Purpose of Recognition Proceedings and Prohibition of Material Review – Public Policy and Fundamental Procedural Principles as Condition for Recognition of Foreign Award – The Time Limit for Rendering an Award Agreed by the Parties Cannot Be Extended by a Decision of the Court of Arbitration (Supreme Court; July 28, 2004)

Judgment of Bulgarian Supreme Court (Върховен съд) No. 630, Civil Case No. 1832/2003 of July 28, 2004 (in H.T.E.K.Co.V.L.L., [Kuwait] v. Т. ЕAD [BUL])

Rationes Decidendi:

The recognition and enforcement of foreign court decisions and foreign arbitral awards represent separate proceedings provided for in the CCP [BUL]. The purpose of these proceedings is not to revisit the merits of the case, but to determine whether the foreign decision complies with the binding provisions of Bulgarian laws and regulations and with public policy.
The maximum length of arbitration proceedings (the time limit within which the arbitral award must be rendered) agreed by the parties cannot be unilaterally extended. This time limit cannot be unilaterally extended by the court of arbitration, nor by the arbitration tribunal.
An arbitral award rendered after the expiration of the time limit agreed by the parties is in breach of the procedure agreed by the parties and results in the expiration of the arbitration agreement (as a condition for arbitration) in consequence of the lapse of time.
The court dismisses the motion for the recognition and enforcement of a foreign arbitral award if the contents of the award and the procedure by which the award was rendered are in conflict with national public policy.
The breach of the principles governing adversarial proceedings and the failure to provide the space necessary for the defense of rights in the proceedings constitute a violation of public policy.

keywords
temporal restriction
party autonomy
adversarial proceedings
time limit for the rendering of an arbitral award
maximum length of arbitration proceedings
seat of arbitration
ICC International Court of Arbitration
general rule
procedural condition
ICC Rules of Arbitration
equality of the parties
arbitral award
ICC arbitration
special rule
purpose of the recognition proceedings
expiration of the time limit
public policy
enforcement of the award
expiration of the arbitration agreement
about the authors

Univ. Professor, Dr.iur., Mgr., Dipl. Ing. oec/MB, Dr.h.c. Lawyer admitted and practising in Prague/CZE (Branch N.J./US), Senior Partner of the Law Offices Bělohlávek, Dept. of Law, Faculty of Economics, Ostrava, CZE, Dept. of Int. and European Law, Faculty of Law, Masaryk University, Brno, CZE (visiting), Chairman of the Commission on Arbitration ICC National Committee CZE, Arbitrator in Prague, Vienna, Kiev etc. Member of ASA, DIS, Austrian Arb. Association. The President of the WJA – the World Jurist Association, Washington D.C./USA.

e-mail: office@ablegal.cz