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Objection regarding a Dispute being Non-Arbitrable

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Att. Selen Ozturk

Introduction

Arbitration is based on the principle of the resolution of disputes

arising between the parties by arbitral tribunals instead of national

courts, and it is an accepted and frequently preferred alternative dis-

pute resolution method. However, not all disputes may be resolved by

arbitration. Within this context, the determination as to whether a dis-

pute may be resolved by arbitration is defined as arbitrability.

Arbitration is possible in situations where the dispute is definite and

the matter of the dispute is arbitrable.

Arbitrability is regulated under Art. 408 of the Civil Procedure

Code No. 6100 (“CPC”). Pursuant to said article, disputes arising out

of rights

in rem

over immovable properties or disputes, which are not

subject to the will of the parties, are not arbitrable. Moreover,

International Arbitration Law No. 4686 (“IAL”) comprises provisions

regarding arbitrability. As per Art. 1/4 IAL, IAL shall not be applied to

disputes resulting from rights

in rem

over immovable properties and

disputes which are not dependent on the will of the parties.

This article shall briefly examine the notion of arbitrability, the

persons/parties that may raise an objection regarding the dispute being

non arbitrable, the institution/authority authorized to examine this

objection, the scope of the examination by the courts in the event of an

objection as such and the time when the objection may be asserted.

Arbitrability

Arbitrability is the notion provided by states to determine which

disputes may be resolved by arbitration. Accordingly, arbitrability may

182

NEWSLETTER 2014

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Article of June 2014