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Procedure and advantages

Arbirtation courts can settle almost all civil disputes arisen from civil or trade contracts or to adapt the them to new conditions and circumstances, irrespective if the seat of the parties is in Bulgaria or abroad. Excluded from the scope of the authority of the Arbitration court are disputes about alimony, rights or possession of immovable property and labour disputes.

If the contractors prefer the dispute to be resolved by the Arbitration court, necesarry preliminary condition is in the contract to be included an arbitration agreement or clause. The agreement is considered valid if it can be found in correspondence between the parties, exchanged with regards of the negotiations or pertaining to the fulfillment of the contract.

The consent of the parties to refer the dispute to the Arbitration court means that they accept its internal rules, procedures and ordinances.

The plea for absence of authority the for handling the case should be made with the answer of the submitted statement of claim of the plaintiff.

The Arbitration Court can rule on the objection for a lack of authority either by a special ruling or by the decision at the end of the case.

Recommended arbitration clause: ,,All disputes, arising or related to the contract, including those arising from its validity, interpretation, fulfillment or termination, or disputes with regards of filling gaps or adaptation to newly arisen circumstances will be referred to the Arbitration court for resolving further to its rules for resolving of litigations, based on arbitration agreements".

Advantages of the arbitration procedure:

Opportunity to avoid the jurisdiction of the ordinary courts, simplicity and transparency of the procedure. The parties can nominate only arbitrators they know and trust.

The arbitrators are highly qualified lawyers and specialists with a profound knowledge and expertise, which the ordinary courts often does not have;
Fastness and promptitude of arbitration procedure. There is only one instance. The cases finishes as usual within 3 - 5 monts;
The arbitration decision is very stable, because it can be appealed only in a limited number of emergency situations;
The arbitration procedure is significantly cheaper than the ordinary court procedure, all due fees and taxes are paid only in one instance.
The arbitration procedure is strictly confidential.