Common use of Establishment of an Arbitration Panel Clause in Contracts

Establishment of an Arbitration Panel. 1. If the consultations referred to in Article 12.3 fail to settle a dispute within 50 days, or 20 days in relation to urgent matters, including those on perishable goods, from the date of the receipt of the request for consultations by the Party complained against, the complaining Party may request the establishment of an arbitration panel by means of a written request to the Party complained against. A copy of this request shall be communicated to the other Parties so that they may determine whether to participate in the arbitration process. 2. The request for the establishment of an arbitration panel shall identify the specific measure or other matter at issue and provide a brief summary of the legal and factual basis of the complaint. 3. The arbitration panel shall consist of three members who shall be appointed in accordance with the “Optional Rules for Arbitrating Disputes between Two States of the Permanent Court of Arbitration”, as effective from 20 October 1992 (hereinafter referred to as “the Optional Rules”) mutatis mutandis. The date of establishment of the arbitration panel shall be the date on which the chairperson is appointed. 4. Unless the parties to the dispute otherwise agree within 20 days from the date of receipt of the request for the establishment of the arbitration panel, the terms of reference for the arbitration panel shall be: “To examine, in the light of the relevant provisions of this Agreement, the matter referred to in the request for the establishment of an arbitration panel pursuant to Article 12.4 and to make findings of law and fact together with the reasons, as well as recommendations, if any, for the resolution of the dispute and the implementation of the ruling.” 5. Where more than one Party requests the establishment of an arbitration panel relating to the same matter or where the request involves more than one Party complained against, and whenever feasible, a single arbitration panel should be established to examine complaints relating to the same matter. 6. A Party which is not a party to the dispute shall be entitled, on delivery of a written notice to the parties to the dispute, to make written submissions to the arbitration panel, receive written submissions, including annexes, from the parties to the dispute, attend hearings and make oral statements.