Swedish Arbitration Act... 2019

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The Swedish Arbitration Act (SFS 1999:116)

(updated as per SFS 2018:1954, entry into force 1 March 2019)

Unofficial translation prepared by Joel Dahlquist Cullborg on behalf of the Arbitration Institute of
the Stockholm Chamber of Commerce.

The Arbitration Agreement


Section 1

Disputes concerning matters in respect of which the parties may reach a


settlement may, by agreement, be referred to one or several arbitrators for
resolution. Such an agreement may relate to future disputes pertaining to a
legal relationship specified in the agreement. The dispute may concern the
existence of a particular fact.
In addition to interpreting agreements, the filling of gaps in contracts can also be
referred to arbitrators.
Arbitrators may rule on the civil law effects of competition law as between the
parties.

Section 2

The arbitrators may rule on their own jurisdiction to decide the dispute.
If the arbitrators have rendered a decision finding that they have jurisdiction to
adjudicate the dispute, any party that disagrees with the decision may request
the Court of Appeal to review the decision. Such a request shall be brought
within thirty days from when the party was notified of the decision. The
arbitrators may continue the arbitration pending the court’s determination.
The provisions of Sections 34 and 36 apply in an action to challenge an
arbitration award that includes a decision on jurisdiction.

Section 3

If the validity of an arbitration agreement which constitutes part of another


agreement must be determined in conjunction with a determination of the
jurisdiction of the arbitrators, the arbitration agreement shall be deemed to
constitute a separate agreement.

Section 4

A court may not, over an objection of a party, rule on an issue which, pursuant
to an arbitration agreement, shall be decided by arbitrators.
A party must invoke an arbitration agreement on the first occasion the party
pleads its case on the merits in court. Invoking an arbitration agreement on a
2(18)

later occasion shall have no effect unless the party had a legal excuse and
invoked the arbitration agreement as soon as the excuse ceased to exist. The
invocation of an arbitration agreement shall be considered notwithstanding that
the party who invoked the agreement has allowed an issue which is covered by
the arbitration agreement to be determined by the Swedish Enforcement
Authority in a case concerning expedited collection procedures.
During the pendency of a dispute before arbitrators or prior thereto, a court
may, irrespective of the arbitration agreement, issue such decisions in respect
of security measures as the court has jurisdiction to issue.

Section 4 a

A court may not, over the objections of a party, try the issue of the arbitrators’
jurisdiction in a certain arbitration in a way other than as provided for in Section
2, if the request is brought after the commencement of the arbitration.
The first paragraph shall not apply to a dispute between a consumer and a
business entity, if the consumer maintains that an arbitration agreement is
invoked against him or her contrary to Section 6.

Section 5

A party shall forfeit its right to invoke the arbitration agreement as a bar to court
proceedings if the party:
1. has opposed a request for arbitration;
2. fails to appoint an arbitrator in due time; or
3. fails, within due time, to provide its share of the requested security for
compensation to the arbitrators.

Section 6

If a dispute between a business entity and a consumer concerns goods,


services, or any other products supplied principally for private use, an arbitration
agreement may not be invoked where such was entered into prior to the
dispute. However, such agreements shall apply with respect to rental or lease
relationships where, through the agreement, a regional rent tribunal or a
regional tenancies tribunal is appointed as an arbitral tribunal and the provisions
of Chapter 8, Section 28 or Chapter 12, Section 66 of the Land Code do not
prescribe otherwise.
The first paragraph shall not apply where the dispute concerns an agreement
between an insurer and a policy-holder concerning insurance based on a
collective agreement or group agreement and handled by representatives of the
group. Nor shall the first paragraph apply where Sweden’s international
obligations provide to the contrary.
3(18)

The Arbitrators
Section 7

Any person who possesses full legal capacity in regard to his or her actions and
property may act as an arbitrator.

Section 8

An arbitrator shall be impartial and independent.


If a party so requests, an arbitrator shall be released from appointment if there
exists any circumstance that may diminish confidence in the arbitrator’s
impartiality or independence. Such a circumstance shall always be deemed to
exist:
1. if the arbitrator or a person closely associated with the arbitrator is a party, or
otherwise may expect noteworthy benefit or detriment as a result of the
outcome of the dispute;
2. if the arbitrator or a person closely associated with the arbitrator is the
director of a company or any other association which is a party, or otherwise
represents a party or any other person who may expect noteworthy benefit or
detriment as a result of the outcome of the dispute;
3. if the arbitrator, in the capacity of expert or otherwise, has taken a position in
the dispute, or has assisted a party in the preparation or conduct of its case
in the dispute; or
4. if the arbitrator has received or demanded compensation in violation of
Section 39, second paragraph.

Section 9

A person who is asked to accept an appointment as arbitrator shall immediately


disclose all circumstances which, pursuant to Sections 7 or 8, might be
considered to prevent the person from serving as arbitrator. An arbitrator shall
inform the parties and the other arbitrators of such circumstances as soon as all
arbitrators have been appointed and thereafter in the course of the arbitral
proceedings as soon as the arbitrator has learned of any new circumstance.

Section 10

A challenge of an arbitrator on account of a circumstance set forth in Section 8


shall be presented within fifteen days from the date on which the party became
aware both of the appointment of the arbitrator and of the existence of the
circumstance. The challenge shall be adjudicated by the arbitrators, unless the
parties have decided that it shall be determined by another party.
If the challenge is successful, the decision shall not be subject to appeal.
4(18)

A party who is dissatisfied with a decision denying a challenge or dismissing a


challenge as untimely may file an application with the District Court that the
arbitrator be released from appointment. The application must be submitted
within thirty days from the date on which the party was notified of the decision.
The arbitrators may continue the arbitral proceedings pending the determination
of the District Court.

Section 11
The parties may agree that a challenge as referred to in Section 10, first
paragraph, shall be conclusively determined by an arbitration institution.

Section 12

The parties may determine the number of arbitrators and the manner in which
they shall be appointed.
Sections 13–16 shall apply unless the parties have agreed otherwise.
If the parties have so agreed, and any of the parties so requests, the District
Court shall appoint arbitrators also in situations other than those stated in
Sections 14–17.

Section 13

There shall be three arbitrators. Each party appoints one arbitrator, and the
arbitrators so appointed appoint the third.

Section 14

If each party is required to appoint an arbitrator and one party has notified the
opposing party of its choice of arbitrator in a request for arbitration pursuant to
Section 19, the opposing party must, within thirty days of receipt of the notice,
notify the first party in writing of its choice of arbitrator. A party who has notified
the opposing party of its choice of arbitrator in this manner may not revoke the
choice without the consent of the opposing party.
If the opposing party fails to appoint an arbitrator within the specified time, the
District Court shall appoint an arbitrator upon the request of the first party.
If arbitration has been requested against several parties and these parties are
unable to jointly appoint an arbitrator, the District Court shall, upon the request
of a respondent party within the time specified in the first paragraph, appoint
arbitrators on behalf of all parties, and simultaneously also release any
arbitrator already appointed.
5(18)

Section 15

If an arbitrator shall be appointed by other arbitrators, but they fail to do so


within thirty days from the date on which the last arbitrator was appointed, the
District Court shall appoint the arbitrator upon the request of a party.
If an arbitrator shall be appointed by someone other than a party or arbitrators,
but this is not done within thirty days of the date when the party desiring the
appointment of an arbitrator requested that the person responsible for the
appointment make such appointment, the District Court shall, upon the request
of a party, appoint the arbitrator. The same shall apply if an arbitrator shall be
appointed by the parties jointly, but they have failed to agree within thirty days
from the date on which the question was raised through receipt by one party of
notice from the opposing party.

Section 16

If an arbitrator resigns or is released due to circumstances which were known at


the time of appointment, the District Court shall, upon the request of a party,
appoint a new arbitrator. If the arbitrator was appointed by a party, the District
Court shall appoint the person suggested by that party, unless there are special
reasons speaking against it.
If an arbitrator cannot complete the assignment due to circumstances which
arise after his or her appointment, the person who originally was required to
make the appointment shall instead appoint a new arbitrator. Section 14, first
and second paragraphs, and Section 15 shall apply to such an appointment.
The time-limit of thirty days for the appointment of a new arbitrator applies also
to the party who requested the arbitration, and is calculated in respect to all
parties from the date on which the person who shall appoint the arbitrator
became aware thereof.

Section 17

If an arbitrator has delayed the proceedings, the District Court shall, upon the
request of a party, release the arbitrator and appoint another arbitrator. The
parties may decide that such a request shall, instead, be conclusively
determined by an arbitration institution.

Section 18

If a party has requested that the District Court appoint an arbitrator pursuant to
Section 12, third paragraph, or Sections 14–17, the Court may reject the
request only if it is manifestly obvious that the arbitration is not legally
permissible.
6(18)

The Proceedings
Section 19

Unless otherwise agreed by the parties, the arbitral proceedings are initiated
when a party receives a request for arbitration in accordance with the second
paragraph hereof.
A request for arbitration must be in writing and include:
1. an express and unconditional request for arbitration;
2. a statement of the issue which is covered by the arbitration agreement and
which is to be resolved by the arbitrators; and
3. a statement of the party’s choice of arbitrator if the party is required to
appoint an arbitrator.

Section 20

If there is more than one arbitrator, one of them shall be appointed chairman.
Unless the parties or the arbitrators have decided otherwise, the chairman shall
be the arbitrator appointed by the other arbitrators or by the District Court.

Section 21

The arbitrators shall handle the dispute in an impartial, practical, and speedy
manner. They shall act in accordance with the decisions of the parties, unless
they are impeded from doing so.

Section 22

The parties determine which location in Sweden shall be the seat of arbitration.
If the parties have not done so, the arbitrators shall determine the seat of
arbitration.
The arbitrators may hold hearings and other meetings elsewhere in Sweden or
abroad, unless otherwise agreed by the parties.

Section 23

Within the period of time determined by the arbitrators, the claimant shall state
its claims in respect of the issue stated in the request for arbitration, as well as
the circumstances invoked by the claimant in support thereof. Thereafter, within
the period of time determined by the arbitrators, the respondent shall state its
position in relation to the claims, and the circumstances invoked by the
respondent in support thereof.
The claimant may submit new claims, and the respondent may submit its own
claims, provided that the claims fall within the scope of the arbitration
7(18)

agreement and, taking into consideration the time at which they are submitted
or other circumstances, the arbitrators do not consider it inappropriate to
adjudicate such claims. Subject to the same conditions, during the proceedings,
each party may amend or supplement previously presented claims and may
invoke new circumstances in support of its case.
The first and second paragraphs hereof shall not apply if the parties have
decided otherwise.

Section 23 a

An arbitration may be consolidated with another arbitration, if the parties agree


to such consolidation, if it benefits the administration of the arbitration, and if the
same arbitrators have been appointed in both cases. The arbitrations may be
separated, if there are reasons for it.

Section 24

The arbitrators shall afford the parties, to the extent necessary, an opportunity
to present their respective cases in writing or orally. If a party so requests, and
provided that the parties have not otherwise agreed, an oral hearing shall be
held prior to the determination of an issue referred to the arbitrators for
resolution.
A party shall be given an opportunity to review all documents and all other
materials pertaining to the dispute which are supplied to the arbitrators by the
opposing party or another person.
If one of the parties, without valid cause, fails to appear at a hearing or
otherwise fails to comply with an order of the arbitrators, such failure shall not
prevent a continuation of the proceedings and a resolution of the dispute on the
basis of the existing materials.

Section 25

The parties shall supply the evidence. However, the arbitrators may appoint
experts, unless both parties are opposed thereto.
The arbitrators may refuse to admit evidence presented if it is manifestly
irrelevant to the dispute or if such refusal is justified having regard to the time at
which the evidence is invoked.
The arbitrators may not administer oaths or truth affirmations. Nor may they
impose conditional fines or otherwise use compulsory measures in order to
obtain requested evidence.
Unless the parties have agreed otherwise, the arbitrators may, at the request of
a party, decide that, during the proceedings, the opposing party must undertake
a certain interim measure to secure the claim which is to be adjudicated by the
arbitrators. The arbitrators may prescribe that the party requesting the interim
8(18)

measure must provide reasonable security for the damage which may be
incurred by the opposing party as a result of the interim measure.

Section 26

If a party wishes a witness or an expert to testify under oath, or a party to be


examined under truth affirmation, the party may, after obtaining the consent of
the arbitrators, submit an application to such effect to the District Court. The
aforementioned shall apply if a party wishes that a party or other person be
ordered to produce as evidence a document or an object. If the arbitrators
consider that the measure is justified having regard to the evidence in the case,
they shall approve the request. If the measure may lawfully be taken, the
District Court shall grant the application.
The provisions of the Code of Judicial Procedure shall apply with respect to a
measure as referred to in the first paragraph. The arbitrators shall be
summoned to hear the testimony of a witness, an expert, or a party, and be
afforded the opportunity to ask questions. The absence of an arbitrator from the
giving of testimony shall not prevent the hearing from taking place.

The Award
Section 27

The issues referred to the arbitrators shall be decided in an award. If the


arbitrators terminate the arbitral proceedings without deciding such issues, this
shall also be done through an award, except for cases referred to in the third
paragraph.
If the parties enter into a settlement agreement, the arbitrators may, at the
request of the parties, confirm the settlement in an award.
Other determinations, which are not decided in an award, are designated as
decisions. The dismissal of an arbitration is also designated as a decision. The
provisions of this Act that concern arbitral awards also apply to such decisions,
to the extent applicable.
The assignment of the arbitrators shall be deemed complete when they have
delivered a final award, unless otherwise provided in Sections 32 or 35.

Section 27 a

The dispute shall be determined with application of the law or rules agreed to by
the parties. Unless otherwise agreed by the parties, a reference to the
application of a certain state’s law shall be deemed to include that state’s
substantive law and not its rules of private international law.
If the parties have not come to an agreement in accordance with the first
paragraph, the arbitrators shall determine the applicable law.
9(18)

The arbitrators may base the award on ex aequo et bono considerations only if
the parties have authorized them to do so.

Section 28

If a party withdraws a claim, the arbitrators shall dismiss that part of the dispute,
unless the opposing party requests that the arbitrators rule on the claim.

Section 29

A part of the dispute, or a certain issue which is of significance to the resolution


of the dispute, may be decided through a separate award, unless opposed by
both parties. However, a claim invoked as a defence by way of set off shall be
adjudicated in the same award as the main claim.
If a party has admitted a claim, in whole or in part, a separate award may be
rendered in respect of that which has been admitted.

Section 30

If an arbitrator fails, without valid cause, to participate in the determination of an


issue by the arbitral tribunal, such failure will not prevent the other arbitrators
from ruling on the matter.
Unless the parties have decided otherwise, the opinion agreed upon by the
majority of the arbitrators participating in the determination shall prevail. If no
majority is attained for any opinion, the opinion of the chairman shall prevail.

Section 31
An award shall be made in writing and be signed by the arbitrators. It suffices
that the award is signed by a majority of the arbitrators, provided that the reason
why all of the arbitrators have not signed the award is noted therein. The parties
may decide that the chairman of the arbitral tribunal alone shall sign the award.
The award shall state the seat of the arbitration and the date when the award is
made.
The award shall be delivered or sent to the parties immediately.

Section 32

If the arbitrators find that an award contains any obvious inaccuracy as a


consequence of a typographical, computational, or other similar mistake by the
arbitrators or any another person, or if the arbitrators by oversight have failed to
decide an issue which should have been dealt with in the award, they may,
within thirty days of the date of the announcement of the award, decide to
correct or supplement the award. They may also correct or supplement an
10(18)

award, or interpret the decision in an award, if any of the parties so requests


within thirty days of receipt of the award by that party.
If, upon the request of any of the parties, the arbitrators decide to correct an
award or interpret the decision in an award, such shall take place within thirty
days from the date of receipt by the arbitrators of the party’s request. If the
arbitrators decide to supplement the award, such shall take place within sixty
days.
Before any decision is made pursuant to this Section, the parties should be
afforded an opportunity to express their views with respect to the measure.

Invalidity of Awards and Setting Aside Awards


Section 33

An award is invalid:
1. if it includes determination of an issue which, in accordance with Swedish
law, may not be decided by arbitrators;
2. if the award, or the manner in which the award arose, is clearly incompatible
with the basic principles of the Swedish legal system; or
3. if the award does not fulfil the requirements with regard to the written form
and signature in accordance with Section 31, first paragraph.
The invalidity may apply to a certain part of the award.

Section 34

An award that may not be challenged under Section 36 shall, following an


application, be wholly or partially set aside upon the request of a party:
1. if it is not covered by a valid arbitration agreement between the parties;
2. if the arbitrators have made the award after the expiration of the time limit set
by the parties;
3. if the arbitrators have exceeded their mandate, in a manner that probably
influenced the outcome;
4. if the arbitration, according to Section 47, should not have taken place in
Sweden;
5. if an arbitrator was appointed in a manner that violates the parties’
agreement or this Act,
6. if an arbitrator was unauthorized to adjudicate the dispute due to any
circumstance set forth in Sections 7 or 8; or
11(18)

7. if, without fault of the party, there otherwise occurred an irregularity in the
course of the proceedings which probably influenced the outcome of the
case.
A party shall not be entitled to rely upon a circumstance which, through
participation in the proceedings without objection, or in any other manner, the
party may be deemed to have waived. A party shall not be regarded as having
accepted the arbitrators’ jurisdiction to determine the issue referred to
arbitration solely by having appointed an arbitrator. It follows from Sections 10
and 11 that a party may lose the right under sub-section 6, first paragraph, to
rely upon a circumstance as set forth in Section 8.
An action must be brought within two months from the date upon which the
party received the award or, if correction, supplementation, or interpretation has
taken place pursuant to Section 32, within a period of two months from the date
when the party received the award in its final wording. Following the expiration
of the time limit, a party may not invoke a new ground of objection in support of
its claim.

Section 35

A court may stay proceedings concerning the invalidity or setting aside of an


award for a certain period of time in order to provide the arbitrators with an
opportunity to resume the arbitral proceedings or to take some other measure
which, in the opinion of the arbitrators, will eliminate the ground for the invalidity
or setting aside:
1. provided the court holds that the claim in the case shall be accepted and
either of the parties requests a stay; or
2. both parties request a stay.
If the arbitrators make a new award, a party may, within the period of time
determined by the court and without issuing a writ of summons, challenge the
award insofar as it was based upon the resumed arbitral proceedings or an
amendment to the first award.

Section 36

An award whereby the arbitrators concluded the proceedings without ruling on


the issues submitted to them for resolution may be amended, in whole or in
part, upon the application of a party. An action must be brought within two
months from the date upon which the party received the award or, if correction,
supplementation, or interpretation has taken place in accordance with Section
32, within a period of two months from the date upon which the party received
the award in its final wording. The award shall contain clear instructions as to
what must be done by a party who wants to challenge the award.
An action in accordance with the first paragraph that only concerns an issue
referred to in Section 42 is permissible if, in the award, the arbitrators have
considered themselves to lack jurisdiction to adjudicate the dispute. If the award
12(18)

concerns another matter, a party who desires to challenge the award may do so
in accordance with the provisions of Section 34.

Costs of Arbitration
Section 37

The parties shall be jointly and severally liable to pay reasonable compensation
to the arbitrators for work and expenses. However, if the arbitrators have stated
in the award that they lack jurisdiction to determine the dispute, the party that
did not request arbitration shall be liable to make payment only insofar as
required due to special circumstances.
In a final award, the arbitrators may order the parties to pay compensation to
them, together with interest from the date occurring one month following the
date of the announcement of the award. The compensation shall be stated
separately for each arbitrator.

Section 38

The arbitrators may request security for the compensation. They may fix
separate security for individual claims. If a party fails to provide its share of the
requested security within the period specified by the arbitrators, the opposing
party may provide the entire security. If the requested security is not provided,
the arbitrators may terminate the proceedings, in whole or in part.
During the proceedings, the arbitrators may decide to realize security in order to
cover expenses. Following the determination of the arbitrators' compensation in
a final award and if the award in that respect has become enforceable, the
arbitrators may realize their payment from the security, in the event the parties
fail to fulfil their payment obligations in accordance with the award. The right to
security also includes income from the property.

Section 39

The provisions of Sections 37 and 38 shall apply unless otherwise jointly


decided by the parties in a manner that is binding upon the arbitrators.
An agreement regarding compensation to the arbitrators that is not entered into
jointly by the parties is void. If one of the parties has provided the entire
security, such party may, however, solely consent to the realisation of the
security by the arbitrators in order to cover the compensation for work
expended.
13(18)

Section 40

The arbitrators may not withhold the award pending the payment of
compensation.

Section 41

A party or an arbitrator may file an application with the District Court concerning
amendment of the award as regards the payment of compensation to the
arbitrators. Such application must be filed within two months from the date upon
which the party received the award and, in the case of an arbitrator, within the
same period from the announcement of the award. If correction, supplementation,
or interpretation has taken place in accordance with Section 32, the application
must be filed by a party within two months from the date upon which the party
received the award in its final wording and, in the case of an arbitrator, within
the same period from the date when the award was announced in its final
wording. The award shall contain clear instructions as to what must be done by
a party who wants to challenge the award in this respect. The procedure will be
administered in accordance with the Court Matters Act (1996:242).
A decision pursuant to which the compensation to an arbitrator is reduced shall
also apply to the party who did not bring the action.

Section 42

Unless otherwise agreed by the parties, the arbitrators may, upon the request of
a party, order the opposing party to pay compensation for the party's costs and
determine the manner in which the compensation to the arbitrators shall be
finally allocated between the parties. The arbitrators' order may also include
interest, if a party has so requested.

Forum and Limitation Periods etc.


Section 43

An action pursuant to Sections 2, second paragraph, or 33, 34, and 36 shall be


considered by the Court of Appeal within the jurisdiction of which the arbitration
had its seat. If the seat of arbitration is not determined, or not stated in the
award, the action may be brought in the Svea Court of Appeal.
The determination of the Court of Appeal may not be appealed. However, the
Court of Appeal may grant leave to appeal its determination if it is of importance
as a matter of precedent that the appeal be considered by the Supreme Court.
For the Supreme Court to review the Court of Appeal’s determination, leave of
appeal by the Supreme Court is required. This does not apply, however, to the
appeal of a decision by which the Court of Appeal has dismissed an appeal of a
determination made by the Court of Appeal.
14(18)

An application pursuant to Section 41 shall be considered by the District Court


at the seat of arbitration. If the seat of arbitration is not stated in the award, the
action may be brought before the Stockholm District Court.

Section 44

Applications to appoint or release an arbitrator shall be considered by the


District Court at the place where one of the parties is domiciled or by the District
Court at the seat of arbitration. The application may also be considered by the
Stockholm District Court. If possible, the opposing party shall be afforded the
opportunity to express its opinion upon the application before it is granted. If the
application concerns the removal of an arbitrator, the arbitrator should also be
heard.
Applications concerning the taking of evidence in accordance with Section 26
shall be considered by the District Court determined by the arbitrators. In the
absence of such decision, the application shall be considered by the Stockholm
District Court.
If the District Court has granted an application to appoint or release an
arbitrator, such decision may not be appealed. Neither may a determination of
the District Court in accordance with Section 10, third paragraph, otherwise be
appealed.

Section 45

If, according to law or by agreement, an action by a party must be brought


within a certain period, but the action is covered by an arbitration agreement,
the party must request arbitration in accordance with Section 19 within the
stated period.
If arbitration has been requested in due time but the arbitral proceedings are
terminated without a legal determination of the issue which was submitted to the
arbitrators, and this is not due to the negligence of the party, the action shall be
deemed to have been initiated in due time if a party requests arbitration or
initiates court proceedings within thirty days of receipt of the award, or if the
award has been set aside or declared invalid or an action against the award in
accordance with Section 36 has been dismissed, from the time that this
decision becomes final.

Section 45 a

In cases brought under Section 2, second paragraph, or 33, 34 or 36, the Court
of Appeal may, upon the request of a party, accept oral evidence in English
without interpretation into Swedish.
The first paragraph applies also to the procedure in the Supreme Court.
15(18)

International Matters
Section 46

This Act shall apply to arbitral proceedings seated in Sweden even if the dispute
has an international connection.

Section 47

Arbitral proceedings in accordance with this Act may be commenced in


Sweden, if the arbitration agreement provides that the arbitration shall have its
seat in Sweden, or if the arbitrators or an arbitration institution pursuant to the
agreement have determined that the proceedings shall be seated in Sweden, or
if the opposing party otherwise consents thereto.
Arbitral proceedings in accordance with this Act may also be commenced in
Sweden against a party which is domiciled in Sweden or is otherwise subject to
the jurisdiction of the Swedish courts with regard to the matter in dispute, unless
the arbitration agreement provides that the proceedings shall be seated abroad.
In other cases, arbitral proceedings in accordance with this Act may not take
place in Sweden.

Section 48

If an arbitration agreement has an international connection, the agreement shall


be governed by the law agreed upon by the parties. If the parties have not
reached such an agreement, the arbitration agreement shall be governed by the
law of the country where, in accordance with the parties’ agreement, the
arbitration had or shall have its seat.
The first paragraph shall not apply to the issue of whether a party was
authorized to enter into an arbitration agreement or was duly represented.

Section 49

If foreign law is applicable to the arbitration agreement, Section 4 shall apply to


issues which are covered by the agreement, except when:
1. in accordance with the applicable law, the agreement is invalid,
inoperative, or incapable of being performed; or
2. in accordance with Swedish law, the dispute may not be determined
by arbitrators.

The jurisdiction of a court to issue such decisions regarding security measures


as the court is entitled to issue in accordance with law, notwithstanding the
arbitration agreement, is set forth in Section 4, third paragraph.
16(18)

Section 50

The provisions of Sections 26 and 44 regarding the taking of evidence during


the arbitral proceedings in Sweden shall also apply in arbitral proceedings
seated abroad, if the proceedings are based upon an arbitration agreement
and, pursuant to Swedish law, the issues referred to the arbitrators may be
resolved through arbitration.

Section 51

If none of the parties is domiciled or has its place of business in Sweden, such
parties may in a commercial relationship through an express written agreement
exclude or limit the application of the grounds for setting aside an award as are
set forth in Section 34.
An award which is subject to such an agreement shall be recognized and
enforced in Sweden in accordance with the rules applicable to a foreign award.

Recognition and Enforcement of Foreign Awards, etc.


Section 52

An award rendered abroad shall be deemed to be a foreign award.


In conjunction with the application of this Act, an award shall be deemed to
have been rendered in the country where the arbitration had its seat.

Section 53

Unless otherwise stated in Sections 54–60, a foreign award which is based on


an arbitration agreement shall be recognized and enforced in Sweden.

Section 54

A foreign award shall not be recognized and enforced in Sweden if the party
against whom the award is invoked proves:
1. that the parties to the arbitration agreement, pursuant to the law applicable to
them, lacked capacity to enter into the agreement or were not properly
represented, or that the arbitration agreement was not valid under the law to
which the parties have subjected it or, failing any indication thereon, under
the law of the country where the award was made;
2. that the party against whom the award is invoked was not given proper notice
of the appointment of the arbitrator or of the arbitration proceedings, or was
otherwise unable to present its case;
3. that the award deals with a dispute not contemplated by, or not falling within,
the terms of the submission to arbitration, or contains decisions on matters
17(18)

which are beyond the scope of the arbitration agreement, provided that, if the
decision on a matter which falls within the mandate can be separated from
those which fall outside the mandate, that part of the award which contains
decisions on matters falling within the mandate may be recognized and
enforced;
4. that the composition of the arbitral tribunal, or the arbitral procedure, was not
in accordance with the agreement of the parties or, failing such agreement,
was not in accordance with the law of the country where the arbitration was
seated; or
5. that the award has not yet become binding on the parties, or has been set
aside or suspended by a competent authority of the country in which, or
under the law of which, the award was made.

Section 55

Recognition and enforcement of a foreign award shall also be refused if a court


finds:
1. that the award includes determination of an issue which, in accordance with
Swedish law, may not be decided by arbitrators; or
2. that it would be clearly incompatible with the basic principles of the Swedish
legal system to recognize and enforce the award.

Section 56

An application for the enforcement of a foreign award shall be lodged with the
Svea Court of Appeal.
The original award or a certified copy of the award must be appended to the
application. Unless the Court of Appeal decides otherwise, a certified translation
into the Swedish language of the entire award must also be submitted.

Section 57

An application for enforcement shall not be granted unless the opposing party
has been afforded an opportunity to express its opinion upon the application.

Section 58

If the opposing party objects that an arbitration agreement was not entered into,
the applicant must submit the arbitration agreement in an original or a certified
copy and, unless otherwise decided by the Court of Appeal, must submit a
certified translation into the Swedish language, or in some other manner prove
that an arbitration agreement was entered into.
If the opposing party objects that a petition has been lodged to set aside the
award or a motion for a stay of execution has been submitted to the competent
18(18)

authority as referred to in Section 54, sub-section 5, the Court of Appeal may


postpone its decision and, upon the request of the applicant, order the opposing
party to provide reasonable security in default of which enforcement might
otherwise be ordered.

Section 59

If the Court of Appeal grants the application, the award shall be enforced as a
final judgment of a Swedish court, unless otherwise determined by the Supreme
Court following an appeal of the Court of Appeal's decision.

Section 60

If a security measure has been granted in accordance with Chapter 15 of the


Code of Judicial Procedure, in conjunction with the application of Section 7 of
the same Chapter, a request for arbitration abroad which might result in an
award which is recognized and may be enforced in Sweden shall be equated
with the commencement of an action.
If an application for the enforcement of a foreign award has been lodged, the
Court of Appeal shall examine a request for a security measure or a request to
set aside such decision.

Provisional Regulations

2018:1954
1. This Act shall enter into force on 1 March 2019.

2. Older provisions still apply to arbitral proceedings which have been


commenced prior to the entry into force. Despite this, the following new
provisions shall still apply:

(a) the applicable procedural order in Section 41 and the possibility to allow for
oral evidence in English in Section 45 a in procedures initiated after the
entry into force, and

(b) the requirement of leave to appeal in Section 43, second paragraph, for
appeals of Court of Appeal determinations that are rendered after the entry
into force.

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