What happens if the Stockholm Arbitration Award is not enforced?

ArmInfo.  The Stockholm Arbitration Award, like any award from any international commercial arbitration, is final and binding on the parties once it is issued. If a party fails to voluntarily enforce the award, the other party can seek compulsory enforcement from the court in the country where the  debtor's assets are located. Economist Suren Parsyan told  about the  process of  enforcing an arbitration award.

Note that the Arbitration Institute of the Stockholm Chamber of  Commerce (SCC), commonly known as the Stockholm Arbitration, is an  arbitration court for resolving international civil disputes. Since  its foundation in 1917, the SCC has become a leading center for  resolving international disputes.

 Parsyan reminded.

He emphasized that the failure by the defendant to adhere to the  court decision could lead to the party who won the case to seek  enforcement in other countries where the defendant's assets  (property) are located.  According to the economist, under the New  York Convention,  international arbitration decisions can be enforced  by applying to the  courts of the countries that are signatories to  the convention for recognition and enforcement of the ruling  if the  defendant's assets are located in such countries.

The party that benefited from the decision can also initiate a  new  claim for compensation of damages resulting from the violation of its  rights. Specifically, if the decision is not carried out, a new  arbitration/court process may be launched to seek further damages due  to the failure to execute the decision.

, Suren Parsyan  noted.