Arbitration Agreement Template (Malta)

A statutory body corporate, not just a private institution

The Malta Arbitration Centre is a body corporate having a distinct legal personality, established by Chapter 387 in 1996 and operational from March 2000. Its functions under the Act include promoting Malta as a centre for international commercial arbitration, providing for the conduct of international arbitration in Malta, encouraging domestic arbitration as a means of settling disputes, and advising the Government on related matters.

That statutory status matters for drafting: naming the Centre in an arbitration clause is naming a body created and empowered by an Act of Parliament, with its own facilities and its own accredited panels of arbitrators, rather than an ad hoc private arrangement that depends entirely on what the parties happen to agree at the time.

Specialised panels, including a Building Construction Panel

The Centre has set up various specialised panels for both domestic and international arbitration, from which accredited arbitrators may be appointed. These include, among others, the Maritime Panel, the General/Civil Commercial Panel, the Banking, Finance, Accounting and Taxation Panel, the Building Construction Panel and the Medical Panel.

For an architecture-services or construction-related dispute, naming the Building Construction Panel gives the parties access to arbitrators accredited specifically for that subject matter, rather than a generalist appointed without regard to technical background. This template lets the parties select a panel by name rather than leaving appointment entirely to chance or to a slow court-application process.

Clause-by-clause guide

Parties and underlying contract

Names both parties and the contract or relationship the arbitration agreement attaches to.

Seat of arbitration

Fixes Malta as the legal seat, engaging Chapter 387 and the supervisory jurisdiction it establishes.

Institution and panel

Names the Malta Arbitration Centre and, where relevant, a specialised panel such as the Building Construction Panel or the General/Civil Commercial Panel.

Number of arbitrators

One arbitrator for most disputes, or three for higher-value or technically complex matters, with each side's appointment right recorded.

Scope of disputes

Disputes arising out of or in connection with the underlying contract, including questions about its existence or validity.

Governing law

The substantive law governing the underlying contract, recorded separately from the seat and the arbitration procedure.

Costs

How the Centre's fees and the parties' own legal costs are shared or allocated in the award.

Confidentiality and the award

Confidentiality of the proceedings with workable exceptions, and the final and binding nature of the award.

Malta compliance checklist

Consumer contracts remain subject to unfair-contract-terms scrutiny under EU-derived consumer law — this template is drafted for negotiated commercial use.

• Draft against Chapter 387, not a generic model clause

  The Arbitration Act, Chapter 387 of the Laws of Malta, enacted in 1996, is the statute establishing the Malta Arbitration Centre and the framework for arbitral proceedings seated in Malta.

  Laws of Malta - Chapter 387, Arbitration Act

• Name the Malta Arbitration Centre and, if relevant, a specialised panel

  The Centre has set up specialised panels including the Maritime Panel, the General/Civil Commercial Panel, the Banking, Finance, Accounting and Taxation Panel, the Building Construction Panel and the Medical Panel.

  Malta Arbitration Centre

• Confirm the Act's basis in the UNCITRAL Model Law

  Chapter 387 is based on the UNCITRAL Model Law, which gives Malta-seated arbitration an internationally recognisable procedural framework.

• Fix the seat expressly

  State that the seat of the arbitration is Malta so the Centre's statutory framework and the supervisory jurisdiction of the Maltese courts apply without ambiguity.

• Take advice before using this with a consumer

  Consumer contracts remain subject to unfair-contract-terms scrutiny under EU-derived consumer protection law; an arbitration clause imposed on a consumer in standard terms is more exposed than a negotiated commercial clause.

• Check the current version before signing

  Confirm the consolidated text of Chapter 387 in force rather than relying on a summary, particularly for procedural time limits and appointment mechanics.

How to complete this arbitration agreement

1. Identify the parties and the contract. Name both parties and the underlying contract or relationship the arbitration agreement attaches to.
2. Fix the seat. State that Malta is the seat of the arbitration, engaging Chapter 387.
3. Choose the institution and panel. Name the Malta Arbitration Centre and, if the dispute is construction-related, select the Building Construction Panel.
4. Set the number of arbitrators and costs rule. Choose one or three arbitrators and decide whether costs are split evenly or allocated in the award.
5. Review and sign. Check the governing law, confidentiality and scope clauses, then have both parties sign.

Frequently asked questions

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