Pursuant to Article 18 of the Yugoslav Chamber of Commerce and Industry Act ("Official Gazette of the Federal Republic of Yugoslavia" no. 53/92) and Article 24 of the Statute of the Yugoslav Chamber of Commerce and Industry ("Herald of the Yugoslav Chamber of Commerce and Industry" no. 1/93, special issue), the Assembly of the Yugoslav Chamber of Commerce and Industry at its session held on October 15, 1997 and its session held on October 31, 2001 (The Articles 3 end 5 of the Rules were amended at the session held in October 31, 2001), enacted : 

I GENERAL PROVISIONS 

1. DEFINITION AND STATUS 

Article 1 

1. The Foreign Trade Court of Arbitration of the Yugoslav Chamber of Commerce and Industry (hereinafter: the Arbitration) conducts conciliation and settles disputes arising out of international business relations when the parties have agreed to submit their dispute to jurisdiction of the Arbitration. 
2. Arbitration is an autonomous institution, and is independent in its work. 
3. The seat of the Arbitration is in Belgrade, Terazije 23. 

2. COMPOSITION OF THE ARBITRATION 

Article 2 

1. The Arbitration shall consist of a President, Presidency and Secretariat. 
2. Conciliation and settlement of disputes are conducted by the arbitrators. 

3. THE PRESIDENCY AND THE PRESIDENT 

Article 3 

1. The Presidency of the Arbitration Court shall comprise the President, two Vice Presidents, the Secretary of the Arbitration Court, and nine Members (the Broader Presidency). 
2. The President, the two Vice Presidents and the Secretary of the Arbitration Court shall compose the Narrower Presidency. 
3. The President, the Vice Presidents and the Members of the Presidency of the Arbitration Court shall be elected by the Assembly of the Yugoslav Chamber of Commerce and Industry, for a term of four years, and may be re-elected. Likewise, they shall be relieved of duty by the said Assembly. 
4. The Broader Presidency shall supervise the application of these Rules, observe and examine the practice of the settlement of disputes, and carry out other duties within its jurisdiction under these Rules. 
5. Prior to the arbitral proceedings the Narrower Presidency shall establish whether the parties have concluded a written contract on the Arbitration Court, and shall participate in the passing of the decision on the jurisdiction of the Arbitration Court, decide about challenges of arbitrators and carry out other duties within its jurisdiction under these Rules. 
6. The President, and in his absence one of the Vice Presidents appointed by the President, shall represent the Arbitration Court and organise its work, chair the sessions of the Presidency, appoint the Chairman of the Conciliation Commission, appoint arbitrators and chairmen of arbitral tribunals in the cases provided for by these Rules, and carry out other duties provided for by these Rules. 
7. If the President and the Vice Presidents are prevented from carrying out their respective duties over a longer period, the Broader Presidency of the Arbitration Court shall appoint one of its members as Deputy President or Vice President for the period during which they are prevented. 
8. The Narrower Presidency shall be authorised in urgent cases to carry out certain duties falling within the jurisdiction of the Broader Presidency, but shall notify the Broader Presidency about that at the next session." 

4. THE SECRETARIAT AND SECRETARY 

Article 4 

1. The Secretariat of the Arbitration shall carry out technical and administrative work of the arbitration. 
2. The Secretary of the Arbitration shall direct the work of the Secretariat and sign daily correspondence of the Arbitration. 
3. The Secretary and the assistants of the Arbitration are employees of the Yugoslav Chamber of Commerce and Industry. 
4. In accordance with the general acts of the Chamber, an employee of the Chamber is placed in the office of the Secretary of the Arbitration, after an opinion of the Narrower Presidency is obtained. 

5. ARBITRATORS 

Article 5 

1. The arbitrators may be Yugoslav and foreign nationals. 
2. The Arbitration shall have the Panel of Arbitrators, drawn up by the Assembly of the Yugoslav Chamber of Commerce and Industry. 
3. The Panel of Arbitrators shall be drawn up every four years; the arbitrators already on the panel may be re-elected. 
4. The parties may propose an arbitrator from the Panel of Arbitrators or from outside the Panel. The Presidency of the Arbitration Court shall decide about such a proposal. 
5. Only an arbitrator entered into the Panel of Arbitrators may be the chairman of an arbitral tribunal. 
6. The party that has proposed an arbitrator who is not on the Panel of Arbitrators shall provide the Arbitration Court with his name, address and qualifications. 
7. Members of the Narrower Presidency shall not be elected as arbitrators, except in the case provided for by Article 27 of the Rules. The President and the Vice Presidents of the Arbitration Court may only be elected as chairmen of arbitral tribunals, unless they have already participated in decision-making on the jurisdiction of the Arbitration Court in the respective dispute. Upon the expiry of their term of office the members of the Narrower Presidency shall be entered into the Panel of Arbitrators." 

6. SUPERVISION 

Article 6 

The Yugoslav Chamber of Commerce and Industry shall provide funds necessary for the work of the Arbitration, and shall supervise the administrative work and finances of the Arbitration. 

II CONCILIATION 

1. MEDIATION BY THE ARBITRATION 

Article 7 

1. In cases which may fall under the jurisdiction of the Arbitration, each party, regardless of whether the Arbitration's jurisdiction has been stipulated or not, may apply to the Arbitration to mediate for the purpose of conciliation in conformity with these Rules. 
2. The conciliation proceedings shall be independent of arbitral proceedings and if the conciliation proceedings fail, nothing of what has been done or stated orally or in writing during the conciliation proceedings shall be binding upon the parties. 
3. Consent to the conciliation proceedings shall not be deemed to mean consent to the jurisdiction of the Arbitration in case the proceedings have failed. 

2. REQUEST FOR CONCILIATION 

Article 8 

1. A request for conciliation shall be submitted in writing to the Secretariat of the Arbitration. 
2. Such a request may be submitted by one party alone or by both parties together. The request shall consist of a statement of the case and the views of the requesting party/parties, and shall be accompanied by all necessary documents relating to the dispute. 
3. A joint submission of such a request, or its submission by one party and its acceptance by the other party, shall be deemed to mean acceptance by the parties of the provisions of these Rules pertaining to the conciliation proceedings. 
4. Each party may at any time discontinue the conciliation proceedings and shall in such case bear all the costs of the conciliation proceedings that have arisen until that moment. 
5. The parties may take part in the conciliation proceedings in person, or through a duly authorized representative. 

3. THE ROLE OF THE SECRETARIAT 

Article 9 

1. If a request for institution of conciliation proceedings is submitted by one party, the Secretariat of the Arbitration shall notify thereof the other party and shall invite the other party to state within a specified time-limit whether it accepts the request for the proceedings, and if it does, to present within the same time-limit a written statement of the case and its point of view, and to submit all the relevant documents. 
2. If the other party fails to respond within the time-limit fixed, or rejects the request, the Secretariat of the Arbitration shall notify the requesting party that the conciliation proceedings cannot take place. 

4. CONCILIATION COMMISSION 

Article 10 

1. If the other party has agreed to the request for the institution of the conciliation proceedings, and also if both parties have together requested conciliation, a Conciliation Commission shall be established; it shall consist of a representative appointed by each party from or outside the Panel and of a chairman appointed from the Panel of arbitrators by the President of the Arbitration unless he has been jointly appointed by the parties. 
2. Before the commencement of the proceedings before the Conciliation Commission, the Secretary of the Arbitration shall fix an advance payment to cover the costs of the conciliation, which shall be deposited by both parties in equal parts. If the parties have not deposited the advance payment for the conciliation proceedings until the commencement of the proceedings before the Conciliation Commission, the Secretary of the Arbitration shall invite them to do so within a newly fixed time-limit. If the parties fail to deposit the advance payment to cover the costs of conciliation within the newly fixed time-limit, it shall be deemed that the conciliation has failed. 
3. If the parties have not appointed their representatives in the request for the institution of conciliation proceedings and/or in the reply concerning the acceptance of the request, the Secretariat of the Arbitration shall invite them to do so subsequently. If they fail to do so within the newly fixed time-limit, the member of the Conciliation Commission shall be appointed from the Panel of arbitrators by the president of the Arbitration. 
4. A foreign party may nominate a foreign citizen as its representative. Travel and other expanses of a foreign member of the Conciliation Commission shall be paid by the party who has chosen him. 
5. The parties may agree to the conciliation proceedings being conducted by the President of the Arbitration himself, or by some other member of the Presidency, or by an intermediary appointed by the President of the Arbitration from the Panel of Arbitrators. 

5. SETTLEMENT 

Article 11 

1. The Conciliation Commission shall examine the requests made and study the documents submitted, and shall also collect any information required. If necessary and possible, the Commission may also hear the parties in person. On the bases of the documents examined, the Commission shall submit to the parties the terms of settlement of the dispute, which are not binding on the parties. 
2. The results of the conciliation proceedings shall be noted in a record to be signed by the members of the Conciliation commission and by the parties. 
3. The costs of the conciliation proceedings shall be distributed between the parties by the Conciliation Commission if the parties have failed to agree as to their participation in the costs, which shall be noted in the record. 
4. A settlement shall be deemed to have been concluded when the parties, after having read the record in which it is noted that they have reached a settlement, sign this record. A settlement reached in this way shall not have the force of a final award of the Arbitration, but only the force of a settlement reached outside the Arbitration. 
5. The members of the Conciliation Commission, i.e. the intermediary may not be appointed as arbitrators or participate in the proceedings in the same dispute before the arbitration. 
6. If the parties are absent, the settlement is served on them for signature accompanied with a notice that it shall be deemed that the conciliation has failed if they fail to sign and return such settlement to the Arbitration within seven days from the date of receipt. 
7. If the parties make a joint proposal to this effect, the settlement reached in the conciliation proceedings may be made in the form of an arbitral award. 

III RESOLUTION OF DISPUTES 

1. JURISDICTION OF THE ARBITRATION 

1.1. DISPUTES ARISING OUT OF INTERNATIONAL BUSINESS RELATIONS 

Article 12 

If the parties have agreed upon or accepted jurisdiction of the Arbitration, and if at least one of them is a foreign legal or natural person, the Foreign Trade Court of Arbitration settles disputes arising out of international business relations, including but not limited to: 

1. disputes related to ships and aircraft, that is the international disputes to which the law of air or water navigation applies, 
2. disputes arising out of company articles of association and other forms of organization in mixed ownership, 
3. disputes arising out of foreign investment contracts, 
4. disputes arising out of concession contracts, 
5. disputes arising out of contracts on intellectual property rights (copyright and related rights, industrial property rights, legal protection of know-how, rights in the field of unfair competition) and disputes on the protection of company name, 
6. and other disputes arising out of international business relations. 

1.2. THE NOTION AND CONCLUSION OF THE ARBITRATION AGREEMENT 

Article 13 

1. The jurisdiction of the Arbitration may only be established by an agreement concluded by the parties in writing (arbitration agreement). Such an agreement may be concluded with regard to both a particular dispute and to future disputes that might arise out of a particular legal relationship. 
2. An agreement on the jurisdiction of the Arbitration concluded by exchange of letters, telegrams, facsimile, or telexes, or by concordant statements made by the parties at the oral hearing and entered into a record, shall also be deemed to be an agreement in writing. 
3. An arbitration agreement shall also be deemed to have been validly concluded when a provision on the jurisdiction of the Arbitration is contained in general conditions, if these are a constituent part of the basic legal transaction. 
4. Parties who have stipulated the jurisdiction of the Arbitration shall be deemed to have accepted the provisions of these Rules. 

1.3. SEPARABILITY OF THE ARBITRATION AGREEMENT 

Article 14 

The nullity or non-existence of the main agreement does not result in the nullity of the arbitration clause. 

1.4. ESTABLISHING THE EXISTENCE OF THE ARBITRATION AGREEMENT 

Article 15 

1. If the defendant contests the existence of an arbitration agreement or fails to reply to the claim, the case shall be referred to the Narrower Presidency to establish whether the documents submitted by the claimant contain an agreement on the jurisdiction of the Arbitration. 
2. If the Narrower Presidency establish that the documents submitted by the claimant contain an agreement on the jurisdiction of the Arbitration, the proceedings shall be continued even if the other party refuses to participate in them. 
3. A decision of the Narrower Presidency as referred to in the preceding paragraph shall not prejudice a final decision regarding the existence and validity of the arbitration agreement. 

1.5. ACCEPTANCE OF JURISDICTION 

Article 16 

If the Narrower Presidency establish that no arbitration agreement is contained in the documents submitted by the claimant, the Secretariat of the Arbitration shall request the Defendant to state, within 30 days from the date of receipt of the request, whether he accepts the jurisdiction of the Arbitration. If the defendant fails to reply, or refuses to accept jurisdiction, the Secretariat of the Arbitration shall notify the claimant that arbitration cannot take place. 

1.6. DECLINING OF JURISDICTION 

Article 17 

1. The Arbitration may decline jurisdiction even if it has been stipulated, if the arbitration agreement contains provisions which are inconsistent with the powers of the Arbitration and its principles, or if the requests and actions of both parties during the proceedings are such that they make the normal conduct of the arbitral proceedings impossible. 
2. A decision to decline jurisdiction before the establishment of an arbitral tribunal shall be taken by the Narrower Presidency, and after the establishment of the arbitral tribunal - by an expanded tribunal in the sense of Article 18 of these Rules. 

1.7. ASCERTAINING JURISDICTION 

Article 18 

1. Arbitral tribunal and sole arbitrators shall at their own initiative and throughout the proceedings take care to ascertain whether the dispute falls into jurisdiction of the Arbitration. 
2. If a party makes a plea contesting jurisdiction of the Arbitration, the question of jurisdiction shall be decided by an expanded tribunal consisting of five members. In addition to the members of the arbitral tribunal, it shall also include the President and Vice-President of the Arbitration. If the proceedings are conducted before a sole arbitrator, the expanded tribunal shall consist of three members: the sole arbitrator, the President and the Vice-President of the Arbitration. 
3. If the President or Vice-President of the Arbitration is prevented from performing his functions, the President of the Arbitration shall appoint a deputy from among the members of the Broader Presidency. 

1.8. A PLEA CONTESTING JURISDICTION 

Article 19 

1. Defendant may make a plea contesting jurisdiction in his answer to the claim or in another pleading before the hearing, and at the hearing before going into the subject matter of the dispute, only if he did not submit answer to the claim or any other pleading. 
2. Both parties have a right to be heard in the proceedings concerning a plea contesting jurisdiction and the expanded arbitral tribunal shall either make a ruling or award on this question, depending on whether the plea contesting jurisdiction is refused or accepted. 
3. If a plea contesting jurisdiction is refused, the single arbitrator or arbitral tribunal shall proceed to decide the dispute. 

2. INSTITUTION OF ARBITRAL PROCEEDINGS 

2.1. SUBMITTING OF THE CLAIM 

Article 20 

1. A dispute begins by submitting of the claim. 
2. The claim shall be submitted to the Secretariat of the Arbitration in five copies and shall include: 

3. The claim and evidence are submitted in the Serbian language and in the language of the contract that exists between the parties. 
4. If there are several defendants in the dispute, the Secretariat of the Arbitration shall request to have an appropriate number of copies of the claim and documents submitted to it. 
5. The Secretariat of the Arbitration shall serve the claim with documents on the defendant for answer, specifying the number of copies in which the answer with documents shall be submitted. 

2.2. INSTITUTION OF THE PROCEEDINGS WITHOUT A PRIOR CONCILIATION 

Article 21 

Arbitral proceedings may begin even without a prior conciliation procedure. 

2.3. ANSWER TO THE CLAIM 

Article 22 

1. An answer to the claim must be submitted within 30 days from the date of receipt of the claim. 
2. In his answer the defendant shall state his position on the claim and present his defense together with relevant documents. 
3. The Secretariat of the Arbitration shall serve a copy of the answer to the claim on the claimant. 

2.4. COUNTER-CLAIM 

Article 23 

1. The defendant may submit a counter-claim up to the closing of the main hearing, if the counter-claim arises out of the same legal relationship. 
2. The counter-claim shall be served on the other party, who may within 30 days from the date of receipt thereof submit his answer. 

2.5. JOINING OF CLAIMS AND PROCEEDINGS 

Article 24 

If the parties have submitted to the Arbitration several claims against each other which arise out of various legal relations, the Secretariat of the Arbitration shall try to join the proceedings concerning these claims and to have them decided by the same Arbitral tribunal, for the purpose of economy of proceedings. 

2.6. SERVICE OF PROCESS 

Article 25 

1. In the course of the proceedings, summonses and other written communications shall be served on the parties by mail, by registered letters against an advise of receipt. 
2. The service shall be deemed to be properly made even if the party or its representative refuse to receive the summons and other written communications. 
3. If the parties have appointed their representatives, all summonses and written communications shall be sent to the address of the representatives. 
4. Written communications shall be served directly on a party, if the party has appointed its employee as representative. 
5. If the defendant, although duly summoned, fails to reply to the claim or to the summons, or refuses to take part in the arbitral proceedings, the proceedings shall be continued in accordance with the provisions of these Rules. 

3. SOLE ARBITRATOR AND ARBITRAL TRIBUNAL 

3.1. JURISDICTION 

Article 26 

1. A dispute shall be settled by a sole arbitrator when the parties have agreed so or when the sum in dispute is below 70,000 US$. 
2. In all other cases, and especially when the parties have agreed so, a dispute shall be settled by an arbitral tribunal consisting of three members. 

3.2. SOLE ARBITRATOR 

Article 27 

1. Within 30 days of the answer to the claim the parties may by agreement choose a sole arbitrator from the Panel of Arbitrators and notify the Arbitration thereof in writing. President or Vice-President of the Arbitration may be a sole arbitrator. 
2. The parties may by agreement delegate their right to nominate a sole arbitrator to the President of the Arbitration. 
3. If the parties fail to agree on the appointment of a sole arbitrator within the stated time-limit, a sole arbitrator shall be appointed by President of the Arbitration. 

3.3. ESTABLISHMENT OF THE ARBITRAL TRIBUNAL 

Article 28 

1. In disputes to be decided by an arbitral tribunal, the claimant shall appoint his arbitrator at the time of submitting his claim, i.e. at the time of making a payment of a sum to cover the costs of arbitration, and the defendant in his answer to the claim. 
2. If one or both parties fail to appoint their arbitrators within the time-limits specified in the preceding paragraph, or if they fail to appoint another arbitrator within 30 days in case the appointed arbitrator refuses to accept the appointment, or if they delegate their appointment to the Arbitration, the arbitrators shall be appointed by the President of the Arbitration within the following 30 days, and the parties and the appointed arbitrators shall be notified thereof within 8 days from the appointment. 
3. If a party twice in a row appoints a person who refuses to accept the appointment, the right of appointment shall pass to the President of the Arbitration. 
4. Within 30 days from the date of receipt of the report on their appointment, the arbitrators of the parties shall choose from the Panel of arbitrators a third arbitrator as a chairman of the tribunal. If they fail to choose him within this time-limit, the chairman of the tribunal shall be appointed by the President of the Arbitration, within the following 30 days. 

3.4. COMMON ARBITRATOR 

Article 29 

If in a dispute there are several claimants and/or defendants, as parties to the dispute, they shall agree in advance on the choice of a common arbitrator. If they fail to agree within the time-limits provided for by these Rules, the arbitrator shall be appointed by the President of the Arbitration. 

3.5. REPLACEMENT OF AN ARBITRATOR 

Article 30 

1. If during his term of office an arbitrator is prevented from performing his functions, the party who has appointed him shall appoint another arbitrator within 15 days from the date of receipt of the Arbitration's request to appoint an arbitrator. 
2. If the arbitrator who is prevented from performing his functions was appointed by the President of the Arbitration, the President of the Arbitration shall appoint another arbitrator to replace him within 15 days. 
3. If the chairman of the arbitral tribunal who is prevented from performing his functions was appointed by the arbitrators of the parties, the new chairman of the arbitral tribunal shall be appointed by the arbitrators of the parties within 30 days. 
4. If the chairman of the arbitral tribunal who is prevented from performing his functions was appointed by the President of the Arbitration, the new chairman of the arbitral tribunal shall be appointed by the President of the Arbitration within 30 days. 

3.6. CHALLENGE OF ARBITRATORS AND EXPERTS 

Article 31 

1. The parties may challenge the arbitrators and experts on the grounds set out in the Yugoslav Code of Civil Procedure (hereinafter the Code of Civil Procedure). 
2. A challenge must be submitted as soon as the party was informed of the existence of grounds for challenge, and it may be submitted until making of the award. 
3. The Narrower Presidency shall decide on the challenge. 

3.7. RESTRICTIONS ON ARBITRATORS 

Article 32 

1. Arbitrators may not state an opinion or advice in writing or orally, and cannot be representatives in the dispute conducted before the Arbitration. 
2. Employees of the parties, members of their governing bodies and their permanent associates may not be appointed arbitrators in disputes in which the parties are involved. 

3.8. ARBITRATOR'S ACCEPTANCE 

Article 33 

1. A person appointed to be an arbitrator, shall state in writing whether he accepts this function, and shall disclose any circumstances which might give rise to suspicion in respect of his impartiality or independence. 
2. Such statement is submitted to the Secretariat and then served by the Secretariat on the parties. 
3. If the parties fail to state an objection within 15 days from the date of receipt of the statement, the arbitrator shall be deemed appointed. 
4. If one or both parties state an objection, final decision on appointment of the arbitrator shall be made by the Narrower Presidency. 
5. Nothing in this provision shall affect the provisions on challenge of an arbitrator. 

4. ARBITRAL PROCEEDINGS 

4.1. HEARING 

Article 34 

1. Hearing shall be held when the Arbitral tribunal, i.e. the sole arbitrator consider that the conditions for it have been met. 
2. If the arbitrators are satisfied that the written pleadings and evidence are sufficient to make an award without a hearing, they shall not schedule a hearing, but shall notify the parties that the award will be made on the bases of the written evidence presented, provided that neither party has requested holding of a hearing. 
3. If within 15 days from the date of receipt of such a notification neither party has requested a hearing, the arbitrators shall make the award without a hearing, on the basis of the evidence presented. 
4. A request to make the award without holding a hearing may also be jointly made by the parties. 
5. A hearing shall always be held when a party request so. 
6. The sole arbitrator or the chairman of the Arbitral tribunal acting on behalf and in agreement with other arbitrators, shall schedule a hearing by a written notice. 

4.2. THE TIME-LIMITS 

Article 35 

1. The time-limits specified by these Rules may in justified circumstances be prolonged at the request of the parties. 
2. The Arbitral tribunal or the sole arbitrator shall make sure that the proceedings are not dragged out. 

4.3. LOCATION OF THE HEARING 

Article 36 

1. As a rule, hearings shall be held in the seat of the Arbitration, but at the request of the parties, the Arbitral tribunal or the sole arbitrator, the President of the Arbitration may decide that the hearing be held at another location. 
2. Hearings in maritime disputes shall, as a rule, be held in Kotor. 
3. Hearings shall be held in camera, unless otherwise agreed by the parties. 
4. The parties shall attend the hearing in person or through an authorized representative. The representative of the foreign party may also be a foreign citizen. 
5. The parties may be assisted at hearings by their counsel. 
6. If one or both parties, although duly summoned, fail to appear at the hearing, the arbitrators shall, after they establish that the parties were duly summoned to the hearing and that they have no justified reasons for absence, have the power to proceed with the arbitration of the dispute as if the parties were present. In such cases, an award by default cannot be made. 

4.4. THE LANGUAGE 

Article 37 

1. The arbitral proceedings are conducted in the Serbian language. 

2. The parties may agree that the proceedings be conducted in some other (foreign) language, provided that they pay all the additional costs (translation of documents, evidence and hearings). 

3. If the members of the Arbitral tribunal or the sole arbitrator are foreign citizens appointed by the parties, the party that appointed the arbitrator shall bear the costs of translation of the documents, evidence, the hearings and the in camera deliberations of the Arbitral tribunal. 

4. The written correspondence of the Secretariat with the foreign party that is not represented by a domestic person, and that clearly has no knowledge of the Serbian language, is conducted in English or in some other foreign language. 

4.5. TAKING OF EVIDENCE 

Article 38 

1. The arbitrators shall decide on the presentation of evidence according to the requests of the parties or at their own initiative. They may order the presentation of evidence in the course of the whole proceedings. 

2. The arbitrators shall weigh the value of the evidence presented at their own discretion. 

3. The parties shall cooperate in the presentation of evidence and take all measures required from them for the purpose. Their refusal or omission shall be noted in the record. 

4.6. WITNESSES AND EXPERTS 

Article 39 

1. The evidence is presented in the evidence proceedings by hearing the witnesses, the parties and experts. 

2. The arbitrators may order the parties to bring witnesses, and may also directly summon witnesses. 

3. As a rule, witnesses and experts shall be heard by arbitral tribunal. 

4. The arbitrators may request courts of law to take individual items of evidence which they themselves are not able to take. 

5. The expert shall be appointed by the Arbitral tribunal or the sole arbitrator. 

4.7. RULINGS CONCERNING THE CONDUCT OF THE PROCEEDINGS 

Article 40 

1. In the course of the proceedings the arbitral tribunals or the sole arbitrator may take rulings on procedural acts which they deem to be necessary, such as: depositing an advance to cover the costs of experts and witnesses, securing evidence, joining cases, and other rulings concerning the conduct of the proceedings. 

2. If the party who has proposed evidence fails to deposit the requested advance, such evidence shall not be taken. 

3. The arbitral tribunals or the sole arbitrator may in the course of the proceedings order the parties to undertake certain actions, or to refrain from certain actions which are relevant to the subject-matter of the dispute. 

4.8. THIRD-PARTY INTERVENTION 

Article 41 

A person that has a legal interest to participate in the arbitral proceedings may join one of the parties only with consent of both parties. 

4.9. INTERIM AND CONSERVATORY MEASURES 

Article 42 

The existence of an arbitration agreement stipulating the jurisdiction of the Arbitration does not affect the right of the parties to apply to the competent court of law for interim or conservatory measures. The party shall notify the Secretariat of the Arbitration without delay of any such application and of the interim and conservatory measures taken by the judicial authority in pursuance thereof. 

4.10. DURATION OF THE PROCEEDINGS 

Article 43 

1. As a rule, arbitral proceedings shall be completed within a year from the date of establishment of the Arbitral tribunal or appointment of the sole arbitrator, i.e. from the date of payment of a sum to cover the costs of arbitration. 

2. Exceptionally from the provision stated in the preceding paragraph, the Arbitral tribunal or the sole arbitrator may decide that the arbitral proceedings be extended after the expiration of the above time-limit if the needs of obtaining evidence make this necessary or if the parties make such a request. 

4.11. APPLICATION OF THE CODE OF CIVIL PROCEDURE 

Article 44 

The provisions of these Rules shall apply to the proceedings before the Arbitration. If the Rules do not contain a relevant provision, the provisions of the Code of Civil Procedure shall apply if they are in conformity with the competencies and principles of the arbitral proceedings. 

4.12. APPLICATION OF OTHER RULES 

Article 45 

1. The parties may stipulate that the Rules of Arbitration of the United Nations Commission on International Trade Law (UNCITRAL) be applied to the proceedings before the Arbitration. 

2. If the Rules of the Arbitration of the United Nations Commission on International Trade Law (UNCITRAL) do not contain relevant provisions, the provisions of these Rules shall apply. 

5. THE AWARD 

5.1. APPLICABLE LAW 

Article 46 

1. The Arbitral tribunal or the sole arbitrator shall apply the law stipulated by the parties as the substantive law applicable to their contractual relationship. 

2. If the parties have failed to stipulate it, the arbitral tribunal or the sole arbitrator shall apply the law indicated by the conflict of laws rules that the Arbitral tribunal or the sole arbitrator deem to be the most suitable to the case involved. 

3. The arbitral tribunal or the sole arbitrator shall in all cases make the award in conformity with the provisions of the contract, and shall take into account trade usages that may be applicable to the transaction. 

4. The award may be made exclusively ex aequo et bono, only if the parties have given such authorization to the arbitrators. 

5.2. MAKING OF THE AWARD 

Article 47 

1. The arbitral tribunal or the sole arbitrator may make an interim award or partial award in the course of the arbitral proceedings. The final award is made after the arbitral proceedings have been completed. 

2. The award shall state the reasons in terms of the facts and law and be worded in the manner that enables its enforcement in the countries in which such enforcement may be requested. 

3. The award of the Arbitral tribunal shall be made by unanimous or majority vote. The award shall be made at a private session attended solely by arbitrators and the recording clerk. When the vote is taken on the award, the chairman of the tribunal shall be the last to vote. A record of deliberations and voting shall be made and signed by all the arbitrators. 

4. The final award shall be made within 60 days from the date of the last hearing or of the date on which the last private session of the Arbitral tribunal was held. 

5.3. SETTLEMENT 

Article 48 

1. If the parties reach a settlement before the Arbitral tribunal or the sole arbitrator, the settlement shall be recorded in the form of an arbitral award that states no particular reasons and the record shall be signed by the arbitrators and the parties. 

2. A settlement shall be deemed to have been reached by the parties when they sign the record after having read it. 

3. A settlement reached shall have the force of an arbitral award. 

5.4. CONTENT OF THE AWARD 

Article 49 

1. The arbitral award in writing shall contain an introduction, award and statement of reasons: 

2. The award need not specify the reasons in terms of the facts or law, if the parties have stated that they do not require it. 

3. The full text of the award may be published only with consent of the parties. The President of the Arbitration may authorize the publication of the award in periodicals of professional and doctrinal character without disclosing the names of the parties or information that may be damaging to the interests of the parties. 

5.5. SCRUTINY OF THE AWARD 

Article 50 

1. The Narrower Presidency of the Arbitration shall scrutinize the award before it is signed. It may advise the Arbitral tribunal or the sole arbitrator of the formal deficiencies of the arbitral award, or of the arbitral practice on certain issues of law. 

2. The Narrower Presidency of the Arbitration may draw the attention of the arbitral tribunal or the sole arbitrator to the grounds upon which it considers the arbitral award might be set aside, or upon which its enforcement might be refused. 

5.6. SIGNING OF THE AWARD 

Article 51 

1. The original of the award and all copies shall be signed by all members of the Arbitral tribunal or the sole arbitrator respectively. 

2. The Award shall be valid even if an arbitrator refuses to sign the award submitted to him, provided the award has been signed by the majority of the members of the Arbitral tribunal, and provided they have noted in the award the refusal of signature by their own signatures. 

3. The arbitrator who refused to sign the award may within a reasonable period, and especially before the scrutiny of the award by the Narrower Presidency of the Arbitration has been performed, submit his dissenting opinion in writing; such dissenting opinion shall be enclosed to the documents and submitted to the parties. 

4. The Secretariat of the Arbitration shall serve on the parties the copies of the award signed by the arbitrators or by the sole arbitrator respectively. 

5. The parties may obtain additional copies of the award, certified true by the Secretary of the Arbitration, but such copies may not be issued to any third parties. 

5.7. CORRECTION OF THE AWARD 

Article 52 

1. Within 30 days from the date of receipt of the award the parties may make an application to the Arbitral tribunal or the sole arbitrator to correct the computational, typographical or clerical, or any errors of similar nature. Within the same time-limit, the Arbitral tribunal or the sole arbitrator may correct such errors on their own initiative. 

2. The corrections are made in writing in conformity with the provisions of Article 49 of these Rules. 

3. The correction of the award shall constitute part of the award. 

5.8. THE CONFIRMATION OF ENFORCEABILITY 

Article 53 

The enforceability of the award shall be confirmed by the Secretariat of the Arbitration. 

The enforceability of the award may be confirmed only upon expiry of eight days from the date of expiry of the time-limit for requesting the correction of the award, i.e. not before expiry of eight days after the date of receipt of the correction of the award. 

5.9. EFFECT AND ENFORCEMENT OF THE AWARD 

Article 54 

1. The arbitral award shall be final and no appeal may be filed against it. It shall have the force of a final judgment of a court of law. 

2. By accepting the jurisdiction of the Arbitration, the parties have undertaken to carry out the resulting award. 

IV COSTS OF THE ARBITRATION 

1. THE SCALE OF COSTS AND FEES 

Article 55 

1. At the time of submitting a claim or counter-claim, the claimant shall deposit with the Secretariat of the Arbitration a sum of US$ 200.00 to cover the registration fee for work of the Secretariat, i.e. US$ 100 if the dispute is settled by a sole arbitrator, as well as the amount of costs of the arbitration as determined by the President of the Arbitration within the limits of the prescribed Scale. 
2. The Scale of arbitration costs is determined by the Managing Board of the Yugoslav Chamber of Commerce and Industry at the proposal of the Broader Presidency. 
3. If it is found in the course of further proceedings that the initially determined sum is not sufficient to cover the costs of Arbitration, the President of the Arbitration shall render a ruling on additional sums to be deposited within the limits of the Scale. 
4. If the claimant or counter-claimant fails to pay the costs within three months from the date of request, it shall be deemed that the claim or counterclaim has been withdrawn. 

2. ARBITRATORS' EXPANSES 

Article 56 

1. The arbitrator is entitled to compensation of travel and accommodation expanses if he resides outside the place of arbitration. 
2. The expanses of a Yugoslav arbitrator are fixed pursuant to the regulations presently in force. 
3. The party that appointed a foreign arbitrator shall deposit a lump sum for his travel and other expanses and shall bear the final amount of these expanses to be fixed by the Secretariat of the Arbitration. 
4. If the parties appoint a foreign citizen from the Panel of arbitrators to be the sole arbitrator, or if the arbitrators appointed by the parties choose a foreign citizen from the Panel of arbitrators to be the chairman of the Arbitral Tribunal, each party shall deposit a half of the fixed lump sum for travel and other expanses of the foreign arbitrator, and shall bear the same proportion of the final amount of these expanses to be fixed by the Secretariat of the Arbitration. 

3. EXPANSES INCURRED IN CONNECTION WITH PROCEDURAL ACTS 

Article 57 

1. For expanses incurred in connection with performance of individual procedural acts, an appropriate sum shall be deposited in advance by the party that requested them. 
2. The sum to be deposited shall be determined by a ruling rendered by the Arbitral tribunal or the sole arbitrator. 
3. For expanses caused by procedural acts ordered by the Arbitral tribunal or the sole arbitrator at their own initiative, the Arbitral tribunal or the sole arbitrator shall determine by a ruling which of the parties shall deposit the necessary sum. 

4. HEARING OUTSIDE THE SEAT OF THE ARBITRATION 

Article 58 

1. If the Arbitral tribunal or the sole arbitrator holds a hearing outside the permanent seat of the Arbitration, the President of the Arbitration shall specify the additional sum to cover the costs of holding such a hearing. 
2. If a hearing is held outside the permanent seat of the Arbitration at the request of a party, the additional sum shall be deposited by the party that requested it. If such a hearing is held at the joint request of the parties, each party shall deposit a half of the additional sum. 

5. WITHDRAWAL OF THE CLAIM 

Article 59 

1. If the claimant withdraws his claim, the following proportion of the sum deposited under Article 55 shall be returned to him: 

1. After the hearing was held, the deposited sum cannot be returned. 
2. The sum deposited as a registration fee for the work of the Secretariat cannot be returned. 

6. ARBITRATORS' FEES 

Article 60 

1. The fees of the President, Vice-President and members of the Presidency of the Arbitration and fees of the arbitrators, assistants and other participants in the arbitral proceedings, shall be fixed in accordance with the Scale of fees as determined by the Managing Board of the Yugoslav Chamber of Commerce and Industry at the proposal of the Broader Presidency. 
2. After making of the award, the conclusion of a settlement or discontinuation of further proceedings, the President of the Arbitration shall fix the fees of the arbitrators, in accordance with the Scale of fees. 
3. Foreign arbitrator is entitled to a fee in foreign currency. 
4. The President of the Arbitration shall, in accordance with the Scale of fees, fix the fees of the members who attend the sessions of the Narrower and Broader Presidency, and to all other persons who attend the sessions. 

V FINAL PROVISIONS 

1. APPLICATION OF THE FORMER RULES 

Article 61 

A party is entitled to request that the dispute be resolved under the Rules which were in force on the date of the conclusion of the arbitration agreement. 

2. ABROGATION OF THE FORMER RULES 

Article 62 

The former Rules of the Foreign Trade court of Arbitration of the Yugoslav Chamber of Commerce and Industry ("Official Gazette of the Federal Republic of Yugoslavia" no. 87/93) are abrogated by entry into force of the present Rules. 

3. COMING INTO FORCE 

Article 63 

These Rules shall come into force upon expiry of 8 days from the date of publication in the "Official Gazette of the Federal Republic of Yugoslavia". 

These Rules were published in the Official Gazette of the Federal Republic of Yugoslavia No. 52/97 of October 17, 1997 end No. 64/2001 of November 23, 2001 

The Scale of Arbitration Costs 

Due to its moderate costs, the Foreign Trade Court of Arbitration is an acceptable manner of resolution of disputes both for domestic and foreign companies (coming from rich or poor countries). The Yugoslav party is entitled to pay the costs in their dinar equivalent under the official rate of exchange. 

The scale of costs is as follows: 

The administrative costs that have to be paid by the plaintiff at the time of filing the claim, or counterclaim, are 200$ if the dispute is settled by an arbitral tribunal, or 100$ if it is settled by a sole arbitrator.