CONTENTS

CHAPTER 3 ...................................................................................... 99
The Arbitration Agreement
Thomas D. Halket, Maria Chedid
I. Introduction...................................................................... 99
II. Importance of the Arbitration Agreement ..................... 100
III. Preliminary Issues .......................................................... 103
A. Types of Arbitration Agreements ............................. 103
B. When to Draft the Arbitration Provision .................. 104
C. Law Applicable to the Arbitration Agreement ......... 105
D. Who Should Draft the Arbitration Provision? .......... 109
E. Sources of Model Agreements ................................. 110
IV. Specific Drafting Issues ................................................. 113
A. Multi-step Resolution and Alternative Resolution
Mechanisms .............................................................. 114
1. Multi-step Resolution—Escalation Clauses ........115
2. Mediation Issues .................................................118
3. Dispute Resolution Boards..................................120
B. Selection of the Administrative Body ...................... 122
1. Ad hoc Arbitration...............................................123
2. Institutional Arbitration ......................................125
C. Scope of Disputes to Be Referred to Arbitration ...... 127
D. Place or Seat of the Arbitration ................................ 132
E. Location of the Hearings .......................................... 134
F. The Selection of Arbitrators ..................................... 135
1. The Number of the Arbitrators............................135
2. Qualifications of the Arbitrators .........................136
3. Manner of Selection of the Arbitrators ...............138
4. Conditions Imposed on Appointment .................143
G. Language of the Arbitration ..................................... 145
H. Choice of Law .......................................................... 147
1. Choice of the Law Governing the Arbitration
Agreement ...........................................................147
2. Choice of Procedural Law—The Lex Arbitri ......148
3. Choice of Substantive Law .................................150
I. Confidentiality and Protection of Trade Secrets ....... 152
J. Permitted Discovery ................................................. 154
K. Matters Relating to the Conduct of the Hearings ..... 159
1. The Schedule of the Arbitral Proceedings ..........160
2. Testimonial Matters ............................................162