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What legal requirements are there for recognition of an award? Must reasons be given for the award? Does the award need to be reviewed by any other body?
The award must be in writing and include reasoning. It must also be signed by the arbitrator. The parties can either ask a competent court to confirm the arbitral award or execute the award without seeking confirmation if there is no further dispute.
Timeframe for delivery
Are there any time limits on delivery of the award?
By law, an arbitral award must be given within three months after the process begins. However, this period can be extended.
Does the law impose limits on the available remedies? Are some remedies not enforceable by the court?
The arbitrator can order any remedy that a competent court is able to give. These remedies are enforceable by the courts.
What interim measures are available? Will local courts issue interim measures pending constitution of the tribunal?
Arbitrators cannot provide interim remedies. However, the parties or the arbitrator may appeal to a competent court for interim remedies. Generally, when a dispute has been referred to arbitration, the court will not take further action unless a motion is filed by one or more party or by the arbitrator.
Can interest be awarded?
At what rate?
At any rate which a competent court can award.
Is the award final and binding?
No – awards can be contested or appealed.
What if there are any mistakes?
The arbitrator can, at the request of one or more parties to the arbitration, correct factual mistakes and omissions in the award. Such a request must be made within 30 days of the delivery of the award to the parties.
Can the parties exclude by agreement any right of appeal or other recourse that the law of your jurisdiction may provide?
The right of appeal may be excluded by agreement, but this does prevent a party from filing a motion with the court asking that the arbitral award be annulled if a grave mistake in law or procedure is made.
What is the procedure for challenging awards?
A challenge to an award must be filed to the competent court within 45 days of delivery of the award to the parties. There is a fixed list of grounds on which an arbitral award may be annulled.
On what grounds can parties appeal an award?
The parties can agree on the right of appeal, either to a different arbitrator or the court. In both cases, an award may be appealed if a substantial legal error was made in a way which creates a grave injustice.
What steps can be taken to enforce the award if there is a failure to comply?
Any of the steps which are normally taken in a court judgment (eg, placing liens and issuing various injunctions to enforce the award) can be used.
Can awards be enforced in local courts?
How enforceable is the award internationally?
There is usually no problem enforcing Israeli arbitral awards internationally in countries which are signatories to the New York Convention.
To what extent might a state or state entity successfully raise a defence of state or sovereign immunity at the enforcement stage?
States or state entities are usually not immune from enforcement of awards in Israel, apart from specific circumstances for specific entities.
Are there any other bases on which an award may be challenged, and if so, by what?
There is a fixed list of grounds for challenging an award.
How enforceable are foreign arbitral awards in your jurisdiction?
If they meet the demands of the New York Convention, foreign arbitral awards are easy to enforce in Israel.
Will an award that has been set aside by the courts in the seat of arbitration be enforced in your jurisdiction?
No, an award must be final and valid in the originating country to be enforceable in Israel.
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