Insights & Publications
Legal Challenges for Arbitration Award in Mongolian Court

In Law of Mongolia on Arbitration and UNCITRAL Model law on International Commercial Arbitration, there is an absence of stipulation as “Upon arbitration hearing is conducted, a tribunal presents an award to parties upon discussion and resolution”, however, there are existence of detailed procedural rules in other procedural laws and regulations in Mongolia. Under Section 24.5 of MINAC’s Rules on Proceedings (Mongolian International and National Arbitration Center), dated 3 March 2017 (“Rules”), it is stipulated as “after hearing adjourns, a tribunal reviews and discusses a case separately, if necessary, at its initiation, the tribunal may continue with hearing before delivering an award ”. In Section 26.4 of this Rules, it is stated as “a tribunal shall present and introduce to parties content of an award upon deliberation, therefore, parties may not participate in such presentation and introduction of an award. Upon presentation and introduction of an award, a tribunal shall deliver a written award within 14 days”. Arbitration awards may take a long time and even be delayed beyond the expected deadline, resulting in frustration for the parties involved and potentially serious financial consequences. Thus, in some jurisdiction and arbitration bodies, a time limit for the final award is set in order to avoid delays. In MINAC arbitration practice, a section of decision in an award is often orally heard upon hearing, a full written award is delivered within 14 days.

In other hand, there is common term and practice “post-hearing brief” in international arbitration practice. For example, “Post Hearing Briefs in ICSID Proceedings” is defined as “One type of additional briefing that is often considered is the post-hearing brief. The parties may agree on or be invited by the Tribunal to file written post-hearing briefs after a hearing. These could be focused on a specific legal or factual issue raised in the case, address specific questions by the Tribunal, or contain the parties' conclusions from the examination of the witnesses and experts at the hearing.  Sometimes post-hearing briefs will be used in lieu of oral closing arguments.The main purpose of post-hearing briefs is to assist the Tribunal in its deliberations…..” In arbitration proceeding practice at MINAC, Mongolian arbitrators do not give give the parties an opportunity to submission of post hearing briefs despite of the fact that a tribunal with foreign arbitrators at MINAC often provide the parties additional time and opportunity for submission of such briefs in align with international practice.