The Singapore International Arbitration Centre Adopts Updated Arbitration Rules

On 9 December 2024, the Singapore International Arbitration Centre (SIAC) published the 7th edition of its rules on arbitration, which were last updated in 2016. The updated rules, which come into force on 1 January 2025, are of substantial importance to cross-border businesses active in Asia and globally given that SIAC has in recent years become one of the premiere global arbitration institutions, with Singapore now one of the two most preferred seats for international arbitration proceedings. The 2025 Rules will apply to any SIAC arbitration commenced from January onward, unless otherwise agreed by the parties. 

SIAC’s 2025 Rules are based on a proposal circulated in August of last year and summarized in this prior Covington client alert. The 2025 Rules adopt many of the key innovations of the draft rules but include changes resulting from a year-long listening tour conducted by SIAC staff to hear feedback on the proposal. 

Two notable changes from the draft rules include removing a presumption that parties agree to publication of decisions and awards absent objection, and removing a requirement that the SIAC President take into account “principles of diversity and inclusion” in the appointment of an arbitrator. Additionally, while the 2025 Rules introduced one new ground to challenge an arbitrator (see below), a second proposed ground—allowing challenges based on an arbitrator’s failure to perform their functions in accordance with the rules and within prescribed time limits—was not adopted. 

The 2025 Rules also encourage the early settlement of disputes, including through mediation.  For example, Rule 32.4 suggests that during the first case management conference, a tribunal consult with the parties on the potential for settlement of the dispute through mediation. The Rules also empower tribunals to make any directions—including the suspension of proceedings—to allow parties to adopt mediation dispute resolution methods. A mediated resolution that is reflected in a consent award may be enforceable pursuant to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which will remain important while the Singapore Convention on Mediation continues to expand its group of member states. 

Other highlights from the 2025 Rules, many of which were discussed in our prior client alert, include (i) Streamlined Procedure, (ii) broader Expedited Procedure, (iii) clarification of preliminary determination powers, (iv) developments to the Emergency Arbitrator Procedure, (v) coordinated arbitrations, (vi) disclosure of third-party funding agreements, and (vii) a fee for filing a challenge to an arbitrator.

• Streamlined Procedure (Rule 13, Schedule 2): The 2025 Rules introduce the Streamlined Procedure as an alternative to the Expedited Procedure for low value disputes. The Streamlined Procedure is available where the parties agree to its application or the amount in dispute does not exceed S$1,000,000 (about US$740,000), unless the SIAC President determines that the procedure shall not apply. Parties may exclude the application of this procedure by written agreement. Under the Streamlined Procedure, the parties have 3 days to jointly nominate a sole arbitrator, failing which, or upon request, the SIAC President “shall appoint the sole arbitrator as soon as practicable.” Only a sole arbitrator may be appointed. In conducting the proceedings, the sole arbitrator has discretion in setting the timeline, but must render a final award within 3 months from the date of constitution of the tribunal, unless the registrar extends the time for making the final award.
• Expedited Procedure (Rule 14, Schedule 3): The 2025 Rules also broaden the application of the existing Expedited Procedure. To complement the new Streamlined Procedure, the Expedited Procedure is available where the amount in dispute does not exceed S$10,000,000 (about US$7.4 million) but is more than S$1,000,000.It also applies to situations where the amount in dispute does not exceed S$1,000,000 but the President has determined the Streamlined Procedure shall not apply or where the President determines that the circumstances of the case warrant application of the Expedited Procedure. Parties may also agree to conduct the arbitration under the Expedited Procedure at any time prior to the constitution of the tribunal. Under Schedule 3, the final award in Expedited Procedure cases will be issued within 6 months of the constitution of the tribunal, unless the registrar extends the time for making the final award.
• Preliminary Determinations (Rule 46): The new Rule 46 allows parties to apply to the tribunal for a “final and binding” preliminary determination of “any issue” in the arbitration where: the parties agree the tribunal may determine the issue on preliminary basis; the determination is likely to save time and costs and lead to a more expeditious resolution; or the circumstances otherwise warrant a preliminary determination. Rule 46.4 imposes a deadline of 90 days for the tribunal to render a decision or award from the date of the filing of an application for preliminary determination (unless the registrar extends the time).
• Emergency Arbitrator and Protective Preliminary Orders (Rule 12.1 and Schedule 1): Schedule 1 now allows parties to apply for emergency interim relief prior to the filing of the Notice of Arbitration, with the Notice due within 7 days of such application. Parties also now have the ability to request a protective preliminary order “directing a party not to frustrate the purpose of the emergency interim or conservatory measure requested. ”An application for such an order must be determined by the Emergency Arbitrator within 24 hours of their appointment.
• Coordinated Arbitration Procedures (Rule 17): New Rule 17 provides that, where the same tribunal is constituted in two or more arbitrations, and a common question of law or fact arises out of or in connection with all arbitrations, the tribunal may determine that the coordinated arbitrations shall be conducted concurrently or sequentially, heard together, or that one arbitration be suspended pending a determination in the other coordinated arbitration.
• Third-Party Funding (Rule 38): Rule 38 requires the parties to disclose the existence of any third-party funding agreement and the identity and contact details of the third-party funder. Tribunals may order such disclosures and consider any third-party funding agreement in apportioning costs. Parties also may not enter into a third-party funding agreement that would give rise to a conflict of interest of an arbitrator after the tribunal has been constituted.
• Challenge of Arbitrators (Rule 26 and Rule 27): A new ground of challenge has been added to Rule 26.1.In addition to challenging an arbitrator for justifiable doubts as to the arbitrator’s impartiality or independence or because the arbitrator lacks requisite qualification, an arbitrator can now be challenged if he or she becomes unable to perform their functions. Rule 27 requires payment of a “challenge filing fee,” the amount of which is set in the SIAC Schedule of Fees (S$10,000 for overseas parties effective 1 January 2025).

The 2025 Rules also adopt a number of additional interesting features. SIAC Gateway, SIAC’s cloud-based case management system, will allow parties to upload communications electronically and includes secure document upload and storage (Rule 4). Relatedly, the Rules encourage tribunals to consider and propose effective security measures around safeguarding sensitive data. The Rules allow tribunals to order sanctions, damages, or costs if a party does not take necessary steps to comply with such information security measures (Rule 61).

Other notable new rules include the ability to obtain security for costs and claims (Rules 48 and 49) and encouragement of the tribunals to consult with parties about adopting environmentally sustainable procedures (Rule 32.3(b)).

A summary of key procedures under the 2025 Rules appears below.

If you have questions about SIAC’s 2025 Rules, please contact the members of Covington’s International Arbitration Practice.

Key Procedures Under the 2025 Rules