{"id":277471,"date":"2023-08-14T14:00:00","date_gmt":"2023-08-14T12:00:00","guid":{"rendered":"https:\/\/daily.jusconnect.com\/?p=277471"},"modified":"2023-09-20T12:22:40","modified_gmt":"2023-09-20T10:22:40","slug":"enforcement-of-interim-reliefs-outside-the-seat-of-the-arbitration","status":"publish","type":"post","link":"https:\/\/dailyjus.com\/index.php\/2023\/08\/14\/enforcement-of-interim-reliefs-outside-the-seat-of-the-arbitration\/","title":{"rendered":"Enforcement of Interim Reliefs Outside the Seat of the Arbitration"},"content":{"rendered":"\n<h1 class=\"wp-block-heading has-text-align-center\">L&#8217;ex\u00e9cution des mesures \u00e0 titre provisoire rendues par un tribunal arbitral situ\u00e9 \u00e0 l&#8217;\u00e9tranger<\/h1>\n\n\n\n<h2 class=\"wp-block-heading has-text-align-center\">Book Launch Event<\/h2>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>THE AUTHOR:<\/strong><br><a href=\"https:\/\/jusconnect.com\/en\/p\/aecio-filipe-coelho-fraga-de-oliveira\"><strong>A\u00e9cio Filipe<\/strong><\/a>, Associate with the Litigation, Arbitration and French Desk group at <a href=\"https:\/\/jusconnect.com\/en\/d\/profile\/firm\/barbosa-mussnich-aragao\">BMA Advogados<\/a><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<div style=\"height:30px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"wp-block-paragraph\">In recent years, one can observe a progressive evolution of the autonomy of arbitration vis-\u00e0-vis State courts, which reduced the necessity of court intervention to ensure the effectiveness of arbitral proceedings. However, there are still some areas where cooperation between these two jurisdictions is necessary. Particularly, in case of enforcement of interim reliefs outside the seat of arbitration.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When one considers the fact that the parties have constantly been moving their goods around the globe, one can realize how international arbitration proceedings often take place in countries where the parties have neither assets nor commercial operations. Accordingly, parties may seek to enforce foreign interim reliefs in countries other than the one where lies the seat of the arbitration, facing however different challenges to enforce such a measure.<\/p>\n\n\n\n<div class=\"wp-block-media-text alignfull is-stacked-on-mobile\" style=\"grid-template-columns:43% auto\"><figure class=\"wp-block-media-text__media\"><img decoding=\"async\" width=\"322\" height=\"508\" src=\"https:\/\/daily.jusconnect.com\/wp-content\/uploads\/2023\/08\/Picture-1.png\" alt=\"\" class=\"wp-image-277473 size-full\" srcset=\"https:\/\/daily.jusconnect.com\/~www\/wp-content\/uploads\/2023\/08\/Picture-1.png 322w, https:\/\/daily.jusconnect.com\/~www\/wp-content\/uploads\/2023\/08\/Picture-1-190x300.png 190w\" sizes=\"(max-width: 322px) 100vw, 322px\" \/><\/figure><div class=\"wp-block-media-text__content\">\n<p class=\"wp-block-paragraph\">Considering the practical importance of this subject, <em>\u201c<\/em><a href=\"https:\/\/www.editions-harmattan.fr\/livre-l_execution_des_mesures_a_titre_provisoire_rendues_par_un_tribunal_arbitral_situe_a_l_etranger_aecio_filipe_coelho_fraga_de_oliveira-9782140206887-75060.html\"><em>L\u2019ex\u00e9cution des mesures \u00e0 titre provisoire rendues par un tribunal arbitral situ\u00e9 \u00e0 l\u2019\u00e9tranger<\/em><\/a>\u201d, written by <a href=\"https:\/\/jusconnect.com\/en\/p\/aecio-filipe-coelho-fraga-de-oliveira\">A\u00e9cio Filipe Coelho Fraga de Oliveira<\/a> (with a preface by Renato Stpehan Grion and Ana Gerdau de Borja Mercereau), published by L\u2019Harmattan, in Paris, presents bold proposals on how to ensure the effectiveness of these measures worldwide, sparking discussions on the applicability of mechanism known as \u201carbitral letters\u201d.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The launch event, which is supported, among others, by <a href=\"https:\/\/jusmundi.com\/en\">Jus Mundi<\/a>, will be held in S\u00e3o Paulo, <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/br\">Brazil<\/a>, on 16 August, at <a href=\"https:\/\/jusconnect.com\/en\/d\/profile\/firm\/barbosa-mussnich-aragao\">BMA Advogados<\/a>. Registration can be made through this<a href=\"https:\/\/materiais.bmalaw.com.br\/mesa_redonda-execucao_no_brasil_de_tutelas_de_urgencia_arbitrais_estrangeira?utm_campaign=convite_edu&amp;utm_medium=email&amp;utm_source=RD+Station\"> link<\/a>, and the event will include a roundtable discussion between Professors <a href=\"https:\/\/jusconnect.com\/en\/p\/selma-m-ferreira-lemes\">Selma Lemes<\/a>, Suzana Cremasco, <a href=\"https:\/\/jusconnect.com\/en\/p\/andre-de-albuquerque-cavalcanti-abbud\">Andr\u00e9 Abbud<\/a>, and <a href=\"https:\/\/jusconnect.com\/en\/p\/renato-stephan-grion\">Renato Grion<\/a> on the main controversies addressed in the book. In particular, the panelists will address the enforcement in <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/br\">Brazil<\/a> of foreign interim reliefs issued by arbitral tribunals.<\/p>\n<\/div><\/div>\n\n\n\n<p class=\"wp-block-paragraph\">Advancing the dialogues that will take place on 16 August, Jus Mundi was pleased to interview Mr. Oliveira to find out more about the issues he analyzes in his book.&nbsp;<\/p>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Can you explain our readers why the enforcement of \u201cforeign\u201d interim reliefs issued by arbitral tribunals is an important topic?<\/strong>&nbsp;&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Thank you very much <a href=\"https:\/\/jusmundi.com\/en\">Jus Mundi<\/a> and <a href=\"https:\/\/jusconnect.com\/en\/directory\/arbitrators\/all\">Jus Connect<\/a> for this opportunity. It is a great pleasure for me to discuss hot topics related to the enforcement of \u201cforeign\u201d interim reliefs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">First off, it is important to clarify that I refer to \u201cforeign\u201d interim reliefs as interim reliefs enforced in jurisdiction others than the one where the seat of arbitration is located.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As to the importance of this subject, in a globalized world where arbitration is the preferred method of dispute resolution, it is essential for the parties to enforce interim reliefs in countries other than the one where the arbitration is seated. While it is true that, in most cases, these measures are voluntarily complied by the parties, there are situations where they need to be enforced.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">My book reveals, however, that there are real barriers to enforcing such a decision. These challenges commonly revolve around three key issues:<\/p>\n\n\n\n<ol class=\"wp-block-list\" type=\"i\">\n<li>the absence of standardized mechanisms to guarantee the effective enforcement of \u201cforeign\u201d interim reliefs;<\/li>\n\n\n\n<li>the lack of legal provisions regulating such enforcement; or<\/li>\n\n\n\n<li>the restrictions imposed by national law that confine this type of assistance solely to arbitrations conducted within their jurisdiction.<\/li>\n<\/ol>\n\n\n\n<p class=\"wp-block-paragraph\">It became then paramount to bolster research efforts on how to secure the enforcement of such a measure, guaranteeing that arbitration remains the preferred and most reliable avenue for resolving transnational disputes. Indeed, all advantages of arbitration may be called into question if the parties cannot have their rights preserved on a provisional basis or their evidence produced in an urgent situation.<\/p>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>You mentioned that there is a lack of legal provisions on the enforcement of \u201cforeign\u201d interim reliefs issued by arbitral tribunals. Could you explain why?<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The lack of legal provisions on the enforcement of \u201cforeign\u201d interim reliefs seems to result from the fact that this subject has only come to prominence in recent times. Not long ago, we were still discussing whether arbitrators had the power to grant interim reliefs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Although case law and scholars had already recognized such a possibility, in the twentieth century, most national laws and arbitration rules were still silent on this matter. For instance, the Brazilian Arbitration Act (\u201cBAA\u201d &#8211; Law No. 9307 of 1996) was modified eight years ago to explicitly address this matter (<em>See<\/em> BAA, article 22-B).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In parallel to these changes, delocalized arbitrations have become more and more frequent with globalization, which set the perfect stage for parties to seek enforcement of interim reliefs outside the seat of the arbitration.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As this transformative shift has taken place only recently, adequate time has not yet elapsed for the essential adjustments to be made in national laws, arbitration rules, and international conventions.<\/p>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>In this context, could you summarize what is the current Brazilian legal landscape on the enforcement of \u201cforeign\u201d interim reliefs?<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Considering the absence of explicit provisions in the BAA, both recent legal judgments and scholarly works have presented a diverse range of mechanisms that could be implemented in <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/br\">Brazil<\/a> to effectively enforce \u201cforeign\u201d interim reliefs:&nbsp;<\/p>\n\n\n\n<ol class=\"wp-block-list\" type=\"1\">\n<li>the use of letters rogatory;&nbsp;<\/li>\n\n\n\n<li>the enforcement of interim measures through the recognition and enforcement of foreign arbitral awards (\u201cassimilation system\u201d); or<\/li>\n\n\n\n<li>the application of arbitral letter.<\/li>\n<\/ol>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Could you briefly describe these mechanisms?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The assimilation system<\/strong> relies on the enforceability of a foreign arbitral award to make such measures effective abroad. However, interim relief seems incompatible with:<\/li>\n<\/ul>\n\n\n\n<ol class=\"wp-block-list\">\n<li>the inherent characteristics of a final arbitral award,<\/li>\n\n\n\n<li>the grounds for non-recognition that could be raised in an <em>exequatur<\/em> procedure, and<\/li>\n\n\n\n<li>the award\u2019s formal requirements.<\/li>\n<\/ol>\n\n\n\n<p class=\"wp-block-paragraph\">Although a recent decision issued by the Brazilian Superior Court of Justice (\u201cBSCJ\u201d) may have created room for its use in Brazil, it also showed that this system does not ensure a flexible and speedy enforcement of interim reliefs, as it may take months or years to enforce this type of decision in Brazil.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>A letter rogatory<\/strong> is a formal request from a State court to another for international cooperation, including for enforcement of interim reliefs.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Letter rogatory is mostly used in favor of interim reliefs issued by foreign State courts, but there are cases prior to the amendment of the BAA and the Brazilian Code of Civil Procedure (\u201cBCCP\u201d) in 2015 where this mechanism has been employed to enforce interim reliefs issued in arbitral proceedings. However, recent case law shows that arbitral tribunals cannot directly transmit interim relief orders to <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/br\">Brazil<\/a> via letters rogatory. Rather, State courts of the arbitration\u2019s seat are the competent court to transmit such a request. Accordingly, the time required for the enforcement of a foreign interim relief is the strongest argument against the compatibility of letters rogatory with the parties&#8217; needs. In the absence of international conventions, the letter rogatory is transmitted through diplomatic channels and is subject to <em>exequatur<\/em> procedure before the BSCJ, which may take months or years to be enforced.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Arbitral letters<\/strong> are, by nature, a mechanism to request judicial assistance in aid of arbitral proceedings. Since 2015, the BAA and the BCCP provided the parties with this <em>sui generis<\/em> enforcement system of arbitral tribunals&#8217; interim reliefs.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Unlike letters rogatory, arbitral tribunals can transmit arbitral letters directly to Brazilian local courts where the interim relief must be carried out (instead of submitting them to an <em>exequatur<\/em> procedure before the BSCJ). However, while there is no doubt about the applicability of arbitral letters to arbitrations seated in Brazil, it is still not clear whether this mechanism would be available to arbitration proceedings seated internationally.<\/p>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>In your opinion, what is the most adequate measure to ensure the effectiveness of arbitral tribunal\u2019s interim reliefs in Brazil?<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">In my opinion, arbitral letters are the only tool able to ensure the effectiveness of \u201cforeign\u201d interim reliefs. By considering interim reliefs as an order, this mechanism avoids many uncertainties related to the compatibility of this measure with the concept of an award, while it provides a procedure tailored to the parties\u2019 needs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Arbitral letters should be adopted <em>ex vi legis <\/em>not only in <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/br\">Brazil<\/a> but worldwide. For instance, <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/ch\">Switzerland<\/a> and <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/hk\">Hong Kong<\/a> have already done. <a href=\"https:\/\/jusmundi.com\/en\/d\/profile\/state\/de\">Germany<\/a> is currently discussing the revision of its arbitration act to address this issue.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If you would like to better understand my position and all the controversies related to this matter, I invite you all to come to my book launch, read my book and share your feedback!<\/p>\n\n\n\n<div style=\"height:30px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/jusconnect.com\/en\/p\/aecio-filipe-coelho-fraga-de-oliveira\"><strong>A\u00e9cio Filipe<\/strong><\/a> is an Associate with the Litigation, Arbitration and French Desk group of <a href=\"https:\/\/jusconnect.com\/en\/d\/profile\/firm\/bma-advogados\"><strong>BMA Advogados<\/strong><\/a>. A\u00e9cio worked in London and in Paris as a Foreign Lawyer with the international arbitration group of <a href=\"https:\/\/jusconnect.com\/en\/d\/profile\/firm\/wilmerhale-1\">Wilmer Cutler Pickering Hale and Dorr LLP<\/a> and <a href=\"https:\/\/jusconnect.com\/en\/d\/profile\/firm\/herbert-smith-freehills\">Herbert Smith Freehills<\/a>. He is trained in French and Brazilian law and graduated from the University of Paris I: Panth\u00e9on \u2013 Sorbonne with honours (Master\u2019s degree in International Private Law and International Commerce, cum laude). A\u00e9cio obtained equivalence of his master&#8217;s degree held at the Universit\u00e9 de Paris I: Panth\u00e9on-Sorbonne before the Federal University of Minas Gerais (UFMG). He took part of his thesis&#8217; research at Universit\u00e4t Hamburg, Germany, as a visiting researcher. He holds a bachelor&#8217;s degree in Brazilian Law from UFMG (LL.B.).<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n","protected":false},"excerpt":{"rendered":"<p>Parties usually face different challenges when seeking the enforcement of foreign interim reliefs outside the seat of the arbitration. In his book, A\u00e9cio discusses the barriers and also some mechanisms adopted in Brazil. Learn more. <\/p>\n","protected":false},"author":4,"featured_media":277477,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":{"subtitle":"","format":"standard","video":"","gallery":"","source_name":"","source_url":"","via_name":"","via_url":"","override_template":"0","override":[{"template":"custom","single_blog_custom":"274736","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"author","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"hide","share_float_style":"share-monocrhome","show_share_counter":"0","show_view_counter":"0","show_featured":"1","show_post_meta":"1","show_post_author":"0","show_post_author_image":"0","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_category":"0","show_post_reading_time":"0","post_reading_time_wpm":"300","show_zoom_button":"0","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"0","show_prev_next_post":"0","show_popup_post":"0","number_popup_post":"1","show_author_box":"0","show_post_related":"0","show_inline_post_related":"0"}],"override_image_size":"0","image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post":"0","trending_post_position":"meta","trending_post_label":"Trending","sponsored_post":"0","sponsored_post_label":"Sponsored by","sponsored_post_name":"","sponsored_post_url":"","sponsored_post_logo_enable":"0","sponsored_post_logo":"","sponsored_post_desc":"","disable_ad":"0"},"jnews_primary_category":{"id":"210","hide":""},"jnews_social_meta":{"fb_title":"Enforcement of Interim Reliefs Outside the Seat of the Arbitration","fb_description":"Parties usually face different challenges when seeking the enforcement of foreign interim reliefs outside the seat of the arbitration. In his book, A\u00e9cio discusses the barriers and also some mechanisms adopted in Brazil. Learn more. 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