The Korea Commercial Arbitration Board (KCAB) International Arbitration Center has announced a comprehensive revision of its International Arbitration Rules. This is the first significant amendment to the Rules in a decade. The revised Rules, scheduled to take effect in January 2026, introduce substantial structural and procedural enhancements designed to align KCAB’s operations with global best practices in international arbitration and increase the number of cases heard at the KCAB.
Key reforms include the establishment of a dedicated International Arbitration Court, the introduction of expedited and simplified procedures, and the formalization of electronic and remote processes, such as online hearings and electronic signatures. IPG Legal, a leader in dispute resolution, arbitration, and civil litigation in Korea welcomes the rules and expects to see an increase in cases at the KCAB. We will update the reader when more information becomes available. For additional articles on Korean Arbitration, please see: IPG Legal’s Korean Arbitration Archive.
Establishment of the KCAB International Arbitration Court
A central feature of the revised KCAB International framework is the creation of the KCAB International Arbitration Court (the “Court”). The Court will assume authority over key procedural matters previously managed by the KCAB Secretariat, including the appointment and challenge of arbitrators, the determination of the seat of arbitration, and other procedural decisions. This institutional restructuring is intended to strengthen the independence and consistency of KCAB’s decision-making processes.
Enhancement of Procedural Efficiency in Korean Arbitration Proceedings
To better accommodate demand for efficiency and flexibility, the revised rules expand the scope of the existing expedited procedure and introduce a new simplified procedure.
- The simplified procedure will apply to disputes involving amounts of less than KRW 500 million or where both parties mutually consent to its use. Under this mechanism, the arbitral tribunal is required to render a final award within three months.
- The expedited procedure will govern cases where the amount in dispute is between KRW 500 million and KRW 4 billion.
The time limits for appointing arbitrators have also been substantially reduced. In proceedings involving a sole arbitrator, the appointment period is now 15 days, while in three-member tribunals, both claimant and respondent must nominate their respective arbitrators within 15 days. Should the presiding arbitrator not be appointed within the same period, the Court will proceed with the appointment. These revisions reduce prior deadlines by half, significantly accelerating the commencement of arbitration proceedings.
To enhance predictability and ensure timely adjudication, a draft award procedure has been introduced. The arbitral tribunal must submit a draft award within 60 days following the last written submission or the final hearing, with the final award to be rendered within 15 days thereafter, subject to review by the Secretary General.
Introduction of Mediation and Early Determination Procedures under the KCAB International Rules
In recognition of evolving trends in international dispute resolution, the revised rules introduce formal mechanisms for mediation and early determination.
The mediation framework enables parties to pursue amicable settlement, either in whole or in part, during the pendency of arbitration proceedings. Parties may elect to utilize the KCAB International Mediation Rules or any mutually agreed alternative mediation process.
The early determination procedure allows the arbitral tribunal to summarily dismiss claims or defenses that are manifestly without merit. This mechanism facilitates the early resolution of unsubstantiated issues, contributing to the overall efficiency and cost-effectiveness of proceedings.
Formalization of Electronic and Remote Procedures under the KCAB International Rules
Reflecting the increasing digitalization of international arbitration, the revised rules explicitly permit electronic submissions, remote hearings via videoconference, and the use of electronic signatures for arbitral awards.
We shall update the reader when more is known.
IPG Legal
IPG Legal is widely recognized as a leading law firm in dispute resolution in Korea, offering strategic, results-oriented representation in complex domestic and international matters. The firm’s experienced team of litigators and arbitration specialists has successfully handled high-stakes commercial disputes, cross-border litigation, and international arbitration cases under major institutional rules, including the ICC, KCAB, SIAC, and UNCITRAL. With a deep understanding of both Korean law and global business practices, IPG Legal provides practical, efficient, and innovative solutions tailored to clients’ commercial objectives, earning its reputation as a trusted advocate for multinational corporations, SMEs, and individual clients navigating the Korean legal landscape.
by Sean Hayes
Sean Hayes is the first non-Korean attorney to have worked for the Korean court system (Constitutional Court of Korea) and one of the first non-Koreans to be a regular member of a Korean law faculty. Sean is ranked, for Korea, as a Top Attorney by AsiaLaw, and IPG Legal is consistently ranked Top Dispute Resolution Law Firm for our litigation and arbitration services.
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