Arbitration at the SIAC – Costs, Fees and Deposits

 

“Avoid lawsuits beyond all things; they pervert your conscience, impair your health, and dissipate your property.” – Mark Twain

 

 

Rule 34 – Fees and Deposits

Costs of arbitration paid to the SIAC and the Tribunal are quite transparent; they can be found in the Schedule of Fees of the Rules.

The usual course is for the parties to pay toward the deposit in equal amounts. The Registrar can ask that parties make further payment toward the deposit/ cost of the arbitration.

A look at the Schedule of Costs will show that costs are calculated based on the amount claimed. Where this is not quantified, the Registrar will make a provisional estimate of how much the cost of the arbitration will be.

It should be noted that the liability for the fees is joint and severable between the parties. Where one party does not pay its share, the other party may pay the whole.

Where one party fails to make payment as directed, the Registrar may suspend SIAC’s administering the arbitration and the Tribunal may also suspend work. In such case, a time limit may be given for payment failing which the claims will be considered withdrawn. The party is at liberty to commence another proceeding in respect of its claims.

 

35 – Costs of the Arbitration

Unless the parties agree otherwise, the Tribunal shall set out in the Award the total cost of the arbitration and the apportionment of this costs among the parties.

Cost of arbitration would include the Tribunal’s fees and expenses, the SIAC’s expenses and administration fees as well as the cost of any Tribunal-appointed expert.

 

36 – Tribunal’s Fees and Expenses

I set out below the from the SIAC’s website, SIAC’s Administration and Arbitrator’s Fees

 

Administration Fees

Sum in Dispute (S$) Administration Fees (S$)
Up to 50,000 3,800
50,001 to 100,000 3,800 + 2.200% excess over 50,000
100,001 to 500,000 4,900 + 1.200% excess over 100,000
500,001 to 1,000,000 9,700 + 1.000% excess over 500,000
1,000,001 to 2,000,000 14,700 + 0.650% excess over 1,000,000
2,000,001 to 5,000,000 21,200 + 0.320% excess over 2,000,000
5,000,001 to 10,000,000 30,800 + 0.160% excess over 5,000,000
10,000,001 to 50,000,000 38,800 + 0.095% excess over 10,000,000
50,000,001 to 80,000,000 76,800 + 0.040% excess over 50,000,000
80,000,001 to 100,000,000 88,800 + 0.031% excess over 80,000,000
Above 100,000,000 95,000

 

Arbitrator’s Fees

Sum in Dispute (S$) Arbitrator’s Fees(S$)
Up to 50,000 6,250
50,001 to 100,000 6,250 + 13.800% excess over 50,000
100,001 to 500,000 13,150 + 6.500% excess over 100,000
500,001 to 1,000,000 39,150 + 4.850% excess over 500,000
1,000,001 to 2,000,000 63,400 + 2.750% excess over 1,000,000
2,000,001 to 5,000,000 90,900 + 1.200% excess over 2,000,000
5,000,001 to 10,000,000 126,900 + 0.700% excess over 5,000,000
10,000,001 to 50,000,000 161,900 + 0.300% excess over 10,000,000
50,000,001 to 80,000,000 281,900 + 0.160% excess over 50,000,000
80,000,001 to 100,000,000 329,900 + 0.075% excess over 80,000,000
100,000,001 to 500,000,000 344,900 + 0.065% excess over 100,000,000
Above 500,000,000 605,000 + 0.040% excess over 500,000,000
up to a maximum of 2,000,000

 

The non-refundable Case filing fee is S$2,000 for non-Singapore parties and S$2,140 for Singapore parties.

You can actually estimate your fees with the SIAC fee calculator which can be found at:

http://www.siac.org.sg/index.php?option=com_siaccalculator&controller=siaccalculator&task=calculateArb&amtDispute=1000000&numArbitrator=1

 

Where the amount of dispute is $1m and a sole arbitrator is appointed, a parties’ estimated fees are $58,575.00 with the estimated maximum fees being S$78,100.00.

Appointing a panel of three arbitrators changes the fees quite dramatically. Fees are nearly tripled. A parties’ estimated fees are $153,675.00 with the estimated maximum fees being S$204,900.00.

 


* From the SIAC Rules, 6th Edition

 

Please note that this article does not constitute express or implied legal advice, whether in whole or in part. If you have any queries or require legal advice, please contact us at walter@silvesterlegal.com.