Permanent arbitration institutions.

One of the most significant changes of Arbitration Law aimed to prevent creation of “pocket arbitrations” is mandatory licensing of permanent arbitration institutions in order to operate at the territory of Russia (not applied for two well-known arbitral institutions in Russia-International Commercial Arbitration Court and Maritime Arbitration Commission at the Chamber of Commerce and Industry of the Russian Federation).

The right to operate as permanent arbitration institution will be granted by the act of the Russian Government under recommendation of the Arbitration Development Council under the Russian Ministry of Justice basing on such criteria as specified list of arbitrators, reputation, range and kind of non-commercial organization’s activity etc.

Ad hoc arbitrations.

The authority of ad hoc arbitration is limited. First of all the corporate disputes cannot be subject to ad hoc proceedings. Another important revision is that parties to ad hoc arbitration lose their right to waive the right for the setting aside of an arbitral award, it could be disputed in the state court in any case.

Foreign arbitration institutions.

Foreign arbitration institution may administer the arbitration seated in Russia must obtain the consent of the Russian Government and for administering majority of corporate disputes to publish the special rules for corporate disputes.

In the absence of such consent the decisions of foreign arbitration institution will be considered as decisions of the ad hoc arbitration (with all abovementioned disadvantages).