MAURITIUS Law and Practice Contributed by: Sivakumaren (Robin) Mardemootoo, Natasha Behary Paray and Jeeshna (Kaajal) Radhakissoon, Dentons Mauritius LLP
certifying that they have read, understood and agree to be bound by the arbitration agreement. 3.3 Advantages of Arbitration Arbitration is generally perceived as being a much more efficient and flexible means of resolving certain disputes, particularly those involving contractual and corporate matters, when compared to litigation before the Mauritian courts and its associated delays. Arbi- tration also affords parties the benefit of having their dispute determined by specialist adjudicators with substantial and practical expertise in the relevant sector or subject matter. The flexibility characterising arbitration proceedings often allows parties to agree on the procedural calendar and benefit from an expe- dited hearing. A significant practical advantage of arbitration in Mau- ritius is also its treatment of costs. Unlike litigation, where costs recovery is subject to statutory caps and represents a minimal fraction of real costs incurred by a party, arbitration usually allows a successful party to potentially recover its legal costs in full, making it a more attractive option for high-value disputes. Another major advantage of arbitration is the confi- dentiality of arbitration proceedings, which are essen- tial in certain types of disputes, such as offshore and corporate disputes. This allows parties who have a legitimate interest in keeping the existence and out- come of proceedings out of the public domain to pro- tect themselves. The free movement of the arbitral award under the New York Convention is also a major advantage for cross-border cases where enforcement Arbitration is generally considered more expensive than litigation, rendering it a less suitable option for smaller commercial disputes where the costs of the process may be disproportionate to the value of the claim. In international arbitrations specifically, parties frequently engage specialist counsel (although this is a matter of practice more than a requirement), which can drive legal costs considerably higher than those typically incurred in court proceedings. outside Mauritius may be envisaged. 3.4 Disadvantages of Arbitration
While the absence of a cap on costs recovery is an advantage for successful parties, it also means that the overall costs of arbitration proceedings are uncapped and can escalate significantly, particularly in complex or protracted disputes. The existence of institutional rules that allow for review of arbitrators’ fees and the discretion of arbitrators to award costs go some way in dealing with this issue. In practice, the absence of recourse to an appeal pro- cess and the inability to compel the attendance of witnesses may also be disadvantageous. 3.5 Arbitral Institutions Mauritius has two principal arbitral institutions: the Mauritius International Arbitration Centre (MIAC) and the Mauritius Chamber of Commerce and Industry Arbitration Centre (MARC). MIAC focuses primarily on international arbitrations, while MARC administers both domestic and international disputes. Mauritius also hosts a regional office of the Perma- nent Court of Arbitration (PCA), which plays an impor- tant role in promoting arbitration across the region. Notably, the PCA has been designated as the default appointing authority for all ad hoc international arbi- trations conducted under the International Arbitration Act 2008. 3.6 Length of Proceedings There is no fixed duration for arbitral proceedings in Mauritius, especially since the principle underlying most arbitration is the will of the parties. Institutional arbitrations typically last around 18 months on average, though this will vary depending on a range of factors, including whether the arbitration is ad hoc or institutional, the number of arbitrators, the complexity of the dispute, and procedural considera- tions such as the availability of counsel, the number of witnesses, the procedural calendar and the existence of any interim applications. Where the applicable institutional rules permit, such as under the MARC Rules, and subject to the agree- ment of the parties and the tribunal, proceedings may be conducted on an expedited basis, resulting in a materially shorter timeframe.
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