International Arbitration
Strategic Counsel in International Arbitration
Our International Arbitration practice advises companies and investors who have agreed, or are considering, to resolve cross-border disputes by arbitration. We assist at each stage of the arbitral process: drafting an arbitration clause that will work when it is needed, choosing the seat and the procedural rules, preparing a matter for submission, and considering from the beginning how an award can be recognised and enforced where the counterparty’s assets are located. Sweden is a well-established arbitral seat with a modern arbitration statute, and we advise on how Swedish arbitration law, institutional rules and the New York Convention operate in practice, so that clients can make informed decisions about strategy, cost and enforceability.
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Our Expertise
Arbitration is a creature of agreement. The parties’ clause decides whether a dispute will be heard by an arbitral tribunal, how many arbitrators there will be, where the arbitration will be seated, which rules will apply and in what language it will be conducted. A clause that is vague or inconsistent can lead to a dispute about the dispute itself. Much of our work therefore consists of making arbitration agreements precise before a conflict arises, and interpreting them carefully when it has.
We advise businesses that trade, invest or operate across borders and that need to resolve disagreements in a neutral forum, with confidentiality and with a result that can be enforced internationally. Our clients may be the party that wishes to commence arbitration or the party that must respond to one, and the questions they face are practical: whether the tribunal has jurisdiction, what the procedure will involve, what it will cost and how a final award will be given effect.
Because arbitration touches both private contract and public court supervision, it rewards a considered strategy. We consider the arbitration agreement, the applicable law, the evidence that will be available and the likely enforcement route together, and we explain to clients the choices that matter at each point so that decisions are taken with a clear view of their consequences.
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How We Can Assist
We advise on the whole arbitral cycle, from the drafting of the agreement to the enforcement of an award.
Arbitration agreements and clauses
We draft and review arbitration agreements and the arbitration clauses in commercial contracts. We address scope, the number and appointment of arbitrators, the language, confidentiality, the relationship with any court-jurisdiction clause in related contracts, and how disputes under multiple connected agreements are to be handled.
Selection of the arbitral seat
The seat determines which national arbitration law supervises the process and which courts may hear applications to set aside an award. We advise on the legal consequences of choosing Sweden or another seat, including the degree of court involvement, the rules on interim measures, and the practical convenience of the venue.
Applicable procedural rules
Parties may choose institutional rules, such as the SCC Arbitration Rules, or ad hoc rules, such as the UNCITRAL Rules. We compare the options by reference to the type of dispute, the speed and cost of the procedure, emergency and expedited mechanisms, and the administration offered by an institution.
Preparation of arbitration matters
We assist clients in preparing a request for arbitration or a response, in assessing jurisdiction and admissibility, in considering whether claims should be joined or consolidated, and in the organisation of the case from the first written submission through to the hearing.
Evidence and procedural strategy
Evidence in international arbitration is often documentary, supported by witness statements and, where required, experts. We advise on the collection and presentation of evidence, on document production and the use of procedural orders, and on how the client’s case is best structured for a tribunal that may be composed of lawyers from different legal traditions.
Recognition and enforcement of arbitral awards
An award is valuable only if it can be given effect. We advise on the grounds on which recognition and enforcement can be resisted, on identifying the countries in which a counterparty’s assets are located, and on the practical steps of enforcement, coordinating with local counsel where necessary.
Swedish arbitration law
We advise on the Swedish Arbitration Act, which applies to arbitrations seated in Sweden, including questions of arbitrability, the powers of the tribunal, challenges to an award and the role of the Swedish courts. We also advise on Swedish-law aspects of arbitrations seated elsewhere.
The New York Convention
The 1958 New York Convention underpins the international enforcement of arbitral awards. We advise on how it operates, how it has been implemented in Sweden and in other jurisdictions relevant to the client, and what that means for the choice of seat and for strategy.
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Swedish and International Legal Considerations
Arbitration law combines a national statute, institutional rules and an international convention. Each plays a distinct role.
Official legal sources
The Swedish Arbitration Act (lag (1999:116) om skiljeförfarande)
The Act applies to arbitrations seated in Sweden, whether domestic or international. It provides that disputes about matters on which the parties may reach a settlement can be referred to arbitration, regulates the appointment of arbitrators and the conduct of the proceedings, and allows an award to be challenged only on limited grounds. Applications to set aside an award must in general be brought within two months of the party receiving it.
Role of the courts
A challenge to an award rendered in an arbitration seated in Sweden is heard by a court of appeal. Where the seat is a Swedish city within the district of a particular court of appeal, that court has jurisdiction; where no seat is specified, the Svea Court of Appeal in Stockholm does. Swedish courts may also assist, for example by ordering interim measures, but the role of the courts is limited.
Institutional and ad hoc rules
The Arbitration Institute of the Stockholm Chamber of Commerce (SCC) administers arbitrations under its own rules, and the Arbitration Rules of the SCC currently in force include provisions for emergency arbitrators and expedited procedures. Parties may instead choose other institutions’ rules or ad hoc arbitration under, for example, the UNCITRAL Arbitration Rules.
The New York Convention
Sweden is a party to the 1958 Convention on the Recognition and Enforcement of Foreign Arbitral Awards, without reservations, and it is implemented in the Swedish Arbitration Act. A foreign award is recognised and enforced in Sweden by application to the Svea Court of Appeal, which can refuse recognition only on the grounds listed in the Convention and the Act, such as invalid agreement, lack of proper notice or public policy.
Arbitration and EU court rules
Regulation (EU) No 1215/2012 (Brussels I recast) does not apply to arbitration. Whether an arbitration agreement is valid and whether parallel court proceedings must be stayed are therefore decided under national law and the New York Convention, which is a reason to draft the arbitration clause with care.
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Our Approach
Each arbitral matter starts with the clause and ends with the question of enforcement. We keep both in view throughout.
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Reviewing the arbitration agreement
We read the clause and the contract as a whole to determine whether the dispute is within its scope, who the proper parties are, which rules apply and whether any preconditions, such as negotiation or notice requirements, must be satisfied.
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Considering seat, rules and applicable law
We analyse the seat and the procedural rules selected, the law governing the arbitration agreement and the substance of the dispute, and their implications for jurisdiction and procedure.
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Assessing the case and the evidence
We evaluate the claims, defences and available evidence, and we discuss with the client the likely procedure, timetable and cost, without promising a result.
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Preparing the written case
We prepare the request or response and the following submissions, organise the documentary and witness evidence, and consider procedural applications, including interim measures.
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Planning for enforcement
We assess where assets are located and how an award would be recognised there, and we identify the enforcement steps and the local advice that will be required.
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Frequently Asked Questions
Why would parties choose arbitration instead of court proceedings?
Arbitration offers a neutral forum, flexibility of procedure, confidentiality and, above all, an award that is generally easier to enforce abroad than a national court judgment because of the New York Convention. It is not always the better choice, since it can be costly and offers limited rights of appeal. We advise on whether it suits a given relationship.
Why is Sweden a popular seat of arbitration?
Sweden has a modern arbitration statute that applies to both domestic and international arbitrations, courts that apply it with a policy of limited intervention, and an established arbitral institution in the SCC. Parties are free to choose any seat, and whether Sweden is the best seat depends on the dispute, the parties and the likely place of enforcement.
What should an arbitration clause contain?
At a minimum: the agreement to refer all disputes arising out of or in connection with the contract to arbitration; the institution or rules; the seat; the number of arbitrators; the language; and the governing law of the contract. Optional elements include confidentiality, emergency procedures and provisions for multi-party or multi-contract disputes. We tailor these to the transaction.
Can an arbitral award be appealed?
Not on the merits. Under the Swedish Arbitration Act an award in an arbitration seated in Sweden can be challenged only on limited grounds, mainly procedural irregularities or excess of mandate, and a challenge must be brought within a short time limit. Arbitral awards are, in principle, final.
How is a foreign arbitral award enforced in Sweden?
Under the New York Convention and the Swedish Arbitration Act, application is made to the Svea Court of Appeal, which gives the other party an opportunity to be heard and may refuse recognition only on limited grounds. If recognition is granted, the award can be enforced in the same way as a Swedish judgment.
How do we prepare for the possibility of arbitration now?
The most effective step is to review the dispute-resolution clauses in your existing contracts and to ensure that future ones are consistent. We can review a clause for gaps and conflicts, and recommend improvements before a dispute arises.
The information provided here is general in nature and is not legal advice. It does not consider any particular document or circumstance. Swedish and EU rules change, and official texts should be read in the version in force.
International Arbitration
Discuss Your Legal Matter
If you are drafting an arbitration clause, considering an arbitral claim or facing one, write to us at info@smartlawafab.com with the contract, the parties and the countries involved. We will consider your enquiry and reply by email.