Enforcing Emergency Arbitral Standstill Orders against Foreign Equity Holding Entities
Offshore equity standstill orders take legal effect once domestic company seat courts convert arbitral awards into domestic injunctions binding share registers.
ICC Emergency Rules
Meaning
A set of procedural provisions that allow a party to an arbitration agreement to seek urgent interim relief before an arbitral tribunal is fully constituted. These icc emergency rules bridge the gap between the filing of a request for arbitration and the appointment of the final arbitrators. An emergency arbitrator is appointed within days to hear the request and issue an order that binds the parties until the main tribunal takes over the case.
Urgent Relief
Typical applications involve requests to freeze assets or preserve evidence. These requests prevent irreparable harm.
Procedural Boundary
Procedural limitation ensures that no party is surprised by an expedited process they did not originally contemplate. These rules apply only to parties who are signatories to the arbitration agreement or their successors. If the arbitration agreement was signed before the current version of the icc emergency rules came into effect, the parties must specifically opt in to use them.
Order Duration
The decision of the emergency arbitrator is issued as an order rather than a final award. While the parties are contractually bound to comply, the main tribunal has the power to modify or vacate the order once it is formed. Compliance is usually high because any violation would prejudice the party’s position in the upcoming main proceedings.