Arbitration Rules

1. The name of the arbitration court is Rīgas apgabala šķīrējtiesa (hereinafter, the "Arbitration Court"). The Arbitration Court is a permanent arbitration court established to ensure the resolution of civil disputes subject to arbitration. The Arbitration Court is registered in the Arbitration Court Register of the Enterprise Register of the Republic of Latvia under No. 40003760582.

2. Translation of the name of the Arbitration Court into Russian: Рижский окружной третейский суд. Translation of the name of the Arbitration Court into English: Riga District Arbitration Court.

3. Founder of the Arbitration Court: Association "RDAC", registration No. 40008232684.

4.Website of the Arbitration Court: www.rigasast.lv

1. The Arbitration Court shall resolve any civil dispute, provided that the parties have voluntarily agreed upon and concluded an agreement to refer the dispute to the Arbitration Court (arbitration agreement), except for a dispute:

1) the adjudication of which might infringe the rights of a person who is not a party to the arbitration agreement;

2) in which at least one of the parties is a State or local government institution, or in which an arbitral ruling might affect the rights of a State or local government institution;

3) related to entries in the civil status records;

4) concerning the rights and obligations, or interests protected by law, of persons under guardianship or trusteeship;

5) concerning the establishment, amendment or termination of rights in rem in respect of immovable property, if a party to the dispute is a person whose right to acquire immovable property in ownership, possession or use is restricted by law;

6) concerning the eviction of a natural person from residential premises;

7) between an employee and an employer, if the dispute has arisen in concluding, amending, terminating or performing an employment contract, or in applying or interpreting legal norms, the provisions of a collective agreement or working procedure regulations (individual labour rights dispute);

8) concerning the rights and obligations of persons in respect of whom insolvency proceedings have been declared.

2. The Arbitration Court shall not resolve disputes related to matters to be examined under special forms of procedure.

1. If the parties have agreed in writing that disputes relating to a specific contract shall be referred to Riga District Arbitration Court (arbitration agreement), such disputes shall be resolved in accordance with Part D "Arbitration Court" of the Civil Procedure Law of the Republic of Latvia, the Arbitration Law, these Rules and the agreement of the parties.

2. In resolving a dispute, the Arbitration Court shall first consider whether the parties have agreed on the laws or trade usages by which their mutual relations are to be governed. Such an agreement shall be valid insofar as it does not contradict Sections 19, 24 and 25 of the Civil Law.

3. If the parties have not agreed on the laws or trade usages by which their mutual relations are to be governed, or if the Arbitration Court has declared such an agreement invalid, the law applicable to the legal relations of the parties shall be determined in accordance with the Introduction to the Civil Law of Latvia and Regulation (EC) No 593/2008 of the European Parliament and of the Counci

The work of the Arbitration Court shall be directed by the Chairperson of the Arbitration Court, who shall perform the functions laid down in these Rules.

1. An arbitration agreement is an agreement to refer for resolution by arbitration a dispute which has already arisen or which may arise in the future.

2. An arbitration agreement may be concluded by a natural person having the capacity to act, irrespective of citizenship and place of residence, and by a legal person registered in Latvia or abroad or any other subject of private law.

3. An arbitration agreement shall be concluded in writing. It may be included as a separate provision (arbitration clause) in any contract containing an obligation in connection with which a civil dispute has arisen or may arise, taking into account the restrictions laid down in Article 2 of these Rules. An arbitration agreement shall be amended or cancelled by written agreement of the parties.

4.An agreement concluded by the parties by exchanging any of the following shall also be deemed to be a written agreement:

1)postal items;

2) messages sent by means of electronic communication;

3) a statement of claim and an explanation regarding the claim, in which one party asserts the existence of an arbitration agreement and the other party does not deny it.

5. When concluding an arbitration agreement, the parties may additionally agree on the number of arbitrators in the Arbitral Tribunal, subject to Article 13 of these Rules, the procedure for the arbitral proceedings, oral or written proceedings, the place of the arbitral proceedings, the language of the arbitral proceedings, the procedure for covering the costs of arbitration, the applicable law and other matters in accordance with the law.

6. If the parties have agreed to resolve a dispute by arbitration but have not specified a particular arbitration court, and the claimant has filed a claim with Riga District Arbitration Court, the dispute shall be subject to the jurisdiction of Riga District Arbitration Court if the other party consents thereto. Such consent shall be deemed to have been received if the other party has not raised objections within 20 days from the date on which the relevant notice of Riga District Arbitration Court was sent.

1. Persons who have concluded an agreement to refer a dispute to the Arbitration Court for resolution shall not be entitled to withdraw from it, unless the arbitration agreement has been amended or cancelled in accordance with the procedure laid down in the Arbitration Law or in the agreement.

2. An arbitration agreement shall remain in effect as long as the legal relationship in connection with which it was concluded has not been terminated.

3. If an agreement to refer a dispute to the Arbitration Court for resolution is included as a separate provision in a contract concluded by the parties, such agreement shall be regarded as an independent agreement. If the contract has expired or has been declared invalid, the agreement to refer the dispute to the Arbitration Court shall remain in effect.

4. Upon assignment of a claim, the right of claim shall pass to the assignee, but not the arbitration clause contained in the contract regarding the examination of a civil dispute by the Arbitration Court. Assignment of a claim shall constitute grounds for terminating the arbitral proceedings, unless the parties have agreed anew on the examination of the civil dispute by the Arbitration Court.

1. The Arbitration Court shall send the documents it has prepared (awards, decisions, notices, etc.) by post or by electronic mail. Documents prepared and submitted to the Arbitration Court by a party (statement of claim, statement of defence (response to the claim), etc.) shall be sent by the Arbitration Court to the other party by post or by electronic mail, or the Arbitration Court shall notify the other party of their receipt at the Arbitration Court and of the opportunity to examine them.

2. The documents referred to in paragraph 1 of this Article shall be sent to a natural person by registered post to his or her declared place of residence or, if an additional address is indicated in the declaration, to the additional address, unless the natural person has indicated another address for correspondence with the Arbitration Court; to a legal person they shall be sent to its legal address.

3. The documents referred to in paragraph 1 of this Article shall be sent by electronic mail if the party has notified the Arbitration Court that it agrees to the use of electronic mail for correspondence with the Arbitration Court. In such a case, the Arbitration Court shall send the documents to the electronic mail address indicated by the party. If the Arbitration Court establishes technical obstacles to sending documents by electronic mail, they shall be sent by registered post.

4. Notice of the first hearing shall be sent to the parties by registered post not later than 15 days in advance, unless the parties have agreed on a shorter time limit.

5. The documents referred to in paragraph 1 of this Article shall be deemed received on the date of delivery if they have been delivered and handed to the addressee in person. If they have been sent by post, they shall be deemed received on the seventh day after the date of posting; if they have been sent by electronic mail, they shall be deemed received within two working days after the date of sending.

1. The Arbitral Tribunal shall decide on the jurisdiction of the Arbitration Court over a civil dispute, including on the validity of the arbitration agreement.

2. If the parties have agreed to refer a dispute to the Arbitration Court, it shall be presumed that the parties have agreed that any dispute, disagreement or claim arising out of or relating to the contract concerned, or the breach, termination or invalidity thereof, shall be resolved by the Arbitration Court.

3. A party may submit an objection that the dispute or part thereof is not subject to the jurisdiction of the Arbitration Court until the day on which the time limit for submitting the statement of defence (response to the claim) expires.

4. The Arbitral Tribunal may decide on the jurisdiction of the Arbitration Court over a civil dispute by taking a decision or by making an award. A party may request the district (city) court, in accordance with the procedure laid down in the Civil Procedure Law, to decide on the jurisdiction of the Arbitration Court over the civil dispute if the Arbitration Court has taken a decision thereon.

5. The Arbitration Court shall decide on jurisdiction over the dispute when initiating the arbitral proceedings. However, the Arbitration Court shall be entitled to commence the arbitral proceedings and to decide this matter at any stage of the arbitral proceedings.

6. If the Arbitration Court finds that the dispute or part thereof is not subject to its jurisdiction, the Arbitration Court shall terminate the proceedings in the dispute or in the relevant part thereof by taking a decision to terminate the arbitral proceedings in whole or in part.

Unless the parties have agreed thereon, the Arbitral Tribunal shall be entitled to determine freely the place of the arbitral proceedings, having regard to considerations of expediency.

1. The parties shall be entitled to determine freely the procedure for the arbitral proceedings.

2. The arbitral proceedings shall be conducted in accordance with these Rules, unless the parties have agreed in the arbitration agreement on a different procedure for the arbitral proceedings, to the extent permitted by these Rules.

1. The parties shall be entitled to agree on the language of the arbitral proceedings. If the parties have not agreed thereon, the language of the arbitral proceedings shall be determined by the Arbitral Tribunal.

2. If any participant in the proceedings does not have command of the language in which the proceedings are conducted, the Arbitration Court shall engage an interpreter. The procedure for payment for the interpreter's services shall be determined by the Arbitration Court.

3. The Arbitration Court may require the parties to provide a translation, or a notarially certified translation, of any documentary evidence into the language in which the proceedings are conducted.

1. Procedural time limits shall be set by the Arbitral Tribunal in compliance with the Arbitration Law and these Rules. Until the Arbitral Tribunal has been approved, procedural time limits shall be set by the Chairperson of the Arbitration Court.

2. In particular cases, where necessary, the Arbitration Court may extend procedural time limits on its own initiative or at the request of either party.

3. At the request of an interested party, the Arbitration Court (the Arbitral Tribunal or the Chairperson of the Arbitration Court) may, if it considers it expedient and recognises the reasons for the delay as justified, decide to restore a time limit that has been missed. An application by an interested party for the restoration of a procedural time limit shall be accompanied by the documents required to perform the procedural action and by the grounds for restoring the time limit.

1. An arbitrator is a person who meets the requirements of the Arbitration Law, is included in the list of arbitrators of the Arbitration Court and has been appointed to resolve a dispute. The list of arbitrators is published on the website of the Enterprise Register and posted on the website of the Arbitration Court.

2. An arbitrator may be appointed from the list of arbitrators. The arbitrators included in the list of arbitrators meet the requirements of Sections 14 and 15 of the Arbitration Law and have consented in writing to be included in the list of arbitrators.

3. An arbitrator shall perform his or her duties in good faith, shall be impartial and independent, and shall not be subject to any influence.

4. An arbitrator shall not be entitled to participate in the examination of a case in the circumstances laid down in Section 16 of the Arbitration Law.

5. The Arbitral Tribunal may also consist of a sole arbitrator if the parties so agree.

6. The number of arbitrators shall be an odd number. If the parties have not agreed on the number of arbitrators, the Arbitral Tribunal shall consist of three arbitrators.

1. The procedure for the appointment of arbitrators shall be determined by the parties. If the parties have not agreed on the procedure for the appointment of arbitrators, the arbitrators shall be appointed from the list of arbitrators in accordance with these Rules, with due regard to the equality of the parties.

2. If the parties have agreed to appoint a sole arbitrator but have not agreed on a specific arbitrator, the Arbitration Court, when sending the respondent notice of receipt of the claim, shall invite the respondent to agree with the claimant on a specific arbitrator. If the parties have not agreed on a specific arbitrator within the time limit set by the Arbitration Court, the arbitrator shall be appointed by the Chairperson of the Arbitration Court.

3. If the parties have not agreed on the procedure for the appointment of arbitrators, the arbitrators shall be appointed as follows:

1) when filing the claim with the Arbitration Court, the claimant shall nominate a candidate for arbitrator from the list of arbitrators;

2) within 15 days from the date on which the statement of claim was sent, the respondent shall submit to the Arbitration Court and to the claimant a nomination of a candidate for the second arbitrator from the list of arbitrators;

3) the two arbitrators chosen by the parties shall without delay choose from the list of arbitrators a third arbitrator, who shall be the presiding arbitrator of the Arbitral Tribunal;

4) if the two arbitrators chosen by the parties cannot agree on the third arbitrator within 3 days, the third arbitrator shall be appointed by the Chairperson of the Arbitration Court;

5) if the respondent fails to submit to the Arbitration Court a nomination of an arbitrator within the time limit laid down in these Rules, the second arbitrator shall be appointed by the Chairperson of the Arbitration Court, and the third arbitrator shall be appointed in accordance with the procedure set out above.

4. If a claim has been filed by several claimants or against several respondents, the claimants or the respondents, respectively, shall agree on a candidate for arbitrator on their side within the time limit set for submitting the statement of defence. If no agreement is reached, the arbitrator shall be appointed by the Chairperson of the Arbitration Court.

5. A party may request the district (city) court to appoint an arbitrator in accordance with the procedure laid down in the Civil Procedure Law if the other party, the arbitrators appointed by the parties, the Arbitration Court or another person fails to act in accordance with the procedure laid down in this Article.

If a party has appointed an arbitrator and the other party has been notified thereof, that party may not remove such arbitrator without the consent of the other party.

1. Before a person consents to be appointed as an arbitrator, he or she shall disclose in writing to the parties, the Arbitration Court or the other arbitrators, if any in the case, or to the district (city) court, any facts and circumstances that may give rise to justifiable doubts as to his or her impartiality and independence. If such circumstances arise or become known after the commencement of the arbitral proceedings but before their conclusion, the arbitrator shall disclose them to the parties without delay.

2. A participant in the proceedings may challenge an arbitrator if:

1) the restrictions laid down in Section 16, Paragraph one of the Arbitration Law on the participation of an arbitrator in the examination of a case apply to him or her and he or she has not recused himself or herself;

2) he or she does not meet the requirements of the Arbitration Law or the requirements agreed upon by the parties;

3) there are other circumstances that give rise to justifiable doubts as to his or her impartiality and independence.

3.A party may challenge an arbitrator whom it has appointed, or in whose appointment it has participated, only if the grounds for the challenge became known to that party after the appointment of the arbitrator.

4. The parties may agree in the contract on the procedure for challenging an arbitrator.

5. If the parties have not agreed on the procedure for challenging an arbitrator, a party may challenge an arbitrator within 5 (five) days from the day on which it became aware of the appointment of that arbitrator or of the grounds for the challenge, by sending a written notice thereof to the Arbitration Court specifying the arbitrator whom it challenges and the grounds for the challenge.

6. If the challenged arbitrator does not withdraw from office, the challenge shall be decided by the Arbitral Tribunal or by the arbitrator himself or herself within 5 (five) days from the day of receipt of the notice, by taking a reasoned decision.

7. If the challenge of an arbitrator is upheld, a new arbitrator shall be appointed in accordance with the procedure laid down in the agreement or in these Rules.

8. If a party has challenged an arbitrator and the challenge is not upheld under the procedure agreed upon by the parties or under the procedure set out in these Rules, the party may request the district (city) court to decide on the challenge of the arbitrator in accordance with the procedure laid down in the Civil Procedure Law.

9. The filing of an application with the district (city) court regarding the challenge of an arbitrator shall not constitute a bar to the continuation of the arbitral proceedings.

1. The mandate of an arbitrator shall terminate if:

1) the challenge of the arbitrator has been upheld;

2) he or she has recused himself or herself from the resolution of the civil dispute;

3) the parties have agreed on his or her removal;

4) the restrictions referred to in Section 15 of the Arbitration Law apply to him or her;

5) upon the death of the arbitrator;

6) the arbitrator is unable to perform the duties of an arbitrator for more than one month (due to absence, illness or other reasons);

7)upon a decision of the district (city) court on the challenge or removal of the arbitrator.

2. The parties may freely agree on the procedure for terminating the mandate of an arbitrator. If the parties have not agreed thereon, the Chairperson of the Arbitration Court shall, at the request of a party or on his or her own initiative, decide on the termination of the mandate of the arbitrator and on the appointment of a new arbitrator.

3.A party may request the district (city) court to decide on the removal of an arbitrator if the parties have not agreed on the procedure for terminating the mandate of an arbitrator as provided in paragraph 2 of this Article and if the arbitrator is unable to perform his or her duties or for other reasons fails to act in a timely manner.

1. If the mandate of an arbitrator has terminated, a new arbitrator shall be appointed in accordance with the procedure laid down in Article 14 of these Rules.

2. If the arbitrator is replaced in a case where the dispute is being examined by a sole arbitrator, or if the presiding arbitrator of the Arbitral Tribunal is replaced, the examination of the dispute shall start anew. If any other arbitrator of the Arbitral Tribunal is replaced, the question of whether to examine the dispute anew or to continue the examination shall be decided at the discretion of the Arbitral Tribunal.

1. The parties to the arbitral proceedings shall have equal procedural rights. The Arbitral Tribunal shall ensure that the parties have equal opportunities to exercise the rights granted to them for the protection of their interests.

2. In the course of the examination of a civil dispute, the parties shall exercise their procedural rights by way of adversarial proceedings. Adversarial proceedings shall consist in the parties exercising their rights to submit evidence, to give explanations and to submit applications addressed to the Arbitral Tribunal, to participate in the examination and assessment of evidence, and to perform other procedural actions.

1. A natural person shall conduct his or her case before the Arbitration Court in person or through an authorised representative. The case of a legal person shall be conducted before the Arbitration Court by its official acting within the scope of the authority conferred by law, the articles of association or the by-laws, or by an authorised representative of the legal person.

2. Any natural person may act as an authorised representative, except for a person:

1) who has not attained the age of majority;

2) in respect of whom trusteeship has been established;

3) who has been deprived by a court judgment of the right to conduct the cases of other persons;

4) who is related within the third degree of kinship or the second degree of affinity to an arbitrator resolving the civil dispute;

5) who has provided legal assistance to the other party to the civil dispute in the same case or in another case related thereto;

6) who has participated in mediation in the same case or in another case related thereto;

7) who is, or within the last two years has been, included in the list of arbitrators of the Arbitration Court; such a person may not act as a representative of a party and may not be engaged to provide legal assistance in the arbitral proceedings.

3. Upon establishing the circumstances referred to in paragraph 2 of this Article, the Arbitral Tribunal shall not admit such a person to participate in the resolution of the civil dispute.

4. A person authorised by a party shall submit to the Arbitration Court a duly executed power of attorney or authorisation agreement.

5. The parties may engage sworn advocates to provide legal assistance in the arbitral proceedings.

1. Unless the parties have agreed otherwise, the arbitral proceedings shall be confidential. Hearings shall be held in camera, and the Arbitral Tribunal shall not disclose information concerning the arbitral proceedings to other persons and shall not publish it, unless the parties have agreed otherwise. Persons who are not participants in the arbitral proceedings may attend a hearing only with the consent of the parties.

2. Information concerning the arbitral proceedings shall be provided to persons entitled to receive it for the performance of functions laid down by law.

1. Upon accepting a dispute for resolution, the Arbitration Court shall determine the amount of the costs of arbitration, which shall include:

1) the arbitration expenses;

2) the arbitrator's fee;

3) the travel and other expenses of the arbitrators;

4)payment for the services of experts, interpreters and other persons;

5) other expenses to the extent approved by the Arbitration Court;

6) the expenses of legal representation of the party in whose favour the award is made, if such expenses were notified during the arbitral proceedings and the Arbitration Court recognises them as reasonable.

2. The arbitration expenses and the arbitrator's fee depend on the amount in dispute, the complexity of the dispute and the number of arbitrators resolving the dispute, and are laid down in Annex No. 1 to these Rules. When filing a statement of claim with the Arbitration Court, the claimant shall pay the arbitration expenses and the arbitrators' fees into the bank account specified in Annex No. 1 to these Rules.

3. Payment for the services of an interpreter and a secretary, payment for conducting an expert examination and for the participation of an expert in the arbitral proceedings, as well as other costs of arbitration, shall be made by the party that submitted the relevant request. If both parties have submitted such a request, each shall pay half of the amount of the costs. A secretary, interpreter or expert shall be engaged in the arbitral proceedings, and an expert examination shall be ordered, only after the party has paid the remuneration for the services of such persons as determined by the Arbitration Court.

4. The Chairperson of the Arbitration Court shall be entitled to reduce the arbitration expenses and the arbitrators' fees upon a reasoned application of a party.

5. The costs related to the resolution of the dispute shall be refunded in whole or in part in the following cases:

1) if costs related to the resolution of the dispute have been paid in excess of the amount laid down in these Rules or determined by the Arbitration Court;

2) if a party has paid remuneration for the services of a secretary, interpreter or expert but such services were not used, or the amounts paid in advance were not used in full, the amount paid or the unused part thereof shall be returned to the party that paid it;

3) if, before the appointment of the Arbitral Tribunal, the statement of claim is left without consideration or the claimant withdraws the claim, the arbitrator's fee shall be refunded to the party.

1. The costs of arbitration shall be borne by the party against which the Arbitration Court has made the award, except in the cases provided for in paragraph 2 of this Article. If the claim is upheld in part, the costs of arbitration shall be awarded to the claimant in proportion to the extent of the claims upheld by the Arbitration Court, and to the respondent in proportion to the part of the claims that has been dismissed.

2. If the arbitral proceedings are terminated as a result of a settlement and the parties have not provided in the settlement for the allocation of the arbitration expenses and the arbitrators' fees, the allocation of payment of such costs between the parties shall be determined by the Arbitration Court itself.

3. If the statement of claim is left without consideration or the claimant withdraws the claim before the appointment of the Arbitral Tribunal, the Chairperson of the Arbitration Court may decide on the refund of the arbitrator's fee.

4. If the claimant reduces the amount of the claim, or the claim is withdrawn after the hearing of the case has commenced, the costs of arbitration paid shall not be refunded.

5. During the examination of the dispute, the parties may increase the amount of the claim, paying an additional administrative fee accordingly.

6. The parties may agree on the allocation of the costs of arbitration between them.

1. The arbitral proceedings shall be commenced by filing a statement of claim with the Arbitration Court. The statement of claim shall be submitted in writing in Latvian or in the language in which the parties have agreed to have the dispute examined.

2. If the statement of claim and the documents attached thereto comply with the requirements of these Rules, the Arbitration Court shall without delay send to the respondent a notice of the commencement of the arbitral proceedings and a true copy of the statement of claim, explaining the respondent's right to submit a written statement of defence, and shall also send a copy of the statement of claim (or notify the respondent of the receipt of the statement of claim at the Arbitration Court and of the opportunity to examine it).

3. If the statement of claim and the documents attached thereto do not comply with the requirements of these Rules, the Chairperson of the Arbitration Court shall not proceed with the statement of claim, shall inform the person who submitted it thereof and shall grant that person time to remedy the deficiencies, and:

1) if the deficiencies are remedied within the time limit set by the Chairperson of the Arbitration Court, the statement of claim shall be deemed to have been filed and the arbitral proceedings shall be commenced;

2) if the deficiencies are not remedied within the time limit set by the Chairperson of the Arbitration Court, the statement of claim shall be returned to the person who submitted it without examination.

4. The securing of a claim and provisional protection in disputes subject to resolution by arbitration shall be decided by the district (city) court in accordance with the procedure laid down in the Civil Procedure Law. The same district (city) court shall, upon a reasoned request of a party, decide on the cancellation or amendment of the securing of the claim or of provisional protection.

5. An application for the securing of a claim or an application for the amendment of the securing of a claim shall not be regarded as non-compliance with the arbitration agreement and shall not constitute a bar to the resolution of the civil dispute by arbitration.

1. The statement of claim shall specify:

1)information about the parties:

a) for legal persons: name, legal address and registration number;

b) for natural persons: given name, surname, personal identity number and declared place of residence or, if there is none, place of residence;

c) the claimant may indicate his or her telephone number or electronic mail address if he or she agrees to the use of telephone or electronic mail for correspondence with the Arbitration Court;

d) the personal identity number or registration number of the respondent shall be indicated if known;

e) if the claim is brought by a representative: the given name, surname, personal identity number and address for correspondence with the Arbitration Court of the claimant's representative (a natural person); for a legal person, its name, registration number and legal address;

2) the subject matter of the claim, the amount of the claim and its calculation and, in claims for the recovery of a sum of money, the name of the credit institution and the number of the account to which payment is to be made, if there is such an account;

3) the grounds for the claim and the evidence supporting them;

4) the claimant's claims;

5) a list of the documents attached;

6) the number of arbitrators and the surnames of the arbitrators.

2. The following shall be attached to the statement of claim:

1) the agreement of the parties on arbitration, unless such agreement is contained in the contract in connection with which the dispute has arisen;

2) the contract in connection with which the dispute has arisen;

3) the documents referred to by the claimant in the statement of claim;

4) true copies of the statement of claim for the other participants in the arbitral proceedings;

5) documents evidencing payment of the arbitration expenses and the arbitrator's fee.

1. The respondent shall submit a statement of defence (response to the claim) to the claimant and to the Arbitration Court within the time limit set by the parties or by the Arbitration Court. The time limit for submitting the statement of defence may not be shorter than 15 (fifteen) days from the day on which the statement of claim was sent to the respondent. Having regard to the respondent's location, the complexity of the dispute and the number of respondents, the Arbitration Court may set a longer time limit for submitting the statement of defence.

2. In the statement of defence, the respondent shall state:

1) whether he or she admits the claim in full or in part;

2) his or her objections to the claim;

3) the circumstances on which he or she bases the objections and the evidence supporting them;

4) other circumstances which he or she considers relevant to the examination of the civil dispute;

5) his or her telephone number or electronic mail address if he or she agrees to the use of telephone or electronic mail for correspondence with the Arbitration Court.

3. Failure to submit a statement of defence shall not constitute a bar to the examination of the civil dispute.

4.The statement of defence shall be submitted to the Arbitration Court together with as many true copies as there are participants in the arbitral proceedings.

1. The respondent may file a counterclaim, which the Arbitration Court may examine together with the claim.

2. A counterclaim shall be submitted in writing, with true copies for the other participants in the proceedings. The provisions of these Rules applicable to the statement of claim shall apply to the counterclaim.

3. The parties may agree on the procedure for filing a counterclaim. If the parties have not agreed on a different procedure for filing a counterclaim, the counterclaim shall be filed within the time limit set for submitting the statement of defence.

4. The Arbitration Court shall accept a counterclaim if its subject matter is covered by the arbitration agreement and:

1) mutual set-off between the original claim and the counterclaim is possible;

2) the upholding of the counterclaim would exclude, in whole or in part, the upholding of the original claim;

3) the counterclaim and the original claim are interrelated and their joint examination would facilitate a more expeditious and correct adjudication of the case.

5. The decision on the acceptance of a counterclaim shall be taken by the Arbitral Tribunal.

6. A counterclaim accepted by the Arbitration Court shall be examined together with the original claim.

1. Any party may, in the course of the arbitral proceedings, amend or supplement its claim, counterclaim or statement of defence until the examination of the dispute on the merits has commenced.

2. If the grounds of the claim are amended or supplemented, the respondent shall be entitled to submit a written statement of defence within the time limit set by the Arbitral Tribunal. The provisions of Article 26 of these Rules shall apply to the submission of the statement of defence.

1. After the statement of defence has been received from the respondent, or the time limit laid down in these Rules for submitting the statement of defence has expired, and the Arbitral Tribunal has been appointed, the Arbitration Court shall set the date, time and place of the hearing.

2. In accordance with the arbitration agreement concluded by the parties, the Arbitration Court shall either hold hearings to hear the explanations and objections of the parties and to examine the evidence (oral proceedings), or resolve the dispute solely on the basis of the documentary evidence and materials submitted (written proceedings). The Arbitration Court shall also hold oral proceedings where the parties have agreed on written proceedings but one of the parties requests oral proceedings before the ruling is made. In such a case, the Arbitration Court shall set the date of the oral hearing and notify the parties thereof.

3. The Arbitration Court shall notify the parties in good time of the hearing and of the composition of the Arbitral Tribunal. Notice of the first hearing shall be sent to the participants in the proceedings not later than 15 (fifteen) days before the hearing, unless the parties have agreed on a shorter time limit. Notice of any subsequent (second and further) hearing shall be handed to the parties against signature or sent by registered letter at least 5 (five) days before the hearing.

4. The Arbitral Tribunal shall make available to the parties any submissions, documents and other information received by it, as well as expert opinions and other evidence.

1. If the Arbitration Court finds that the dispute cannot be resolved at a particular hearing, the Arbitration Court may adjourn the examination of the dispute.

2. The Arbitration Court may, where necessary, take a decision to suspend the arbitral proceedings.

3. The Arbitration Court shall leave a claim without consideration if:

1) the statement of claim has been filed by a person lacking the capacity to act or by a person in respect of whom trusteeship has been established in accordance with Section 365 of the Civil Law;

2) the claim has been brought on behalf of the claimant by a person not authorised to do so in accordance with the procedure laid down by law;

3) in the case provided for in Article 24, paragraph 3 of these Rules.

4. The Arbitration Court may leave a claim without consideration:

1) at the request of the claimant;

2) if the claimant repeatedly fails to attend the hearing and has not requested that the dispute be resolved in his or her absence;

3) if a person who is a party to the case has died and no succession case in respect of that person has been opened within one year from the suspension of the proceedings.

5. The Arbitration Court shall take a decision to leave a claim without consideration in the form of a separate procedural document.

6.If a claim has been left without consideration, the claimant shall be entitled to file a statement of claim with the Arbitration Court anew in accordance with the procedure laid down by law and these Rules.

1. If any of the parties or their representatives, having been duly notified in accordance with these Rules, fail to attend an oral hearing without informing the Arbitration Court of the reasons for their absence, or if the Arbitration Court does not recognise the reasons for absence indicated by the party as justified, including where the party has not attached to its notice of absence documents evidencing circumstances justifying the absence, the Arbitration Court shall resolve the dispute on the basis of the evidence at its disposal.

2. If any of the parties, having been duly invited to submit documentary or other evidence that is to be submitted in accordance with these Rules or at the request of the Arbitration Court, fails to submit such evidence within the time limit set, or refuses to give explanations to the Arbitration Court, the Arbitral Tribunal shall continue the proceedings and resolve the dispute on the basis of the evidence at its disposal.

3. If the respondent fails to submit a statement of defence to the Arbitration Court, the Arbitration Court shall continue the proceedings and resolve the civil dispute on the basis of the evidence at its disposal.

1. Means of proof before the Arbitration Court may include explanations of the parties, documentary evidence (written documents, audio recordings, videotapes, electronic data carriers, digital video discs, etc.), material evidence, witness testimony and expert opinions.

2.Evidence shall be submitted by the parties. Each party shall prove the circumstances on which it bases its claims or objections.

3. Upon a reasoned request of a party, the Arbitral Tribunal shall be entitled to require the other party to produce documentary evidence in its possession. A party requesting the Arbitral Tribunal to require documentary evidence shall describe such evidence and give reasons why it considers that the evidence is in the possession of the opposing party. If a party refuses to submit to the Arbitral Tribunal, within the time limit set by it, the documentary evidence required, without denying that such evidence is in its possession, the Arbitral Tribunal may consider as proven the facts which the opposing party sought to prove by reference to such documentary evidence.

4. If the Arbitration Court is unable to obtain evidence that may be of material importance to the case, the Arbitration Court may request the district (city) court, in accordance with the procedure laid down in the Civil Procedure Law, to perform the procedural actions necessary to obtain the evidence. The request for obtaining evidence shall indicate the parties to the arbitral proceedings, the nature of the case under examination and the circumstances to be ascertained, as well as the specific evidence to be collected by the court executing the request. If the examination of a witness is requested, the questions to be put to the witness shall be indicated.

5. The costs laid down in the Civil Procedure Law in connection with a request for obtaining evidence in the cases provided for in paragraph 4 of this Article shall be paid to the Arbitration Court by the party that made the relevant request to the Arbitration Court. If both parties have made such a request, they shall pay the costs related to obtaining the evidence in equal shares.

6. Documents shall be submitted in the original or in the form of a duly certified true copy, copy or extract. If a party submits a true copy, copy or extract of a document, the Arbitral Tribunal may, on its own motion or at the request of the other party, require the original document to be submitted. At the request of the person who submitted the original document, the Arbitral Tribunal shall return it to that person, adding a duly certified true copy, copy or extract to the materials of the arbitral proceedings.

7. The Arbitral Tribunal shall determine the admissibility and relevance of evidence. No evidence shall have a predetermined effect binding on the Arbitral Tribunal. In the reasons for the award, the Arbitral Tribunal shall state why it has given preference to certain evidence over other evidence and why it has found certain facts proven and others not proven.

1. A witness is a person who has knowledge of facts relating to the case and who has been summoned by the Arbitration Court to a hearing upon a reasoned request of a party.

2.A party requesting the Arbitral Tribunal to hear a witness shall indicate the circumstances relevant to the case which the witness can confirm.

3. A witness may be examined only on the facts to be ascertained in the case concerned.

1. Unless the parties have agreed otherwise in the arbitration agreement, either party may request the Arbitration Court to order an expert examination or to engage one or more experts.

2. If the Arbitration Court finds the request of the party to be justified, it shall take a decision to order an expert examination or to engage experts.

3. At the request of the Arbitral Tribunal, the parties shall provide the expert with the necessary information or documents and shall produce goods or other items for inspection.

4. After the expert opinion has been prepared and received by the Arbitration Court, the parties shall be entitled to examine it.

5. At the request of a party, the Arbitral Tribunal shall invite the expert to attend the hearing. The parties shall be entitled to put questions to the expert regarding the opinion.

1. The fact that a natural person who is one of the parties has died, or that a legal person which is one of the parties has ceased to exist, shall not in itself terminate the arbitration agreement, unless the parties have agreed otherwise and provided that the disputed legal relationship permits succession to rights.

2. In such a case, the Arbitration Court shall suspend the arbitral proceedings until the successor in title has been determined.

3. Assignment of a claim shall constitute grounds for terminating the arbitral proceedings, unless the parties have agreed anew on the examination of the civil dispute by the Arbitration Court.

1. If a party considers that any rule of arbitral procedure laid down in the Civil Procedure Law of Latvia, the Arbitration Law, these Rules or the arbitration agreement of the parties has been breached or not complied with, it shall be entitled to submit written objections to the Arbitration Court and to the other party without delay as soon as it became aware or should have become aware of such breach.

2. The Arbitration Court shall decide whether such objections are well founded. If the Arbitration Court finds the objections well founded, it shall remedy the breach of the arbitral procedure before continuing the proceedings.

3. If a party fails to submit such written objections, it shall be deemed to have waived its right to raise such objections, except where the party has failed to submit the objections for reasons beyond its control.

1.Minutes of a hearing shall be taken only if a party so requests and has paid to the Arbitration Court the remuneration for the services of a secretary.

2. The minutes of a hearing shall be taken by a secretary selected by the Arbitration Court.

3. The minutes of a hearing shall be signed by all the arbitrators and the secretary within 3 (three) days after the end of the hearing. After the minutes have been signed, the parties shall be entitled to examine them and, within 5 (five) days after their signature, to submit written objections indicating any deficiencies found in the minutes. The Arbitration Court shall decide whether such objections are well founded.

1. Where the Arbitral Tribunal consists of more than one arbitrator, all rulings (decisions and awards) shall be made by a simple majority of votes.

2. A ruling of the Arbitration Court shall take effect on the day it is made. It shall not be subject to appeal.

3. An award of the Arbitration Court may be contested in accordance with the procedure laid down in Chapter 66 of the Civil Procedure Law.

4. The signatures of the arbitrators on a ruling shall be certified by the seal of the Arbitration Court.

1. If the parties conclude a settlement during the arbitral proceedings, the Arbitration Court shall terminate the proceedings.

2. TThe settlement shall be concluded by the parties in writing and shall state: for legal persons, their name, registration number and legal address; for natural persons, their given name, surname, personal identity number and declared place of residence; as well as the subject matter of the dispute and the obligations which each party voluntarily undertakes to perform.

3. If the parties reach a settlement in the arbitral proceedings, the Arbitral Tribunal shall terminate the arbitral proceedings and, if the parties so request and the Arbitral Tribunal agrees, shall record the settlement in the form of an award of the Arbitration Court, incorporating the terms agreed upon. Such an award shall have the same status and legal force as any other award of the Arbitration Court resolving a civil dispute on the merits.

4. A settlement shall not be permitted if its terms infringe the rights or interests protected by law of another person.

1. The Arbitral Tribunal shall make the award in writing within 14 (fourteen) days after examining the civil dispute on the merits. The award shall be signed by all the arbitrators and shall state the date and place at which it was made. If any of the arbitrators does not sign the award, the award shall state the reason for the absence of his or her signature.

2. The award shall state:

1) the composition of the Arbitral Tribunal;

2) the date on which the award was made and the place of the proceedings;

3) information about the parties: for a natural person, given name, surname, personal identity number, other personal identification data and the address of the declared place of residence or another address for correspondence; for a legal person, name, registration number, other identification data and legal address;

4) the subject matter of the dispute;

5) the reasons for the award, unless the parties have agreed otherwise;

6) the conclusion on upholding the claim in full or in part or on dismissing it in full or in part, and the operative substance of the award;

7) the amount to be recovered, if the award orders the recovery of money, stating separately the principal debt and the interest, the period for which interest has been awarded, the claimant's right to receive interest for the period until enforcement of the award and the rate of such interest;

8) the specific property and its value to be recovered if the property no longer exists, if the award orders the return of property in kind;

9) by whom, which actions and within what time limit are to be performed, if the award imposes an obligation to perform certain actions;

10) which part of the award relates to each claimant, if the award is made in favour of several claimants, or which part of the award is to be performed by each respondent, if the award is made against several respondents;

11) the costs of arbitration and their allocation between the parties;

12) the parties' costs of legal assistance in the case, if any, and their allocation between the parties;

13) other information which the Arbitral Tribunal considers necessary.

1. The Arbitration Court shall hand a true copy of its ruling to the parties or their representatives in person or send it by post.

2. The ruling shall be handed or sent to the parties within 3 (three) days from the date on which the full ruling was drawn up.

1. The Arbitral Tribunal may, on its own initiative or at the request of a party, correct clerical and arithmetical errors in the award. Such errors may be corrected without the participation of the parties.

2. Unless the parties have agreed otherwise, a party may, with notice to the other party, within 30 (thirty) days from the date on which a true copy of the award was sent or, if it was handed over in person, received, request the Arbitral Tribunal to give an interpretation of the award without altering its content. The interpretation of the award shall form an integral part of the award from the moment it is given.

3. Unless the parties have agreed otherwise, a party may, with notice to the other party, within 30 (thirty) days from the date on which a true copy of the award was sent or, if it was handed over in person, received, request the Arbitral Tribunal to make an additional award in respect of any claim presented in the proceedings on which evidence was submitted and the parties gave explanations but which was not decided. If the Arbitral Tribunal considers the request to be justified, it shall make an additional award.

4. The Arbitral Tribunal shall notify the parties not later than 15 (fifteen) days in advance of the hearing at which the correction or interpretation of the award or the making of an additional award is to be decided. If, as a result of the correction, the operative part of the award may change while the substance of the award remains unchanged, the Arbitral Tribunal shall invite the parties to express their views. The failure of the parties to attend shall not constitute a bar to the correction or interpretation of the award or the making of an additional award. The Arbitral Tribunal shall make an additional award in accordance with Article 39 of these Rules.

1. The Arbitral Tribunal shall take a decision to terminate the arbitral proceedings if:

1) the claimant withdraws the claim;

2) the parties agree to end the dispute by settlement;

3) the arbitration agreement has ceased to be in effect in accordance with the procedure laid down by law or by the agreement;

4) it finds that the dispute is not subject to the jurisdiction of the Arbitration Court;

5) a natural person who is one of the parties has died, or a legal person which is one of the parties has ceased to exist, and the disputed legal relationship does not permit succession to rights, or the parties have agreed that in such a case the arbitral proceedings are to be terminated.

2. If the claimant withdraws the claim before the appointment of the Arbitral Tribunal, the decision to terminate the arbitral proceedings shall be taken by the Chairperson of the Arbitration Court.

3. If the arbitral proceedings have been terminated on the grounds referred to in paragraph 1, clause 1 or 2 of this Article, recourse anew to the Arbitration Court or recourse to the district (city) court in a dispute between the same parties, concerning the same subject matter and on the same grounds, shall not be permitted.

4. If the arbitral proceedings have been terminated on the grounds referred to in paragraph 1, clause 3, 4 or 5 of this Article, a statement of claim may be filed with the district (city) court.

1. An award of the Arbitration Court shall be binding on the parties and shall be performed voluntarily within the time limit specified therein. The time limit set for the voluntary performance of the award shall not be shorter than 10 (ten) days.

2. A party may, in accordance with the procedure laid down in the Civil Procedure Law, apply to the district (city) court with an application to contest the award of the Arbitration Court or, if the award is enforceable in Latvia but is not being performed voluntarily, with an application for the issue of a writ of execution for the compulsory enforcement of the award.

3.If an award of the Arbitration Court is enforceable outside Latvia but is not being performed voluntarily, it shall be submitted for compulsory enforcement in accordance with the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York, 10 June 1958).

The Arbitration Court shall retain the documents of the arbitral proceedings for 10 (ten) years after the conclusion of the proceedings in accordance with the procedure for the retention of archival documents laid down in laws and regulations.