, such request for withdrawal
may be made orally during the hearing. However, if the other party
does not attend the hearing at the designated date, then a
duplicate copy of the hearing record must be dispatched to that
party.
(4) If a withdrawal of a request for arbitration is made
pursuant to Paragraph (3) above, then the other party is deemed to
consent to such withdrawal if no objection is raised within 15 days
for Domestic Arbitration and 30 days for International Arbitration
after either a written withdrawal has been submitted or when a
duplicate copy of the hearing record has been duly
dispatched.
Article 39. Filing of Statements and Other
Documents
(1) The statements and other documents not filed with the
Tribunal at the hearing, but arranged for filing at the hearings or
subsequently by mutual agreement of the parties or at the request
of the Tribunal shall be filed with the Secretariat, which, in
turn, shall deliver them to the Tribunal. In such case, both
parties shall be afforded opportunity to examine such
documents.
(2) The Tribunal may, at its discretion, continue with the
hearing even if the statements and other documents were not filed
by the designated date.
Article 40. Inspection or Investigation
Should the Tribunal deem it necessary to make an inspection or
investigation, it shall, prior to making such inspection or
investigation, direct the Secretariat to notify the parties of the
purpose, time, date and place for such inspection or investigation.
Any party who so desires, may present himself at such inspection or
investigation.
Article 41. Interim Measure
(1) The Tribunal, with the application of any party, may issue
to any party such orders as may be deemed necessary to safeguard
the property which is the subject matter of the dispute without
prejudice to the right of the parties or to the final determination
of the dispute.
(2) The Tribunal may, at its discretion, order any party
applying for the interim measure to provide a proper
security.
Article 42. Evidence
(1) The parties may offer any evidence they so desire to support
their contention or request that any witness or expert witness
voluntarily appear at the hearings. However, the Tribunal may
refuse to investigate such evidence by finding there exists no
relevancy between the evidence so produced and the contention of
the parties concerned.
(2) The Tribunal may, where it is deemed necessary, request the
production of evidence or the voluntary appearance of a witness or
an expert witness at the hearings. However, the Tribunal may, at
its discretion, proceed with the hearing even if evidence has not
been submitted and/or neither a witness nor an expert witness has
appeared within the designated time.
(3) In the event that the Tribunal is unable by itself to
examine the evidence necessary for an arbitration award, the
Tribunal may file an application with the competent court upon its
own initiative or upon the request of any party.
(4) All evidence shall be submitted and examined in the presence
of all the parties, and sole arbitrator or the majority of the
arbitrators, except where any of the parties is absent without
sufficient reason or has waived his right to be present.
(5) The Tribunal shall decide at his own discretion the
relevancy and materiality of the evidence
offered.
Article 43. Closing of Hearings
(1) The Tribunal shall, when it believes that all contentions
and evidence of the parties have been put forth, declare the
hearings closed.
(2) If it is required that a summary of statements be submitted,
the hearings shall be deemed to be closed as of the final date set
by the Tribunal for the submission of the aforementioned
documents.
Article 44. Reopening of Hearings
(1) The hearing may be reopened by the Tribunal on its own
discretion, or upon application of a party for good cause, at any
time before an award is rendered.
(2) If the reopening of the hearing provided in Paragraph (1)
would prevent the making of the award within the specific time
agreed upon by the parties in the arbitration agreement, the
hearings may not be reopened unless the parties agree upon the
extension of such time limit.
(3) When hearings are reopened, the closing date of the hearings
shall be the date on which the proceedings of the reopened hearings
were concluded.
Article 45. Arbitration without Oral
Hearings
(1) The parties may, by written agreement, submit their dispute
to arbitration to be conducted by means of documentary examination
without oral hearings.
(2) In case the parties have not agreed otherwise as to
procedure, such arbitration shall be conducted under these Rules,
except when such provisions are inconsistent with the provisions of
this Article.
(3) The Secretariat shall advise the parties to submit documents
and evidence necessary for the proceeding of the above arbitration
in such manner as provided in the following Paragraphs.
(4) The parties shall submit to the Secretariat their respective
contentions in writing, including a statement of facts and causes
of action accompanied by evidence. These statements and proofs may
be accompanied by briefs.
(5) All the documents shall be filed within 15 days in case of
Domestic Arbitration and within 30 days in case of International
Arbitration from the date of notice to submit such statement and
evidence, in the number of copies requested by the Secretariat.
(6) The Secretariat shall serve on each party a copy of the
statement and evidence submitted by the other party. Each party may
reply or explain his opinion to the other's statement and evidence.
Any party who fails to make such a reply or explain his opinion
within 15 days in case of Domestic Arbitration and within 30 days
in case of International Arbitration after the mailing date of such
documents to him, shall be deemed to have waived the right to reply
or explain his opinion.
(7) The Secretariat shall transmit all the evidence and
documents to the Tribunal, which shall have been constituted in any
manner provided for in Chapter¥³. The Tribunal may request a party
or parties to produce additional evidence within 10 days from the
date of their delivery to it. The Secretariat shall notify the
parties of such request and the party or parties shall submit such
additional evidence within 15 days in case of Domestic Arbitration,
and within 30 days in case of International Arbitration from the
date of such notice.
(8) The Secretariat shall transmit to each party a copy of the
additional statement and evidence submitted by the other party.
Each party may reply or explain one's opinions to such statement
and evidence. Any party who fails to make such a reply or explain
his opinion within 15 days in case of Domestic Arbitration and
within 30 days in case of International Arbitration after the
mailing of such documents to him, shall be deemed to have waived
the right to reply or explain one's own opinions.
(9) Upon delivery to the Tribunal of all documents submitted as
provided in the preceding Paragraphs, the order of proceeding shall
be deemed concluded.
Chapter VI. Special Provisions
Article 46. Waiver of the Right to
Protest
Any party who proceeds with the arbitration, with knowledge or
being able to have known that any provision or requirement of these
Rules has not been complied with, shall be deemed to have lost his
right to object unless he states objection thereto without
delay.
Article 47. Extensions of Period
The parties may modify any period prescribed under these Rules
by a mutual agreement in writing. The Tribunal for good cause may
extend any period established by these Rules except the period for
making an award. The Tribunal shall notify the parties through the
Secretariat of any such extension and reasons
therefor.
Chapter VII. Award
Article 48. Arbitral Award
(1) The award shall be rendered promptly unless otherwise agreed
by the parties or specified by law, not later than 30 days from the
date of closing the hearings.
(2) Where the Tribunal is composed of more than one arbitrator
and less than a majority of arbitrators refuse to partake in the
arbitration decision or do not participate in the arbitration
decision without just cause, the award shall be made by the
remaining majority of arbitrators.
(3) The Secretariat may, without affecting the arbitral award,
present to the Tribunal its opinions on the form of the arbitral
award.
Article 49. Form of Award
(1) The arbitral award shall be made in writing, stating the
following particulars and shall be signed by the
arbitrator:
a) The full personal or corporate names of the parties and their
addresses. In case a party is represented by an agent, the full
name and address of the agent;
b) Principal and Reason upon which the award is based;
c) Date of award;
d) Place of arbitration.
(2) If an award is to be made by more than one arbitrator and
less than a majority of the arbitrators refuse or fail to sign the
award, the remaining arbitrators must specify the reasons on it and
sign thereon.
Article 50. Language
The Korean language shall be used in the arbitral proceedings
unless otherwise agreed by the parties. In case there has been a
request submitted by one of the parties or both, or there is among
the arbitrators a person of nationality other than that of Korea,
the arbitral award may be written in both Korean and English
languages and both versions shall be the duly authenticated
arbitral award. However, when a discrepancy in interpretation has
arisen between the two versions, interpretation by the Korean
language shall prevail.
Article 51. Interpretation and Application of
Rules
(1) The Tribunal in charge of the case shall interpret and apply
these Rules insofar as they relate to the specific case.
(2) In case of Paragraph (1), a difference arising among the
arbitrators who are composing the Tribunal shall be decided by a
majority rule.
Article 52. Scope of Award
(1) The Tribunal may not only order the specific performance of
a contract but may also grant any remedy and relief which is deemed
just and equitable within the scope of the arbitration agreement of
the parties.
(2) The Tribunal shall assess the arbitration costs provided in
Chapter IX to the party or parties
responsible.
Article 53. Arbitral Award based on
Settlement
If the parties reach a settlement during the course of the
arbitral proceedings, the Tribunal may, upon their request, record
the agreed settlement in the form of an
Award.
Article 54. Correction or Interpretation of Award and Additional
Award
(1) The Tribunal may correct, by its decision, any error in
computation, any clerical or typographical error, or any other
obvious error of a similar nature in the arbitral award. In case
such error can not be corrected by the Tribunal concerned, the
Secretariat may correct that error.
(2) If the parties request the interpretation of a specific
point or any part of the award within the 30 days of receipt of the
duly authenticated arbitral award, the Tribunal shall, if so agreed
by the parties, decide on it within 30 days of receipt of the
request.
(3) The Tribunal shall make an additional award as to claims
presented in the arbitral proceedings but omitted from the award
within 60 days of receipt of the request by the parties.
(4) All of the corrections, interpretations and the additional
awards as provided in this Article shall form part of the
award.
Article 55. Delivery of Arbitral Award
(1) The Secretariat shall deliver a duly authenticated arbitral
award to each party or his agent in ways provided in Paragraph (1)
through (3) of Article 4 of the Act. The original arbitral award
shall be delivered to the competent court, enclosed with a document
certifying the delivery.
(2) Service under the provisions of Paragraph (1) may be
conducted after all the arbitration costs provided in Chapter IX
have been paid in full by the responsible party or parties to the
Secretariat unless other circumstances
arise.
Chapter VIII. Expedited Procedure
Article 56. Scope of Application
The Expedited Procedure shall be applied to an arbitration case
where both parties have agreed to follow the procedures provided in
this Chapter in a separate agreement or to a Domestic Arbitration
case of which the claim amount is less than 20,000,000 won in the
Korean currency. In case of Domestic Arbitration of which the claim
amount is less than 20,000,000 won, the increase of the claim
amount after the Basic Date shall not be
considered.
Article 57. Appointment of Arbitrator
The Secretariat shall appoint one arbitrator from among the
Panel of Arbitrators without recourse to Article 21 of these Rules
unless otherwise agreed by the parties.
Article 58. Proceedings of Hearing
(1) The Tribunal shall fix the time, date and place of the
hearing, and the Secretariat shall notify each party of the above
decision 3 days prior to the opening date of the hearing by person,
by telephone, by letter or by any other appropriate method.
(2) The hearing will be held in principle once. However,
provided that it is deemed necessary, the Tribunal may reopen the
hearing.
(3) The Tribunal, in case of parties' mutual consent, may direct
the Clerk to keep the record without the contents of hearing for
the speediness of the procedure.
(4) The Respondent may submit a counterclaim at any time up to
the closing of the hearing.
Article 59. Award
(1) The Tribunal shall render the award not later than 10 days
from the date of closing the hearings.
(2) The Tribunal may, upon both parties' consent, omit writing
the reasons in the award of Paragraph (1).
Article 60. Adaptation
The matters which are not prescribed in this Chapter shall be
applied by other provisions of these Rules mutatis
mutandis.
Chapter IX. Arbitration Costs
Article 61. Costs of Arbitration
(1) The costs of arbitration comprise the fees, the expenses and
the allowances as prescribed in Article 62 through Article 64 of
these Rules.
(2) The costs of arbitration prescribed in Paragraph (1) shall
be borne by the parties in accordance with the apportionment fixed
in the award. However, such arbitration costs shall be borne
equally by the parties unless the award assesses such costs of
arbitration or any part thereof against any specified party in the
award.
(3) Even where the proceedings shall be conducted only on the
basis of the documents under Article 45, the provisions of this
Article through Article 65 shall apply to the costs of
arbitration.
(4) Any interest incurred pursuant to the advance payment of the
arbitration costs need not be refunded.
Article 62. Fees
(1) The fees shall be deposited in advance by the Claimant and
divided into the administrative fee and the hearing date
rescheduling fee; provided the Tribunal changes the date of hearing
on its own initiative, the hearing date rescheduling fee will not
be assessed.
(2) In case the amount of claim is reduced by the change in the
claim according to the provisions of Article 16, any differences in
the administrative fee shall not be refunded.
(3) The actual rate and the method of deposit, or the ratio and
the method of refunds, for the fees shall be determined by the
attached Fee Schedule. Fees not specified in the attached Fee
Schedule shall be decided by the KCAB.
Article 63. Expenses
(1) All the expenses required for arbitration including the
expenses of the arbitrators and Clerk, the expenses of any proofs
produced, the expenses of witness or expert witness, the expenses
of inspection, interpretation or translation, tape record,
stenographic record or all transcripts thereof shall be deposited
in advance by the party ordering such
services.
(2) The expenses in Paragraph (1) if they accrued from such
services as requested by the Tribunal, shall be deposited in
advance by the Claimant unless otherwise
specified.
Article 64. Allowances for Arbitrators
The allowances for the arbitrators fixed by the KCAB shall be
deposited in advance by the Claimant.
Article 65. Method of Deposits, etc.
(1) The Claimant shall deposit in advance to the Secretariat at
the time of the request the specified costs of arbitration provided
in Article 62 through Article 64 in such currency as the
Secretariat deems necessary.
(2) In case such sums of advance payment provided in Paragraph
(1) are deemed insufficient, the Secretariat may demand of the
Claimant any additional sums of deposit. If the Claimant fails to
pay in advance such deposits as provided in Paragraph (1) and (2)
herein or the Respondent does not pay in lieu of the Claimant, the
Tribunal may terminate the proceedings on its own decision.
(3) The Secretariat shall prepare an Accounting Statement of the
deposits when the hearing is closed, and the Balance Statement when
the arbitral award is made. After delivery of the arbitral award
enclosed with the Balance Statement, the Secretariat shall refund
any balance to the parties concerned.
Supplementary Provisions
(1) These Rules shall be put in force on and from January 1,
1990.
(2) Any arbitration, the proceedings of which are being
conducted at the time of enforcement of these Rules, shall be
governed by the former Rules.
Supplementary Provisions
(1) These Rules shall be put in force on and from March 1,
1994.
(2) The proceedings of arbitration which are being presented at
the time of enforcement of these Rules may be governed by the
former Rules.
Supplementary Provisions
(1) These Rules shall be put in force on and from September 1,
1996.
(2) The proceedings of arbitration which are being presented at
the time of enforcement of these Rules may be governed by the
former Rules.
Supplementary Provisions
(1) These Rules shall be put in force on and from May 15,
2000.
(2) The proceedings of arbitration which are being presented at
the time of enforcement of these Rules may be governed by the
former Rules.
Schedule of fees
(1) Fees
(2) Rules for the Refunding of the Fees
a) If the Secretariat is notified in writing that a case has
been settled or withdrawn before the acceptance of statement of
claim has been sent out, any fees paid in excess of £Ü50,000 will
be refunded.
b) If the Secretariat is notified in writing that a case has
been settled or withdrawn thereafter but before the constitution of
the tribunal, the remaining amount, excluding one third of the
administrative fee in excess of £Ü50,000, will be refunded.
c) If the Secretariat is notified that a case has been settled
or withdrawn thereafter but at the latest 48 hours before the date
set for the first hearing [in case of the fee for the proceedings
of arbitration without oral hearings, before the date and time on
which the first evidence and documents were delivered to the
Arbitrator(s)], the remaining amount, excluding one half of the
administrative fee in excess of £Ü50,000, will be
refunded.