1. This Law shall apply to arbitration proceedings taking place on the territory of the Republic of Lithuania irrespective of the citizenship or nationality of the parties to a dispute or of their being natural or legal persons, also regardless of whether arbitral proceedings are organised by a permanent arbitral institution or take place on an ad hoc basis.

2. The provisions of this Law regulating the judicial recognition of an arbitration agreement, challenging of such an agreement, application of interim measures and recognition and enforcement of foreign arbitral awards shall apply regardless of the state in which the place of arbitration is or of the place where separate actions of arbitral proceedings are taken individual arbitral proceedings take place.

1. Ad hocarbitration means arbitration when, by an agreement between the parties, dispute resolution procedure is not organised by a permanent arbitral institution;

2. Arbitrator means a natural person appointed by a party to a dispute or by an agreement of the parties to the dispute or as established by this Law to resolve the dispute.

3. Place of arbitral proceedings means a place of hearing of an arbitral tribunal and other actions of examination of a commercial dispute.

4. Arbitral proceedings mean a commercial arbitration procedure from the commencement of examination of a dispute in arbitration until the effect day of an arbitral award or ruling closing the case without making an award on its merits a decision being taken as to the substance of the matter. 

5. Arbitration agreement means an agreement between two parties or more to submit to arbitration all or certain disputes which have arisen or which may arise between them in respect of a defined legal relationship, whether contractual or not, and which may be subject to arbitral proceedings. The state, a municipality or other public legal persons may also enter into an arbitration agreement.

6. Arbitration rules mean the rules approved by a permanent arbitral institution and observed when hearing and resolving of disputes in arbitration.

7. Arbitral tribunal means a sole arbitrator or a panel of arbitrators hearing an arbitration case.

8. Place of arbitration means the place of arbitration indicated in an arbitration agreement or determined by an arbitral tribunal. If the parties have not agreed on the place of arbitration or their agreement regarding the place of arbitration is not clear and until the place of arbitration is determined by the arbitral tribunal, the place of arbitration shall be deemed the office of a permanent arbitral institution or, in the event of ad hoc arbitration, the place of residence or business of the respondent or, at the discretion of the claimant, the place of residence or business of one of the respondents where there is more than one respondent. The place of arbitration may differ from the place of arbitral proceedings.

9. Institutional arbitration means arbitration when, by an agreement between the parties, dispute settlement is organised and administered, conditions are established for arbitral proceedings and other powers are granted by the agreement of the parties are exercised by a permanent arbitral institution.

10. Commercial arbitration (hereinafter: ‘arbitration’) means a method of resolving a commercial dispute, where natural or legal persons, as mutually agreed, refer or undertake to refer to an arbitrator/arbitrators, appointed by the agreement of the parties or according to the procedure established by this Law, rather than to a court to have their dispute resolved by an arbitral award binding on the parties, whether administered by a permanent arbitral institution (institutional arbitration) or in the form of ad hoc arbitration.

11. Commercial dispute means any disagreement of the parties over a fact and/or matters of law arising out of contractual or non-contractual legal relations, including but not limited to supply of goods or services, distribution, commercial agency, factoring, lease, contracting, consulting, engineering services, licensing, investment, financing, banking, insurance, concession, creation and involvement in a joint venture, any other type of industrial or business cooperation, payment of damages caused by breach of rule of competition law, contracts concluded on the basis of public procurement, carriage of goods or passengers by air, sea and road.

12. Permanent arbitral institution means a public legal entity organising and administering arbitration on a regular basis.

13. Chair of a permanent arbitral institution means a natural person appointed according to the procedure established by incorporation documents of a permanent arbitral institution to organise activities of the institution and perform administrative functions and other functions delegated to him by this Law.

14. Court means any institution or organisation making part of the judicial system of the state.

15. Foreign arbitral award means an arbitral award made in arbitral proceedings, where the place of arbitration is other than on the territory of the Republic of Lithuania.

1. In all cases, where this Law grants the parties to a dispute the right to use their discretion in deciding on a particular matter, except for the right to choose substantive law applicable to dispute resolution, the parties to the dispute shall be free to determine this matter or authorise any third party or institution to make that determination.

2. Parties to the dispute shall have the right, by a mutual agreement, to deviate derogate from all provisions of this Law, except for its imperative provisions.

3. An agreement of the parties on examination of a dispute in arbitration shall also cover the application of any provisions of the arbitration rules referred to in the said agreement.

4. The provisions of this Law referring to a claim or a statement of defence shall also mutatis mutandis apply to a counterclaim or a defence to a counterclaim.

5. Interpretation of this Law and its definitions shall be subsidiarily governed by the 1985 United Nations Commission on International Trade Law (UNCITRAL) Model Law on International Commercial Arbitration, as last amended. 

6. The issues governed by this Law, but not regulated in detail shall be dealt with in accordance with the principles of justice, reasonableness and good faith and other general principles of law.

7. This Law must be interpreted so that arbitration proceedings taking place in accordance with this Law is in maximum conformity with arbitration principles.

1. Associations of the Republic of Lithuania representing entities of the Republic of Lithuania engaged in production, business and legal activities may establish independent legal persons with limited liability the legal form of which is a permanent arbitral institution. The main function of a permanent arbitral institution shall be to organise and administer arbitration and perform other functions delegated by the parties to a dispute and related to the activities of a permanent arbitral institution.

2. The issues of the establishment and management, representation and responsibility of permanent arbitral institutions referred to in paragraph 1 of this Article shall be resolved in accordance with the procedure established by laws. The statute of a permanent arbitral institution drafted and approved by the founders of the permanent arbitral institution shall be registered with the Register of Legal Entities according to the procedure established by laws.

3. A permanent arbitral institution shall be prohibited from handling disputes by way of arbitration or exert any influence on arbitral examination, an arbitral tribunal or arbitrators, except for giving advice to the arbitral tribunal in relation to the form of an arbitral award. In arbitral proceedings, a permanent arbitral institution shall have only the rights granted to it by an agreement of the parties to a dispute. The permanent arbitral institution may not refuse to perform its functions where it has made a public notice of its activities, and the parties to the dispute have paid the fees set by the permanent arbitral institution.

4. A permanent arbitral institution shall approve arbitration rules. The arbitration rules approved by the permanent arbitral institution shall be legally binding upon the parties only where the parties have decided to apply them by their arbitration agreement.

5. A permanent arbitral institution shall be presided by a chair. The chair of the permanent arbitral institution shall perform the functions defined by this Law and delegated to him by the permanent arbitral institution.

1) any written notification communication shall be deemed to have been received if it is delivered to the addressee personally or if it is delivered at his place of business, habitual residence, mailing address or by electronic communications terminals. If none of these can be found after making a reasonable inquiry, a written communication shall be deemed to have been received by the addressee if it is sent to the addressee’s last-known place of business, habitual residence, mailing address by registered letter or any other means which provide a record of the attempt to deliver it or by electronic communications terminals;

2) the notification shall be deemed to have been received on the day it is handed in or delivered according to point 1 of this Article.

1. If a party to a dispute knows that his right has been infringed and yet proceeds with arbitration without stating his objection to such infringement within a reasonable period, the party shall be deemed to have waived his right to object.

2. The rule of paragraph 1 of this Article shall also apply to requirements concerning the recognition of an arbitration agreement as invalid, its setting aside and recognition and enforcement of an arbitral award.

1. An arbitral tribunal, permanent arbitral institution and its chair shall be independent in handling issues governed by this Law.

2. Courts may not intervene in the activities of an arbitral tribunal, permanent arbitral institution and its chair, except for the cases provided for in this Law.

3. Arbitral proceedings shall be confidential.

4. Parties to an arbitration shall enjoy equal procedural rights.

5. Parties to an arbitration shall be free in disposing of their rights.

6. Arbitral proceedings shall conform to the principles of autonomy of the parties, competition, cost-efficiency, cooperation and rapidity.

1) Vilnius Regional Court in relation to taking actions defined in Articles 14, 16, 17, 25, 27, 36 and 38 of this Law;

2) Court of Appeal of Lithuania in relation to taking actions defined in Articles 26, 50 and 51 of this Law.

1. An arbitration agreement may be in the form of an arbitration clause in a contract or in the form of a separate agreement between the parties.

2. An arbitration agreement shall be concluded in writing and be deemed valid if:

3. A reference in a contract between the parties to a document containing an arbitration clause shall constitute an arbitration agreement provided that the contract or document is in conformity with the requirements laid down in paragraph 2 of this Article in relation to the form of an agreement.

1. Upon the receipt of a claim in relation to a matter that is the subject of an arbitration agreement between the parties concluded in the form specified in Article 10 of this Law, a court shall refuse to admit it. Where the fact of the conclusion of the arbitration agreement is established after the admission by the court of the claim, the court shall not consider the claim related to the matter that is the subject of the arbitration agreement.

2. An arbitration agreement may be judicially recognised null and void at the request of one of the parties, on the general grounds for recognising transactions null and void, or if any breach of Articles 10 and 12 of this Law has been established. After commencing arbitral proceedings, the issue of invalidity of an arbitration agreement shall be handled only according to the procedure defined by Article 19 of this Law.

3. A court must suspend the hearing of a case if the case may not be heard before the resolution of an arbitration case.

1. All disputes may be settled by arbitration except as provided by this Article.

2. Arbitration may not settle disputes that are subject to the administrative procedure or hear cases that fall within the remit of the Constitutional Court of the Republic of Lithuania. Disputes arising from family legal relations and disputes concerning registration of patents, trademarks and design may not be submitted to arbitration. Disputes arising from employment and consumer contracts may not be submitted to arbitration except for the cases where an arbitration agreement is concluded after the dispute has arisen. 

3. Disputes may not be submitted to arbitration where one of the parties to a dispute is a state or municipal enterprise, also a state or municipal institution or organisation, with the exception of the Bank of Lithuania, unless a prior consent to an arbitration agreement has been given by the founder of this enterprise, institution or organisation.

4. The Government of the Republic of Lithuania (hereinafter: ‘the Government’) or a state institution authorised thereby may, in accordance with the regular procedure, enter into an arbitration agreement concerning disputes arising out of commercial contracts concluded by the Government or a state institution authorised thereby.

1. Parties shall be free to determine the number of arbitrators. The number of arbitrators shall be uneven. An arbitral award of an arbitral tribunal consisting of an even number of arbitrators shall not be deemed invalid for this reason.

2. Where the parties fail to determine the number of arbitrators, three arbitrators shall be appointed.

1. Any legally capable natural person may be appointed as an arbitrator, unless otherwise agreed by the parties. In all cases, a written consent of the person for his acting as an arbitrator shall be required.

2. Parties shall be free to agree on a procedure for appointing an arbitrator or arbitrators provided that they comply with paragraphs 5 and 6 of this Article.

3. Unless agreed otherwise by the parties,

4. If, upon the agreement of the parties on the procedure for the appointment of arbitrators, one of the parties fails to comply with the agreement, the arbitral tribunal shall be constituted according to the procedure established by paragraph 3 of this Article.

5. In the case of two claimants or more (multiple claimants), co-claimants must, when filing a claim with an arbitral tribunal, submit a written agreement on the appointment of a common arbitrator. In the case of their failure to submit to the arbitral tribunal the written agreement on the appointment of the common arbitrator when filing the claim, the co-claimants must submit the agreement to the arbitral tribunal within 20 days of the filing of the claim with the arbitral tribunal. Where the co-claimants fail to appoint the arbitrator within the given time limit, the arbitrator shall be appointed by the chair of a permanent arbitral institution within 20 days of the expiry of the said time limit. In the event of the failure of the co-claimants to appoint the arbitrator within the set time limit in the case of the ad hoc arbitration, the arbitrator shall be appointed by Vilnius Regional Court within 20 days of the expiry of the said time limit.

6. In the case of two respondents or more (multiple respondents), co-respondents must submit a written agreement on the appointment of a common arbitrator. The written agreement must be submitted to the arbitral tribunal within 20 days of the receipt of the application of the claimant or co-claimants for the appointment of the arbitrator.  Where the co-respondents fail to appoint the arbitrator within the given time limit, the arbitrator shall be appointed by the chair of a permanent arbitral institution within 20 days of the expiry of the said time limit. In the event of the failure of the co-respondents to appoint the arbitrator within the set time limit in the case of the ad hoc arbitration, the arbitrator shall be appointed by Vilnius Regional Court within 20 days of the expiry of the said time limit.

7. When appointing an arbitrator/arbitrators, the chair of a permanent arbitral institution or Vilnius Regional Court must take into consideration the substance of the dispute, requirements for the arbitrator set by the agreement of the parties and circumstances securing independence and impartiality of the arbitrator/arbitrators.

8. Decisions of the chair of a permanent arbitral institution falling within his remit in the cases defined in this Article and orders of Vilnius Regional Court falling within its remit in the cases defined in this Article shall be final and shall not be subject to appeal.

1. When a person is approached in connection with his possible appointment as an arbitrator, he must, before accepting to act as an arbitrator and taking into account Article 6 of this Law, disclose in writing to the parties, a permanent arbitral institution, Vilnius Regional Court (or other entity, where he is obliged to do so by an agreement of the parties or arbitration rules chosen by the parties) any circumstances likely to give rise to justifiable doubts as to his independence and impartiality.  The arbitrator must, from the time of his appointment and throughout the arbitral proceedings, also disclose any such circumstances, unless he did so before or if the circumstances occurred after his appointment or during arbitral proceedings.

2. An arbitrator may be challenged only if justifiable doubts arise as to his independence or impartiality, or if he does not possess qualifications agreed to by the parties.

3. A party may challenge an arbitrator appointed by him, or in whose appointment he has participated, only for reasons of which the party becomes aware after the appointment has been made.

1. Parties may agree on the challenge of an arbitrator, appeal against a decision on the challenging of the arbitrator or other issues related to the challenging of the arbitrator.

2. In the absence of an agreement on the procedure for challenging an arbitrator, a party who intends to challenge the arbitrator must, within 15 days after becoming aware of the constitution of the arbitral tribunal or of the circumstances referred to in Article 15(2) of this Law, send a written statement of the reasons for the challenge to the arbitral tribunal. Unless the challenged arbitrator withdraws from his office or the other party agrees to the challenge, the issue of the challenge of this arbitrator shall be decided by the other arbitrators of the arbitral tribunal. Where the arbitral tribunal consists of a sole arbitrator or where all arbitrators of the arbitral tribunal are challenged, the issue of the challenge shall be decided by the arbitrator/arbitrators himself/themselves.

3. If a challenge is rejected in accordance with the procedure laid down in paragraph 2 of this Article, the challenging party may request, within 20 days after the receipt of the notice of the decision rejecting the challenge, Vilnius Regional Court to issue an order concerning the challenge of the arbitrator. The order issued by Vilnius Regional Court in this respect shall be final and not subject to appeal. While the request of the party for the challenge of the arbitrator is pending in Vilnius Regional Court, the arbitral tribunal, including the challenged arbitrator, may continue the arbitral proceedings and make an arbitral award.  

1. An arbitrator must withdraw if he becomes de jure or de facto unable to perform or delays the performance of his functions without a solid reason. His mandate shall terminate if he withdraws from his office or if the parties agree on his removal from the office. If the arbitrator fails to perform his duty to resign or the parties fail to agree on his removal from his office, any party may request the chair of a permanent arbitral institution to decide on the relevant issue. In this case, the decision of the chair of the permanent arbitral institution shall be final and not subject to appeal. In the event of the ad hoc arbitration, the relevant issue shall be resolved by Vilnius Regional Court; the order of this Court shall be final and not subject to appeal.

2. Termination of the mandate of an arbitrator shall not imply acceptance of the validity of any ground referred to in this Article or Article 15.

1. Where the mandate of an arbitrator terminates under Article 15 or 17 of this Law or the arbitrator withdraws from office for another reason or where his mandate terminates on any other grounds, a substitute arbitrator shall be appointed according to the same procedure that was applicable to the appointment of the arbitrator whose mandate terminated.

2. Upon the appointment of a substitute arbitrator, the examination shall commence anew, unless otherwise agreed by the parties.

1. An arbitral tribunal may rule on its own jurisdiction, including the cases where doubts arise with respect to the existence or validity of an arbitration agreement. For this purpose, an arbitration clause, which forms part of a contract, must be treated as an agreement independent of the other terms of the contract. A decision by the arbitral tribunal that the contract is null and void shall not entail ipso jure the invalidity of the arbitration clause.

2. A plea of a party that an arbitral tribunal does not have jurisdiction must be raised no later than the submission of the statement of defence. The party shall not be precluded from raising such a plea by the fact that he has participated in the appointment of an arbitrator. The plea that the arbitral tribunal is exceeding the scope of its authority must be raised as soon as the matter alleged to be beyond the scope of its authority is raised during the arbitral proceedings. The arbitral tribunal may admit a later plea if it considers the delay justified.

3. An arbitral tribunal may take a partial decision on the statement referred to in paragraph 2 of this Article or resolve the issue by a final arbitral award.

1. Unless otherwise agreed by the parties, an arbitral tribunal may, at the request of any party and with a notice to other parties, order to take interim measures of protection
aimed at securing settlement of the party’s claims and preservation of evidence.

2. Interim measures may include the following:

3. A party requesting an arbitral tribunal to take interim measures referred to in points 1 and 2 of paragraph 2 of this Article must prove that:

4. A party requesting an arbitral tribunal to take interim measures referred to in point 3 of paragraph 2 of this Article must prove that:

5. An arbitral tribunal may oblige a party to give a prompt notice of a substantial change of the circumstances in relation to which the issue of taking of interim measures has been resolved.

1. Unless otherwise agreed by the parties, a party may apply to an arbitral tribunal for interim measures without a notice to the other party by submitting an application for a preliminary order obliging the respective party, in the course of handling of the application for interim measures, not to take any actions that may affect the application of interim measures.

2. A party requesting an arbitral tribunal to give a preliminary order must prove that:

3. A party requesting an arbitral tribunal to give a preliminary order must inform the arbitral tribunal of all circumstances that may be significant for the consideration of the application. This obligation of the party shall be valid over the period of validity of the preliminary order.

4. Upon issuing a preliminary order, an arbitral tribunal must, in accordance with the procedure established by Article 6 of this Law and with the immediate effect, provide each party with the application for interim measures, the application for a preliminary order, the preliminary order and, if any, correspondence between the requesting party and the arbitral tribunal, including information about the consideration of the application for the preliminary order by an oral procedure, if any.

5. An arbitral tribunal must, as effectively as possible, provide an opportunity to a party in respect of which a preliminary order has been issued, to be heard and consider objections of this party with regard to the issue of the preliminary order.

6. A preliminary order shall be valid for 20 days of its issue. In this period, after having heard a party, in respect of which the preliminary oder has been issued, and considered the objections of this party, if any, the arbitral tribunal may use respective interim measures.

7. A preliminary order shall be binding to the parties, but shall not be deemed as an enforceable document.

1. An arbitral tribunal may oblige a party applying for interim measures to provide a security for compensation for losses of the other party likely to result from taking of interim measures.

2. An arbitral tribunal shall oblige a party requesting the issue of a preliminary order to provide a security for compensation for losses of the other party likely to result from the issue of the preliminary order, unless the arbitral tribunal considers it inappropriate or unnecessary to do so.

1. A party that has applied for interim measures or a preliminary order shall be liable for losses resulting from taking of such measures or the issue of the preliminary order provided that, in the process of arbitral proceedings, it is established that the interim measures or the preliminary order is unfounded. 

2. At the request of a party, an arbitral tribunal may, by a final arbitral award, oblige a party at the request of which interim measures have been taken to cover losses resulting from taking of such interim measures.

1. An order of an arbitral tribunal on application of interim measures shall be an enforceable document.

2. Where an order of an arbitral tribunal on application of interim measures is not enforced, Vilnius Regional Court shall, at the request of a party, issue a writ of execution according to the procedure established by the Code of Civil Procedure of the Republic of Lithuania (hereinafter: ‘the Code of Civil Procedure’). An application for the issue of the writ of execution shall be considered at a court hearing with a notice to the parties to the arbitral proceedings. The failure of the parties to appear in court shall not prevent the Court from resolving the matter of the issue of the writ of execution.

3. A party at the request of which Vilnius Regional Court has issued a writ of execution to enforce an order on application of interim measures must give the Court a prompt notice of the replacement or cancellation of interim measures. An application for the amendment or setting aside of the writ of execution shall be considered at a court hearing with a notice to the parties to the arbitral proceedings. The failure of the parties to appear in court shall not prevent the Court from resolving the matter of the amendment or setting aside of the writ of execution.

4. Vilnius Regional Court may refuse to issue a writ of execution only in the case where:

5. A separate appeal may be filed against the order of Vilnius Regional Court refusing the issue of a writ of execution.

1. An arbitral award or order on application of interim measures given in any other state may be recognised and enforced on the territory of the Republic of Lithuania.

2. An application of a party for the recognition and permission to enforce an arbitral award or order of an arbitral tribunal on application of interim measures shall be filed with the Court of Appeal of Lithuania. The provisions of Article 51(2) of this Law shall mutatis mutandis apply to the content of this application.

3. By its order, the Court of Appeal of Lithuania may refuse to recognise or enforce a foreign arbitral award or order on application of interim measures, where:

4. The provisions of Article 51(3) of this Law shall mutatis mutandis apply to appeals against orders of the Court of Appeal of Lithuania, as defined in this Article.

1. A party shall be entitled to request Vilnius Regional Court to take interim measures or require to preserve evidence before the commencement of arbitral proceedings or the constitution of an arbitral tribunal. At the request of the party, the Court may apply interim measures or require to preserve evidence also after the constitution of the arbitral tribunal. Accordingly, the other party shall have the right, according to the procedure established by the Code of Civil Procedure, to apply for the security for compensation for losses likely to result from taking of interim measures or preservation of evidence.

2. A refusal of the Court to take interim measures or preserve evidence shall not preclude a party, during arbitral proceedings, from requesting an arbitral tribunal to apply interim measures or preserve evidence.

1. Parties to a dispute shall enjoy equal procedural rights in arbitral proceedings. Each party shall be given equal opportunity of supporting his claims or objections.

2. Without prejudice to the imperative provisions of this Law, parties to a dispute shall be free to agree on the procedure to be followed by an arbitral tribunal in conducting the proceedings.

3. In the absence such an agreement, an arbitral tribunal may, subject to the provisions of this Law, conduct proceedings in such a manner as it considers appropriate.

1. Parties shall be free to agree on a place of arbitral proceedings. Failing such an agreement, the place of arbitral proceedings shall be determined by an arbitral tribunal having regard to the background of the case and the convenience of the parties.

2. Notwithstanding the provisions of paragraph 1 of this Article, an arbitral tribunal may, unless otherwise agreed by the parties, meet at any place it considers appropriate for consultation among arbitrators, for hearing witnesses, experts or the parties, or for the inspection of documents, goods or other assets.

1. Unless otherwise agreed by the parties, the language or languages to be used in arbitral proceedings shall be determined by an arbitral tribunal. Failing such an agreement, the language of an arbitration agreement shall be the language of arbitration until the language to be used in arbitral proceedings is determined by the arbitral tribunal.

2. Unless otherwise defined by an agreement of the parties or an order of an arbitral tribunal, all written documents of the parties submitted to the arbitral tribunal or a permanent arbitral institution, arbitral proceedings, arbitral awards, decisions of the permanent arbitral institution, orders or other documents delivered by the arbitral tribunal or permanent arbitral institution shall be in the language of arbitration.

3. An arbitral tribunal may, at any time during arbitral proceedings, determine a different language of arbitration provided that this does not infringe the right of the parties to be heard.

1. Within a time limit agreed by parties or determined by an arbitral tribunal, a claimant must state the facts supporting his claim and the points at issue, appoint an arbitrator, unless already appointed, and formulate his claims, while a respondent must state his defence, unless otherwise agreed by the parties. 

2. Unless otherwise agreed by the parties, either party may amend or supplement his claim or statement of defence in the course of arbitral proceedings, unless an arbitral tribunal considers that allowing such amendment or supplementing is inexpedient, taking into consideration their undue delay.

1. Each party must prove the facts supporting his claims or statements of defence, unless otherwise agreed by the parties or required by law governing the dispute.

2. In the course of arbitral proceedings, an arbitral tribunal may require that parties provide documents and other evidence related to the case being heard.

3. An arbitral tribunal shall have the right to refuse to admit evidence which, in the course of arbitral proceedings, could have been provided at an earlier date and the submission of which will delay arbitral proceedings.

4. No evidence shall be obligatory to an arbitral tribunal, unless otherwise agreed by the parties.

5. Unless agreed by the parties, the rules of evidence applicable to arbitral proceedings shall be defined by an arbitral tribunal. The provisions of this Law shall apply to the collection of evidence and allocation of the burden of proof until the determination of the rules of evidence applicable to arbitral proceedings.

6. Subject to a party’s failure to deliver evidence requested by an arbitral tribunal, the arbitral tribunal may make an arbitral award on the basis of available evidence or, in exclusive cases, to consider the fact of the failure to provide evidence unfavourably for the failing party.

7. An arbitral tribunal shall be entitled to determine the admissibility, sufficiency and relation of any evidence to the case.

1. An arbitral tribunal shall decide on the form of arbitral proceedings, unless agreed by the parties. Arbitral proceedings may be conducted in the form of oral hearings or a written or any other procedure. Where the parties agree on proceedings in absentia, the arbitral tribunal must, at any time in the course of arbitral proceedings, switch to oral proceedings, if so required by any party to the dispute.

2. Parties must be given sufficient advance notice of any hearing of an arbitral tribunal within a reasonably required period.

3. All evidence, documents or other information supplied to an arbitral tribunal by one party must be communicated to the other party. Evidence, documents or other information received by the arbitral tribunal must also be transferred to the parties.

1. An arbitral tribunal shall determine the time, place and method of examination of witnesses and experts.

2. Subject to the absence or refusal of witnesses to testify, an arbitral tribunal may allow the party requesting examination of witnesses, within a time limit set by the arbitral tribunal, to file a request with Vilnius Regional Court for the examination of witnesses according to the procedure defined by the Code of Civil Procedure and this Law. Examination of witnesses at Vilnius Regional Court shall be conducted mutatis mutandis in accordance with the provisions of Section Nine of Chapter XIII of Part II of the Code of Civil Procedure. During examination of witnesses at the Court, the arbitral tribunal may suspend or adjourn arbitral proceedings.

3. Unless otherwise agreed by the parties, an arbitral tribunal may:

4. Unless otherwise agreed by the parties, if a party so requests or if an arbitral tribunal considers it necessary, an expert must participate in the hearing, present his conclusions and respond to questions asked by the parties or the arbitral tribunal.

5. Parties shall be entitled to request an arbitral tribunal to examine their witnesses.

1. An arbitral tribunal shall resolve disputes in accordance with law chosen by parties as applicable to a dispute. Any reference made to applicable foreign law shall mean a reference to national substantive law of a relevant state rather than international private law of that state.

2. Where the parties have not agreed on applicable law, an arbitral tribunal shall apply law which, in its reasonable opinion, is applicable to resolution of a specific dispute, including lex mercatoria.  

3. An arbitral tribunal shall decide ex aequo et bono or as amiable compositeur only if expressly authorised by parties to do so.

1. Unless otherwise agreed by the parties, an arbitral award shall be made by majority vote of arbitrators. In the event of the absence of majority vote required to make an arbitral award or of a tie, the chair of an arbitral tribunal shall have the casting vote.

2. Notwithstanding the provisions of paragraph 1 of this Article, procedural issues of arbitral proceedings may be resolved by the chair of an arbitral tribunal at his own discretion if so authorised by parties or all other arbitrators of this arbitral tribunal.

3. The failure of an arbitrator to attend arbitral proceedings without justified reason shall not prevent other arbitrators of an arbitral tribunal from making a lawful award.

1. An arbitral award shall take effect and be binding upon parties from the moment it is made.

2. An arbitral award shall be deemed made as of the day stated in the arbitral award.

3. Upon taking effect of an arbitral award, the parties to a dispute shall not have the right to bring an action in relation to the same subject matter and on the same grounds.

4. An arbitral award shall be an enforceable document to be enforced as of the moment of its taking effect in accordance with the procedure laid down by the Code of Civil Procedure.

1. An arbitral tribunal may make a final arbitral award on its merits, a partial award and an additional award.

2. In the event of procedural matters, an arbitral tribunal shall be entitled to issue orders.

1. A partial arbitral award shall resolve a dispute only in part.

2. A partial arbitral award shall be final only in respect of the part of a dispute that is fully resolved.

3. A partial arbitral award may be made in relation to the following:

1. An additional arbitral award shall resolve claims brought during arbitral proceedings, but not resolved by an arbitral award made. The additional award may also revise or explain an arbitral award, where it is necessary:

2. An additional arbitral award may be made on the initiative of an arbitral tribunal or at the request of the party concerned. The arbitral tribunal may, on its own initiative, make the additional award within 30 days of the final arbitral award. The party concerned shall be entitled, no later than within 30 days of the receipt of the arbitral award, to request the arbitral tribunal to make the additional arbitral award.

3. An additional arbitral award must be made within 30 days of the receipt of the request of the party concerned for this award. The additional arbitral award shall form part of the arbitral award and shall be subject to the provisions of Article 46 of this Law.

4. An arbitral tribunal shall have the power to extend or renew the time limits defined in paragraphs 2 and 3 of this Article.

5. An additional arbitral award may not change the substance of the arbitral award.

1. An arbitral award must be made in writing and signed by arbitrators or an arbitrator. In arbitral proceedings with more than one arbitrator, the signatures of the majority of arbitrators shall suffice, provided that the reason for any omitted signature is stated. The arbitrator or arbitrators who disagree with the majority shall have the right to state their dissenting opinion in writing, which shall be enclosed with the arbitral award.  Parties may agree that the award may be signed by the chair of an arbitral tribunal at his sole discretion.

2. An arbitral award shall state the reasons upon which it is based, unless parties have agreed that no reasons are to be given or the arbitral award is an arbitral award on agreed terms in accordance with Article 47(1)(1) of this Law.

3. An arbitral award must state its date and the place of arbitration. The arbitral award shall be deemed to have been made on the day and at the place stated in the arbitral award.

4. A signed copy of an arbitral award must be delivered to each party. The delivery of the arbitral award may be postponed until full payment of all arbitration costs.

1. Parties shall have the right to close arbitral proceedings by settlement agreement. At the parties’ request, an arbitral tribunal shall have the power:

2. An arbitral award approving a settlement agreement of parties shall be a final arbitral award.

1. Arbitration costs shall include the following:

2. Fee rates of a permanent arbitral institution and the procedure for calculation, payment and refund of arbitration costs shall be defined in the arbitration rules and/or agreement of parties which is in conformity with the arbitration rules. In the case of ad hoc arbitration, the amount of arbitrators’ remuneration and the procedure for calculation, payment and refund of arbitration costs shall be defined by an agreement of the parties and/or ad hoc arbitration rules.

3. Unless otherwise agreed by the parties, an arbitral tribunal must distribute arbitration costs among the parties by an arbitral award taking into consideration the facts of the case and the conduct of the parties. 

4. Where the proceedings are closed on any ground provided for by this Law, an arbitral tribunal shall have the power to use its own discretion in resolving the issue of allocation of arbitration costs.

1. Arbitral proceedings shall be closed by a final arbitral award or by an order of an arbitral tribunal on the grounds defined in paragraphs 2 and 4 of this Article.

2. An arbitral tribunal shall issue an order regarding closure of arbitral proceedings where:

3. Upon closure of arbitral proceedings, parties shall not be permitted to repeatedly refer to arbitration in relation to a dispute between the same parties, the same subject-matter and on the same ground.

4. An arbitral tribunal shall have the power to issue an order to dismiss a request for arbitration or a claim where:

5. Where no further action is taken in relation to a request for the opening of arbitral proceedings or a claim, the parties shall not be prevented from repeatedly submitting to arbitration their dispute.

6. An order of an arbitral tribunal shall take effect and be binding upon parties from the moment it is made.

7.    The opening of bankruptcy proceedings or the application of any other bankruptcy procedure in respect of a party to an arbitration agreement shall not affect arbitral proceedings, the validity and application of the arbitration agreement, possibility of resolving a dispute in arbitration or the competence of an arbitral tribunal to hear the dispute, except for the reservations of paragraphs 8 and 9 of this Article.

8. A company which is subject to bankruptcy proceedings may not enter into a new arbitration agreement. Proprietary claims brought in respect of a party to an arbitration agreement which is subject to bankruptcy proceedings shall be considered by the court that has opened bankruptcy proceedings, where so requested by all parties to the arbitration agreement which are not subject to bankruptcy proceedings.

9. Where proprietary claims in respect of a party to an arbitration agreement which is subject to bankruptcy proceedings are considered by arbitration, an arbitral tribunal must provide a reasonable period for a bankruptcy administrator to get familiar with the arbitration case and prepare for proceedings, while a claimant must inform the court concerned of claims brought before arbitration and provide supporting explanations and evidence list. An arbitral award shall determine the set-off amount of mutual claims of the parties. Upon making the arbitral award, the court hearing the bankruptcy case shall confirm mutual claims of the parties determined by the arbitral award. The court hearing the bankruptcy case may delay the confirmation of a creditor’s claims considered in arbitration until there is an arbitral award confirming the amount of such claims, however, the court shall confirm all undisputed claims (of the undisputed part thereof) in accordance with the procedure laid down by the Enterprise Bankruptcy Law of the Republic of Lithuania.

10. The mandate of an arbitral tribunal shall expire following a final arbitral award (except for the cases provided for in Articles 45 and 50(6) of this Law), closure of the arbitration proceedings or if no further action is taken in relation to the claim or the request for the opening of arbitral proceedings.

1. An arbitral award may be set aside by filing an appeal with the Court of Appeal of Lithuania on the grounds defined in this Article.

2. Upon admitting an appeal against an arbitral award, the Court of Appeal of Lithuania may, in exclusive cases and at the request of one of the parties, suspend the enforcement of the arbitral award. 

3. The Court of Appeal of Lithuania may annul an arbitral award where the appellant party provides evidence that:

4. The Court of Appeal of Lithuania shall verify ex officio whether the arbitral award appealed against is in conflict with the grounds defined in points 5 and 6 of paragraph 3 of this Article.

5. The Court of Appeal of Lithuania shall refuse to admit an appeal filed one month after the day of an arbitral award, and where the appeal is filed against an additional award, as defined in Article 45 of this Law, after the day of the additional award made by an arbitral tribunal.

6. Upon receipt of an appeal against an arbitral award, the Court of Appeal of Lithuania may, by its reasoned order, if so requested by a party to a dispute, suspend proceedings in relation to the setting aside of the arbitral award in order to enable an arbitral tribunal to resume the arbitral proceedings or take other actions which would, in the opinion of the Court of Appeal of Lithuania, eliminate the ground for the setting aside of the arbitral award.

7. An order of the Court of Appeal of Lithuania concerning the suspension of proceedings, as defined in paragraph 6 of this Law, also the order concerning the setting aside of an arbitral award or the refusal to annul an arbitral award may be subject to appeal before the Supreme Court of Lithuania in accordance with the procedure established by the Code of Civil Procedure.

1. An arbitral award made in any state which is a party to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards shall be recognised and enforced in the Republic of Lithuania according to the provisions of this Article and of the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.

2. A party applying for the recognition or recognition and enforcement of a foreign arbitral award shall file an application with the Court of Appeal of Lithuania. The application shall be accompanied by the original copy of an arbitral award requested to be recognised or recognised and enforced and of an original arbitration agreement or duly certified copies thereof. If the arbitral award or arbitration agreement is not made in an official language of the State, the applying party shall supply a duly certified translation thereof into such language.

3. The Court of Appeal of Lithuania shall issue an order in relation to an application for the recognition or recognition and enforcement of a foreign arbitral award. This order shall take effect on the day of its issue. The order of the Court of Appeal of Lithuania may be appealed against to the Supreme Court of Lithuania within 30 days of the day of its issue. The provisions of Chapter XVII of the Code of Civil Procedure shall mutatis mutandis apply to appeal against the order of the Court of Appeal of Lithuania, as defined in this paragraph, and to proceedings based on this appeal.

4. Upon taking effect of an order concerning the recognition or recognition and enforcement of a foreign arbitral award, the foreign arbitral award shall become enforceable and shall be enforced in accordance with the procedure established by the Code of Civil Procedure.”