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Financial Capacity of the Parties
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The German Federal Court of Justice ruled in 2000 that an arbitration agreement is eo ipso incapable of being performed if the parties to the arbitration agreement are not able to meet the procedural costs for the proceedings. The book discusses in detail the implications of this case law on arbitration in Germany. Furthermore, eminent lawyers from Austria, France, Switzerland, the United Kingdom and the United States set out the practical implications of impecuniosity and insolvency of parties on the arbitral process under their respective legal systems. Possible practical instruments in the banking and insurance sectors to overcome the detrimental effects of impecuniosity are discussed. The contributions are based on a conference organized by DIS in November 2002 in Berlin.
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