Vienna International Arbitral Centre (VIAC)

Legal representation at the Vienna International Arbitration Centre (VIAC)

The Vienna International Arbitration Centre (hereinafter also referred to as the “VIAC”) is a permanent International Arbitration Institute at the Austrian Federal Economic Chamber.

The Vienna International Arbitration Centre was founded in 1975 as a permanent arbitration institution of the Austrian Federal Economic Chamber and was initially intended to hear and supervise international arbitration cases.

However, since 1 January 2018, with the entry into force of the new VIAC Arbitration and Mediation Rules, the institution deals with domestic disputes and also hears cases conducted by other alternative dispute resolution methods.

VIAC administers domestic and international arbitrations as well as proceedings pursuant to other alternative dispute resolution methods, if the parties have agreed upon:

1. the VIAC Rules of Arbitration (“Vienna Rules”);
2. the VIAC Rules of Mediation (“Vienna Mediation Rules”);
3. the VIAC Rules of Investment Arbitration (“Vienna Investment Arbitration Rules”);
4. the VIAC Rules of Investment Mediation (“Vienna Investment Mediation Rules”);
5. if it has been otherwise agreed or foreseen that VIAC should serve as the administering institution.

The advantages of the Vienna Rules are their flexibility, which allows the parties and arbitrators to tailor the proceedings precisely to the needs of the parties and their dispute, and the mandatory fee schedule, which means that the administrative costs as well as the arbitrators’ fees are predictable for the parties already at the outset of the proceedings using the cost calculator.

In addition, in the case of unclear or incomplete arbitration agreements, the European Convention on International Commercial Arbitration of 1961, to which Austria is a party, may provide a way out.

Statement of a Claim and Counterclaim

Arbitration proceedings are initiated by the filing of the arbitration claim. The proceedings commence on the day on which the statement of a claim in paper or electronic form is received by the VIAC Secretariat or one of the Regional Economic Chambers. The arbitration claim must contain the following information:

1. the full name of the parties, their addresses, including email addresses, and contact details, as well as available information on the nationality or jurisdiction of the parties;
2. a statement of the circumstances of the case, as well as a specific demand;
3. the value of individual claims at the time of filing the arbitration claim, if the claim contains more than just monetary claims;
4. an indication of the number of arbitrators;
5. the nomination of one arbitrator if the dispute is to be heard by three arbitrators, or a requirement for the arbitrator to be appointed by the Presidium;
6. information on the arbitration agreement and its content.

In this case, the counterclaim must contain the following information:

1. the full name, addresses, including email addresses, and contact details of the defendant, as well as available information on the nationality or jurisdiction of the parties;
2. a response to the claim and to the circumstances of the case on which the arbitration claim is based, as well as a specific demand;
3. an indication of the number of arbitrators;
4. nomination of one arbitrator if the dispute is to be heard by three arbitrators, or a requirement that the arbitrator be appointed by the Presidium.

It is important to note that the parties are free to choose the arbitrators, and any legally competent person may serve as an arbitrator, unless the parties have agreed on the need for him or her to have any special additional qualifications. The arbitrators must exercise their powers independently of the parties, impartially, honestly and in good faith, and in doing so they are not bound by any instructions and are required to maintain confidentiality regarding everything that has come to their knowledge in this capacity.

The parties are free to determine the place of arbitration, but unless the parties have agreed and do not agree otherwise, the place of arbitration shall be Vienna. Also, if there is no agreement between the parties, the arbitral tribunal must, without delay after the case is referred to the arbitration, determine the language or languages of the proceedings, taking into account all the circumstances, including the language of the contract. At the same time, the costs of the proceedings include:

1. the administrative costs of VIAC, the fees of the arbitrators and reasonable expenses (such as, for example, travel and accommodation costs of the arbitrators or the secretary of the arbitral tribunal, the costs of sending written documents, rent, minutes) taking into account possible VAT;
2. the parties’ expenses (including the parties’ reasonable legal expenses);
3. other expenses related to the arbitration.

The arbitral tribunal shall decide the dispute in accordance with the law or legal rules agreed upon by the parties. An agreement on the law or legal system of a particular State shall be construed as referring expressly to the substantive law of that State and not to its conflict of laws rules, unless the parties expressly agree otherwise. In addition, if the parties have not specified the applicable law or legal rules, the arbitral tribunal shall apply the law or legal rules it considers appropriate. In addition, the arbitral tribunal may make an award “ex aequo et bono” or as “amiable compositeur” only if the parties have expressly authorized it to do so.

It is also important to note that the final award is an arbitral decision, which is effective and enforceable in the same way as a court judgment and becomes binding upon service on the parties. Based on the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958, arbitral awards are recognized and enforceable in most countries of the world, which is a great advantage in international business.

An arbitral award shall be made no later than 3 months from the last oral hearing on the subject matter of the award or the filing of the last permitted written statement on the subject matter of the award, whichever occurs later. The Secretary General may extend the time limit on a reasoned application by the arbitral tribunal or on his own initiative. However, exceeding the time limit for making an arbitral award shall not invalidate the arbitration agreement or cause the arbitral tribunal to lose jurisdiction.

The VIAC Presidium and the Secretary General have the right to publish summaries or extracts of arbitral awards in law journals or in their own publications in anonymized form, unless any party to the proceedings objects to publication within 30 days from the date of receipt of the award. The participation of a qualified specialist in the consideration of a dispute in VIAC allows a participant in foreign trade activities to reduce possible risks associated with the preparation of a case for consideration in the Vienna International Arbitration Centre.

Legal services

1. Preparation of the text of an arbitration clause and its inclusion in the text of a foreign trade contract to enable consideration of the dispute in VIAC
2. Preparation of a claim in VIAC
3. Preparation and submission of other documents for consideration of the dispute in the VIAC
4. Support for cases in the Vienna International Arbitration Centre
5. Legal representation in VIAC