The Real Risk Of Bias In "Chinese Style" Arbitrations

It is not uncommon for arbitrations conducted in Mainland China to morph from an arbitration to a mediation and then back to an arbitration if a mediated settlement cannot be achieved. Under these types of arbitrations, it is the arbitrator who usually proposes to the parties that mediation should be utilized to assist with the resolution of the dispute, and, of critical significance, the arbitrator takes on the role of mediator. If the mediation fails, the parties resume the arbitral proceedings and the mediator returns to the role of arbitrator.

This hybrid process of dispute resolution, sometimes referred to as "Arb-Med" (or "Med-Arb" where a failed mediation turns into an arbitration), is not confined to Mainland China. For instance, the Singapore Mediation Center ("SMC") and the Singapore International Arbitration Center ("SIAC") have prescribed a procedure to govern disputes that are submitted to the SMC and the SIAC for resolution by Med-Arb. Similarly, there