Case of the Week: When is the Right Time for a Court Review of Arbitrator Appointments?

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OLG MünchenIn arbitral proceedings, the jurisdiction of the state courts is limited (Section 1026 Code of Civil Procedure; Zivilprozessordnung, ZPO). On the one hand, while the arbitral proceedings are ongoing, the courts have powers to assist during the arbitral proceedings by deciding on the appointment and the challenge of arbitrators (Sec 1035 to 1039 ZPO). They can also to step in where the arbitral tribunal lacks jurisdiction and support the taking of evidence (Section 1050 ZPO). On the other hand, the state courts are competent to review the legality of the arbitral proceedings and the award once the proceedings have been concluded (Section 1059 ZPO).

The issue before the Munich Court of Appeals (Oberlandesgericht) earlier this year was whether a dispute between parties to an arbitration about the effectiveness of an arbitrator’s appointment can be decided during the arbitral proceedings on the basis of Sec 1035 para. 4 ZPO, or whether such a decision has to wait until the arbitral proceedings have been concluded and an award has been made.

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Case of the Week: To Translate or not to Translate? – Pitfalls under the EU Service Regulation

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LaPoste-Briefkasten (1)Until recently, a lawyer issuing proceedings in a German court against a foreign party could, as a matter of principle, assume that she had done everything necessary to suspend the statute of limitations or otherwise comply with an applicable time limit if two requirements were met: First, she had to file the statement of claim (Klageschrift) with the court in good time. Secondly, upon the court’s request the claimant had to immediately pay the advance on court as well as an advance on costs, if any, for a translation for service abroad. If these requirements were met. then service was deemed to have taken place on the date of filing the statement of claim with the court pursuant to Section 167 ZPO (Zivilprozessordnung; Code of Civil Procedure). Continue reading

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Case of the Week: Litigating in the Shadow of Brexit

BrexitThis week, yet another Brexit deadline expired without additional clarity as to when and on what terms Brexit will occur. This creates uncertainties, which affect business relations with British parties, and impact, amongst many other fields, civil litigation. So in this week’s Case of the Week, we present the three cases I know of in which German courts had to decide on Brexit-related issues. The cases deal with security for costs, the validity of choice of court agreements and with freezing orders in a Brexit context.  Continue reading

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