ADR in Spain

Approved in 2003, the Arbitration Act was meant to provide arbitrators with an effective & flexible mechanism for resolving domestic & international disputes in the Kingdom of Spain. Its another goal was to promote Spain as an international arbitration venue.

Arbitration in the Kingdom of Spain: Reversal of Awards

Claims for setting aside arbitral awards aren’t appeals; hence, they don’t entail the reopening of cases on the merits. It’s made abundantly clear in Spanish case law that reversal of awards is limited to verifying compliance with the main principles of DD in dispute settlement in the Kingdom of Spain.

Enforcing foreign arbitral awards in the Kingdom of Spain is regulated by the NYC. Because there’s no clarification regarding the scope of its application, the NYC regulates enforcement of foreign arbitral awards, even if an arbitration venue is in a country that hasn’t signed the NYC. As far as enforcement of foreign awards is concerned, courts in Spain prefer simplicity & speed in the settlement of disputes through arbitration in the Kingdom of Spain.

Meant as an effective alternative to traditional litigation, the Arbitration Act is a major breakthrough in arbitration legislation in Spain. It helps promote Spain as an international arbitration venue, particularly when it comes to transactions & investments conducted in Latin American countries & Spain.

Settling Disputes by Mediation in the Kingdom of Spain

This ADR type is directly governed by a yet to be approved Mediation Act. Its main goal is to ensure a swift & effective resolution of disputes; it’s also meant to relieve Spanish courts of the litigation burden they’re now under.

The Mediation Act is applicable to commercial & civil disputes involving parties from different countries, excluding disputes involving rights & obligations of parties under applicable laws. Only courts can consider:

• cases involving government agencies;
• cases involving labor disputes;
• cases involving consumers;
• criminal cases.

Pursuant to the Mediation Act, awards delivered by arbitrators are binding on parties & may pertain to all or some issues meant to be settled by mediation in Spain. Should parties wish awards or agreements to be enforceable, they are to be transformed into public actd.

Seeking to settle a dispute by mediation or arbitration in the Kingdom of Spain? Need advice on the regulation of mediation/arbitration in the Kingdom of Spain? Please consider contacting YB CASE.