LMAA Arbitration and LMAA Arbitration Notice Clauses
London Maritime Arbitrators Association (LMAA) has informed that, although reference is quite often made in contracts to the “LMAA Arbitration Clause”, it is some time since a clause bearing that name has been listed on the LMAA website. This has now been addressed by LMAA the attached clause, to be known as the ‘LMAA Arbitration Clause’. Its terms do not mark any significant departure from the BIMCO/LMAA Arbitration clause except (i) in acknowledging that which has always been the case, namely that hearings may in appropriate cases take place outside the UK without affecting the seat of the arbitration, and (ii) allowing parties to “opt in” to arbitration under the LMAA Intermediate Claims Procedure in cases involving claims between US$100,000 and US$400,000, or such other sums as the parties may agree.
What, however, is new is the ‘LMAA Arbitration Notice Clause’ also attached. This follows a series of recent Commercial Court cases where issues have arisen as to the validity of notices sent to commence arbitration. The clause provides for the parties to designate e-mail addresses for the service of arbitration notices and communications and should be completed by the parties when concluding a contract.
The text of each clause can be found below, attached to this Member Alert and also on the LMAA website.
LMAA encourage the use of both clauses.