GUIDE to TOMAC ARBITRATION

8. ARBITRAL AWARD

Arbitral Award

    When the arbitrators are able to come to a conclusion based upon the documentation, certificates and witness statements, and also upon what they were able to learn from the parties at the oral hearings (where such hearings are to be held), they declare so and the hearings are at an end.

    The arbitral award is in principle drafted within one month after the hearings are declared closed under the Ordinary and Simplified Rules. Under the SCAP Rules, the award will be given promptly thereafter.

Article 39(5) of Arbitration Act provides that "After the arbitral award is made, the arbitral tribunal shall notify each party of the arbitral award by sending a copy of the arbitral award signed by the arbitrators."
    In practice, it is made by certified mail and the certified mail receipt constitutes the certified receipt.

Arbitral Award

ARBITRATION ARISING OUT OF THE DISPUTES
RELATING TO THE TIME CHARTER FOR THE S.S. HEISEI MARU
(CASE No. TOMAC-2014XXX) (Sample)

Claimant (Shipowner) _________(Address, Company Name, Representative)

Respondent (Charterer) _________(Address, Company Name, Representative)

With respect to the dispute between the above parties regarding the time charter for the S.S. Heisei Maru dated 1 December, 2014, the following arbitrators, appointed in accordance with Article 15 of the TOMAC Rules, award as follows as a result of serious discussions.

AWARD

The Respondent is to pay to the Claimant the amount of US$_________ plus interest at 6% per annum from the date of the arbitral award until the date that payment has been completed.
The costs required for the issuance of the arbitral award are __________________and the Claimant shall pay __________________and the Respondent shall pay ____________. *1

FACTS AND ARGUMENTS *2

No. 1 Summary of the Claim and Defense

(Claimant)

The Respondent pay to the Claimant US$_________ ....
The costs of arbitration to be borne by the Respondent.

(Respondent)

Dismissal of Claimant's claims.
The costs of arbitration to be borne by the Claimant.

No. 2 The Arguments of the Parties

1. Common ground

(1) On 1 December, 2014, the Claimant (the shipowner) and the Respondent (the charterer) concluded a 5 year time charter (hereinafter the charter) for the S.S. Heisei Maru (_________________d/t) (hereinafter referred to as the vessel) owned by the Claimant. The charter hire for the first three years of the charter was to be ________ per month and the charter hire for the last 2 years was to be determined by the agreement of the parties.

(2) ________ ...

2. Points in Dispute

(Claimant)

(1) ________ ...

(2) ________...

(3) ________...

(Respondent)

(1)________ ...

(2) ________ ...

No. 3. Evidence

The Claimant submits Claimant's Exhibits No. A-1 to 5

The Respondent submits Respondent's Exhibits No. B-1 to 6.

REASONING

________...
________...
________...
________...

The arbitrators hereby award as above after due consideration of the totality of the arguments of both parties, the documentary evidence, the hearings of both parties and the testimony of________ (witness for the Claimant).

_________, 20___
Place: Tokyo

TOMAC of the JSE: Arbitrator: ______________ (Signature); Arbitrator: ______________ (Signature); Arbitrator: ______________ (Signature)

Explanation of the Arbitration Award

(Note 1.) The apportionment of the arbitral costs is determined by the arbitrators and this decision is incorporated into the arbitral award.
(Note 2.) The arbitrators objectively and simply state what they have gleaned about the case from their analysis of the parties' assertions, documentation, results of the hearings and witness statements..

The above completes the cycle of the arbitral proceedings.

7. DOCUMENTS RELATED TO HEARINGS

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