Arbitration in Poland

Several years ago, disputes involving Polish parties were usually referred to foreign arbitration institutions. Nowadays, Warsaw itself is becoming an international arbitration site, while Polish lawyers are acting as arbitrators in major international disputes. 

The SA KIG & LCA are the 2 major arbitration institutions. Both of them rely on rules & regulations that conform with the current trends in the settlement of international disputes through arbitration in the Republic of Poland.

Regulatory Framework

Modeled on the UML, arbitration in the Republic of Poland is governed by Article V of the CPC. The country is a signatory to the NYC & EU Convention on ICA. Poland has also signed bilateral agreements with many countries of the world.

Polish arbitration legislation doesn’t draw a distinction between domestic & international arbitration; hence, Article V is applicable to arbitration proceedings in the Republic of Poland. Also, certain provisions of Polish legislation can be applied to the arbitration proceedings taking place outside the country. 

The majority of Polish arbitration rules are optional; hence parties are at liberty to deviate from CCP rules. The process of settling a dispute through arbitration in the Republic of Poland may, therefore, be modified by parties themselves.

Settling a Dispute Through Arbitration in The Republic of Poland: Advantages

Disputes which can’t be resolved by litigation must be settled through arbitration. It may sound simple; however, whether a contractual dispute may be settled through arbitration in the Republic of Poland can be a moot point. If, for example, a dispute arises over a contract’s invalidity or a shareholder’s withdrawal from a JSC, it can be settled through arbitration.

Settling a dispute over a contract’s invalidity in the Republic of Poland requires parties to be really careful when concluding an arbitration agreement. In particular, they must ensure that an award is going to be binding on both of them & may, therefore, not be annulled.

Before the CCP was amended, Polish courts frequently issued conflicting rulings on the conclusion of arbitration agreements by trustees in Poland. Pursuant to the amendments, a POA issued to trustees for the conclusion of a deal includes the authority to conclude an arbitration agreement in the Republic of Poland.

Arbitration rules used in Poland are modeled on arbitration regulations accepted & made use of in the European Union. Poland is currently working on creating its own arbitration legislation that will help it increase its attractiveness as a seat of arbitration & provide individuals willing to resolve an international dispute in Poland with plenty of opportunities for doing so.