AZERBAIJAN Law and Practice Contributed by: Parviz Huseynov, GRATA International, Azerbaijan
4.4 Challenge and Removal of Arbitrators As a general rule, an arbitrator is required to disclose any circumstances likely to give rise to justifiable doubts as to their impartiality or independence. This duty of disclosure continues throughout the arbitral proceedings, and any such circumstances arising after the appointment must be disclosed to the parties without undue delay, unless they have already been informed thereof. An arbitrator may be challenged only where circum - stances exist that give rise to justifiable doubts as to their impartiality or independence, or where the arbitrator does not possess the qualifications agreed upon by the parties. In addition, a party may chal - lenge an arbitrator whom it has appointed, or in whose appointment it has participated, only on the basis of circumstances that became known to that party after the appointment was made. Where the parties have not agreed on a procedure for challenging an arbitrator, the Law on Arbitration establishes a default mechanism. A party intending to challenge an arbitrator must submit a written state - ment of the grounds for the challenge to the arbitral tribunal within 15 days of the constitution of the tribu - nal or of becoming aware of the circumstances giving rise to the challenge. Unless the challenged arbitrator withdraws or the other party agrees to the challenge, the arbitral tribunal shall decide the matter. Where a challenge is unsuccessful under either the procedure agreed by the parties or the default proce - dure established by the Law on Arbitration, the chal - lenging party may apply to the commercial courts within 30 days of receiving the decision rejecting the challenge. The court’s decision is final and is not sub - ject to appeal. The submission of such an application does not pre - vent the arbitral proceedings from continuing, and the arbitral tribunal may proceed with the arbitration and render an award while the application is pend - ing before the court. However, where the parties have agreed that the arbitration shall be administered by a permanent arbitral institution, recourse to the com - mercial courts is excluded unless otherwise provided by the rules of that institution.
4.5 Arbitrator Requirements As noted in 4.4 Challenge and Removal of Arbitra- tors , the Law on Arbitration imposes a continuing duty on arbitrators to disclose any circumstances that are likely to give rise to justifiable doubts as to their impar - tiality or independence. This obligation is not limited to the period prior to the appointment of an arbitra - tor but continues throughout the arbitral proceed - ings. Accordingly, where such circumstances arise, or become known to the arbitrator after the appoint - ment, they must be disclosed to the parties without undue delay. In addition to the statutory disclosure requirements, the Baku Arbitration Centre has established internal procedures designed to verify the impartiality and independence of prospective arbitrators. As a mat - ter of practice, this assessment is ordinarily carried out through a disclosure questionnaire submitted to the prospective arbitrator in connection with their appointment. The information provided enables the Centre and the parties to identify any actual or poten - tial conflicts of interest before the arbitral tribunal is constituted, thereby contributing to the integrity and transparency of the arbitral process. Furthermore, the Law on Arbitration sets out the quali - fications that arbitrators must meet in domestic arbi - tration proceedings. Any natural person may serve as an arbitrator who: • is independent of the parties; • has no interest in the outcome of the dispute; • has consented to act as an arbitrator; • has attained the age of 25; • possesses a higher education degree; and • has at least three years of professional experience in their field of expertise. Where the dispute is decided by a sole arbitrator, that arbitrator must also possess a higher legal educa - tion. In arbitrations conducted by a panel of arbitra - tors, the presiding arbitrator must have a higher legal education, unless otherwise agreed by the parties. In addition, the arbitration agreement or the rules of a permanent arbitral institution may prescribe further qualifications for arbitrators.
57 CHAMBERS.COM
Powered by FlippingBook