Beijing Arbitration Commission

Construction Dispute Board Fee Schedule of the Beijing Arbitration Commission
(Adopted at the Fourth Meeting of the Fifth Session of the Beijing Arbitration Commission on January 20, 2009. Effective as from March 1, 2009)

Article 1

The Construction Dispute Board Fee Schedule of the Beijing Arbitration Commission (herein after referred to as the Fee Schedule) shall be binding upon agreement by the parties to apply Construction Dispute Board Rules of the Beijing Arbitration Commission, unless otherwise agreed by the parties. Where the amount and calculation of dispute review fees are not stipulated by this Fee Schedule, the agreement between the parties and the Dispute Board experts (herein after referred to as the DB experts) shall apply.

Article 2

The remuneration of the DB experts arising from construction dispute review, the administrative fee of the Beijing Arbitration Commission (herein after referred to as the BAC) and all other expenses shall be borne equally by the parties, unless otherwise agreed by the parties or required by this Fee Schedule.

Article 3

The DB shall be composed of three experts. All DB experts shall receive the same amount of remuneration, paid monthly by the parties or paid daily in accordance with the functions of the DB.

Article 4

The DB experts remuneration for the first 24 months shall be fixed and thereafter shall be adjusted annually in accordance with the agreements signed between the DB experts and the parties.

Article 5

The DB experts shall receive a fixed amount of monthly remuneration as set out in the agreement signed between the DB experts and the parties, covering payment for the following responsibilities:
    1. organizing or attending a hearing with the presence of the parties and construction workers;
    2. organizing or attending internal DB meetings;
    3. becoming and remaining conversant with the Contract and the progress of its performance;
    4. studying project reports and the information thereof submitted by the parties in the course of the DBs functions.

Article 6

Actual expenses and remuneration thereof, in addition to the fixed remuneration of the DB experts covering site visits, hearings and rendering of the DB determination (including expenses for travel, communications, hotels and meals, visa charges, photocopying, etc.) shall be borne by the parties. Each party shall pay its share of expenses and the DB experts remuneration within 15 days of receiving notice of payment for the aforementioned expenses and fees. Failure of any party to pay its share of expenses and fees within 15 days of receiving notice of payment shall entitle the DB experts to suspend the review, after providing a notice of suspension to the parties, until receipt of full payment of all expenses and fees. The DB experts and the parties may enter into agreements on the liability as to the breach of the Fee Schedule.

Article 7

The administrative fee of the BAC includes a non-refundable amount for the appointment of each DB expert and for decision on the withdrawal of a DB expert.

For each request by the parties for appointment of a DB expert, the BAC shall receive RMB 5,000.

For each request by the parties for a decision on the withdrawal of a DB expert, the BAC shall receive RMB 5,000 paid by the party making the request.

Article 8

If a party fails to pay its share of the remuneration of the DB experts, the administrative fee of the BAC and all other expenses, the other party shall be free to pay the entire amount of such fees and expenses. Unless voluntarily waiving its rights, the party paying the entire amount of fees and expenses shall be entitled to reimbursement from the non-paying party. The parties may enter into agreements on the liability as to the failure of making payments.

Article 9

Where the parties and the DB experts have agreed on the payment made to the DB experts via the BAC, the parties shall bear all the taxes thereof levied on the BAC. The BAC shall charge 10% of the total sum of the DB experts remuneration and taxes as the BACs administrative fee. The payment of the aforementioned taxes and the BACs administrative fee shall be made concurrently with the remuneration paid to the DB experts. Where the parties hire the BACs premises and facility for dispute review, the appendix of this Fee Schedule C Conference Room Fees of the Beijing Arbitration Commission shall apply.

Article 10

The power to interpret this Fee Schedule is vested in the BAC.

Article 11

The Fee Schedule is effective as of March 1, 2009.

Appendix

Conference Room Fees of the Beijing Arbitration Commission

Size Accommodation Capacity of Delegates Rate Equipment
RMB/ Half Day RMB /
Full Day

Small 10 800 1,500 computer, printer, photocopier, fax and free internet access

Medium 10 - 20 1,600 3,000 computer, printer, photocopier, fax and free internet access, LCD TV, projector, discussion room
Large 20 - 30 2,500 4,500 computer, printer, photocopier, fax and free internet access, LCD TV, projector, discussion room, Electronic white-board, video conference equipment (additional charge of RMB 500 / half day), simultaneous interpretation (separate charge)

Note: Conference room fees will be charged by a half-day (up to 4 hours) or a full day (4 up to 8 hours). 30% of the full day rate will be charged for each hour exceeding a total of 8 hours.

Model Arbitration Clause Arbitration Clause
All disputes arising from or in connection with this contract shall be submitted to Beijing Arbitration Commission / Beijing International Arbitration Center for arbitration in accordance with its rules of arbitration in effect at the time of applying for arbitration. The arbitral award is final and binding upon both parties.
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