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The Model Law Text

What is the UNCITRAL Model Law on International Commercial Mediation and International Settlement Agreements Resulting from Mediation?

The UNCITRAL Model Law on International Commercial Mediation and International Settlement Agreements Resulting from Mediation 2018 (“Model Law 2018”) is designed to assist States in reforming and modernizing their laws on mediation procedure. Originally the Model Law on International Commercial Conciliation 2002 (“Model Law 2002”), it was amended and renamed in 2018 with the addition of a new section on international settlement agreements and their enforcement and invocation. The Model Law 2018 provides uniform rules in respect of the mediation process and aims at encouraging the use of mediation and ensuring greater predictability and certainty in its use.

Maximum flexibility is afforded to states when adopting the Model Law 2018. When incorporating the Model Law 2018 into the domestic legal system, some states might choose to modify or leave out certain provisions. States may also choose to:

  • Sign the Convention and adopt the Model Law 2018 concurrently as a means of implementing their obligations under the Convention
  • Adopt the Model Law 2018 as a first step to support domestic implementation of the Convention before later becoming a party to the Convention, or
  • Adopt either the Convention or Model Law 2018 as a standalone instrument.

The development of the Model Law 2018 and Convention are an unprecedented steps towards harmonising the standards and framework for the enforcement of mediation settlements internationally.

Features of the Model Law (2018)

The Model Law 2002 was amended to include provisions on international settlement agreements and their enforcement, in line with the Singapore Convention. In particular, these amendments related to:

  • The scope and definition of international settlement agreements resulting from mediation of a commercial dispute. (Art 16 Model Law 2018)
  • Enforceability of international settlement agreements. (Art 17 Model Law 2018)
  • The requirements for relying on international settlement agreements, grounds for refusing relief, and parallel claims. (Art 18-20 Model Law 2018)

Features of the Model Law (2002)

The 2002 version of the Model Law contains basic definitions, procedures, and guidelines that States can adopt in their mediation legislation. This includes:

  • The scope of the Model Law, definition of mediation, and its international application. (Art 1 Model Law 2002)
  • Procedural aspects of the mediation such as the commencement of proceedings, appointment of mediators, conduct of proceedings, disclosure and confidentiality, and the admissibility of evidence relating to mediation in other proceedings. (Art 4-11 Model Law 2002)
  • Post-mediation issues such as the termination of mediation proceedings, switching of hats from a mediator to an arbitrator, resort to arbitral or judicial proceedings for a dispute which parties have agreed to mediate, and the enforceability of the mediated settlement. (Art 12-15 Model Law 2002)