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Alternative Dispute Resolution Agreement

Alternative Dispute Resolution Agreement Template for Malaysia

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Key Requirements PROMPT example:

Alternative Dispute Resolution Agreement

"I need an Alternative Dispute Resolution Agreement for a Malaysian manufacturing company entering into joint ventures with partners from Singapore and Thailand, requiring a multi-tiered dispute resolution process starting with mediation and progressing to arbitration if needed, to be implemented by March 2025."

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Document background
The Alternative Dispute Resolution Agreement is essential for businesses operating in Malaysia who wish to establish efficient, cost-effective mechanisms for resolving commercial disputes outside the court system. This document is typically implemented at the start of business relationships or incorporated into existing commercial contracts to provide a clear framework for dispute resolution. It aligns with Malaysian legislation, particularly the Arbitration Act 2005 and Mediation Act 2012, and can be customized to include various ADR methods such as mediation, arbitration, or a multi-tiered approach. The agreement becomes particularly valuable in cross-border transactions where parties seek to avoid lengthy court proceedings while ensuring enforceability under Malaysian law.
Suggested Sections

1. Parties: Identification and details of all parties entering into the ADR agreement

2. Background: Context of the agreement and relationship between the parties

3. Definitions: Definitions of key terms used throughout the agreement

4. Scope of Agreement: Types of disputes covered by the ADR agreement and its applicability

5. ADR Process: Step-by-step description of the ADR process, including timeline and procedures

6. Notice of Dispute: Process for initiating the ADR procedure and requirements for dispute notifications

7. Selection of Mediator/Arbitrator: Process and criteria for selecting neutral third parties

8. Confidentiality: Obligations regarding confidentiality of the ADR process and its outcomes

9. Costs and Expenses: Allocation of costs related to the ADR process

10. Binding Nature: Status of decisions/settlements reached through ADR

11. Governing Law: Specification of Malaysian law as governing law and relevant jurisdictional matters

12. General Provisions: Standard clauses including notices, amendments, and severability

Optional Sections

1. Multi-Tiered Dispute Resolution: Used when implementing a stepped approach to dispute resolution (e.g., negotiation, then mediation, then arbitration)

2. Emergency Arbitration: Include when parties want the option for expedited emergency proceedings

3. Expert Determination: Added when technical disputes may require expert determination as an ADR option

4. Online Dispute Resolution: Include when parties want to specifically provide for virtual ADR proceedings

5. Interim Measures: Used when parties want to allow for temporary relief during the ADR process

6. Language of Proceedings: Include when parties are from different linguistic backgrounds

7. Multiple Party Provisions: Added when more than two parties are involved in the agreement

8. Limitation of Liability: Include to limit liability of mediators/arbitrators/institutions

Suggested Schedules

1. Schedule 1: ADR Institution Rules: Specific rules of the chosen ADR institution (e.g., AIAC Rules) that apply to the proceedings

2. Schedule 2: Fee Schedule: Detailed breakdown of administrative fees, mediator/arbitrator fees, and other costs

3. Schedule 3: Timeline and Procedures: Detailed procedural timeline and steps for the ADR process

4. Schedule 4: Form of Notice of Dispute: Template for initiating the dispute resolution process

5. Schedule 5: Mediator/Arbitrator Qualifications: Required qualifications and experience for appointed neutrals

6. Appendix A: Confidentiality Agreement: Standard form of confidentiality agreement for all participants

7. Appendix B: Code of Ethics: Ethical guidelines for mediators/arbitrators and parties during the process

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Manufacturing

Construction

Financial Services

Technology

Real Estate

Energy

Healthcare

Telecommunications

Retail

Professional Services

Transport and Logistics

Mining and Resources

Education

Agriculture

Relevant Teams

Legal

Compliance

Risk Management

Commercial

Operations

Procurement

Corporate Affairs

Business Development

Contract Administration

Executive Leadership

Project Management

Relevant Roles

Chief Legal Officer

Legal Director

Contract Manager

Commercial Director

Risk Manager

Compliance Officer

General Counsel

Corporate Secretary

Business Development Manager

Project Manager

Operations Director

Chief Executive Officer

Chief Operating Officer

Legal Counsel

Procurement Manager

Industries
Arbitration Act 2005: The primary legislation governing arbitration in Malaysia, incorporating UNCITRAL Model Law principles and providing the legal framework for both domestic and international arbitration proceedings
Mediation Act 2012: Provides the legislative framework for mediation processes in Malaysia, including the conduct of mediation, confidentiality obligations, and the enforcement of mediation agreements
Contracts Act 1950: Fundamental law governing contract formation and enforcement in Malaysia, essential for ensuring the ADR agreement meets basic contractual requirements
AIAC Arbitration Rules 2018: Rules of the Asian International Arbitration Centre (formerly KLRCA) which provide detailed procedures for conducting arbitration in Malaysia
AIAC Mediation Rules 2018: Specific rules governing mediation procedures conducted under the auspices of the Asian International Arbitration Centre
Legal Profession Act 1976: Relevant for understanding the role and limitations of legal practitioners in ADR proceedings in Malaysia
Rules of Court 2012: Contains provisions relating to court-annexed mediation and the interface between ADR and court proceedings
Evidence Act 1950: Important for understanding rules regarding admissibility of evidence and confidentiality in ADR proceedings
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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