| (1) |
An arbitration court may be established for the resolution of a specific dispute. The arbitration court may also operate permanently.
|
| (2) |
A permanent arbitration court shall operate on the basis of rules of procedure, whereas an arbitration court established for the resolution of a specific dispute shall operate in accordance with the procedures prescribed by this Law.
|
| (3) |
A permanent arbitration court may be established by one or more legal persons. The permanent arbitration court shall commence operations after registration in the Arbitration Court Register. The Enterprise Register shall maintain the Arbitration Court Register. The Cabinet shall determine amount of the State fee for the making of a record in the Arbitration Court Register, the procedures for the payment thereof and rebates.
|
| (4) |
In order for an arbitration court to register in the Arbitration Court Register, the founders of the arbitration court shall submit to the Enterprise Register the rules of procedure of the arbitration court and other documents in accordance with regulatory enactments regarding the procedures for the registration of an arbitration court.
|
| (5) |
The name of a permanent arbitration court may not coincide with the name of an arbitration court already registered or a registration applied for, as well as it may not include misleading information regarding important circumstances of the operation of the arbitration court. The specified restrictions for merchants in respect of the selection of a firm name shall also apply to the names of arbitration courts.
|
| (6) |
The resolution of disputes by an arbitration court is not commercial activity.
[17 February 2005]
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Section 4861Arbitration Court Rules of Procedure
|
| (1) |
The rules of procedure of a permanent arbitration court shall indicate:
1) the name of the arbitration court. In addition to the name of the arbitration court in Latvian, the rules of procedure may indicate the name of the arbitration court in one or more foreign languages;
2) the procedures for the appointment, removal and ending of authorisation of arbitrators;
3) the procedures by which the signature of arbitrators on awards shall be certified;
4) the procedures for the preparation of the arbitration court proceedings;
5) the procedures for the resolving of disputes – procedural time periods, the procedures for the renewal or extension thereof, the procedures for the submission of counterclaims, the procedures for the deferment and extension of the resolution of disputes and other procedural issues;
6) the name (firm name) of the founders; and
7) other provisions, which are not in conflict with the law.
|
| (2) |
If amendments are made to the rules of procedure, the text of the amendment, as well as the new version of the full text of the rules of procedure shall be submitted to the Enterprise Register. Amendments to the rules of procedure shall acquire legal effect after the registration thereof.
[17 February 2005]
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Section 487. Disputes Resolvable by Arbitration Courts
|
| (1) |
Any civil dispute may be referred for resolution to an arbitration court, with the exception of a dispute:
1) the award of which may infringe the rights or the interests protected by law of such a person as is not a party to the arbitration court agreement;
2) in which a party, albeit even one, is a State or local government institution or the award of the arbitration court may affect the rights of State or local government institutions;
3) which is related to amendments to the Civil Records Registry;
4) which is related to the rights and duties of persons under guardianship or trusteeship or to their interests protected by law;
5) regarding establishment, alteration or termination of property rights in regard to immovable property, if among the parties to the dispute there is a person whose rights to acquire immovable property in ownership, possession or use are restricted by law;
6) regarding the eviction of a person from living quarters;
7) between employees and employers if the disputes has arisen entering into, amending, terminating or implementing an employment contract, as well as in applying or translating provisions of regulatory enactments, collective labour contract or working procedures (individual labour rights dispute); and
8) regarding the rights and duties of such persons as who, up to the taking of the award of the arbitration court, have been declared insolvent. [31 October 2002; 17 February 2005]
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Section 488. Procedural Norms Applicable to Resolution of Disputes
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|
Only the procedural norms provided for in Part D of this Law, except insofar as this Part may otherwise provide, shall be binding on an arbitration court.
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Section 489. Norms of Substantive Law Applicable to Resolution of Disputes
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| (1) |
In resolving a dispute, an arbitration court shall first consider whether the parties have agreed as to what laws or what customary transaction practices their mutual relations are to be adjudicated pursuant to. Such agreement shall apply to the extent it does not conflict with the provisions of Sections 19, 24 and 25 of the Civil Law.
|
| (2) |
If such an agreement does not exist or the arbitration court has found it to be invalid, the law applicable to the legal relations of the parties shall be determined in accordance with the provisions of the Introduction to the Civil Law.
|
Chapter 62 - Arbitration Court Agreement
Section 490. Concept of an Arbitration Court Agreement
|
| (1) |
An arbitration court agreement is an agreement entered into by parties in accordance with the procedures provided for by this Law regarding the referring of a dispute for resolution to an arbitration court. |
| (2) |
Parties may agree to refer a dispute as has arisen or as may arise in the future for resolution to an arbitration court.
|
Section 491. Parties to an Arbitration Court Agreement An arbitration court agreement may be entered into by: |
| (1) |
a natural person who has the capacity to act, irrespective of his or her citizenship and place of residence; |
| (2) |
a legal person registered in Latvia or in a foreign state; or |
| (3) |
other private law subjects.
[17 February 2005]
|
|
Section 492. Form of an Arbitration Court Agreement |
| (1) |
An arbitration court agreement shall be entered into in written form. It may be included in any agreement as a separate provision (an arbitration court clause). |
| (2) |
Such agreement as has been entered into by exchange of letters, faxes or telegrams or utilisation of other means of telecommunication as ensure that the intent of both parties to refer a dispute or a possible dispute for resolution to an arbitration court is recorded, shall also be considered an agreement in writing. |
| (3) |
The agreement may include a stipulation regarding the procedures for resolution of disputes in accordance with the rules of procedure of the arbitration court or with the agreement of the parties. |
| (4) |
An arbitration court agreement may be rescinded or amended pursuant to an agreement in writing between the parties. |
|
Section 493. Validity of an Arbitration Court Agreement |
| (1) |
Persons who have entered into an agreement to refer a dispute for resolution to an arbitration court do not have the right to withdraw therefrom unless the arbitration court agreement has been amended or rescinded pursuant to the procedures stipulated by law or by the agreement. |
| (2) |
An arbitration court agreement shall be in effect so long as the legal relations in connection with which, it has been entered into have not been terminated. |
| (3) |
If an agreement to refer a dispute for resolution to an arbitration court is contained in a contract entered into by parties as a separate provision, such agreement shall be regarded as an independent agreement. If the time period of the contract has expired or the contract has been declared to not be in effect, the agreement to refer a dispute for resolution to an arbitration court shall remain in effect. |
| (4) |
Each party has the right to unilaterally withdraw from the arbitration court agreement, upon notification to the other party thereof, if the parties have not stipulated another time period for examination of the matter by an arbitration court and if one of the following provisions applies:
during the arbitration court proceedings the composition of the arbitration court has not been established, or no procedural activities have been performed, for more than four months;
2) the arbitration court has not completed the examination of the matter with a decision within a period of one year from the initiation of the arbitration court proceedings.
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Section 494. Law Applicable to an Arbitration Court Agreement |
|
If an arbitration court agreement does not stipulate under the laws of what state the validity of such agreement is to be determined, the applicable law for the arbitration court agreement shall be determined in accordance with Sections 19 and 25 of the Civil Law. |
Chapter 63 - Preparation regarding Arbitration Court Proceedings
Section 495. Determination of Jurisdiction regarding Disputes
|
| (1) |
The arbitration court itself shall decide as to jurisdiction regarding a dispute, including in cases where one of the parties disputes the existence or the being in effect of the arbitration court agreement. |
| (2) |
A submission regarding the fact that a dispute is not subject to an arbitration court may be submitted by a party until the day when the time period for submission of a reference expires.
|
| (3) |
An arbitration court may decide a matter regarding determination of jurisdiction over a dispute at any stage of the arbitration court proceedings.
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Section 496. Securing a Claim before the Claim is Raised in Disputes which are Subject to Resolution by an Arbitration Court |
| (1) |
Pursuant to an application by a potential plaintiff, a court may, according to the location of the debtor or the location of the property of the debtor, secure a claim before it is made in accordance with the procedures prescribed in Section 139 of this Law. The same court shall, pursuant to petition by a party or an arbitration court, decide as to setting aside or varying the security for the claim. |
| (2) |
An application for the securing of a claim or an application for varying security for a claim shall not be considered as failure to observe the arbitration court agreement and shall not impede the resolution of a dispute by an arbitration court. [7 September 2006] |
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Section 497. Arbitrators |
| (1) |
An arbitrator is a person who, in conformity with the provisions of an arbitration court agreement and of this Law, is appointed to resolve a dispute. |
| (2) |
Any person having the capacity to act may be appointed as an arbitrator, irrespective of his or her citizenship and place of residence, if such person has agreed in writing to be an arbitrator. |
| (3) |
Arbitrators shall perform their duties in good faith, without being subject to any influence; they shall be objective and independent. |
|
Section 498. Number of Arbitrators |
| (1) |
The number of arbitrators shall be comprised of an odd number. If parties have not agreed as to the number of arbitrators, the arbitration court shall consist of three arbitrators. |
| (2) |
An arbitration court may also consist of one arbitrator, if the parties agree thereto. |
|
Section 499. Appointment of Arbitrators |
| (1) |
The procedures regarding appointment of arbitrators shall be determined by the parties. |
| (2) |
Parties may entrust the appointment of arbitrators to any natural or legal person having the capacity to act. |
| (3) |
If the parties have agreed that a dispute shall be referred to be resolved by a permanent arbitration court, but have not agreed regarding the procedures for the appointment of arbitrators, the arbitrators shall be appointed in accordance with the rules of procedure of the arbitration court, taking into account the equality of the parties. |
| (4) |
If parties have not agreed regarding the referring of a dispute to a permanent arbitration court and the procedure regarding appointment of arbitrators, each party shall appoint one arbitrator who, agreeing between themselves, shall appoint the third arbitrator, who shall be the chairperson of the arbitration court panel.
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Section 500. Dismissal of Arbitrators |
| |
If a party has appointed an arbitrator and has notified the other party thereof, the first party may not dismiss such arbitrator without the consent of the other party.
|
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Section 501. Grounds for Removal of an Arbitrator |
| (1) |
A person who is requested to consent to being appointed as an arbitrator shall disclose to the parties any facts, which could cause well-founded doubt as to the objectivity and independence of such person. If the arbitrator, up to the end of the arbitration court proceeding, knows such facts he or she shall without delay disclose them to the parties.
|
| (2) |
An arbitrator may be removed, if facts exist which cause well-founded doubt as to his or her objectivity and independence, as well as if his or her qualifications do not conform to those agreed by the parties. A party may remove an arbitrator whom it has appointed or in whose appointment it has participated, only where the grounds for removal have become known to such party after the appointment of the arbitrator. |
|
Section 502. Procedures regarding Removal of an Arbitrator |
| (1) |
Parties may agree on the procedures regarding removal of an arbitrator. |
| (2) |
Where a permanent arbitration court is resolving a dispute and the parties have not agreed on the procedures regarding removal of an arbitrator, they shall be determined in accordance with the rules of procedure of the arbitration court. |
| (3) |
Where a dispute is being resolved by an arbitration court which has been established for the resolution of the specific dispute and the parties have not agreed on the procedures regarding removal of an arbitrator, the party which intends to remove an arbitrator, within 15 days from the day the party is informed of the appointment of such arbitrator or becomes informed of a condition mentioned in Section 501 of this Law, shall send to the arbitrators a notice, setting out therein the arbitrator the party wishes to remove and the grounds for the removal. If the arbitrator to whom the removal has been declared does not withdraw from performing his or her duties, the other arbitrators shall decide the issue regarding the removal thereof. If a single arbitrator is resolving the dispute, this arbitrator shall decide the issue regarding the removal. |
Section 503. Termination of Authorisation of an Arbitrator
|
| (1) |
Authorisation of an arbitrator is terminated:
1) if the removal of the arbitrator is accepted;
2) if the arbitrator has refused to resolve the dispute;
3) if the parties agree on the termination of authority of the arbitrator; or
4) upon the death of the arbitrator.
|
| (2) |
Parties may freely agree as to the procedure regarding termination of authority of arbitrators. If the parties have not agreed on the procedure regarding termination of authorisation of arbitrators and a permanent arbitration court examines the dispute, the provisions of the rules of procedure of the arbitration court shall apply.
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Section 504. Appointment of a New Arbitrator |
|
If the authority of an arbitrator is terminated, a new arbitrator shall be appointed in accordance with the procedures prescribed in Section 499 of this Law. |
Chapter 64 - Resolution of a Dispute by an Arbitration Court
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Section 505. Equal Rights of and Adversarial Proceedings between Parties |
|
In resolving a dispute, an arbitration court shall observe the principle of equal rights of and adversarial proceedings between parties. Each party has equal right to express their opinion and defend their rights. |
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Section 506. Determining Arbitration Court Procedures |
| (1) |
Parties have the right to freely determine the procedures of the arbitration court. |
| (2) |
If parties have agreed to refer a dispute for resolution to a permanent arbitration court, but have not agreed as to the arbitration court procedures, the dispute shall be resolved in accordance with the rules of procedure of the permanent arbitration court. |
| (3) |
If an arbitration court, which has been established for the resolution of the specific dispute, resolves a dispute and the parties have not agreed on the arbitration court procedures, the arbitration court shall determine these procedures itself. |
| (4) |
The chairperson of the panel of an arbitration court may independently decide procedural issues, if the parties or the other arbitrators have entrusted him or her with this. |
|
Section 507. Time Periods |
| (1) |
An arbitration court itself shall set procedural time periods, within the limits of the time periods prescribed in Section 493 of this Law.
|
| (2) |
A permanent arbitration court shall observe the procedural time periods stipulated in the rules of procedure of the arbitration court.
|
| (3) |
Procedural time periods in a permanent arbitration court shall be renewed pr extended according to the procedures specified in the rules of procedure thereof.
[17 February 2005]
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Section 508. Place for Resolving a Dispute |
|
Parties have the right to freely determine the place for resolution of a dispute. If the parties have not agreed thereto, the arbitration court shall determine the place for resolution of the dispute. |
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Section 509. Language of the Arbitration Court |
| (1) |
The proceedings of an arbitration court shall be conducted in the official language.
The proceedings may be conducted in another language if the parties have agreed thereto.
|
| (2) |
If any of the participants in the proceedings is not fluent in the language in which the proceedings are conducted, the arbitration court shall summon an interpreter. The arbitration court shall determine the procedures pursuant to which the interpreter services are paid for.
|
| (3) |
An arbitration court may require from parties a translation of any written evidence, or a translation certified by a notary, into the language in which the proceedings is conducted.
|
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Section 510. Representation of Parties |
| (1) |
Natural persons shall conduct their matters in an arbitration court themselves or through their authorised representatives.
|
| (2) |
Matters of legal persons shall be conducted in an arbitration court by their officials who act within the scope of the authorisation conferred pursuant to law, articles of association or by-law, or by other authorised representatives of legal persons.
|
| (3) |
Parties may retain advocates to provide legal assistance during the arbitration court procedure.
[20 June 2001]
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Section 511. Costs of an Arbitration Court Procedure |
| (1) |
Costs of an arbitration court procedure shall include costs relating to the examination of a dispute, as well as fees paid to an arbitrator.
|
| (2) |
The amount of costs of an arbitration court procedure, as well as the term and procedures for payment shall be determined by the arbitration court, taking into account the amount claimed, complexity of the dispute and provisions referred to in the arbitration court agreement./p>
|
| (3) |
An arbitration court, which has been established for the resolution of a specific dispute, shall determine the fees to be paid to an arbitrator after the appointment of the arbitrator provided that the parties have not specified otherwise in their agreement.
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Section 512. Confidentiality of an Arbitration Court Procedure |
| (1) |
Arbitration court sittings shall be closed. Persons, who are not participants in a matter, may be present at an arbitration court sitting only with the consent of the parties.
|
| (2) |
An arbitration court shall not provide to third persons or publish information concerning arbitration court proceedings.
|
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Section 513. Initiation of an Arbitration Court Procedure |
| (1) |
The proceedings in an arbitration court established for the resolution of a specific dispute, if the parties have agreed in the arbitration court agreement on the composition of the arbitration court, or in a permanent arbitration court shall begin from the time of submission of a statement of claim.
|
| (2) |
The proceedings of an arbitration court which has been established for the resolution of a specific dispute, if the parties have not agreed in the arbitration court agreement on the composition of the arbitration court, shall begin from the time of receipt by the defendant of a true copy of the statement of claim and of notification of the appointment of an arbitrator.
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Section 514. Submission of a Statement of Claim
|
| (1) |
A statement of claim shall be submitted to an arbitration court in writing.
|
| (2) |
There shall be set out in the statement of claim:
1) information concerning the parties:
a) for legal persons: their name and location (legal address) and, if known to the plaintiff, their registration number and telephone number; and
b) for natural persons: their given name, surname and place of residence and, if known to the plaintiff, their personal identity code and telephone number;
2) the subject-matter of the claim, the amount claimed and the calculation of the amount claimed;
3) the grounds for the claim and evidence in proof thereof;
4) the claims of the plaintiff; and
5) a list of accompanying documents.
|
| (3) |
A statement of claim shall be accompanied by:
1) the agreement of the parties regarding the arbitration court unless such agreement is contained in an agreement in connection with which the dispute has arisen;
2) the agreement in connection with which the dispute has arisen;
3) the documents referred to by the plaintiff in the statement of claim; and
4) evidence that the statement of claim has been sent to the defendant.
|
| Section 515. Response to a Claim |
| (1) |
A defendant shall submit a response to a claim within the time period specified by the parties or by the arbitration court. The time period for the submission of the response may not be shorter than 15 days, counting from the day of the sending of the request for a response to the claim.
|
| (2) |
The response to a claim shall indicate:
1) whether he or she admits the claim in full or a part thereof;
2) his or her objections to the claim and the justification thereof;
3) evidence, which certify his or her objections to the claim and the justification thereof, as well as the law upon which they are based;
4) requests for the acceptance or request thereof of evidence; and
5) other circumstances, which he or she considers to be important in the examination of the matter.
[17 February 2005] |
|
Section 516. Counterclaim |
| (1) |
Parties may freely agree as to procedures regarding submission of a counterclaim, if the subject of the counterclaim is included in an arbitration court agreement.
|
| (2) |
If parties have agreed to refer a dispute for resolution to a permanent arbitration court, but have not agreed on the procedures regarding submission of a counterclaim, these shall be determined by rules of procedure of the permanent arbitration court.
|
| (3) |
If a dispute is being resolved by an arbitration court established for the resolution of the specific dispute and the parties have not agreed on the procedures regarding submission of a counterclaim, the defendant has the right to submit a counterclaim not later than the expiry of the time period set for the submission of a response.
|
|
Section 517. Amendment and Supplementation of a Claim |
|
Unless otherwise agreed by the parties, a party may amend or supplement a claim during all of the time of the arbitration court procedure, until the resolution of the dispute is commenced. |
| Section 518. Resolution of a Dispute by an Arbitration Court |
| (1) |
An arbitration court, observing the arbitration court agreement entered into by parties, shall hold sittings to hear the explanations and objections of the parties and to examine evidence (oral procedure) or shall resolve a dispute on the basis of the written evidence and submitted materials only (written procedure). The arbitration court shall also organise oral procedure where the parties have agreed on written procedure, but one of the parties, up until the making of the decision, requests oral procedure. |
| (2) |
An arbitration court shall in good time notify parties of an arbitration court sitting. The notification of the first arbitration court sitting shall be sent to the participants in the matter not later than 15 days prior to the sitting if the parties have not agreed to a shorter time period. |
| (3) |
An arbitration court shall acquaint the parties with any submissions, documents and other information, which it has obtained, as well as with expert opinions and other evidence. |
| (4) |
In accordance with the procedures of the rules of procedure of a permanent arbitration court, a decision may be taken regarding the deferment of the resolution of the dispute and other issues without adjudicating the matter according to substance.
[17 February 2005]
|
|
Section 519. Correspondence |
| (1) |
During an arbitration procedure all notifications, applications and other forms of correspondence shall be sent by registered mail or in another manner, recording the fact of it being sent, or shall be delivered to the addressee personally to be signed.
|
| (2) |
Correspondence shall be considered as received, if it is delivered to the addressee personally, or pursuant to the mailing address indicated by the addressee, or to the location (legal address) of a legal person, or to the place of residence of a natural person, but if the address cannot be determined, to the last known address.
|
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Section 520. Consequences, if Parties do not Participate in the Arbitration Procedure |
| (1) |
If a defendant does not submit a response to a claim in accordance with Section 515 of this Law, an arbitration court shall continue the procedure without considering such failure to submit as recognition of the claim, unless provided otherwise by the arbitration court agreement.
|
| (2) |
If parties, without justified cause, fail to attend a viva voce sitting or to submit written evidence, an arbitration court shall continue the procedure and resolve the dispute on the basis of the evidence at its disposal.
|
| Section 521. Evidence |
| (1) |
Evidentiary means in an arbitration court may consist of clarifications by the parties, written evidence, real evidence or expert opinions. |
| (2) |
Evidence shall be submitted by the parties. Each party shall evidence the facts to which they refer as a basis for their claims and objections. An arbitration court may require the parties to submit supplementary documents or other evidence. |
| (3) |
Documentary evidence shall be submitted in the form of an original or of a true copy. If a party submits a true copy of a document, an arbitration court may itself, or pursuant to the request of the other party, require that the original document be submitted. The arbitration court shall return an original document, pursuant to the request of the person who has submitted such document, leaving a certified true copy of it in the materials of the procedure. |
| (4) |
An arbitration court itself shall determine the admissibility and eligibility of evidence.
[17 February 2005] |
| Section 522. Expert-examination |
| (1) |
Unless the arbitration court agreement provides otherwise, an arbitration court, at the request of a party, may order an expert-examination and invite one or several experts. An expert-examination shall be occur only if the party has previously paid for the services of the expert. |
| (2) |
Parties, pursuant to the requirement of the arbitration court, shall submit necessary information or documents and present goods or other articles to an expert. |
| (3) |
Pursuant to the request of a party, an arbitration court shall summon an expert, following the giving of an opinion, to participate in an arbitration court sitting in order to provide explanations and answer questions of the parties concerning the opinion. |
| (4) |
An arbitration court shall determine the procedures regarding distribution between parties of the costs of expert services. [17 February 2005] |
| Section 523. Security for a Claim |
[17 February 2005] |
| Section 524. Procedural Consequences of Withdrawal by a Party |
| (1) |
The fact that a natural person who is a party dies or a legal person who is a party has ceases to exist, shall not of itself terminate an arbitration court agreement if it is not otherwise agreed to by the parties and the disputed legal relations allow the taking over of rights. |
| (2) |
In such case the arbitration court shall stay the arbitration court proceeding until the successor in rights is determined. |
| (3) |
Cession of a claim or assignment of a debt may be the basis for termination of an arbitration court proceeding only in those cases where the arbitration court agreement is cancelled in accordance with the procedures stipulated by law or by the agreement. |
| Section 525. Rights to Object |
| (1) |
If any of the provisions of the arbitration court procedure has been breached or has not been complied with, a party who is participating in the arbitration court proceeding, as soon as such breach has come or ought to have come to their knowledge, shall without delay submit objections in writing to the arbitration court and to the other party. |
| (2) |
The arbitration court shall decide if the objections are well-founded. |
| (3) |
If a party does not submit objections, it shall be deemed that the party has waived the right to raise such objections. |
| Section 526. Minutes |
| (1) |
Minutes of an arbitration court sitting shall be taken only if any of the parties requests it and has paid in remuneration for secretarial services to the arbitration court. |
| (2) |
The minutes shall be taken by the secretary chosen by the arbitration court. |
| (3) |
The minutes shall be signed by all the arbitrators and the secretary. The parties have the right to acquaint themselves with the minutes and within a period of five days after the signing thereof submit in writing comments or objections regarding the minutes. The validity of grounds for objections or the conformity of comments to what has occurred at the sitting shall be decided by the arbitration court. [17 February 2005] |
| Section 527. Storage of Procedure Documents after Completion of the Arbitration Court Procedure |
| (1) |
If a dispute is resolved by a permanent arbitration court, proceedings documents shall remain in storage at the arbitration court for 10 years after the completion of the arbitration court proceedings. The arbitration court shall store the documents in accordance with the archival storage procedures provided for by law. |
| (2) |
If a dispute is resolved by an arbitration court which has been established for the resolution of the specific dispute, procedure documents shall be drawn up in such number of copies as enables their supply in one copy to each party after the completion of the arbitration court procedure. [17 February 2005] |
Chapter 65 - Awards by an Arbitration Court
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| Section 528. Making of Awards by an Arbitration Court |
| (1) |
All awards (decisions and judgments) in an arbitration court, if it consists of more than one arbitrator, shall be made by a majority vote. |
| (2) |
An award of an arbitration court shall come into effect on the day it is made. It may not be appealed and a protest regarding it may not be submitted. |
| Section 529. Settlement |
| (1) |
If parties during an arbitration court procedure enter into a settlement, the arbitration court procedure shall be terminated. |
| (2) |
Parties shall enter into a settlement in writing and set out therein: for legal persons, their name, registration number and location (legal address) and for natural persons, their given name, surname, personal identity number and place of residence, as well as the subject-matter of the dispute and the obligations of each of the parties as they have voluntarily undertaken to perform. |
| (3) |
Pursuant to the request of the parties, an arbitration court, by its decision, shall confirm a settlement provided that the provisions thereof are not contrary to law. Such decision shall have the same legal effect as arbitration court judgments.
[17 February 2005] |
| Section 530. Arbitration Court Judgments |
| (1) |
A judgment of an arbitration court shall be made in writing and it shall be signed by the arbitrators. If the arbitration court consists of several arbitrators, the judgment shall be signed by all the arbitrators, but if any of the arbitrators does not sign the judgment, there shall be set out in the arbitration court judgment the reasons why his or her signature is missing. |
| (2) |
There shall be set out in the judgment:
1) the composition of the arbitration court;
2) the time and place of the rendering of the judgment;
3) information concerning the parties;
4) the subject of the dispute;
5) the reasons for judgment unless otherwise agreed by the parties;
6) the conclusion regarding complete or partial satisfaction of the claim, or the complete or partial dismissal thereof, and the substance of the arbitration court judgement;
7) the amount to be recovered, if the judgment is rendered regarding recovery of money;
8) the specific property and the value thereof, which is to be recovered in the event the property does not exist, if the judgment is rendered regarding recovery of property in specie;
9) by whom, what and within what time period actions are to be fulfilled, if the judgment imposes a duty to fulfil certain actions;
10) what part of the judgment refers to each plaintiff, if the judgment is made for the benefit of more than one plaintiff or what part of the judgment is to be fulfilled by each of the defendants, if the judgment is made against more than one defendant; and
11) the costs of the arbitration court procedure and the allocation of such costs and the costs of legal assistance among the parties.
|
| (3) |
A true copy of the arbitration court judgment shall be sent to the parties. In the case of written proceedings, the true copy of the arbitration court judgment shall be sent to the parties within a period of three days. |
| (4) |
Until the execution of the judgment each party, notifying the other party thereof, may request an arbitration court to:
1) correct any calculation, grammatical or printing error allowed to take place in the judgment. The arbitration court may also correct such errors on its own initiative;
2) explain the judgment. The explanation of the judgment from the time of its making shall become an integral part of the judgment; or
3) make a supplementary judgment within 30 days from the day the judgment is sent, if any of the claims submitted until the making of the judgment has not been decided. If the arbitration court deems the request to be well founded, it shall decide such request by rendering a supplementary judgment.
|
| (5) |
The arbitration court shall decide whether the participation of the parties, in the deciding of such issue by the arbitration court, is necessary. [17 February 2005] |
| Section 531. Procedures regarding Certification of Signatures of Arbitrators on an Award |
|
In a permanent arbitration court the procedures regarding certification of signatures of arbitrators on an award shall be as determined by the rules of procedure of the permanent arbitration court, but in an arbitration court which has been established for the resolution of a specific dispute, prior to an award being issued, the signatures of the arbitrators shall be notarially certified. |
| Section 532. Termination of an Arbitration Court Proceeding |
| (1) |
An arbitration court shall take a decision to terminate an arbitration court proceeding if:
1) the plaintiff withdraws his or her claim and the defendant does not object thereto;
2) the parties agree to terminate the dispute through settlement;
3) the arbitration court agreement has, pursuant to procedures prescribed by law or by the agreement, ceased to be in effect;
4) the arbitration court finds that the arbitration court does not have jurisdiction over the dispute; or
5) a natural person who is one of the parties dies, or a legal person who is one of the parties ceases to exist, and the legal relations do not allow the taking over of rights or the parties have agreed that in such case the procedure is to be terminated.
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| (2) |
If an arbitration court proceeding has been terminated for the reasons set out in Paragraph one, Clause 1 or 2 of this Section, a repeated bringing before an arbitration court or bringing before a court of a dispute between the same parties, over the same subject and on the same basis shall not be permitted. |
| (3) |
If an arbitration court proceeding has been terminated for the reasons set out in Paragraph one, Clause 3 or 4 of this Section, or if a natural person who is one party dies, or a legal person who is one party ceases to exist, and the parties have agreed that in such case the arbitration court proceeding shall be terminated, the parties shall have the right to bring the matter before a court.
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Chapter 66 - Execution of Arbitration Court Awards
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| Section 533. Procedures regarding Execution of Arbitration Court Awards |
| (1) |
An award of an arbitration court is mandatory for the parties and shall be executed voluntarily by them within the time period stipulated in such award. For the voluntary execution of a judgment a time period not shorter than five days shall be determined. |
| (2) |
If an award of a permanent arbitration court is to be executed in Latvia and is not being executed voluntarily, the interested party is entitled to apply to the district (city) court according to the location of the permanent arbitration court with an application for issue of a writ of execution for compulsory execution of the permanent arbitration court award.
[17 February 2005] |
| Section 534. Submission of an Application for Compulsory Execution of an Arbitration Court Award |
| (1) |
An application for the issue of a writ of execution shall be accompanied by:
1) the award of the arbitration court;
2) a document which confirms the agreement in writing by the parties to refer a dispute for resolution to an arbitration court, or a true copy of it certified by a notary;
3) true copies of the application in conformity with the number of the remaining participants in the matter;
4) a document concerning payment of the State fees; and
5) a statement that certifies the declared place of residence of the natural person.
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| (2) |
The documents shall be submitted in the official language or together with a notarially certified translation into the official language. |
| (3) |
At the request of a party, the award of the arbitration court may be returned, substituting therefor a certified true copy.
[31 October 2002; 17 February 2005] |
| Section 534.1 Sending of an Application to Participants in the Matter |
| (1) |
When a court has received an application regarding the issuing of a writ of execution, the application shall without delay be sent to the remaining participants in the matter by registered mail, determining a time period for the submission of written explanations, which is not less than 10 days and longer than 15 days from the day of the sending of the application. |
| (2) |
In the explanation the participants in the matter shall indicate:
1) whether he or she admits the application in full or a part thereof;
2) his or her objections to the application and the justification thereof;
3) evidence, which certify his or her objections and the justification thereof, as well as the law upon which they are based;
4) requests for the acceptance or request thereof of evidence; and
5) other circumstances, which he or she considers to be important in the examination of the application.
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| (3) |
The participant in the matter shall append to the explanation true copies thereof in conformity with the number of the remaining participants in the matter. |
| (4) |
After receipt of the explanation, the judge shall send the true copies thereof to the remaining participants in the matter. |
| (5) |
The non-submission of an explanation shall not be an obstacle for an examination of the issuing of a writ of execution.
[17 February 2005] |
| Section 535. Deciding on Applications regarding Compulsory Execution of an Award by an Arbitration Court |
| (1) |
A decision regarding the issue of a writ of execution or a reasoned refusal to issue such shall be taken by a judge on the basis of the submitted documents without summoning the parties, within a period of 10 days from the day when the time period for the submission of explanations has ended, but if the explanations have been sent to the remaining participants in the matter – within a period of 10 days from the day the explanations were sent. In taking a decision regarding the issue of a writ of execution, the judge shall also decide the issue whether the State fee for the issue of a writ of execution shall be compensated. |
| (2) |
A decision to issue a writ of execution shall come into effect without delay. |
| (3) |
An ancillary complaint may be submitted regarding a decision refusing the issue of a writ of execution within 10 days from the day the plaintiff receives a true copy of the decision. [17 February 2005] |
| Section 536. Grounds for a Refusal to Issue a Writ of Execution |
| (1) |
A judge shall refuse to issue a writ of execution, if:
1) the particular dispute may be resolved only by a court;
2) the arbitration court agreement has been entered into by a person lacking capacity to act;
3) the arbitration court agreement, pursuant to the law applying thereto, has been set aside or declared null and void;
4) the party was not notified of the arbitration court proceedings in the appropriate manner, or due to other reasons was unable to submit his or her explanations, and this significantly has or could have affected the arbitration court proceedings;
5) the party was not notified of the appointment of an arbitrator in the appropriate manner, and this significantly has or could have affected the arbitration court proceedings;
6) the arbitration court was not established or the arbitration court proceedings did not take place in accordance with the provisions of the arbitration court agreement or of Part D of this Law; or
7) the award of the arbitration court was made regarding a dispute which was not provided for in the arbitration court agreement or does not comply with the provisions of the arbitration court agreement, or also issues are decided in it as are not within the scope of the arbitration court agreement. In such case, the writ of execution may be issued for that part of the arbitration court award, which complies with the arbitration court agreement provided that it can be separated from the issues, which are not within the scope of the arbitration court agreement. [17 February 2005]
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| Section 537. Consequences of Refusal to Issue a Writ of Execution |
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After a decision to refuse to issue a writ of execution has come into effect:
1) the dispute may be resolved in a court in accordance with general procedures, if issue of the writ of execution has been refused on the basis set out in Section 536, Clauses 1, 2, 3 and 7 of this Law; or
2) the dispute may be repeatedly referred for resolution to an arbitration court, if the issue of the writ of execution has been refused on the basis of Section 536, Clauses 4, 5 and 6 of this Law.
[17 February 2005] |