Proceedings at TIAC (Tashkent International Arbitration Center)

Uzbekistan is actively integrating into international relations, aiming to create a more attractive business climate for foreign companies. One significant step in this direction has been the large-scale reform of international arbitration, as well as the establishment of the Tashkent International Arbitration Center (TIAC). This initiative aims to simplify dispute resolution and enhance legal certainty for investors, which undoubtedly contributes to strengthening trust in the Uzbek market.

In this article, our specialists, who have experience in proceedings both in Uzbekistan and Kazakhstan, as well as in European arbitration courts, will share useful information on how to effectively conduct cases at TIAC. We will discuss key aspects to consider when filing a claim and provide recommendations for preparing for the process. It is important to note that successful arbitration requires not only a deep understanding of legal nuances but also a strategic approach to document preparation and argumentation of one’s position.

If you have any questions after reading the article or need further consultation, please do not hesitate to contact our lawyers. We are ready to help you navigate all aspects of the arbitration process and provide reliable legal support at every stage.

What is TIAC and what are its advantages?

As this arbitration center is relatively young, it is necessary to clarify what this judicial body is and why we recommend turning to it in case of disputes.

The Tashkent International Arbitration Center (TIAC) was established in 2018 with the aim of ensuring effective and independent resolution of commercial disputes, as well as enhancing the investment attractiveness of Uzbekistan. The center is located in the capital of the country, Tashkent, and serves as a modern platform for arbitration proceedings that meets international standards.

TIAC is intended to become an important tool for both foreign and local investors, providing them with the opportunity to resolve disputes in a convenient and secure environment. The main task of the center is to ensure transparency and fairness in the arbitration process, which helps to strengthen trust in the legal system of Uzbekistan. An important aspect of TIAC’s activities is its commitment to integrating into global arbitration practice.

What are the advantages of TIAC:

1. Impartiality (proceedings at TIAC are conducted based on the principle of collegiality, which guarantees the objectivity and impartiality of the decisions made, the collective approach to decision-making helps avoid the influence of personal opinions and preferences of individual arbitrators, ensuring a fair consideration of cases)
2. Professionalism of arbitrators (TIAC prides itself on having highly qualified arbitrators who are distinguished scholars and practitioners in the fields of law and international trade – for example, Professor Emilia Onyema from Queen Mary University of London)
3. Confidentiality (one of the key advantages of TIAC is the strict protection of the confidentiality of all procedures and materials related to arbitration, which provides reliable protection for the reputation of the parties involved)
4. Wide geographic representation (TIAC offers a unique opportunity for parties from various countries, including CIS states, Turkey, and even the Philippines, to participate in arbitration proceedings.)

An important feature that distinguishes TIAC from all other arbitration centers around the world is that no administrative fees will be charged, significantly simplifying the entire process. We will discuss this in more detail later.

What should you do to have your dispute resolved by TIAC?

The freedom of will of the parties in international contracts is one of the fundamental principles that ensure flexibility in business relations in the global market. This principle allows the parties to independently determine in which jurisdiction and in what manner potential disputes arising during the performance of contract obligations will be resolved.

To exercise this right, the parties must include a relevant clause in the text of the contract itself. This clause, known as an «arbitration clause», clearly indicates the preferred dispute resolution procedure, whether it be arbitration or litigation, as well as the specific arbitration institution or court that will be authorized to resolve disputes.

If you wish to take advantage of TIAC and resolve your potential dispute there, you should include a clause with the following wording during the contract drafting stage:

All disputes arising out of or in connection with the present contract, including any question regarding its existence, validity or termination, shall be referred to and finally settled under the Rules of Arbitration of the Tashkent International Arbitration Centre (TIAC). The seat of arbitration shall be […]. The number of arbitrators shall be [please choose one or three]. The language of arbitration shall be […].

As you may have noticed, this clause not only refers to the Tashkent International Arbitration Centre but also contains provisions regarding the seat of arbitration, the number of arbitrators, and the language of arbitration.

Regarding the number of arbitrators, according to TIAC’s Regulations, you have the option to choose either one arbitrator or three. Both sole and collegial consideration of disputes have their advantages and depend on the complexity of the case; therefore, we recommend consulting specialists at this stage who can evaluate your contract and determine the appropriate number of arbitrators.

You can choose any language for arbitration. If you cannot agree with your counterparty on the language of proceedings, then according to the Regulations, the language of the arbitration agreement will be used. If the contract was drafted in two languages and the parties did not reach a compromise, then the decision on the language remains with the arbitrators. English is considered a universal language (it is also one of the official languages of TIAC). Our specialists, having extensive experience in protecting clients’ interests in arbitrations worldwide, are fluent in English and ready to assist you at any stage of the proceedings.

Thus, by determining the dispute resolution mechanism in advance, parties not only minimize risks associated with uncertainty and delays but also create conditions for a more effective and professional resolution of conflicts.

How does the arbitration process begin and unfold?

If you have a dispute with your counterparty and the pre-trial procedure has led to no results, the only way to protect your interests is through arbitration.

To initiate the arbitration process, you, as the claimant, need to submit a request for arbitration. This can be done remotely through a special electronic form. You simply need to enter your email address, the name of your organization, the country of registration of the organization, and the address. You will also need to provide details about your representative, if you have one. Don’t forget to include information about the respondent (your counterparty).

To confirm that your arbitration agreement provides for arbitration at TIAC, you will be required to upload a copy of the contract with the arbitration clause. At the final stage, you will be asked to decide on procedural matters (choose the place of arbitration, language of the proceedings, applicable law, circumstances of the dispute, and so on).

Make sure to provide a valid email address, as you will receive confirmation from the TIAC Secretariat regarding the acceptance of your application and a request to pay the registration fee.

Most arbitration centers around the world charge parties arbitration and registration fees. The registration fee is the charge levied by the arbitration institution upon filing a claim for registering a case and starting the arbitration process. The arbitration fee covers the services of the arbitrators and administrative expenses of the arbitration institution. Typically, the amount of arbitration fees depends on the value of the dispute and is determined by the regulations of a specific arbitration institution.

TIAC, as a modern arbitration center, adheres to a zero-arbitration fee policy. This means that you only need to pay the arbitrators’ fees and the registration fee. The registration fee is fixed at $950 (or $1,450 for expedited proceedings).

You can determine the cost of the arbitrators’ fees using a special calculator. You only need to enter the claim amount in dollars, select the type of proceedings (standard or expedited), and specify the number of arbitrators.

A key stage in any arbitration is the consideration of the case on its merits. At this stage, each party has the opportunity to present its viewpoint, justify its claims, and refute the arguments of the opponent. The presentation of evidence plays a crucial role: you may refer to documents, witness testimonies, and expert opinions. The arbitrators ask questions to clarify positions and evaluate the submitted materials.

Upon completion of the hearing stage, the arbitrators render their decision, and within one month after declaring the arbitration closed, they send this decision to TIAC. The next stage is enforcement of the decision. If the respondent’s property (the losing party) is located in Uzbekistan, you need to contact the Bureau for Enforcement under the General Prosecutor’s Office of Uzbekistan. Local enforcement officers will assist you in recovering your debtor’s property.

If the respondent’s property is located in another country, enforcing TIAC’s decision will also be straightforward. Most countries in the world, including Uzbekistan, are parties to the 1958 New York Convention. This means they recognize and enforce decisions from foreign arbitration centers, including TIAC. If you need consultation to promptly and fully enforce the arbitrators’ decision, feel free to reach out to our lawyers.

Can you participate in the proceedings remotely?

The Tashkent International Arbitration Centre meets all international standards for conducting arbitration, including providing the opportunity for remote hearings using modern tele- and video-conferencing technologies. This approach offers significant advantages for both the parties involved in the dispute and the entire arbitration process.

Firstly, it eliminates the need for participants to be physically present at the arbitration institution, which saves considerable time and resources. Participants can attend hearings from anywhere in the world, which is particularly relevant in today’s globalized business environment. Secondly, remote hearings facilitate a more prompt resolution of disputes, allowing parties to avoid delays related to travel and logistics.

Thanks to the possibility of remote participation, our lawyers can effectively represent clients’ interests across various jurisdictions, as evidenced by our successful experience in arbitrations in both Europe and China. We take pride in being able to represent clients from different continents simultaneously, providing them with high-quality legal support and protecting their rights in international arbitration practice.

What can we offer you?

In this article, we have detailed the advantages of the Tashkent International Arbitration Centre, which has established itself as an effective and reliable tool for resolving commercial disputes.

If you have decided to protect your business interests at TIAC, we are happy to offer our assistance at every stage of this process. Our team of professionals is ready to provide comprehensive support—from preparing and filing claims to ensuring the enforcement of arbitration decisions. We understand that each case is unique, and therefore we approach every matter with the utmost attention and professionalism.

Contact us, and we will help you confidently navigate all stages of the arbitration proceedings, ensuring the protection of your rights and interests at the highest level.