英文摘要 |
After entering into the Cross-Strait Bilateral Investment Protection and Promotion Agreement, the Straits Exchange Foundation immediately published in the “Straits Business Monthly” that: The first sentence of Article 14 (4) of the Cross-Strait Bilateral Investment Protection and Promotion Agreement provides that “[T]he parties to a commercial dispute may designate an arbitration institution of either side of the Strait and agree on the seat of arbitration.” Pursuant to this provision, in the event where a dispute arises between a Taiwanese company and a Chinese state-owned enterprise or other Chinese private company, the parties may “designate an arbitration institution of either side of the Strait” and “agree on the seat of arbitration located in a third place.” Furthermore, it is a breakthrough that a Taiwanese arbitration institution may administer arbitration cases in Mainland China. However, the current arbitration regime of Mainland China distinguishes between an arbitration involving foreign elements (foreign-related arbitration) and an arbitration that does not involve any foreign elements (domestic arbitration). Under such regime, if a subsidiary established by a Taiwanese company in Mainland China wishes to refer a commercial dispute with a Chinese citizen or company to arbitration, where such dispute does not involve any foreign elements, the said dispute would be fall within the category of a domestic arbitration. According to the judicial practice in Mainland China, parties to a domestic arbitration cannot agree to refer the dispute to an arbitration institution outside Mainland China and cannot agree to arbitrate in a place outside of Mainland China. Moreover, the Supreme People’s Court of the PRC in the Züblin case had refused to recognize the arbitration award made by the International Chamber of Commerce in Shanghai. As such, it is worth observing how, under the current arbitration regime, Article 14 (4) of the Cross-Strait Bilateral Investment Protection and Promotion Agreement should be interpreted and applied, as well as the problems that the parties may encounter in practice. |