In 1981, an international working group was formed with the objective of creating a model law for commercial arbitration. The goal was to develop a framework for utilization as a reference for domestic legislation by nations aiming to establish a contemporary legal structure promoting commercial arbitration. The Model Law was formally adopted by the United Nations Commission on International Trade Law (UNCITRAL), on June 21, 1985.
The United Nations Commission on International Trade Law, sometimes known as the Model Law, provides the basis of Ontario’s statute for the International Commercial Arbitration Act, 2017, S.O. 2017, c. 2, Sched. 5. In 1986, Canada was the first country to adopt the Model Law with the federal Commercial Arbitration Act, and British Columbia was the first jurisdiction in the world to adopt the Model Law with the enactment of the International Arbitration Act.
Today, legislation based on the Model law has been adopted in 118 jurisdictions around the world.
Notably, in 2024 of four (4) countries adopted legislation based on the Model Law process:
- Azerbaijan;
- Guyana;
- Israel; and
- Malawi.
The steady increase in the number of jurisdictions implementing the Model Law legislation indicates a deeper alignment of national laws across all aspects of the commercial arbitration process. This process encompasses the arbitration agreement as well as the recognition and enforcement of commercial arbitration awards obtained in one jurisdiction by the courts of another, for example in Ontario. Legal professionals participating in international arbitration should make it a practice to examine the United Nations Commission on International Trade Law website for any updates on a regular basis.
The lawyers at Gilbertson Davis LLP have experience with commercial litigation claims, and civil litigation matters, including commercial arbitration and the enforcement of international arbitration awards in Ontario . Please contact Gilbertson Davis LLP to schedule a consultation with one of our lawyers.
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