UNCITRAL - United Nations Commission on International Trade Law
The United Nations Commission on International Trade Law (UNCITRAL) was established by the United Nations General Assembly in 1966, with the aim of reducing obstacles to international trade. The General Assembly gave UNCITRAL a general mandate to harmonise and unify the law of international trade.
UNCITRAL is composed of 60 member countries, which are elected by the United Nations General Assembly for terms of six years. Australia is currently a member of UNCITRAL.
UNCITRAL currently has six working groups examining the following topics: procurement; international arbitration and conciliation; transport law; electronic commerce; insolvency law; and security interests. Information on the working groups is available on the UNCITRAL website.
Working Group I—Procurement
Working Group I is currently considering revisions to the Model Law on Procurement of Goods, Construction and Services. The Model Law contains procedures aimed at achieving the objectives of competition, transparency, fairness and objectivity in the procurement process. It is designed to assist in reforming and modernizing laws on procurement procedures internationally.
Working Group II—International Arbitration and Conciliation
UNCITRAL has produced several major texts on international arbitration and conciliation including:
- the 1985 Model Law on International Commercial Arbitration;
- the 1976 UNCITRAL Arbitration Rules;
- the 1958 Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the ‘New York’ Convention)
The Model Law on International Commercial Arbitration covers all stages of the arbitral process, from the arbitration agreement; the composition and jurisdiction of the arbitral tribunal and the extent of court intervention; through to the recognition and enforcement of the arbitral award. Australia has enacted legislation based on the Model Law (see International Arbitration Act 1974 (Cth)). Working Group II recently revised the Model Law in relation to arbitration agreements and interim measures.
The Working Group is currently working on revising the UNCITRAL Arbitration Rules, to update them in light of the changes that have taken place over the last 30 years in arbitral practice.
Working Group III—Transport Law
Working Group III on Transport Law is currently working on a draft Convention on the Carriage of Goods by Sea. The current text will introduce a new regime for the international carriage of goods where there is an international sea leg and is intended to replace other rules on the matter (the Hague rules, the Hague–Visby rules and the Hamburg rules). The Working Group is considering issues such as: the obligations and liabilities of the shipper and carrier; electronic documents; the period of responsibility; jurisdiction and arbitration; and rights of suit.
Working Group IV—Electronic Commerce
Working Group IV has prepared a draft convention on the use of electronic communications in international contracts. It has requested that the UNCITRAL Secretariat do follow-up work on the cross-border recognition of electronic signatures and to compile decisions relating to the Model Laws on Electronic Commerce and Electronic Signatures.
Working Group V—Insolvency Law
Working Group V is coordinating their work with Working Group VI (Security Interests) to share expertise on the treatment of security interests in insolvency proceedings. Working Group V will also consider the treatment of corporate groups in insolvency, post-commencement financing and cross-border insolvency protocols.
Working Group VI—Security Interests
Working Group VI is preparing a legislative guide on secured transactions in an effort to remove legal obstacles to secured credit and improve the availability and cost of credit. This Working Group is considering issues such as: the security rights in receivables; negotiable instruments; and default and enforcement. Working Group VI is coordinating with Working Group V (Insolvency Law) on the treatment of security interests in insolvency proceedings.