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ly bears all enforcement qualifications. Pursuant to article 5/1 of the
NewYork Convention, claiming the invalidity of the arbitration clause,
that the appointment of arbitrators is in violation of the procedural law,
that a matter falling out of scope of the arbitration agreement has been
resolved, that all matters raised in the claims have not been addressed
in the award, or that the procedure has been violated shall constitute a
violation of the good faith principle in the event the parties have signed
the Terms of Reference without any reservations.
The parties may not proceed with the annulment of the award for
the reasons specified under the Terms of Reference and signed by the
parties, and may not claim any such reasons at the stage of enforce-
ment of the award.
Conclusion
The Terms of Reference, which has emerged as a result of
increased necessity appearing in the arbitration proceedings, has
become a very paramount document bearing material legal conse-
quences with respect to its function in International Arbitration Law.
The Terms of Reference aims to accelerate the proceedings, ensure
legal security and efficiency by avoiding any potential procedural
issues through determining matters such as revealing the respective
claims and defense of the parties, the means of notification, and lan-
guage of arbitration for the sake of solving the dispute in question.
Furthermore, the parties once more expressly declare their agreement
on the dispute to be resolved under arbitration law, thus preventing any
future objections and challenges to this matter and obtaining an arbi-
tral award, which may be recognized and has enforceability.
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