Commercial disputes do not necessarily have to be resolved before state courts. If the parties have agreed on arbitration, their dispute can instead be decided by an independent arbitral tribunal. One of the leading arbitration institutions in Austria and Central and Eastern Europe is the Vienna International Arbitral Centre (VIAC).
VIAC administers domestic and international arbitration proceedings under the Vienna Rules. The current Vienna Rules 2021, in the version effective since 1 January 2025, provide the procedural framework for matters including the constitution of the arbitral tribunal, the place and language of arbitration, applicable law, evidence, hearings, interim measures and the arbitral award.
When does VIAC arbitration apply?
VIAC arbitration generally requires an arbitration agreement between the parties. In commercial contracts, this will often be an arbitration clause providing that disputes arising from the contractual relationship are to be decided under the VIAC Arbitration Rules instead of by a state court.
The dispute is then decided by an arbitral tribunal specifically constituted for the individual case. The tribunal may consist of one or three independent arbitrators. Unlike proceedings before a state court, the parties have significant influence on who is appointed to decide their dispute. This allows the parties to select arbitrators whose experience is appropriate for the case, for example lawyers or other suitably experienced professionals with particular knowledge of commercial transactions, international disputes or a specialised field relevant to the proceedings.
How does a VIAC arbitration proceed?
The proceedings generally begin with the claimant submitting a Statement of Claim. The respondent can then submit an Answer and may also bring a counterclaim. The arbitral tribunal is constituted and subsequently conducts the proceedings within the framework of the parties’ arbitration agreement and the Vienna Rules.
Depending on the case, the proceedings may involve written submissions, documentary evidence, witnesses, experts and an oral hearing. Compared with proceedings before state courts, arbitration gives the parties greater procedural flexibility and substantially more influence over the selection of the persons who ultimately decide their dispute. The Vienna Rules also provide mechanisms for interim measures and expedited proceedings.
Another important advantage is privacy. Arbitration hearings are generally not public, which may be particularly valuable where commercially sensitive information, confidential contractual arrangements or ongoing business relationships are involved.
Arbitration can also provide a faster and more focused route to a final decision. The procedure can be organised around the requirements of the particular dispute, and an arbitral award is generally not subject to the ordinary system of appeals on the merits applicable to judgments of state courts. Depending on the circumstances, this can enable a dispute to reach a binding conclusion considerably faster than litigation through several court instances.
The arbitral tribunal ultimately decides the dispute by issuing an arbitral award, which is binding on the parties.
Cómo podemos ayudarte
We advise and represent clients throughout VIAC arbitration proceedings, particularly in international and cross-border commercial disputes.
Our assistance can begin before proceedings are initiated. We assess arbitration agreements and potential claims, advise on procedural strategy and assist clients with the selection of suitable arbitrators. We prepare claims, statements of defence, counterclaims and other written submissions, coordinate documentary, witness and expert evidence and represent clients at hearings before the arbitral tribunal.
We can also advise on jurisdictional issues, applicable law, interim measures and the recognition and enforcement of arbitral awards.
Where a dispute involves several countries, our international and multilingual team can coordinate the relevant legal and factual issues across jurisdictions. This is particularly useful where contractual relationships, parties, evidence or assets are located in different countries.