Arbitration in Dutch commercial and corporate disputes
Arbitration is a private form of dispute resolution. Instead of bringing a dispute before a regular court, the parties agree that one or more arbitrators will decide the matter. The arbitral award is binding and can usually be enforced internationally.
Arbitration is often used in cross-border commercial and corporate disputes. It may be relevant in M&A transactions, shareholders’ agreements, joint ventures, investment agreements, commercial contracts, post-closing disputes and disputes involving Dutch B.V. structures.
Why arbitration may be attractive
Arbitration can offer several advantages in international disputes. The procedure is private, the parties may appoint arbitrators with specific expertise and the award can often be enforced across borders under international enforcement rules.
For international clients, this can be important where the dispute involves parties, assets or enforcement risks in different jurisdictions. Arbitration may also provide a more neutral forum than the national courts of one party.
Arbitration clauses and Dutch law
Arbitration must be agreed by the parties. This is usually done in an arbitration clause in a contract or in separate arbitration agreement. The clause should be clear on the arbitration institute, seat of arbitration, language, number of arbitrators and applicable rules.
In Dutch-related disputes, arbitration may take place under the rules of the Netherlands Arbitration Institute, the ICC, LCIA, UNCITRAL or another arbitral institution. The choice of arbitral seat and procedural rules can have significant consequences for the conduct of the proceedings and the enforcement of the award.
Strategic issues in arbitration
A good arbitration strategy starts with the arbitration clause and the commercial objective. Key questions include whether the dispute falls within the scope of the clause, whether urgent measures are needed, which law applies, where enforcement may be required and whether settlement is commercially preferable.
In M&A and shareholder disputes, arbitration may also interact with Dutch court proceedings, inquiry proceedings before the Enterprise Chamber or urgent injunction proceedings. That interaction should be assessed early.
Legal support
Dirk de Waard advises companies, investors, shareholders, directors and founders on Dutch commercial and corporate disputes, including arbitration in M&A disputes, shareholder conflicts, joint venture disputes, investment disputes and post-closing claims involving Dutch companies or Dutch law.
Involved in an arbitration dispute with a Dutch connection? Contact Dirk de Waard via dirk.dewaard@viottalaw.com to discuss your position, arbitration strategy and available options under Dutch law.
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By VIOTTA.
