1. Distribution Contracts and Arbitration How to deal with small agency and distribution disputes Marie Öhrström Assistant Secretary General

2. SCC Established in 1917 International activities since 1960’s
Rapid increase since 1990 (in particular east-west arbitration)
About 140 new cases a year
The annual caseload involve parties from more than 30 countries
Subject matters; Corporate (JV, shareholders agreements, mergers & acquisitions etc), sales of goods, licensing agreements, construction, employment, investment treaties, agency & distributorship, etc

3. SCC Rules
Arbitration Rules of the Arbitration Institute of the Stockholm Chamber of Commerce (2007)
Rules for Expedited Arbitrations (2007)
Insurance Arbitration Rules (2007)
Procedures and Services offered by the SCC Institute when applying the UNCITRAL Arbitration Rules (1999)
Mediation Rules (1999)

4. Organization of the SCC
Board
(12 directors
Swedish and
foreign)
General Editor
Stockholm International Arbitration Review
Mediation Institute
of the Stockholm
Chamber of Commerce
Secretary General
Assistant Secretary General
Webmaster
Division I
Legal counsel
Assistant
Division II
Legal counsel
Assistant
Division III
Legal counsel
Assistant

5. Claimant files its Request for Arbitration, appoints an arbitrator and provides the Registration Fee
SCC
Respondent submits its Answer to the Request for Arbitration and appoints an arbitrator
SCC appoints a Chairperson and determines the Advance on Costs
Claimant provides its part of the Advance on Costs
Respondent provides its part of the Advance on Costs
SCC refers the case to the Arbitral Tribunal
Claimant submits its Statement of Claim
The Arbitral Tribunal
Respondent submits its Statement of Defence
The Arbitral Tribunal summons the Parties to a Hearing
The Arbitral Tribunal renders an Award

6. Agency and Distributorship at the SCC
About 30 cases since 2003
60 per cent under the SCC Rules, 30 per cent under the SCC Expedited Rules and 10 per cent ad hoc arbitrations.
45 per cent were international and 55 per cent domestic cases.
Frequent origins of the parties: Scandinavia, Germany, Italy, USA, Canada, Russia, Belarus and Bulgaria.
The amount in dispute varies from: EUR to EUR

7. SCC Rules for Expedited Arbitrations
Primarily recommended for minor disputes where the parties desire a speedy and inexpensive procedure
The parties themselves, in the arbitration agreement, choose which set of SCC rules they wish to apply
Adopted in 1995 (last revision 2007)
Today 35 per cent of the SCC caseload are expedited arbitrations - increasing
About a third of the expedited arbitrations involve at least one foreign party
The arbitration costs are based on the amount in dispute - i.e. the same system as under the SCC Rules

8. The Salient Features of the SCC Rules for Expedited Arbitrations
A sole arbitrator (Under the main SCC Rules there is three or one arbitrator)
Award within three months (Under the main SCC Rules the period of time is six months)
Two brief written statements only, to be submitted within a period of ten days
Reasoned award if requested by a party
Hearing only if requested by a party and if deemed necessary by the arbitrator

9. Recommended SCC arbitration clause for agency and distribution contracts
Any dispute, controversy or claim arising out of or in connection with this contract, or the breach, termination or invalidity thereof, shall be finally settled by arbitration by the Arbitration Institute of the Stockholm Chamber of Commerce (the SCC).
The Rules for Expedited Arbitrations of the Arbitration Institute of the Stockholm Chamber of Commerce shall apply, unless the SCC, taking into account the complexity of the case, the amount in dispute and other circumstances, determines, in its discretion, that the Arbitration Rules of the Arbitration Institute of the Stockholm Chamber of Commerce shall apply. In the latter case, the SCC shall also decide whether the arbitral tribunal shall be composed of one or three arbitrators.
The seat of arbitration shall be
The language to be used in the arbitral proceedings shall be
This contract shall be governed by the substantive law of ……

10. Arbitration Costs – An example
Amount in dispute: EUR
SCC Rules with three arbitrators: EUR
(Chairperson: 7 500, Co-arbitrators 4 500, SCC 3 500)
SCC Rules with a sole arbitrator: EUR
(Arbitrator: 7 500, SCC 3 500)
SCC Expedited Rules: EUR 7 500
(Arbitrator: 5 000, SCC 2 500)

11. www.sccinstitute.com Inter alia SCC Arbitration Rules
SCC Rules for Expedited Arbitrations
SCC Model Arbitration Clauses
General information on arbitration and the SCC procedure
Articles, laws and conventions