What will the new developments in the FTZ Arbitration Rules, on interim measures and evidence rules, mean for multinational companies?

With the China (Shanghai) Pilot Free Trade Zone Arbitration Rules that came into effect on May 1, 2014 ("FTZ Arbitration Rules"), the Shanghai International Arbitration Center ("SHIAC") adopts practices of the most renowned international arbitration institutions, and follows trends and developments in international commercial arbitration. The FTZ Arbitration Rules do not only apply to cases related to the China (Shanghai) Free Trade Zone ("FTZ"), they may also apply to cases where parties have agreed to apply the FTZ Arbitration Rules, regardless of the nature of the dispute.

Three days after the effectiveness date of the FTZ Arbitration Rules, the Shanghai No. 2 Intermediate People's Court released guidelines¹ (the "Guidelines") setting out the rules on judicial intervention and assistance in arbitration cases applying the FTZ Arbitration Rules. The Guidelines show the Court's liberal attitude towards the FTZ Arbitration Rules through various provisions: