Canadian alternative dispute resolution institution to implement arbitration rule changes in March

The updated rules also streamline institutional support

Canadian alternative dispute resolution institution to implement arbitration rule changes in March

Canadian alternative dispute resolution institution ADR Institute of Canada (ADRIC) is set to implement arbitration rule changes in March that will cater to domestic and international arbitration as well as streamline institutional support.

The institution will introduce an updated set of rules as well as a new arbitrator appointment protocol. The rules were drafted by the ADRIC Modernization Committee and amend the rules implemented in December 2014.

“The new Arbitration Rules reflect two years of thoughtful discussion and analysis by a committed group of arbitrators and arbitration counsel representing all regions in Canada,” said William G. Horton, committee co-chair and discussion leader, in a statement. “Their focus has been on providing a framework for arbitration as a means of resolving disputes in a full, fair and final manner using up-to-date arbitration procedures and streamlined institutional support when needed.”

The updated rules include the following:

  • A “menu” of available services that facilitates customized ADRIC support
  • International and non-international disputes are no longer differentiated
  • An improved arbitrator appointment process
  • An expedited and integrated challenge process
  • Establishment of conflicts disclosure processes and standards
  • Customizable practical precedents, such as a checklist for a first procedural meeting, a draft for a first procedural order, standard arbitrator appointment terms, and a standard statement of arbitrator independence and impartiality

Torys LLP partner Chris Hunter told CDR News that the proposed changes will aid in achieving “the right Canadian balance to arbitration.” Moreover, the rules will be distinct from the ADRIC as an institution.

“We have international standards of arbitration, but every country has its own domestic norms and expectations,” Hunter said in a statement. “This [flexibility] is a smart move because many arbitrations in Canada tend to be ad hoc, and because the arbitration community is relatively small, it is not often you would need institutional services, as it adds an extra layer and opportunity for mischief.”

ADRIC also listed the following criteria for arbitrator appointments – candidates must:

  • Be in good standing of ADRIC and a regional affiliate
  • Has at least $1 million in arbitrator errors and omissions insurance
  • Is committed to responding promptly to ADRIC inquiries on their willingness to accept an appointment
  • Disclose any equity, diversity, and inclusion information they would like the sub-committee to consider in making direct appointments or generating candidate lists
  • Submit an ADRIC arbitrator profile that can be accessed on the ADRIC website and contains relevant information like areas of expertise, professional arbitration designations, standard rates, arbitrator and/or arbitration counsel experience, and willingness to be considered for interim arbitrator or challenge adjudicator appointments