International arbitration law and rules in Slovakia

The Survey of Arbitration Practitioners undertaken in 2014 as part of the Study “Legal Instruments and Practice of Arbitration in the EU” commissioned by the JURI Committee of the European Parliament showed that the Slovak respondents considered their local law to be the least supportive of arbitration (alongside Latvian) of all national respondents participating in the Study. Since then, the Slovak legislation on arbitration has improved and judicial decisions concerning arbitration have become more consistent, but the building of trust in arbitration is still only developing.

1.1.1 The history of arbitration in the Slovak Republic dates back to the Austro-Hungarian monarchy in 1911. During this period, arbitration was regulated by the Civil Dispute Code, Act No. I/1911 (1911 Civil Dispute Code), which was in force until 1950. The advantage of the 1911 Civil Dispute Code was its broad scope of application, which enabled parties to refer, inter alia, both property and employment disputes to arbitration. Subsequently, at the end of Second World War and with the rise of socialism, a new regulation emerged in the form of the Civil Procedure Act No. 142/1950 Coll., which contained detailed provisions on arbitration. 1 Civil Procedure Act (No.142/1950 Coll.), s 648–654.

1.1.2 Until 1989, arbitration in former Czechoslovakia was divided into:

• arbitration regarding international disputes, regulated by Act No. 98/1963 Coll. (1963 Czechoslovakian Arbitration Act); and
• arbitration regarding the domestic affairs of state-owned entities, regulated by Act No. 121/1962 Coll. Domestic entities that were not state owned did not have recourse to arbitration for their domestic disputes from 1963 until 1994.

1.1.3 Following the establishment of the Slovak Republic on 1 January 1993, arbitral proceedings were still regulated by the 1963 Czechoslovakian Arbitration Act, which prohibited domestic arbitration for entities that were not state owned. The entry into force of Act No. 218/1996 Coll. on Arbitration (1996 Slovakian Arbitration Act) re-introduced the possibility for parties to resolve domestic disputes by way of arbitration. However, contrary to the legislators’ expectations, the 1996 Slovakian Arbitration Act did not cause a significant increase in the number of domestic arbitral proceedings.

1.1.4 The 1996 Slovakian Arbitration Act was replaced by the Act No. 244/2002 Coll. on Arbitration, which entered into force on 1 July 2002 (Slovakian Arbitration Act). The Slovakian Arbitration Act has subsequently been amended six times. 2 As of 1 January 2006 by Act No. 521/2005 Coll., as of 5 March 2009 by Act No. 71/2009 Coll., as of 1 January 2015 by Act No. 336/2014 Coll., as of 1 January 2017 by Act No. 125/2016 Coll., as of 21 July 2019 by Act No. 373/2018 Coll. and as of 2 January 2020 by Act No. 310/2019 Coll.

1.1.5 Arbitral proceedings in Slovakia can be conducted under the auspices of an arbitral institution, which administers the arbitration (ie the arbitral institution undertakes tasks such as transmitting correspondence between the parties and the arbitral tribunal, appointing arbitrators in cases where the parties are unable to agree upon such appointments and fixing arbitrators’ fees). Alternatively, arbitral proceedings may be conducted on an ad hoc basis, in which the parties administer the arbitral proceedings themselves.

2.1.1 The Slovakian Arbitration Act governs the resolution of disputes arising out of commercial or civil relationships, both at a domestic and international level, when the seat of arbitration is Slovakia. 3 Slovakian Arbitration Act, s 1(1).

2.2.1 The Slovakian Arbitration Act reflects the course of the arbitral proceedings and is formed of nine parts, as follows:

1. Part One: general provisions, including the subject matter, scope of the arbitral proceedings and arbitral and court proceedings; 4 Ibid, s 1–2. the arbitration agreement; 5 Ibid, s 3–5. provisions relating to arbitrators and the arbitral tribunal, notably the conditions for performing the function of an arbitrator, the constitution of an arbitral tribunal, opposing the appointment of an arbitrator and termination of the function of an arbitrator; 6 Ibid, s 6–11. the establishment of the permanent court of arbitration; 7 Ibid, s 12–15.
2. Part Two: the procedure for, and course of, the arbitral proceedings; 8 Ibid, s 16–30. the content and effects of the arbitral tribunal’s decisions and awards; 9 Ibid, s 31–39. challenging and cancellation of awards; 10 Ibid, s 40–43. the recognition and enforcement of awards; 11 Ibid, s 44–50. and
3. Part Three: common, transitional and final provisions. 12 Ibid, s 51–56.

2.3.1 The Slovakian Arbitration Act is based on the Model Law (1985) 13 For the full text of the Model Law (1985) see http://www.uncitral.org/pdf/english/texts/arbitration/ml-arb/06-54671_Ebook.pdf. and implements all of the principles contained therein, as well as the basic principles contained in the Code of Civil Procedure of the Slovak Republic 14 Act No. 160/2015 Coll. (Slovakian CCP), the New York Convention 15 For the full text of the New York Convention (1985) see https://www.uncitral.org/pdf/english/texts/arbitration/NY-conv/New-York-Convention-E.pdf.  and the 1961 European Convention.

3.1.1 The Slovakian Arbitration Act defines an arbitration agreement as an agreement between contracting parties that all or some disputes which have arisen or may arise between them in a specific contractual or legal relationship shall be resolved through arbitration. 16 Slovakian Arbitration Act, s 3(1).

3.2.1 The Slovakian Arbitration Act stipulates that an arbitration agreement must be in writing in order to be valid. 17 Ibid, s 4(2).

3.2.2 The arbitration agreement shall be deemed to be in written form if it is:

• contained within mutual written communication of the parties; 
• contained in a contract or in a written communication of the parties as a reference to any document containing the arbitration clause if pursuant to the will of the parties – such reference should render the arbitral clause to be the part of the contract;
• concluded by electronic means that enable capturing the content of the legal act and the person who has done the legal act;
• contained in any written accession agreement concluded under special law in the form of valid arbitration clause – this also applies to acquiring membership in an ‘interest association’ or in other legal entity, which has an arbitration clause in its by-laws; or
• alleged in a statement of claim and the respondent does not deny it in its statement of defence submitted to the arbitral tribunal. 18 Ibid, s 4(3), (4), (5) and (7).

3.2.3 An arbitration agreement may be contained in a stand-alone agreement or in an arbitration clause in a contract.

3.2.4 If the agreement was not originally made in writing, the parties can remedy the situation by making a statement before the arbitrator on acceptance of the jurisdiction of the arbitral tribunal, recorded in minutes. The minutes shall include an arbitration agreement. 19 Ibid, s 4(6).

3.2.5 A validly executed arbitration agreement is binding upon its signatories. It may be replaced or supplemented only in accordance with its provisions or by agreement between the parties. Any modification to the arbitration agreement must be made in writing.

3.2.6 Unless otherwise provided in the arbitration agreement, it will also be binding upon the legal successors of the parties. 20 Ibid, s 3(2).

3.3.1 The parties are free to choose the law that governs the arbitration agreement. The parties can agree that the arbitration clause within a contract shall have a different applicable law to that which governs the contract as a whole. 21 Ibid, s 5(1).

3.3.2 Arbitration can only be used to resolve disputes that are capable of settlement including disputes involving claims for declaratory relief. A dispute is capable of settlement where the substantive law does not dictate a particular way of settlement of rights and, therefore, allows the parties to settle the matter through agreement.

3.3.3 The following disputes cannot be resolved by arbitration:

• disputes regarding the creation, change and extinction of title and other rights to real property;
• disputes regarding personal status;
• disputes regarding the enforcement of decisions;
• disputes arising out of bankruptcy or a restructuring procedure; and
• disputes between supplier and consumer resulting from a consumer contract or are consumer-contract related, which may be resolved by consumer arbitration. 22 Ibid, s 1(3) and (4).

3.4.1 In keeping with the principle of separability, an arbitration clause that is part of an otherwise invalid contract shall only be considered invalid itself if the reason for invalidity of the underlying contract relates to the arbitration clause. 23 Ibid, s 5(2).

3.4.2 Unless the parties agree otherwise, withdrawal from an agreement containing an arbitration clause does not affect the validity or binding nature of the arbitration clause. 24 Ibid, s 5(3).

3.5.1 A binding arbitration agreement has the effect that the courts shall have no jurisdiction to decide the dispute unless such matter is determined otherwise by the arbitral tribunal. 25 Ibid, s 2(1).

3.5.2 An effective ruling from the arbitral tribunal that it lacks the jurisdiction to decide the dispute will establish the court’s jurisdiction to hear the dispute.

4.1.1 The arbitral tribunal must be composed of an odd number of arbitrators. 26 Ibid, s 7(2). If the parties fail to agree upon the number of arbitrators, three arbitrators shall be appointed. 27 Ibid, s 7(3).

4.1.2 The parties may either agree upon the identity of the arbitrator(s), or on the additional appointment procedure. 28 Ibid, s 8(1).  If the parties have agreed to appoint three arbitrators, each party shall appoint one arbitrator. The two arbitrators that have been appointed by the parties shall then appoint a third arbitrator, who will be the chair of the arbitral tribunal. If either party fails to appoint an arbitrator or two appointed arbitrators fail to appoint the third arbitrator, then, upon the request of either party, the arbitrator shall be appointed by the relevant appointing authority or court upon the request of either party. 29 Ibid, s 8(2). There is no specific regulation affecting the appointment of the arbitral tribunal if there are more than two parties.

4.1.3 If the parties have agreed to appoint a sole arbitrator, but cannot agree upon the identity of the arbitrator, then the arbitrator will be appointed by the relevant appointing authority or court upon the request of either party. 30 Ibid, s 8(2).

4.2.1 The Slovakian Arbitration Act requires all arbitrators to disclose all facts and circumstances that could, in the opinion of the parties, compromise the arbitrator’s independence or impartiality. 31 Ibid, s 9(1).

4.2.2 The parties may challenge an arbitrator’s appointment within 15 days of learning the circumstances that may compromise the arbitrator’s independence or impartiality or lack of arbitrator’s capacity to act as arbitrator. 32 Ibid. s 9(4).

4.2.3 The parties may agree upon the procedure for challenging an arbitrator, with the exception of agreeing the exclusion of a right to have the decision on the challenge reviewed by the court. In case of failure to conclude such agreement, any party shall notify the arbitral tribunal about the reasons for the challenge. Unless the other party agrees with the challenge, or the challenged arbitrator resigns, the arbitral tribunal shall decide on the challenge. If the challenge is denied by the arbitral tribunal, the unsuccessful party may request the court to decide on the challenge. The arbitral tribunal is allowed, during the court proceeding on the challenge, to continue with the arbitral proceedings and to render an award. 33 Ibid, s 9(5).  The court’s ruling on the challenge is final and cannot be appealed. 34 Ibid. When an arbitrator ceases to hold office (eg due to their resignation, removal or death), a replacement arbitrator is appointed in accordance with the procedure agreed by the parties. In the absence of any agreement between the parties on this issue, the parties must follow the same procedure as that adopted for the appointment of the original arbitrator(s), as set out in section 4.1 above. 35 Ibid, s 11(2).

4.3.1 The Slovakian Arbitration Act does not contain any express provisions regulating the legal liability of arbitrators. As a result, this issue is governed by the general principles of liability under Slovakian law, which are set out in section 4.5 below.

4.4.1 The Slovakian Arbitration Act neither regulates the fees for the arbitral procedure nor the entitlement of the arbitrators to fees.

4.4.2 The arbitration fees of each arbitral institution are regulated by its internal rules, which are typically binding upon the parties to institutional arbitral proceedings.

4.5.1 Arbitrators do not enjoy immunity under Slovakian law. Arbitrators can be liable for any damage caused by the exercise of their function as arbitrator. Arbitrators can also face criminal sanctions if they make a decision without the prior consent of any supervisory authority.

5.1.1 The arbitral tribunal is competent to rule upon its own jurisdiction, including challenges to the validity or existence of the arbitration agreement. 36 Ibid, s 21(1).

5.1.2 Should the arbitral tribunal conclude that it does not have jurisdiction to hear the dispute, it shall terminate the arbitral proceedings. 37 Ibid.

5.1.3 Any challenge to the arbitral tribunal’s jurisdiction must, at the latest, be raised by a party when taking the first step in the arbitral proceedings on the merits of the claim (usually when filing the statement of defence), unless the application is based on the dispute being non-arbitrable, or the matter is subject to arbitration under a special law (Slovak Act No. 335/2014 Coll. on Consumer Arbitration). In that case, the arbitral tribunal’s jurisdiction can be challenged at any stage of the arbitral proceedings, prior to termination of the oral hearing or, in case of a written proceeding, prior to the award being granted. 38 Ibid, s 21(2).

5.2.1 Unless agreed otherwise, a party to the arbitral proceedings may request the arbitral tribunal to order interim measures in case it is necessary to temporarily adjust relationships between the parties, if there is a risk that the enforcement of an award could be endangered, or in case of concerns about preservation of evidence at later stage. If agreed between the parties, the permanent arbitration court may order the interim measures before appointment of the arbitral tribunal. 39 Ibid, s 22(1).

5.2.2 Arbitral tribunals may, by interim measures, order:

• the depositing of a financial amount or movable items with the arbitral tribunal;
• the prohibition of the disposal of some assets or rights;
• a party to perform an action, refrain from doing so, or endure some measure; and
• the preservation of evidence. 40 Ibid, s 22(3).

5.2.3 The arbitral tribunal may require that the party seeking interim measures provides security in exchange for any interim measures that are granted. If the party fails to pay the security or advance payment within the stipulated period, the arbitral tribunal shall reject the request for the order of the interim measure. 41 Ibid, s 22(4).

5.2.4 There are two types of interim measures that may be ordered by arbitral tribunal under the Slovakian Arbitration Act: standard interim measures (including prior notice and deadline for submission of reply to the other party’s request for ordering an interim measure); and ex parte interim measures. The arbitral tribunal may grant an ex parte interim measure without prior notice to the affected party if authorised to do so in the arbitration agreement. Ex parte measures are not immediately enforceable by the court, in contrast to standard interim measures (with prior notice having been given to the affected party) issued by arbitral tribunals that are capable of court enforcement. If an ex parte measure is ordered, the affected party is entitled  to file an objection with the arbitral tribunal within 15 days. If the affected party is unsuccessful, the interim measure becomes a standard interim measure and is enforceable by the courts. 

5.2.5 Prior to the constitution of the arbitral tribunal and after the termination of the arbitral proceedings, interim measures must be sought from the Slovakian courts.

6.1.1 The general principle regarding the commencement of arbitration is that the claim must be delivered to the designated person or authority. 42 Ibid, s 16(1). Institutional arbitral proceedings usually commence on the date on which the claim is filed with the competent arbitral institution. Ad hoc arbitral proceedings commence on the date on which the claim is received by the other party or filed with one of the arbitrators. Commencement of the arbitral proceedings by filing a claim with the arbitrator is possible if the parties have already identified the arbitrator(s).

6.1.2 Unless the parties agree otherwise, the arbitral tribunal is entitled to require that the claimant pays an advance towards the arbitrators’ estimated fees within a specified period, failing which the arbitral tribunal will stay the arbitral proceedings. 43 Ibid, s 18(6). Unless otherwise agreed by the parties, the arbitral tribunal is entitled to claim an advance towards the arbitrators’ estimated fees from the claimant only.

6.2.1 The provisions of the Slovakian Arbitration Act and the Slovakian CCP reflect the fundamental principles typically found in arbitration legislation across the world, including: 

• equal treatment of the parties; 44 Ibid, s 17.
• party autonomy; and
• non-intervention by local courts.

6.3.1 The seat of arbitration is usually selected by the parties. In the absence of agreement between the parties, the arbitral tribunal will determine the seat of arbitration, taking into account the nature of the dispute and the interests of the parties. 45 Ibid, s 23(1).

6.3.2 Unless otherwise agreed by the parties, the arbitral tribunal may organise hearings and perform its functions at a venue other than the seat of arbitration.

6.3.3 In the absence of an agreement between the parties, the language of the arbitration will be determined by the arbitral tribunal. 46 Ibid, s 24. There is no general rule that domestic arbitral proceedings must be conducted in Slovak. The efficiency of the arbitral process is the most important consideration when deciding upon the language to be used. The chosen language will apply to all written statements of the case, hearings, the award and all other documents issued by the arbitral tribunal. The arbitral tribunal may further rule that any document that is written in a different language must be accompanied by an official translation into the language of the arbitration. There is no statutory restriction for the arbitral tribunal to specify more than one official language to be used in conducting the proceedings.

6.4.1 The Slovakian Arbitration Act itself does not contain provisions on intervention and joinder in cases of multi-party issues. However, these issues are regulated by the Slovakian CCP, which is applied to arbitral proceedings by the Slovakian Arbitration Act. 47 Ibid, s 51. Third parties may intervene in the proceedings on their own initiative or upon the proposal of one of the parties as either claimant or respondent where they have a legal interest in the outcome of the proceedings, and with the consent of the arbitral tribunal. 48 Slovakian CCP, s. 81, 82, 83, 84 The arbitral tribunal may join two or more arbitral proceedings started before the same tribunal, involving the same parties or claims arising out of the same transaction or event. 49 Ibid, s 166.

6.5.1 The parties are free to agree whether the proceedings should be conducted purely on the basis of documents (ie inviting the arbitral tribunal to render its award on the basis of written submissions only), or with the benfit of oral hearings before the arbitral tribunal. 50 Slovakian Arbitration Act, s 26(1). Unless the parties expressly agree to hold an oral hearing, there is no general rule that there will be one. However, in the absence of agreement between the parties, the arbitral tribunal shall decide whether an oral hearing is required. If the arbitral tribunal considers that an oral hearing is necessary, the general rule is that such a hearing will be held in private (unlike in national court proceedings), unless the parties agree otherwise. 51 Ibid, s 26(2).

6.5.2 The Slovakian Arbitration Act obliges the parties to assist the arbitral tribunal in resolving the dispute. 52 Ibid, s 26(4). In keeping with this obligation, parties are required to attend oral hearings either personally or through a representative. The parties are also required to file all written submissions and other documents on time, although the arbitral tribunal has the power to grant extensions of time in appropriate cases.

6.5.3 A formal notice of any oral hearing must be served on all parties in advance of such hearing. A party that is a not resident in Slovakia is entitled to a notice period of 30 days prior to any oral hearing. 53 Ibid, s 26(5).

6.6.1 Should a party not participate in the arbitral proceedings, or fail to participate adequately, there are different consequences depending on the type of default. 54 Ibid, s 30.

6.6.2 If the claim fails to meet the basic statutory requirements and is not amended within a time period granted for this purpose, the arbitral tribunal shall stay the arbitral proceedings.

6.6.3 If any of the parties fail to attend the oral hearing or fail to produce evidence despite being duly informed about the date, time and place of the proceedings, the arbitral tribunal shall be entitled to issue an award based on the available evidence.

6.6.4 If the respondent fails to file its written statement of defence within the stated time period, the continuance of the arbitral proceedings shall not be affected. Such a failure by the respondent shall not be deemed as an acknowledgment of the claimant’s statement of claim. 55 Ibid, s 30(2).

6.7.1 The arbitral tribunal can only examine evidence that was proposed by the parties as the basis for its decision. 56 Ibid, s 27(1). Such evidence can include oral evidence, documentary evidence and expert opinions. The arbitral tribunal determines for itself, in the exercise of its discretion, what weight to attach to the evidence submitted by the parties.

6.7.2 The parties usually attach the documents that they intend to rely upon as documentary evidence to their written submissions. Nevertheless, the arbitral tribunal has the power to order the parties – either of its own motion or on the application of one of the parties – to produce additional documentary evidence if it believes that such documents might assist in resolving the issues in dispute.

6.8.1 The arbitral tribunal may appoint experts in the arbitral proceedings to provide an opinion on issues that require certain expertise. 57 Ibid, s 28(1). The arbitral tribunal shall provide the expert with questions that it requires to be answered within the expert opinion. 58 Ibid. The arbitral tribunal can also invite the parties to provide their own questions to be posed to the expert(s).

6.8.2 The parties may be ordered by the arbitral tribunal to provide any information or documents that are necessary for the preparation of the expert opinion. 59 Ibid, s 28(2).

6.9.1 Arbitrators are bound by a duty of confidentialiy which survives the termination of the arbitral proceedings. An arbitrator may only be released from his or her confidentiality obligation with the consent of the parties or under certain statutory exceptions. 60 Ibid, s 8(4). The parties are not bound by such duty of confidentiality. 

6.10.1 The arbitral tribunal is entitled to seek the assistance of the local courts to obtain evidence (eg to compel third parties to provide oral or documentary evidence).

6.10.2 The assistance of the local court in such cases may be sought if it is not possible for the arbitral tribunal to obtain evidence, or if obtaining the evidence by the arbitral tribunal would be more expensive or difficult than by involving the local court. The arbitral tribunal may require that the party seeking evidence provides an advance to the competent court regarding any associated fees. 61 Ibid, s 27(3).

7.1.1 In the event that a dispute contains an international element, the arbitral tribunal must render its decision on the issues in dispute in accordance with the law agreed by the parties. 62 Ibid, s 5(1) and 31(1). Unless otherwise agreed, the parties’ agreement on the governing law refers only to the substantive law of the chosen state and not to its conflict of law rules. In the absence of an agreement between the parties on the governing law, the arbitral tribunal shall apply the conflict of law rules of the state it deems appropriate. 63 Ibid, s 31(1).

7.1.2 In the case of disputes arising out of a domestic legal relationship, the arbitral tribunal shall follow the governing law agreed by the parties, to the extent acceptable by the Slovakian conflict of law rules. 64 Ibid, s 31(2). Unless otherwise agreed, the parties’ agreement on the governing law refers only to the substantive law of the chosen state and not to its conflict of law rules. In the absence of an agreement between the parties on the governing law, the arbitral tribunal shall apply the Slovakian conflict of law rules. However, in all cases, the arbitral tribunal can take into account the relevant customs and trade usages. 65 Ibid, s 31(3).

7.1.3 If the parties expressly authorise the arbitral tribunal to do so, the arbitral tribunal can also decide a dispute ex aequo et bono. 66 Ibid, s 31(4).

7.2.1 The Slovakian Arbitration Act does not stipulate a time period for the rendering of an award.

7.2.2 An award must be made in writing. 67 Ibid, s 34(1). The award must contain:

• the name of the arbitral institution (if any);
• the names of the arbitrators;
• the names of the parties and their representatives;
• the seat of arbitration;
• the date of the award;
• the decision of the arbitral tribunal on the issues in dispute;
• the reasons upon which the award is based (unless the parties have agreed that no grounds need to be included in the award or the award is based on a settlement agreement); and
• instructions to the parties on the possibility to challenge the award before the court. 68 Ibid, s 34(2).

7.2.3 Any arbitrator may attach a dissenting opinion to the award which explains his or her reasons for disagreeing with the decision of the majority. In the event that a majority decision cannot be reached due to the absence of an arbitrator, the chair has a casting vote.

7.2.4 To avoid acting in excess of jurisdiction (and thereby potentially jeopardising the enforceability of the award), the arbitral tribunal must limit the scope of the award to the issues submitted to arbitration by the parties.

7.2.5 The award should contain a ruling on costs and should determine which party is obliged to pay such costs. Where the award imposes an obligation to perform an act, the arbitral tribunal shall specify a period for the performing of that act. 69 Ibid, s 34(4).

7.2.6 If the place of arbitration is the Slovak Republic and unless the parties agree otherwise, every award made within the arbitral proceeding shall be deemed to be made at that place in the Slovak Republic regardless of the place of its signing, dispatch, or delivery to the parties. 70 Ibid, s 34(3).

7.3.1 During the arbitral proceedings the parties may settle the dispute by mutual agreement. The parties may request the court to record their settlement in the form of an award.

7.3.2 Upon settlement by the parties, the arbitral tribunal shall terminate the proceedings. 71 Ibid, s 33(1). See further section 7.5 below.

7.4.1 There is no express provision in the Slovakian Arbitration Act concerning the issue of whether or not an arbitral tribunal can award interest.

7.4.2 However, it is generally accepted that arbitral tribunals have the power to award interest, provided that such power is envisaged by the law governing the dispute. Default interest may be awarded either on a contractual basis (if so provided in the contract between the parties) or on a statutory basis. 72 Civil Code (Act No. 40/1964), s 517; and Commercial Code (Act No. 513/1991), s 369.

7.4.3 The arbitral tribunal awards the costs of the arbitral proceedings. The cost of legal representation in the arbitral proceedings is statutorily regulated. 73 Regulation of the Slovak Ministry of Justice No. 655/2004 Coll., s. 18(1), 19(3). This also applies to international arbitral proceedings.

7.5.1 The arbitral proceedings shall be terminated either by the issuance of an award, or by an order on the discontinuance of the arbitral proceedings in the event that no award is to be issued (eg if the arbitral tribunal declines jurisdiction over the dispute, or if the parties conclude a settlement). The provisions governing the contents of the award (as set out in paragraph 7.2.2 above) apply equally to any resolution on discontinuance. 74 Slovakian Arbitration Act, s 38(2).

7.6.1 If the award is not subject to review, or if the time limit for lodging an application for the review of the award has expired, the award acquires the force of res judicata. Once an award has been properly served, it is binding on the parties in the same way as a national court decision. 75 Ibid, s 35.

7.7.1 The arbitral tribunal (of its own motion or upon the request of a party) may correct any clerical, typographical, computational or other similar errors in the award within 60 days of the date of validity of the award. 76 Ibid, s 36(1). If a party has made the request and the arbitral tribunal considers the request to be justified, it shall issue and deliver to all parties to the proceedings a corrected award within 60 days of receipt of the party’s request.

7.7.2 Each party may likewise request the arbitral tribunal to provide an interpretation of a specific point or part of the award within 30 days of receipt of the award. 77 Ibid, s 36(2). However, if the arbitral tribunal considers such a request to be justified, there is no set period for the arbitral tribunal to provide the interpretation of the award.

8.1.1 The Slovakian Arbitration Act specifies certain circumstances in which the Slovakian courts have the power to intervene in arbitral proceedings. In particular, the courts have jurisdiction to support the arbitral process by appointing arbitrators, granting interim measures 78 See section 8.4 below. and assisting with the gathering of evidence. In addition, the courts play a crucial role in hearing applications relating to challenging and enforcing awards. 79 Slovakian Arbitration Act, chapters 3, 4 and 5 of Part Two.

8.2.1 A court is required to stay proceedings as soon as it becomes aware of the existence of a binding arbitration agreement. It can be made aware through an application by the respondent contesting the court’s jurisdiction, which must be made, at the latest, when the respondent first contests the merits of the claim.

8.2.2 If both parties declare that they do not insist on the arbitration agreement, the court may proceed to hear the case. 80 Slovakian CCP, s 7.

8.2.3 The court will also hear a case if it establishes under Slovakian law that:

• the case is non-arbitrable; or
• the relevant arbitral institution has refused to deal with the case. 81 Ibid, s. 7

8.2.4 Where arbitral proceedings are filed on the same issue within 30 days of an order staying the court proceedings, the legal effect of the original action shall remain unaffected (ie the claim is deemed to have been issued on the date of commencement of the court proceedings for the purposes of calculating the relevant limitation periods). 82 Ibid, s. 6(2).

8.2.5 If court proceedings are started after the commencement of arbitral proceedings, the court will interrupt such proceedings until the arbitral tribunal has ruled upon its own jurisdiction or on the merits of the case. If the arbitral tribunal decides that it has jurisdiction, the court must stay the proceeding. 83 Ibid, s. 8, s. 6. The parties may later challenge the arbitral tribunal’s assumption of jurisdiction by applying to the court to set aside the award for lack of jurisdiction.

8.3.1 The courts do not have the power to make preliminary rulings on jurisdiction. The challenge of the jurisdiction of the arbitral tribunal shall be made within the arbitral proceedings (see paragraph 8.2.5 above). If the arbitral tribunal wrongly decides that it has jurisdiction to hear the dispute, this may be a basis for challenging the award.

8.4.1 In certain circumstances the Slovakian courts have jurisdiction to grant interim measures in support of arbitral proceedings. The local courts can grant interim measures, at the request of one of the parties, if the arbitral tribunal has not yet been constituted or, post-issuance of the award, to counter any threats to the enforcement of the award.

8.5.1 As set out in section 6.10 above, the competent court has jurisdiction to obtain evidence upon the application of the arbitral tribunal. 84 Slovakian Arbitration Act, s 27(3). The arbitral tribunal may require that the party seeking evidence provides an advance to the competent court regarding any associated fees.

9.1.1 The Slovakian Arbitration Act provides the parties with a statutory basis to challenge the award. The national courts have jurisdiction to decide on such a challenge.

9.1.2 The court’s power to set aside an award cannot be excluded by agreement between the parties (except with respect to grounds relating to the re-opening of the case).

9.1.3 If the court sets aside an award on the basis of non-arbitrability of the matter, or as a result of the invalidity of the arbitration agreement, the court will assume jurisdiction and render a judgment on the subject matter of the dispute. In all other cases, the arbitration agreement remains valid and the dispute shall be submitted to a new arbitral tribunal. 85 Ibid, s 43(2).

9.2.1 Under the Slovakian Arbitration Act, a domestic arbitral award may be set aside by a relevant court only upon a request by a party against another party, if the party to the arbitration proves that:

• it did not have the capacity to enter into the arbitration agreement;
• the said arbitration agreement was not entered into in accordance with the law to which the parties have by agreement subjected it, or failing such agreement, under the law of the Slovak Republic;
• it was not given proper notice of the appointment of arbitrator, of the arbitration proceedings or it was unable to participate in the arbitration proceedings;
• the arbitral award deals with a matter for which there was no arbitration agreement concluded or which does not fall within the terms of the arbitration agreement, or the arbitral award oversteps the scope of the agreement on arbitrator or the scope of the arbitration agreement; if sections of the arbitral award on matters submitted to arbitration can be separated from those not so submitted, the court shall only set aside the affected sections of the arbitral award; and
• the composition of the arbitral tribunal or the arbitral procedure was not in accordance with the agreement of the parties or, in the absence of such agreement, was not in accordance with provisions of the Slovakian Arbitration Act, in case this could have had an impact on the decision on the merits.

The court may also set aside an arbitral award if it finds that there exist grounds for which recognition and enforcement of a foreign award would be rejected even without motion of a party under the Slovakian Arbitration Act.

9.3.1 A party seeking to challenge an award before the Slovakian courts must do so within 60 days of being served with the award. 86 Ibid, s 41.

9.3.2 The filing of an application to set aside an award does not have the automatic effect of staying the enforcement of the award. However, the court may stay the enforcement of the award upon the application of a party if it considers that immediate enforcement of the award could cause serious prejudice to that party.

10.1.1 A domestic award (ie an award issued within the territory of the Slovak Republic) that is not subject to review acquires the force of res judicata when served on the parties. After the expiration of the voluntary performance period set out in the award, a domestic award is enforceable in accordance with the provisions of the Slovakian CCP and Act No. 233/1995 Coll. on Court Executors and Execution Activities (Slovakian Enforcement Act). The enforcement of a domestic award is subject to the same conditions as court decisions.

10.1.2 The enforcement of a domestic award commences upon the filing of an electronic execution application (together with the award) to the respective court, as well as the depositing of an advance towards the cost of the execution procedure (if requested by the executor). 87 Slovakian Enforcement Act, s 48 and 58. The executor may start the execution process after having received court approval, subject to notifying both parties. The court shall issue such approval if, upon inspection of the application and the award, it finds that the award is enforceable.

10.1.3 Should the party against whom execution is sought fail to object to the execution within 15 days of the notification (eg for inadmissibility), or the court rejects that party’s challenge, the court will issue an execution order. Based on the execution order, the executor can enforce the award against, for example, the debtor’s bank accounts, property and securities. 88 Ibid, part four.

10.2.1 Foreign awards rendered by states that are party to the New York Convention 89 For the full text of the New York Convention (1985) see https://www.uncitral.org/pdf/english/texts/arbitration/NY-conv/New-York-Convention-E.pdf. are, in principle, enforceable in Slovakia in the same way as domestic awards.

10.2.2 The Slovakian Arbitration Act sets out the conditions pursuant to which a non-New York Convention foreign award may be recognised and enforced. 90 Slovakian Arbitration Act, s 46 et seq. The party seeking the recognition and enforcement of a foreign award must file a written petition with the court making a request for the same, accompanied by the original foreign award and the original arbitration agreement (or a copy of either document that has been certified by a notary public). 91 Ibid, s 47(1). If the award or the arbitration agreement is in a foreign language, the party must also produce a translation that has been certified by an official or sworn translator, diplomat or consular agent. 92 Ibid, s 47(2).

10.2.3 Where a party has made an application to the courts of another country to set aside an award that is the subject of a Slovakian enforcement application, the Slovakian courts may stay the enforcement of that award. A foreign award is enforceable in the Slovak Republic in the same way as a domestic award. 93 Ibid, s 46.

10.2.4 The recognition and enforcement of a foreign award may only be refused if the party proves that:

• the party did not have the capacity to enter into the arbitration agreement, the arbitration agreement was not concluded in accordance with the law to which the parties have subjected it or, failing such agreement, under the law of the country where the award was made;
• it was not given proper notice of the appointment of an arbitrator or of the arbitral proceedings or was unable to present its case;
• the award deals with a dispute not contemplated by or not falling within the terms of the arbitration agreement, or the award oversteps the scope of the agreement on the arbitrators or the scope of the arbitration agreement. If the parts of the foreign arbitral award on matters submitted to arbitration can be separated from those not so submitted, the court may only recognise and enforce the part of the award that contains the decision on matters submitted to arbitration;
• the composition of the arbitral tribunal or the arbitral procedure was not in accordance with the agreement of the parties or, in the absence of such agreement, was not in accordance with the law of the country where the arbitration took place, provided that it could have had an impact on the decision on the merits of the case; or
• the award has not yet become binding on the parties or has been set aside or suspended by a court of the country in which, or under the law of which, that award was made.

10.2.5 Any decision refusing the recognition and enforcement of an award must be reasoned and can be appealed. 94 Ibid, s 50(3)–(4).

11.1.1 The Slovakian Arbitration Act does not contain any special provisions in relation to consumers. Disputes involving consumers are arbitrable under the Slovak Act No. 335/2014 Coll. on Consumer Arbitration. 

11.2.1 Employment matters are non-arbitrable under Slovakian law.