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Proposal for Law No 22 /XII

Exhibition of Motives

The present proposed law comes to give the measure 7.6 of the Memorandum from

An understanding concluded with the European Commission, the European Central Bank and the

International Monetary Fund, which provides for the presentation by the Government of a new

Law of Arbitration until the end of September 2011.

The program of the XIX Constitutional Government, for its part, also elects as

essential objective the development of arbitral justice.

The law of voluntary arbitration, passed by Law No. 31/86 of August 29, with the

wording given to it by the Decree-Law No. 38/2003 of March 8, which the present

diploma comes to be revoked, constituted enormous progress in the Portuguese legal order, the

which was thus endowed with a flexible normative framework, capable of overcoming the scarce

use of voluntary arbitration that until then was characterised by our country.

The enormous progress achieved and the analysis of the numerous studies, of the most varied

indidole, elaborated in Portugal and in the countries where the arbitrage has achieved greater diffusion and

technical-legal sophistication, particularly as to the problematic of arbitration

commercial and, more recently, investment arbitration, concluded by the

need to draw up a new law.

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In the last twenty-five years, not least by impulse from the publication, in 1985, of the Law

Model of UNCITRAL ( United Nations Commission on International Trade Law ) about

international commercial arbitration, various states, among which they count not

only the majority of countries in Europe, but also countries of the US mainland and

from the far east, including the largest powers of the world economy, proceeded to

adaptation of the respective arbitration regimes to that model law.

Such an adaptation allowed to create conditions favourable to the development of arbitration

voluntary, as a factor of enormous importance for the progress of economies, in the

measure in which it streamlines and makes it more efficient to resolve disputes that constantly

are raised in the scope of economic activities, both in the internal and the

international. It may also constitute, in and of itself, a source of benefits

very significant direct to the respective countries, should the operators of the

international trade choose to locate in its territory the arbitrages that the

respective contracts provide as a mode of resolution of their emerging disputes.

It is intended, in this way, to approximate the Voluntary Arbitration Act to the Law regime

UNCITRAL model on International Commercial Arbitration, with a view to

sensitize companies and professionals from diverse areas that often

make use of arbitration in other countries-not least in those with whom our

relates economically in a more intense way-to the advantages and potentials

of the choice of Portugal as the seat of international arbitrations, particularly in the case

of disputes in which they intervene companies or other economic operators of countries

luscious or in which the applicable law is that of one of these.

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The probability that our country will be chosen as the seat of international arbitrations

will, in effect, be much greater if the legislation applicable here is familiar to the community of

international arbitration, for inserting itself into a normative matrix whose solutions have already been

tested by the courts of other countries and in which the problems that most

frequently to arise have already been comprehensively analyzed and solved by the

doctrine and foreign and international jurisprudence.

In this way it becomes possible to achieve the dismay of consecration of a regime that

follow what the reality was by demonstrating to be suitable for the fomenting of arbitration

how the normal mode of conflict resolution in the field of economic relations

international.

Adding that the insertion into the Portuguese legal system of a law based on the Model Law

you cannot ignore the need to respect the unity and internal coherence of this

system. For that reason, it has also sought not to despise solutions already tested in the

Application of Law No. 31/86 of August 29, as amended by the

Decree-Law No. 38/2003 of March 8, as well as enshrining mechanisms, when such

appears to be convenient, which have succeeded in various national regulatory laws of

arbitration that has been passed in recent years in countries in which this has reached greater

development.

The present diploma thus changes the criterion of arbitrability of disputes by making

depend on this not already on the available character of the right in dispute, but rather, in the first

line, of its patrimonial nature, combining, however, that main criterion, à

similarity of what made the German law, with the secondary criterion of the transigibility of the

contested right, so that even disputes that do not involve interests

patrimonial, but on which it is permitted to complete transaction, may be

submitted to arbitration.

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With respect to the formal validity requirements of the arbitration convention, the

provisions of this diploma aim to confer more flexibility on the observance of the

requirement of the written form.

The present diploma sets out, clearly, in the line of the consignment in the Model Law of the

UNCITRAL, the principle of autonomy of the arbitral process, implicitly enshrined

in Law No. 31/86 of August 29, as amended by the Decree-Law

n. 38/2003, of March 8.

On the other hand, it also reaffirms the so-called negative effect of the principle of

competency-jurisdiction of the arbitral tribunal, extracting all due

consequences as to how they are to articulate the skills of the court

arbitral and state courts that are called to control, in the final instance, the

correction of the decision by that prowound on that issue.

The new diploma regulates, too, the mode of constitution of the arbitral tribunal,

consecration ademais to independence and impartiality as requirements

indispensable of the referees. It is regulated, still, the process leading to the removal

of the arbitrators who do not fulfil those requirements or who do not disclose the diligence or the

capacity required by the satisfactory fulfillment of the functions that are

committed, sweating an existing gap in the previous law.

Still regarding the constitution of the arbitral tribunal, the manner in which it is set

prosecutes in the case of arbitrage with plurality of plaintiffs and / or of the respondents,

adapting a solution that has been embraped in more recent foreign laws and

in some very commonly used regulations in international arbitrations.

In respect of the setting of the amount and manner of payment of fees and expenses

of the arbitrators, when the parties do not have regulated such matter in the convention of

arbitration, confers on the arbitral tribunal the power to decide on the matter by staying,

however, such a decision subject to the possible revision and correction by the state court

competent.

The present diploma proceeds to the distinction between "preliminary orders"-which are, by

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nature, of short duration and not susceptible to coercive execution, to them by using

fundamentally to preserve the existing situation, while the arbitral tribunal does not

is in a position to enact a cautionary providence, and which may, if their reason for

be to require it, be issued without hearing the required part-and "cautionary arrangements",

that are only enacted after hearing of the respondent and for whose coercive execution is provided for

and regulates the collaboration of the state courts.

It is clarified that the definition of the regulatory rules of the arbitral process should be made

without subjection to the procedural standards applicable in the courts of the State, without prejudice to,

by agreement of the parties or by decision of the arbitrators, in the exercise of their competence

ordering of the arbitral process, be able to one or others to refer to those

standards.

On the other hand, peacefully accepted solutions in doctrine and law are enshrined.

compared to the arbitration, namely that the lack of intervention of the

respondent in the process or presentation of contestation by the latter cannot

to produce any cominatory effects with respect to the facts alleged by the

plaintiff.

The present regime will, still, predict that for a third party to be an intervener in

arbitral proceedings, in a spontaneous or provoked manner, will have to be or become part of

of the convention on which the arbitration is based. Only so does the arbitral tribunal have jurisdiction

on the third and whether it can claim that the initial parties to the arbitration stay

obliged to accept your intervention. On the other hand, it is established that the intervention of

third parties is only admitted when it is justified for especially ponderous reasons,

set out in exemplificatory title in the law. Finally, even if such justifiable reasons

if you check, you acknowledge to the arbitral tribunal the power of not admitting the intervention of the

third, when you understand that this one would overly disturb the normal ongoing

of the arbitral process.

It is pointed out that the provision that in this diploma regulates the topic of the intervention of

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third parties in ongoing arbitrations contains only the regimen's supplement

in this matter, as it is admitted that the parties to regulate it differently

in the arbitration convention, either by the inclusion that therein make stipulations,

either by remission to institutionalized arbitration regulations.

In what to the time and the way of proliation of the arbitral sentence it concerns, it understood

that the 6-month period provided for in the previous law was extiguous, opting to establish

an initial term of twelve months, extended by one or more times, without which to

the consent of both parties is required.

Still in the framework of the final sentence, it fulfills three innovations. In the first place,

arbitrators go on to be able to decide as "friendly composers", if the parties

agree to confer on them this mission, because it has been deemed useful to provide them with that

possibility. Second, inverts from the supplement rule concerning the resortability

of the final sentence handed down in the arbitral proceedings. In accordance with the present diploma,

unless the parties have expressly stipulated in the arbitration convention that of the

final sentence falls to appeal under the terms set out in the applicable procedural law, such sentence

is irrecurrable, without prejudice to the same power being impugned upon request of

cancellation, and to which the parties cannot resign in advance. Finally, it makes possible-

whether the rectification of material errors and the clarification of ambiguities or obscurities

detected in the sentence, as well as the possibility of being handed additional sentence

on parts of the application or requests formulated in the process and omitted in the sentence.

The application for cancellation of the sentence is only admissible if it is based on one of the grounds

typified in this Law, of which it stands out the violation of public order

international of the Portuguese State.

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In order to implement the arbitral sentence, it is prevented that the party that does not have

challenged the sentence can you come to do in opposition headquarters to the sentence execution

against you instituted.

In the chapter dedicated to international arbitration, concept that continues to be defined,

the similarity of what was done in the previous law, such as the one that puts into play interests of the

international trade, devotes itself to unenforceability on the part of a state or

organisation or society by you controlled exceptions based on your right

internal to in any way subtract from its obligations arising from the convention

of the arbitration.

On the other hand, it allows the parties to choose the rules of law applicable to the fund

of the cause that do not belong to a state legal planning and correspond to

principles and rules of material law generally recognized as binding in the

scope of international trade. Where the parties do not have made such a choice,

it shall apply to the law of the State with which the dispute presents a closer connection, by

if you fear that the granting to the arbitrators of an unlimited freedom of choice of the rules

of law applicable to the fund of the cause could hurt the legitimate expectations of the

parts.

On the recognition and enforcement of arbitral sentences handed down in the

foreign, incorporates into the present diploma the regime of the New York Convention

of 1958, on the Acknowledgement and Execution of Foreign Arbitral Sentence, to the

same time that ascribe to the courts of second instance the competence to

decide on the recognition and admission to the implementation of such sentences.

The present diploma concentrates in the Courts of Relation, or in the Central Courts

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Administrative, in respect of administrative law disputes, the competence for

the proliation of most of the decisions to ensure the correct functioning of the

arbitral proceedings and to control their regularity, as well as the validity of the sentences

in them handed down, control this of which no State can prescind, relatively

arbitrations located in its territory.

Finally, the present diploma applies, transiently, to the emerging disputes of

or relating to employment contracts which, at the date of the entry into force of this Law, already

may be submitted to arbitration.

Additionally, it is left note that-given the ensejo of uniformity and

harmonization of national legislation on voluntary arbitration with the Model Law

from UNCITRAL and to the aim of making Portugal in a competitive country to

international arbitrations-it was the intention of the Government to adopt the Model Law

internationally recognized, approving as an annex to this proposed law to

new Law of Voluntary Arbitration.

The hearing of the Superior Council of Magistrates, of the Higher Council, was promoted

of the Administrative and Fiscal Courts, of the Higher Council of the Public Prosecutor's Office,

of the Order of Lawyers, of the House of Solicitors, of the Council of Officers of

Justice, of the Sindical Association of the Portuguese Judges, of the Syndicate of the Magistrates of the

Prosecutor's Office, the Portuguese Association of Arbitration and the National Council

of Consumption.

Thus:

Under the terms of the paragraph d) of Article 197 (1) of the Constitution, the Government presents to the

Assembly of the Republic, the following proposed law:

Article 1.

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Subject

1-It is passed the Voluntary Arbitration Act, which publishes in attachment to the present

diploma and that he is an integral part.

2-It is amended the Code of Civil Procedure, in accordance with the new Law of the

Voluntary Arbitration.

Article 2.

Amendment to the Code of Civil Procedure

Articles 812-D, 815, 1094 and 1527 of the Code of Civil Procedure, go on to

following wording:

" Article 812-D

[...]

[...]:

a) [...];

b) [...];

c) [...];

d) [...];

e) [...];

f) [...];

g) If, requested for the execution of an arbitral sentence, the executing agent

doubting that the dispute could be committed to the decision by

referees, either by being submitted, by special law, exclusively

the court court or the necessary arbitration, either by the right

contested not to have an equity and not be able to be the subject

of transaction.

Article 815.

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[...]

Are basics of opposition to execution based on arbitral sentence not

only those provided for in the previous article but also those in which it may

to be based on the judicial annulment of the same decision, without prejudice to the provisions of

in Article 48 (1) and (48) of the law on voluntary arbitration.

Article 1094.

[...]

1-Without prejudice to what is found in treaties, conventions,

regulations of the European Union and special laws, no decision on

private rights, delivered by foreign court, has effectiveness in

Portugal, whatever the nationality of the parties, without being reviewed and

confirmed.

2-[...].

Article 1527.

[...]

1-If in relation to any of the arbitrators if they check any of the

circumstances provided for in Articles 13 to 15 of the Arbitration Act

voluntary, proceeds to the appointment of another, pursuant to Rule 16.

of that law, and the appointment to whom it has appointed the arbitrator shall be

previous, when possible.

2-[...]. "

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Article 3.

Remissions

All remissions made in legal or regulatory diplomas for the provisions of the

Law No 31/86 of August 29, as amended by the Decree-Law

n ° 38/2003 of March 8, shall be deemed to be made for the provisions

correspondents in the new Voluntary Arbitration Act.

Article 4.

Transitional arrangement

1-Unless the provisions of the following numbers, they become subject to the new regime of the Law of

Voluntary Arbitration, the arbitral proceedings which, pursuant to Art. 33 (1) of the

said law, if it starts after its entry into force.

2-The new regime, shall apply to arbitral proceedings initiated prior to its entry into

vigour, provided that both parties in this order or if one of them formulates proposal

in that sense and the other to this does not object within 15 days of the respective

reception.

3-Parties that have concluded arbitration conventions prior to the entry into force of the

new regime, retain the right to resources that would fit the arbitral sentence, in the

terms of Article 29 of Law No. 31/86 of August 29, as amended

given by the Decree-Law No. 38/2003 of March 8, should the arbitral process be

elapsed under this diploma.

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4-A submission to arbitration for emerging disputes from or relative to employment contracts

it is regulated by special law, being applicable, until the entry into force of this new regime

approved by this Law, and, with due adaptations, Article 1 (1) of the Law

No. 31 /86 of August 29, as amended by the Decree-Law

n. 38/2003, of March 8.

Article 5.

Abrogation standard

1-It is repealed Law No. 31/86 of August 29, as amended by the

Decree-Law No. 38/2003 of March 8, with execption of the provisions of paragraph 1 of the

article 1, which shall remain in force for the arbitration of emerging disputes of or

relative to employment contracts.

2-Are repealed Article 181 (2) and Article 186 of the Code of the Process of the

Administrative Courts.

3-It is repealed Article 1097 of the Code of Civil Procedure.

Article 6.

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Entry into force

This diploma shall come into force three months after the date of its publication.

Seen and approved in Council of Ministers of September 15, 2011

The Prime Minister

The Deputy Minister and Parliamentary Affairs

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ANNEX

VOLUNTARY ARBITRATION LAW

Chapter I

From the arbitration convention

Article 1.

Convention of arbitration

1-As long as by special law it is not submitted exclusively to the courts of the

State or the arbitration required, any dispute concerning the interests of

heritage nature may be committed by the parties, upon convention of

arbitration, to the decision of arbitrators.

2-It is also valid an arbitration convention relating to disputes that do not involve

interests of a heritage nature, provided that the parties can conclude transaction

on the contested right.

3-A The arbitration convention may have by object a current dispute, albeit affection to

a state court (arbitration award), or any emerging possible disputes of

certain contractual or extracontratual legal relationship (clause

compromising).

4-The parties may agree to submit the arbitration, in addition to the issues of

contentious nature in a strict sense, any others requiring the

intervention of an impartial decision-maker, specifically those related to

need to need, complete and adapt durable installment contracts to

new circumstances.

5-The State and other legal persons under public law may conclude conventions

of arbitration, to the extent that for so much they are authorized by law or if such

conventions have for the purpose of private law disputes.

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Article 2.

Requirements of the arbitration convention; its revocation

1-A The arbitration convention shall adopt written form.

2-A The requirement in written form is met by satisfaction when the convention consisted of

written document signed by the parties, exchange of letters, telegrams, telefaxes or

other means of telecommunication that it becomes written proof, including means

electronic communication.

3-It is considered that the written form requirement of the arbitration convention is

satisfied when this const of electronic, magnetic, optical, or other support

type, which offers the same guarantees of fidedignity, intelligibility and

conservation.

4-Without prejudice to the legal regime of the general contractual clauses, it is worth as

arbitration convention the remission made in a contract for document that

contain an arbitration clause, provided that such a contract revised the form

writing and remission is done so as to make such a clause an integral part of the

same.

5-It is also considered to be met the requirement of the written form of the convention of the

arbitration when there is exchange of a petition and a dispute in proceedings

arbitral, in which the existence of such a convention is alleged by a party and not to be

denied by the other.

6-The arbitral commitment shall determine the subject matter of the dispute; the clause

compromising shall specify the legal relationship to which disputes respect.

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Article 3.

Nullity of the arbitration convention

It is void of the Convention of arbitration concluded in violation of the provisions of Articles 1 and

2.

Article 4.

Modification, revocation and expiry of the convention

1-A The arbitration convention may be modified by the parties until the acceptance of the

first arbiter or, with the agreement of all referees, up to the proliation of the sentence

arbitral.

2-A arbitration convention may be revoked by the parties, up to the prolation of the

arbitral sentence.

3-The agreement of the parties provided for in the preceding paragraphs shall rewear the written form,

observing the provisions of Article 2.

4-Unless otherwise agreed, the death or extinction of the parties does not lapse the

arbitration convention nor extinguish the arbitral instance.

Article 5.

Negative effect of the arbitration convention

1-The state court in which it is proposed action on a matter covered by

a convention of arbitration shall, the application of the defendant deducted until the

moment in which this presents its first articulate on the background of the cause,

acquit it of the instance, unless it establishes that, manifestly, the convention of

arbitration is void, is or has become ineffective or is unenforceable.

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2-In the case provided for in the preceding paragraph, the arbitral process can be initiated or

proceed, and it may be in it to be handed down a sentence, while the matter is

pending in state court.

3-The arbitration proceedings cede and the sentence in it handed down cede no effect, soon

that a state court considers, upon a decision carried forward on trial, that the

arbitral tribunal is incompetent to judge the dispute submitted to it, or such

decision shall be delivered in the action referred to in paragraph 1 of this Article, whether

prowound under the provisions of Articles 18 (9) and 46 (3) a) , i) and iii) .

4-The issues of nullity, ineffectiveness and inenforceability of a convention of

arbitration cannot be discussed autonomously in action of simple

assessment proposed in state court nor in a cautionary procedure instituted

before the same court, which has as its purpose to prevent the constitution or the

functioning of an arbitral tribunal.

Article 6.

Remission to arbitration regulations

All references made in this Law to the stipulation in the arbitration convention or

to the agreement between the parties cover not only what the parties there regulate directly,

but also the provisions of arbitration regulations for which the parties hajam

remitted.

Article 7.

Arbitration convention and cautionary arrangements enacted by court

state

It is not incompatible with a convention of arbitration the application for providences

cautionary presented to a state court, before or during the arbitral proceedings, nor

the enactment of such arrangements by that court.

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CHAPTER II

Of arbitrators and of the arbitral tribunal

Article 8.

Number of arbitrators

1-The arbitral tribunal may be made up of a single arbitrator or by several, in

odd number.

2-If the parties have not agreed in the number of members of the arbitral tribunal, it shall be

this compound by three referees.

Article 9.

Requirements of the arbitrators

1-The arbitrators must be natural persons and fully capable.

2-No one can be preterned, in their designation as a referee, on the grounds of

nationality, without prejudice to the provisions of Article 10 (6) and freedom of

choice of the parties.

3-The arbitrators shall be independent and impartial.

4-Referees shall not be held liable for damages arising from decisions

by them rendered, save in cases in which judicial magistrates may be.

5-A The responsibility of the arbitrators provided for in the preceding paragraph shall only take place before the

parts.

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Article 10.

Designation of arbitrators

1-The parties may, in the arbitration convention or in later writing by them

signed, designate the arbitrator or the arbitrators who shall constitute the arbitral tribunal or

fix the mode by which these will be chosen, inter alia, by committing the

designation of all or some of the referees to a third party.

2-Should the arbitral tribunal be made up of a single arbitrator and there is no agreement

between the parties as to that designation, such a referee will be chosen, at the request of

any of the parties, by the state court.

3-In the event that the arbitral tribunal is composed of three or more arbitrators, each party

shall designate equal number of arbitrators and the arbitrators so designated shall

choose another arbitrator, who will act as the president of the arbitral tribunal.

4-Unless stipulating otherwise, if, within 30 days of receipt of the

request that the other party to do so in this direction, a party not to designate the arbitrator or

referees that it is up to you to choose or if the arbitrators designated by the parties do not

agree on the choice of the arbitrator president within 30 days of the

designation of the last of them, the designation of the missing referee or referees will be made, the

request from any of the parties, by the competent state court.

5-Unless stipulating otherwise, the provisions of the preceding paragraph shall apply if the

parties have committed the designation of all or some of the referees to a

third and the latter has not made it within 30 days of the solicitation that

it has been directed in that direction.

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6-When appointing an arbitrator, the competent state court will take into account the

qualifications required by the agreement of the parties to the arbitrator or the arbitrators to be appointed

and all that is relevant to ensure the appointment of an independent arbitrator and

impartial; dealing with international arbitration, when appointing a single arbitrator or

a third arbitrator, the court will also take into consideration the possible convenience

of the appointment of an arbitrator of nationality other than that of the parties.

7-It is not up to appeal of the decisions rendered by the competent state court to the

shelter from the previous figures in this article.

Article 11.

Plurality of plaintiffs or plaintiffs

1-In the event of a plurality of plaintiffs or plaintiffs, and owing the court

arbitral shall be composed of three arbitrators, the first of which shall jointly appoint a

arbitrator and the seconds will jointly assign another.

2-If the plaintiffs or the respondents fail to agree on the arbitrator that

it is up to them to appoint, it will be up to the competent state court at the request of any of the

parts, make the referee designation in foul.

3-In the case provided for in the preceding paragraph, it may the state court, if it is shown to

parties that have failed to jointly appoint an arbitrator have interests

conflicting with respect to the background of the cause, appoint the entirety of the arbitrators and

designate from among them who will be the president, staying in this case with no effect to

designation of the arbitrator that one of the parties has in the meantime carried out.

4-The provisions of this Article shall be understood without prejudice to what there has been

stipulated in the arbitration convention for the arbitration case with plurality of

parts.

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Article 12.

Acceptance of the charge

1-No one may be required to act as a referee; but if the charge has been

accept, it will only be legitimate to scusa founded on supervenient cause that impossibi lite the

designated to perform such function or in the non-conclusion of the agreement referred to in the

n Article 17 (1).

2-A less that the parties have otherwise agreed, each arbitrator appointed

shall, within 15 days of the communication of its designation, declare by

written the acceptance of the burden to whom it has designated it; if in such a term it does not declare its

acceptance nor otherwise revealing the intention to act as a referee, will understand

that does not accept the assignment.

3-The referee who, having accepted the charge, unjustifiably esters the exercise

of your function responds by the damage to which it causes.

Article 13.

Fundamentals of refusal

1-Whoever is invited to exercise referee duties shall reveal all the

circumstances that may raise fused doubts about their impartiality and

independence.

2-The arbitrator shall, during the entire arbitral procedure, reveal, without delay, to the parties and

to the remaining arbitrators the circumstances referred to in the preceding paragraph which are

supervenients or that it has only taken notice after accepting the

charge.

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3-An arbitrator may only be refused if there are circumstances that may raise

founded doubts about its impartiality or independence or if it does not possess the

qualifications that the parties have convened. A party can only refuse a referee

that there is designated or in whose designation there is participated on the grounds of a

cause that you only have had knowledge after this assignment.

Article 14.

Process of refusal

1-Without prejudice to the provisions of paragraph 3 of this Article, the Parties may freely

waking up about the process of refusal of referee.

2-In the absence of agreement, the party wishing to refuse a referee shall expose in writing

the grounds for the refusal to the arbitral tribunal, within 15 days from the date on

who was aware of the constitution of that or the date on which he had

knowledge of the circumstances referred to in Article 13. If the arbitrator refused no

relinquished the function entrusted to him and the party that designated him to insist on mantê-

lo, the arbitral tribunal, with participation of the vised arbitrator, will decide on the refusal.

3-If the removal of the arbiter refused cannot be obtained by the procedure

convenor by the Parties or in accordance with the provisions of paragraph 2 of this Article, the

part that refuses the arbitrator may, within 15 days after it has been communicated to

decision rejecting the refusal, to ask the competent state court to take a

decision on the refusal, being that untenable of appeal. In the pendency of that

application, the arbitral tribunal, including the arbitrator refused, may continue the proceedings

arbitral and uton sentence.

Article 15.

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Incapacitation or inaction of a referee

1-Cess the functions of the arbitrator who becomes incapacitated, in law or in fact, to

exercise them, if the same to them renounce or the parties of common agreement put them

term with that plea.

2-If an arbitrator for any other reason, do not discharge, in reasonable time,

of the functions that have been committed to it, the parties will be able to, by mutual agreement, do so

cessation, without prejudice to the possible liability of the arbitrator concerned.

3-In the event that the parties do not agree on the removal of the arbitrator

affected by one of the situations referred to in the preceding paragraphs of this article,

any of the parties may apply to the competent state court that, with

foundation in the situation in question, the destitute, being this unceatable decision to

feature.

4-If, in the terms of the preceding paragraphs of this Article or Article 14 (2),

a referee renounce his or her function or the parties accept that he / she cesse the function of a

arbitrator who allegedly finds himself in one of the situations foreseen therein, such does not imply

the recognition of the provenance of the removal grounds mentioned in the

provisions set out above.

Article 16.

Appointment of a substitute arbitrator

1-In all cases where, for any reason, they cease the duties of a referee,

will be appointed a substitute arbitrator, in accordance with the rules applied to the designation

of the substituted arbitrator, without prejudice to the parties being able to agree that the

replacement of the arbitrator if it does otherwise or prescins of its replacement.

2-The arbitral tribunal shall decide, taking into account the state of the procedure, if any act

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procedural is to be repeated in the face of the new composition of the court.

Article 17.

Fees and expenses of the arbitrators

1-If the parties have not regulated such a matter in the arbitration convention, the

fees from the arbitrators, the way of reimbursement of their expenses and the form of

payment by the parties of prepares on account of these fees and expenses must

be the subject of written agreement between the parties and the arbitrators, completed before the

acceptance of the last of the arbitrators to be designated.

2-Should the matter not be regulated in the arbitration convention, nor on it

there has been concluded an agreement between the parties and the arbitrators, it is up to the arbitrators, having

into account the complexity of the issues decided, the value of the cause and the time

expended or expending it with the arbitral process until the conclusion of this, set the

amount of your fees and expenses, as well as determine the payment by the

parts of prepares on account of those, upon one or several separate decisions

of those who rule on procedural matters or the background of the cause.

3-In the case provided for in the preceding paragraph of this Article, any of the Parties may

require the competent state court to reduce the amounts of the fees

or of the expenses and their prepares set by the arbitrators, and may such tribunal,

after hearing about the matter the members of the arbitral tribunal, set the amounts

consider it suitable.

4-In the case of lack of payment of prepares for fees and expenses that hajam

been previously agreed upon or fixed by the arbitral or state court, the arbitrators

will be able to suspend or give by completed the arbitral process, after having elapsed

reasonable additional term that they grant for the effect to the party or faltous parts, without

prejudice to the provisions of the following number of this Article.

5-If, within the time limit set in accordance with the preceding paragraph, some of the parties

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have not paid their preparer, the referees, before they decide to suspend or put

term the arbitral process, shall communicate it to the remaining parties, so that they may,

if they wish to do so, supply the lack of payment of that preparedness within the time frame they are

fixed for the purpose.

CHAPTER III

Of the jurisdiction of the arbitral tribunal

Article 18.

Jurisdiction of the arbitral tribunal to rule on its jurisdiction

1-The arbitral tribunal may decide on its own competence, even if for

such an end is necessary to appreciate the existence, validity or effectiveness of the convention

of arbitration or of the contract in which it enters, or the applicability of the said

convention.

2-For the purposes of the provisions of the preceding paragraph, an compromising clause that

be part of a contract will be considered as an independent agreement of the

too much clauses of the same.

3-A The decision of the arbitral tribunal to consider void the contract does not imply, by itself, the

nullity of the compromising clause.

4-A the incompetence of the arbitral tribunal to know from the whole or part of the

litigation that has been submitted to you can only be argued until the presentation of the defence how much

to the bottom of the cause, or along with this one.

5-The fact that a party has designated an arbitrator or has participated in its designation

not the priva of the right to argue the incompetence of the arbitral tribunal to know

of the dispute that has been submitted to it.

6-A The argument that, in the course of the arbitral proceedings, the arbitral tribunal has exceeded or

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may exceed your competence should be deducted immediately after you raise

the issue that allegedly exceeds that competence.

7-The arbitral tribunal may, in the cases provided for in paragraph 4 and 6 of this Article,

admit the exceptions that, with the fundamentals in them, are argued after

the temporal limits there set out, if it considers warranted non-compliance

of these.

8-The arbitral tribunal may decide on its jurisdiction either by a decision

interlocutory, either in the sentence on the background of the cause.

9-A The interlocutory decision by which the arbitral tribunal declares that it has competence

may, within thirty days after its notification to the parties, be impugned by

any of these before the competent state court, under Articles 46,

n. 3, a) , i) and iii) , and 59, paragraph 1, f) .

10-While the imputation referred to in the preceding paragraph of this Article is

pending in the competent state court, the arbitral tribunal may proceed the

arbitral proceedings and to provide sentence on the fund of the cause, without prejudice to the

provisions of Article 5 (3).

Article 19.

Extension of the intervention of the state courts

In the matters governed by this Act, state courts may only intervene in the

cases in which this provides for it.

CHAPTER IV

From cautionary arrangements and preliminary orders

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Section I

Cautionary arrangements

Article 20.

Cautionary measures enacted by the arbitral tribunal

1-Unless stipulating otherwise, the arbitral tribunal may, at the request of a Party and

listened to the opposing party, enact the cautionary arrangements you consider

necessary in relation to the subject matter of the dispute.

2-For the purposes of this Law, a cautionary providence is a measure of character

temporary, decreed by sentence or decision with another form, by which, in

any height before utning the sentence that comes to direct the litigation, the court

arbitral orders a party that:

a) Maintain or restore the previously existing situation while litigation does not

is to drive;

b) Practise acts that prevent or refrain from practising acts that

probably cause damage or injury to the arbitral process;

c) Ensure the preservation of goods over which a subsequent sentence

can be performed;

d) Preserve means of proof that can be relevant and important for the

resolution of the dispute.

Article 21.

Requirements for the decrement of cautionary arrangements

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1-A cautionary providence required under Article 20 (2), a ), b) and c) is

decreed by the arbitral tribunal, provided that:

a) There is a serious probability of the existence of the right invoked by the applicant and whether

show sufficiently substantiated the fear of your injury; and

b) The resulting injury to the respondent of the providence decree no

exceed considerably the damage that with it the applicant intends to avoid.

2-The judgment of the arbitral tribunal relating to the probability referred to in paragraph a) of paragraph 1 of the

this article does not affect the freedom of decision of the arbitral tribunal when,

subsequently, have to comment on any matter.

3-Regarding the request for a cautionary providence made under Rule 20,

n. 2, d) , the requirements set out in the points a) and b) of paragraph 1 of this Article

apply only to the extent that the arbitral tribunal considers appropriate.

Section II

Preliminary orders

Article 22.

Application for preliminary orders; requirements

1-Unless otherwise agreed in a different sense, any of the parties may ask that it be

enacted a cautionary providence and, simultaneously, require that it be addressed to the

another part a preliminary order, without prior hearing from it, so that it is not

thwarted the purpose of the requested cautionary providence.

2-The arbitral tribunal may issue the required preliminary order, as long as it considers

that the prior disclosure of the request for a cautionary providence to the party against which it

drives creates the risk of the purpose of that providence to be thwarted.

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3-The requirements set out in Article 21 shall apply to any order

preliminary, considering the damage to be equated under Article 21 (1),

b ) is, in this case, what may result from the preliminary order being issued or not issued.

Article 23.

Specific regime of the preliminary orders

1-Immediately after the arbitral tribunal has pronounced itself on a

application for a preliminary order, shall inform all parties about the application for

cautionary providence, the preliminary order application, the preliminary order, if

this has been issued, and all other communications, including communications

oral, halives between any party and the arbitral tribunal in such respect.

2-Concurrently, the arbitral tribunal shall give opportunity to the party against which the

preliminary order there has been enacted to present its position on that, in the

shorter term that is practicable and that the court will fix.

3-The arbitral tribunal must decide promptly on any objection deducted

against the preliminary order.

4-A The preliminary order lapses 20 days after the date on which it was issued by the

arbitral tribunal. The court may, however, after the party against which to proceed to

preliminary order having been hers notified and to have had opportunity for her

present their position, enact a cautionary providence, by adopting or

modifying the contents of the preliminary order.

5-A The preliminary order will be mandatory for the parties, but it will not be liable to

enforcement coercion by a state court.

Section III

Rules common to cautionary arrangements and preliminary orders

Article 24.

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Modification, suspension and revocation; provision of collateral

1-The arbitral tribunal may modify, suspend or revoke a cautionary providence

or a preliminary order that there has been enacted or issued, at the request of any

of the parties or, in exceptional circumstances and after listening to them, on the initiative of the

own court.

2-The arbitral tribunal may require the party requesting the enactment of a

providence cautions the provision of adequate collateral.

3-The arbitral tribunal shall require the party to require the issuance of an order

preliminary the provision of appropriate collateral, unless it deems inappropriate or

unnecessary to do so.

Article 25.

Duty of revelation

1-The Parties shall promptly reveal any significant change in the

circumstances on the grounds of which the cautionary providence was requested or

enacted.

2-A party that requires a preliminary order shall reveal to the arbitral tribunal all the

circumstances that may be relevant to the decision on its issuance or

maintenance and such duty will remain in force until the party against which there has been

directed you have had an opportunity to present your position, after which you will apply

the provisions of paragraph 1 of this Article.

Article 26.

Responsibility of the applicant

The party requesting the enactment of a cautionary providence or requires the issuance

of a preliminary order is responsible for any costs or damages caused to the

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other party by such providence or order, should the arbitral tribunal come later to

decide that, in the previously existing circumstances, providence or order

preliminary should not have been enacted or ordered. The arbitral tribunal can, in this

last case, convict the requesting party in the payment of the correspondent

compensation in any state of the process.

Section IV

Recognition or coercive execution of cautionary providences

Article 27.

Recognition or coercive execution

1-A cautionary providence enacted by an arbitral tribunal is mandatory for the

parties and, unless the arbitral tribunal has otherwise ruled, it may be

coercively executed upon request addressed to the competent state court,

regardless of the arbitration in which the one was enacted to take place in the

foreigner, without prejudice to the provisions of Article 28.

2-A part that asks or has already obtained the recognition or coercive execution of

a cautionary providence shall promptly inform the state court of the eventual

repeal, suspension or modification of that providence by the arbitral tribunal that the

there is enacted.

3-The state court to which the recognition or coercive execution of the

providence may, if it considers it convenient, order the requesting party to

pay adequate collateral, if the arbitral tribunal has not already made a decision on

that matter or if such a decision is necessary to protect the interests of third parties.

4-A The sentence of the arbitral tribunal that decides on a preliminary order or

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cautionary providence and the sentence of the state court to decide on the

acknowledgment or coercive execution of a cautionary providence of a court

arbitral are not likely to appeal.

Article 28.

Fundamentals of refusal of recognition or coercive execution

1-The recognition or coercive execution of a cautionary providence can only

be refused by a state court:

a) At the request of the party against which the providence is invoked, if this court

consider that:

i) Such refusal is justified on grounds of the grounds provided for in the article

56, paragraph 1, a) , (i) , (ii) , (iii) or (iv) ; or

ii) The decision of the arbitral tribunal concerning the provision of surety

related to the cautionary providence enacted has not been complied with; or

iii) Cautionary providence has been revoked or suspended by the arbitral tribunal

or, if for that it is competent, by a state court of the country

foreign in which arbitration takes place or under whose law the

providence has been enacted; or

b) If the state court considers that:

i) The cautionary providence is incompatible with the powers conferred upon the

state court by the law governing it, save if the latter decides to reshape the

cautionary providence to the extent necessary to adapt it to its own

competence and procedural regime, in order to perform

coercively the cautionary providence, without altering its essence; or

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ii) Some of the basics of refusal of recognition provided for in the

article 56, paragraph 1, b) , (i) or (ii) check themselves with respect to the

recognition or coercive execution of the cautionary providence.

2-Any decision made by the state court under the paragraph 1 of this Article

has restricted effectiveness to the request for recognition or coercive execution of

cautionary providence enacted by the arbitral tribunal. The state court to which it is

application for recognition or enforcement of cautionary providence, when pronounting

on such a request, should not make a review of the merit of the cautionary providence.

Article 29.

Cautionary measures enacted by a state court

1-The state courts have power to enact cautionary measures in the

dependence on arbitral processes, regardless of the place in which these

elapse, in the same terms in which they can do so with respect to the processes

that they run before the state courts.

2-The state courts must exercise that power in accordance with the procedural regime

which is applicable to them, taking into consideration, if it is the case, the characteristics

specific to international arbitration.

CHAPTER V

From the conduct of the arbitral process

Article 30.

Principles and rules of the arbitral proceedings

1-The arbitral process shall always respect the following fundamental principles:

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a) The defendant is cited to defend himself;

b) The parties are treated with equality and should be given an opportunity

reasonable to assert their rights, in writing or orally, prior to

be prowound the final sentence;

c) At all stages of the procedure is guaranteed observance of the principle of

adversarial, save the exceptions provided for in this Law.

2-The parties may, until the acceptance of the first referee, agree on the rules of the

process to be observed in arbitration, with respect for the fundamental principles

consigned to the preceding paragraph of this article and by the remaining standards

constant imperatives of this law.

3-Not existing such agreement of the parties and in the lack of provisions applicable in the present

law, the arbitral tribunal may conduct the arbitration in the manner that it considers

appropriate, setting out the procedural rules that understand adequate, owing, if it is

That the case, please explain that it considers to be subsidarily applicable to the provisions of the law that

rege the proceedings before the competent state court.

4-The powers conferred on the arbitral tribunal shall comprise that of determining the

admissibility, pertinence and value of any evidence produced or to produce.

5-The arbitrators, the parties and, if it is the case, the entities that promote, with character

institutionalized, the realization of voluntary arbitrations, have a duty to guard

secrecy about all the information you obtain and documents that you take

knowledge through the arbitral process, without prejudice to the right of the parties

to make public the procedural acts necessary for the defence of their rights and of the

duty of communication or disclosure of acts of the case to the authorities

competent, which is imposed by law.

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6-The provisions of the preceding paragraph shall not preclude the publication of sentences and other

decisions of the arbitral tribunal, expunged from elements of identification of the parties,

save if any of these to this is opposes.

Article 31.

Place of arbitration

1-The parties can freely set the place of the arbitration. In the lack of agreement of the

parts, this place is fixed by the arbitral tribunal, taking into account the circumstances of the

case, including the convenience of the parties.

2-Notwithstanding the provisions of paragraph 1 of this Article, the arbitral tribunal may, save

convention of the parties to the contrary, gather in any venue that judges appropriate

to perform one or more audiences, allow for the realization of any due diligence

probatory or take any deliberations.

Article 32.

Language of the process

1-Parties may, by agreement, freely choose the language or languages to be used in the

arbitral process. In the absence of that agreement, the arbitral tribunal determines the language or

languages to be used in the process.

2-The arbitral tribunal may order that any document be accompanied by a

translation into the language or languages convinced by the parties or chosen by the

arbitral tribunal.

Article 33.

Start of process; petition and contest

1-Unless convention of the parties to the contrary, the arbitral procedure relating to a particular

litigation shall begin on the date on which the application for submission of such litigation to arbitration is

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received by the defendant.

2-In the time limits convened by the parties or fixed by the arbitral tribunal, the

demapplicant presents his petition, in which he sets out his application and the facts in

that this is based, and the defendant presents his / her contestation, in which he / she explores his

defence with respect to those, unless otherwise the convention of the parties

to the elements to appear in those written pieces. The parties can keep up

the said written pieces of any documents that they deem relevant and

mention in them documents or other means of proof that will come up.

3-Unless convention of the parties to the contrary, any of them may, in the course of the

arbitral proceedings, modify or supplement your petition or your dispute, the

less than the arbitral tribunal understands it should not admit such a change on the grounds of the

delay with which it is formulated, without for this there is sufficient justification.

4-The defendant may deduct reconvention, provided that its object is covered

by the arbitration convention.

Article 34.

Audiences and written process

1-Unless convention of the parties to the contrary, the court decides whether they will be held

audiences for the production of proof or if the process is only conducted on the basis of

in documents and other evidence. The court must, however, carry out a

or more audiences for the production of proof whenever one of the parties rewants it,

unless the hajam parties previously prescined them.

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2-The parties must be notified, in advance sufficient, of any

hearings and other meetings convened by the arbitral tribunal for the purposes of

production of proof.

3-All written parts, documents or information that one of the parties provides to the

arbitral tribunal shall be communicated to the other party. It shall also be

communicated to the parties any expert report or element of documentary evidence

that can serve as a basis for the court's decision.

Article 35.

Omissions and flawings of any of the Parties

1-If the applicant does not submit his / her petition in accordance with para. 2 of the article

33, the arbitral tribunal shall bring an end to the arbitral proceedings.

2-If the defendant does not submit his / her dispute, in accordance with paragraph 2 of the

article 33, the arbitral tribunal continues the arbitral proceedings, without regard to this

omission, in itself, as an acceptance of the plaintiff's allegations.

3-If one of the parties cease to attend an audience or produce proof

documentary at the prescribed time limit, the arbitral tribunal may continue the proceedings and

prowound sentence on the basis of the evidence presented.

4-The arbitral tribunal may, however, if it considers the omission justified, to allow a

part the practice of the omitted act.

5-The provisions of the preceding paragraphs of this article shall be construing without prejudice to the

the parties may have agreed on the consequences of their omissions.

Article 36.

Intervention by third parties

1-You may only be admitted to intervene in an arbitral proceeding under a third party

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bound by the arbitration convention on which that one is based, whether they are

since the respective conclusion, want to have acceded to it subsequently. This

membership lacks the consent of all parties to the arbitration convention and

may be made only for the purposes of the arbitration concerned.

2-Meeting the arbitral tribunal constituted, may only be admitted to or provoked

intervention by third party to declare to accept the current composition of the court; in case

of spontaneous intervention, this acceptance is presumed to be assumed.

3-A admission of the intervention always depends on the decision of the arbitral tribunal, after

listening to the initial parties in the arbitration and the third concerned. The arbitral tribunal only

must admit the intervention if this does not unduly disturb the normal ongoing

of the arbitral process and if there are relief reasons that are justifying it, considering

as such, in particular, those situations in which, there is no manifest

inviability of the application:

a) The third party has in relation to the object of the cause an interest equal to that of the

plaintiff or the plaintiff, who initially allowed the litisconsortium

volunteer or impose the required litisconsortium between one of the parties in the

arbitration and the third; or

b) The third party wants to formulate, against the respondent, an application with the same

object that that of the applicant, but incompatible with that of this; or

c) The respondent, against whom it is invoked credit that may, prima facie , be

characterized as sympathetic, intends for the remaining possible creditors

sympathies stay bound by the final decision delivered in the arbitration; or

d) The respondent intends to be called third parties, against whom the

demanded may have right of return as a result of the provenance,

total or partial, on request of the applicant.

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4-What became established in the previous figures for plaintiff and demand

is worth, with the necessary adaptations, respectively for demand and

plaintiff, if it is in the cause of reconvention.

5-Admitting the intervention, shall apply, with the necessary adaptations, the provisions of

article 33.

6-Without prejudice to the provisions of the following number, the intervention of third parties

previously to the constitution of the arbitral tribunal can only take place in arbitration

institutionalized and provided that the applicable arbitration regulation ensures

observance of the principle of equality of participation of all parties, including

the members of plural parts, in the choice of arbitrators.

7-A The arbitration convention may regulate the intervention of third parties in arbitrations

in a way different from the one set in the previous figures, either

directly, with observance of the principle of equal participation of all

parts in the choice of arbitrators, either by remission to a regulation of

institutionalized arbitration that admits such intervention.

Article 37.

Expert appointed by the arbitral tribunal

1-Unless convention of the parties to the contrary, the arbitral tribunal, by its initiative or the

request of the parties, may appoint one or more experts to draw up a report,

written or oral, about specific points to be determined by the arbitral tribunal.

2-In the case provided for in the preceding paragraph, the arbitral tribunal may ask any of the

parties to provide the expert with any relevant information or to present or

provide you with access to any documents or other relevant objects to be

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inspected.

3-Saved convention of the parties to the contrary, if one of these requests it or if the court

arbitral the judgment required, the expert, after the submission of his report, participates

at a hearing in which the arbitral tribunal and the parties have the opportunity of the

question.

4-The precept in Articles 13 and 14, n. paragraphs 2 and 3, applies, with the necessary

adaptations, to the experts appointed by the arbitral tribunal.

Article 38.

Request to state courts in obtaining evidence

1-When the evidence to be produced depends on the will of one of the parties or of third parties and

these refuse their collaboration, a party, with the prior authorization of the court

arbitral, may request the competent state court that the evidence be produced

before him, being his results remitted to the arbitral tribunal.

2-The provisions of the preceding paragraph shall apply to the production requests of proof that

are addressed to a Portuguese state court, in the framework of arbitrage

located abroad.

CHAPTER VI

Of the arbitral sentence and termination of the proceedings

Article 39.

Applicable law, recourse to equity; irrecorribility of the decision

1-The arbitrators judge under the right constituted, unless the parties determine,

by agreement, which judge according to the equity.

2-If the agreement of the parties as to the judgment according to the equity is subsequent to the

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acceptance of the first arbitrator, its effectiveness depends on acceptance by the

arbitral tribunal.

3-In the event that the parties have entrusted it with such a mission, the court will be able to decide the

litigation by appeal to the composition of the parties on the basis of the balance of interests in

game.

4-A sentence that is pronounced on the background of the cause or that, without knowing this one,

put an end to the arbitral proceedings, is only likely to appeal to the court

competent state in the event that the parties have expressly provided such a

possibility in the arbitration convention and as long as the cause has not been decided

second to equity or by amicable composition.

Article 40.

Decision taken by several arbitrators

1-In an arbitral proceeding with more than one arbitrator, any decision of the arbitral tribunal

is taken by the majority of its members. If it cannot form a majority, the

sentence is handed down by the president of the court.

2-If a referee refuses to take part in the voting of the decision, the other arbitrators

will be able to provide sentence without him, unless the parties have convinced of

different mode. The parties will subsequently be informed of the refusal to

participation of that arbitrator in the vote.

3-The matters relating to the ordering, the tramway or the procedural impulse

may be decided only by the arbitrator president, whether the parties or the others

members of the arbitral tribunal have given him permission for the purpose.

Article 41.

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Transaction

1-If, in the course of the arbitral proceedings, the parties end the dispute by

transaction, the arbitral tribunal must bring an end to the proceedings and, if the parts lho

request, gives such transaction the form of sentence handed down in the agreed terms

by the parties, unless the contents of such transaction infringe some principle of

public order.

2-A sentence handed down in the terms agreed upon by the parties shall be drawn up in

compliance with the provisions of Article 42º and mentioning the fact that it has the nature of

sentence, having the same effects as any other sentence handed down on the

fund of the cause.

Article 42.

Form, content and effectiveness of the sentence

1-A sentence shall be reduced to written and signed by the referee or arbitrators. In

arbitral proceedings with more than one arbitrator, are sufficient the signatures of the majority

of the members of the arbitral tribunal or only that of the president, if by this one should be

have handed down the sentence, provided that it is mentioned in the sentence the reason for the omission of the

remaining signatures.

2-Unless convention of the parties to the contrary, the arbitrators may decide the fund of the

cause through a single sentence or so many partial sentences as many

understand necessary.

3-A sentence shall be substantiated, unless the parties have dispensed such

requirement or treat yourself to sentence handed down on the basis of agreement of the parties, in the

terms of Article 41.

4-A The sentence should mention the date on which it was delivered, as well as the place of the

arbitration, determined in accordance with Art. 31 (1), considering,

for all the effects, that the sentence was handed down in that place.

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5-A less that the parties hajam convenor otherwise, of the sentence shall

record the breakdown by the parties of the charges directly resulting from the procedure

arbitral. The arbitrators may still decide in the sentence if they understand it fair and

appropriate, that one or some of the parties compose the other or others by the

all or part of the reasonable costs and expenses that we demonstrate to have supported

because of his intervention in the arbitration.

6-Prowound the sentence, the same is immediately notified through the submission to each

one of the parts of an exemplar signed by the arbitrator or arbitrators, under the terms of the

provisions of paragraph 1 of this Article, producing effect on the date of that notification, without

prejudice to the provisions of paragraph 7.

7-A arbitral sentence that it does not fall to appeal and is no longer susceptible to

amendment in the terms of Article 45 has the same mandatory character between the parties

that the sentence of a state court transitioned on trial and the same force

executive that the sentencing of a state court.

Article 43.

Deadline to provide sentence

1-Unless the parties, until the acceptance of the first arbitrator, have agreed to

different, the arbitrators must notify the parties to the final sentence handed down on the

litigation that by them was submitted to them within the period of twelve months from the

date of acceptance of the last referee.

2-The deadlines set out in accordance with paragraph 1 may be freely extended by

agreement of the parties or, alternatively, by decision of the arbitral tribunal, by one or

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more times, for successive periods of twelve months, and such extensions shall be

duly substantiated. It is, however, resonated the possibility of the parties, of

common agreement, object to the extension.

3-A lack of notification of the final sentence within the given maximum period of

agreement with the preceding paragraphs of this article, it automatically terminals

to the arbitral process, making also extinguishing the competence of the arbitrators to

adjudicates the litigation that has been submitted to them, without prejudice to the convention of

arbitration to maintain its effectiveness, particularly for the purpose of on the basis of it being

constituted new arbitral tribunal and have started new arbitration.

4-The arbitrators who unjustifiably get the one that the decision is handed down within the

fixed deadline responds for the damage caused.

Article 44.

Termination of the process

1-The arbitral process ends when the final sentence is handed down or when it is

ordered the closure of the proceedings by the arbitral tribunal, pursuant to paragraph 2 of the

present article.

2-The arbitral tribunal orders the closure of the arbitral proceedings when:

a) The plaintiff desist from his application, unless the respondent to such a

opponent and the arbitral tribunal recognize that this has a legitimate interest in

that the dispute is definitely resolved;

b) The parties agree to terminate the process;

c) The arbitral tribunal finds that the pursuit of the process has become, by

any other reason, useless or impossible.

3-The functions of the arbitral tribunal cease with the closure of the arbitral proceedings,

without prejudice to the provisions of Article 45 and Article 46 (8).

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4-Unless the parties have agreed in a different way, the president of the court

arbitral shall conserve the original of the arbitral proceedings during a minimum period of

two years and the original of the arbitral sentence for a minimum term of five years.

Article 45.

Rectification and clarification of the sentence; additional sentence

1-A less that the parties have persued another time frame for this purpose, in the

thirty days following the receipt of the notification of the arbitral sentence, any of the

parties may, notifying this to another, apply to the arbitral tribunal, to rectify,

in the text of that, any miscalculation, material error or typographical or any

error of identical nature.

2-Within the period referred to in the preceding paragraph, any of the parties may, notifying this

the other, apply to the arbitral tribunal to clarify some obscurity or

ambiguity of the sentence or its fundamentals.

3-If the arbitral tribunal considers the justified motion, it makes rectification or

clarification in the thirty days following the reception of that. The clarification does

an integral part of the sentence.

4-The arbitral tribunal may also, on its initiative, in the thirty days following the date

of the notification of the sentence, rectify any error of the kind referred to in paragraph 1 of the

present article.

5-Unless convention of the parties to the contrary, any of the parties may, notifying

of that the other, apply to the arbitral tribunal, in the thirty days following the date on which

has received the notification of the sentence, which professes an additional sentence on parts

of the application or requests made in the course of the arbitral proceedings, which no

hajam been decided in the sentence. If judging justified such an application, the court

proffers the additional sentence in the sixty days following your presentation.

6-The arbitral tribunal may extend, if necessary, the time limit for which it has

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rectify, clarify or supplement the sentence under the terms of paragraphs 1, 2 or 5 of the

this article, without prejudice to the observance of the maximum fixed term of agreement

with Article 43.

7-The provisions of Article 42 shall apply to rectification and clarification of the sentence

as well as the additional sentence.

CHAPTER VII

From the imputation of the arbitral sentence

Article 46.

Application for cancellation

1-Unless the parties have agreed in a different sense, under Article 39,

n. 4, the imputation of an arbitral sentence before a state court can only

rein in the form of application for cancellation, pursuant to the provisions of this Article.

2-The application for the annulment of the arbitral sentence, which shall be accompanied by a

certified copy of the same and, if it is drawn up in a foreign language, of a

translation for Portuguese, is presented in the competent state court,

observing the following rules, without prejudice to the provisions of the other numbers of the

this article:

a) The proof is offered with the application;

b) The requested Party is cited to oppose the application and offer proof;

c) An articulation of reply by the applicant is admitted to the possible exceptions;

d) It is then produced the proof to which there is place;

e) The following is the plotting of the appellate appeal, with the necessary adaptations;

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f) The action for cancellation enters, for the purpose of distribution, in the 5ª species.

3-A arbitral sentence can only be annulled by the competent state court if:

a) The part that makes the application demonstrate that:

i) One of the parties to the arbitration convention was affected by a

disability; or that such a convention is not valid in the terms of the law to which the

parties to subject to it or, in the absence of any indication in this regard, in the

terms of this Law; or

ii) There was in the process violation of some of the fundamental principles

referred to in Article 30 (1) with decisive influence on the resolution of the dispute;

or

iii) The sentence has spoken out about a dispute not covered by the convention of

arbitration, or contains decisions that go beyond the scope of this; or

iv) The composition of the arbitral tribunal or the arbitral proceedings were not

complying with the convention of the parties, unless this convention

contravenes a provision of this law that the parties cannot derogate from,

or, in the absence of such a convention, which did not comply with the present

law and in any of the cases, that such disconformity had influence

decisive in the resolution of the dispute; or

v) The arbitral tribunal convicted in higher quantity or in a diverse object

of the application, met from questions that it could not take notice of or

ceased to comment on issues that it was due to appreciate; or

vi) The sentence was handed down with violation of the requirements set out in the article

42, paragraphs 1 and 3; or

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vii) The sentence has been notified to the parties after the maximum period has elapsed

for the purpose set out in accordance with Article 43; or

b) The court finds that:

i) The subject matter of the dispute is not likely to be decided by arbitration in the

terms of Portuguese law;

ii) The content of the sentence offends the principles of the international public order

of the Portuguese State.

4-If a party, knowing that one of the provisions of this Law has not been respected

that the parties may derogate from or one any condition enunciated in the convention of

arbitration, proceed despite this the arbitration without deducting opposition from immediate

or, if there is a deadline for this purpose, at that time, it is deemed to have waived the

right to challenge, with such a plea, the arbitral sentence.

5-Without prejudice to the provisions of the preceding paragraph, the right to apply for cancellation of the

arbitral sentence is irrerenunciable.

6-The application for cancellation can only be filed within sixty days of counting

of the date on which the party wishing for such cancellation received the notification of the sentence

or, if an application has been made in the terms of Article 45, as of the date on

that the arbitral tribunal has made a decision on that application.

7-If the portion of the sentence in respect of which there is any of the

grounds for cancellation referred to in paragraph 3 of this Article can be dissociated

of the rest of it, is solely overturned the part of the sentence struck by that

foundation of annulment.

8-When he is asked to annul an arbitral sentence, the state court

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competent may, if it considers it appropriate and at the request of one of the parties, to suspend

the process of cancellation during the period of time that it determines, in order to give

to the arbitral tribunal the possibility of resuming the arbitral proceedings or taking

any other measure that the arbitral tribunal adjudicates liable to eliminate the

grounds for annulment.

9-The state court that nullates the arbitral sentence cannot know of the merit of the

question or issues by that decided, owing such questions, if any of the

parties to intend, to be subjected to another arbitral tribunal to be by this

decided.

10-Unless the parties have agreed in a different way, with the cancellation of the sentence

the arbitration convention shall return to effect with respect to the object of the

dispute.

CHAPTER VIII

OF THE EXECUTION OF THE ARBITRAL SENTENCE

Article 47.

Execution of the arbitral sentence

1-A part that asking for the execution of the sentence to the competent state court must

provide the original of that or a certified copy as and, if the same no

is written in Portuguese language, a certified translation in this language.

2-In the event that the arbitral tribunal has handed down sentence of generic conviction, its

settlement is done in accordance with Article 805 (4) of the Code of Civil Procedure,

it may, however, be required for liquidation to the arbitral tribunal under the terms of the

Article 45 (5), in which case the arbitral tribunal, heard the other party, and produced

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proof, profess supplementary decision, judging equitably within the limits

have it by proven.

3-A arbitral sentence may serve as a basis of the execution even if there is an impugned

upon application for cancellation submitted in accordance with article 46º, but the

contest may require such an imputation to have suspensive effect of the execution

provided that it offers to provide collateral, by giving the assignment of that effect

conditioned on the effective provision of collateral within the time limit set by the court. Applies if

in this case the provisions of Article 818 (3) of the Code of Civil Procedure.

4-For the purpose of the provisions of the preceding paragraph, it applies with the necessary

adaptations, the provisions of Articles 692-A and 693.-A, of the Code of Civil Procedure.

Article 48.

Fundamentals of opposition to execution

1-The execution of an arbitral sentence may the executed object with any of the

grounds for cancellation of the sentence provided for in Article 46º (3), provided that, in the

date on which the opposition is deducted, an application for an annulment of the arbitral sentence

presented with that same foundation has not already been rejected by sentence

transitioned on trial.

2-Cannot be invoked by the executed in opposition to the execution of an arbitrary sentence

none of the fundamentals provided for in ( a) of Article 46 (3), if it already has

the period set out in paragraph 6 of the same article for the submission of the application for

cancellation of the sentence, without any of the parties being asked for such an annulment.

3-Notwithstanding the time limit set out in Article 46 (6), the judge may

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know officiously, in accordance with the provisions of Article 820 of the Code of the

Civil procedure, of the cause of cancellation provided for in the paragraph b) of Article 46 (3) of the

present law, owing, if it is found that the sentence exequale is invalid by that

cause, reject the execution with such a plea.

4-The provisions of paragraph 2 of this Article shall be without prejudice to the possibility of being

deduced, in opposition to the execution of arbitral sentence, any of the rest

grounds provided for that effect in the applicable law of procedure, in the terms and

deadlines provided for.

CHAPTER IX

From international arbitration

Article 49.

Concept and regime of international arbitration

1-Understand for international arbitration to which it puts into play interests of the trade

international.

2-Unless the provisions of this Chapter, they shall apply to international arbitration, with

the due adaptations, the provisions of this diploma relating to arbitration

internal.

Article 50.

Unenforceability of exceptions based on the internal right of a party

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When the arbitration is international and one of the parties to the arbitration convention

be a state, an organization controlled by a state or a society by this

dominated, that party may not invoke its domestic right to challenge the

arbitrability of the dispute or its ability to be a party to the arbitration, nor to de

any other mode to subtract from its obligations arising from that convention.

Article 51.

Substantial validity of the arbitration convention

1-Addressing international arbitration, it is understood that the arbitration convention

is valid as to the substance and that the dispute to which it respects is liable to be

submitted to arbitration if they comply with the requirements set out in such respect or

by the right chosen by the parties to govern the arbitration convention or by the

law applicable to the fund of the cause or by Portuguese law.

2-The state court to which there has been a request for the annulment of a sentence handed down

in international arbitration located in Portugal, with the grounds laid down in the

article 46, paragraph 3, b) , of this Law, must take into consideration the provisions of the number

previous to this article.

Article 52.

Rules of law applicable to the fund of the cause

1-The parties may designate the rules of law to be applied by the arbitrators, if the non-

have authorized to judge according to the equity. Any designation of the law or of the

legal system of certain State is considered, unless stated stipulation in

contrary, as directly designating the material right of this State and not the

its norms of conflict of laws.

2-In the lack of designation by the parties, the arbitral tribunal applies the right of the State

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with which the object of the dispute presents a narrower connection.

3-In both cases referred to in the preceding paragraphs, the arbitral tribunal shall take

under consideration the contractual stipulations of the parties and commercial uses

relevant.

Article 53.

Irrecurribility of the sentence

Dealing with international arbitration, the sentence of the arbitral tribunal is irrecurrable, the

less than the parties have expressly agreed the possibility of appeal to

another arbitral tribunal and regulated its terms.

Article 54.

International public order

The sentence handed down in Portugal, in an international arbitration in which there is

applied non-Portuguese right to the fund of the cause may be nullified with the

fundamentals provided for in Article 46, and yet, should it be executed or produce

other effects on national territory, if this leads to a manifestly

incompatible with the principles of international public order.

CHAPTER X

From Recognition and Execution of

Foreign Arbitral Sentences

Article 55.

Need for recognition

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Without prejudice to what is imperatively precepted by the New York Convention

of 1958, on the Acknowledgment and Execution of Foreign Arbitral Sentences,

as well as by other treaties or conventions that bind the Portuguese State, the

sentences handed down in arbitrages located abroad are only effective in

Portugal, whatever the nationality of the parties, if they are recognised by the court

competent Portuguese state, pursuant to the provisions of this Chapter of this Law.

Article 56.

Fundamentals of refusal of recognition and execution

1-The recognition and enforcement of an arbitral sentence handed down in an arbitration

located abroad can only be refused:

a) At the request of the party against which the sentence is invoked, if that party provides

to the competent court to which recognition or enforcement is sought

proof that:

i) One of the parties to the arbitration convention was affected by a

disability, or that convention is not valid in the terms of the law to which the

parties to subject to it or, in the lack of an indication in this regard, under the law

of the country in which the sentence was handed down; or

ii) The part against which the sentence is invoked has not been properly informed

of the designation of an arbitrator or of the arbitral process, or that, on the other

reason, was not given an opportunity to assert your rights; or

iii) The sentence is pronounced on a dispute not covered by the convention of

arbitration or contains decisions that surpass the terms of this; however,

if the provisions of the sentence relating to matters submitted to arbitration

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can be dissociated from those that had not been submitted to arbitration,

will be able to recognize themselves and perform solely the first; or

iv) The constitution of the court or the arbitral proceedings did not comply with the

convention of the Parties or, in the absence of such convention, to the law of the country where the

arbitration took place; or

v) The sentence has not yet become mandatory for the parties or has been annulled or

suspended by a court of the country in which, or under the law of which, the

sentence was prowound; or

b) If the court finds that:

i) The subject matter of the dispute is not likely to be decided upon arbitration,

in accordance with Portuguese law; or

ii) The recognition or execution of the sentence leads to a result

manifestly incompatible with the international public order of the State

Portuguese.

2-If an application for cancellation or suspension of a sentence has been filed

in a court of the country referred to in paragraph 1, para. a ), sub-paragraph (v) of this article, the

Portuguese state court to which it was asked for its recognition and execution

may, if the appropriate judge, suspend the instance, and may still, the application

of the party who has asked for such recognition and execution, order the other party to pay

proper collateral.

Article 57.

Trames of the recognition process

1-A part that intends for recognition of foreign arbitral sentence,

particularly for this one to be implemented in Portugal, must provide the

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original of the duly authenticated sentence or a duly certified copy

of the same, as well as the original of the arbitration convention or a copy

duly authenticated from it. If the sentence or the convention is not

drawn up in Portuguese, the requesting party provides a duly translated translation

certified in this language.

2-Submitted the recognition petition, accompanied by the documents referred to

in the previous number, is the contrarian part cited for, within 15 days, deducting your

opposition.

3-Finds the joints and carried out the representations that the rapporteur has for

indispensable, the examination of the process, for allegations, the parties and the

Prosecutor's Office, by the deadline of 15 days.

4-The judgment is made under the rules of the appellate.

Article 58.

Foreign sentencing on administrative law disputes

On the recognition of the arbitral sentence handed down in local arbitration in the

foreign and relative to litigation which, under Portuguese law, is understood in the

sphere of jurisdiction of the administrative courts, must be observed, with the necessary

adaptations to the specific procedural regime of these courts, the provisions of articles 56,

57. and 59, paragraph 2, of this diploma.

CHAPTER XI

Of the competent state courts

Article 59.

Of the competent state courts

1-Relatively to disputes understood in the sphere of jurisdiction of the courts

judicial, the Court of Relation in whose district is situated the place of the arbitration or, in the

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case of the decision referred to in para. h) of paragraph 1 of this article, the domicile of

person against whom he intends to enforce the sentence, is competent to decide

about:

a) The appointment of arbitrators who have not been appointed by the parties or by

third parties to which those hajam committed this charge, according to the forecast

in Article 10 (3), 4 and 5 (1) and Article 11 (1);

b) The refusal that there is to be deducted, under Article 14 (2), against a

arbitrator who has not accepted it, in the case that it considers justified the refusal;

c) The removal of a referee, required under Rule 15 (1);

d) The reduction of the amount of the fees or expenses set by the arbitrators, to the

article 17 of Article 17 (3);

e) The appeal of the arbitral sentence, when the latter has been persued to

article 39, n. º4;

f) The impugation of the interlocutory decision handed down by the arbitral tribunal on the

its own competence, in accordance with Article 18 (9);

g) The impugation of the final sentence handed down by the arbitral tribunal, according to

the Article 46;

h) The recognition of arbitral sentence handed down in arbitration found in the

foreign.

2-Regarding disputes which, under Portuguese law, are understood

in the sphere of the jurisdiction of the administrative courts, the competence to decide

on matters referred to in any of the subparagraphs of paragraph 1 of this Article, belongs to the

Administrative Central Court in whose constituencies the place of the arbitration

or, in the case of the decision referred to in para. h) of paragraph 1, the domicile of the person against

who is meant to be worth the sentence.

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3-A appointment of arbitrators referred to in para. a) of paragraph 1 of this Article shall be,

depending on the nature of the dispute, the President of the Court of Relation, or the

President of the Administrative Central Court, which is territorially competent.

4-For any matters or matters not covered by paragraphs 1, 2 and 3 of the present

article and in respect of which the present diploma confers competence on a court

state, are competent the judicial court of 1 th instance or the court

circle administrative in whose constituencies the place of the arbitration,

depending on the case, respectively, of disputes understood in the sphere of

jurisdiction of the judicial courts or in that of the administrative courts.

5-Regarding disputes understood in the sphere of the jurisdiction of the courts

judicial, it is competent to provide assistance to arbitrages located in the

foreign, under Articles 29 and 38 (2) of this Law, the court of law

of 1ª instance in whose circumscription should be decreed the cautionary providence,

under the rules of territorial jurisdiction contained in Article 83º of the Code of the

Civil procedure, or in which the production of evidence requested under the

art. 38º, paragraph 2, of this Law.

6-Dealing with disputes understood in the sphere of the jurisdiction of the courts

administrative, assistance to arbitrages located abroad is provided by the

administrative court of territorially competent circle in accordance with the

provisions of paragraph 5 of this Article, applied with the necessary adaptations to the

regime of administrative courts.

7-In proceedings leading to the decisions referred to in paragraph 1 of this Article, the

competent court must observe the provisions of Articles 46, 56, 57, 58 and 60.

of this Law.

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8-Saved when in this diploma if it is preceded that the decision of the state court

competent is untenable of appeal, of decisions rendered by the courts

referred to in the previous paragraphs of this article in accordance with what they have,

it is up to appeal to the court or hierarchically superior courts, whenever

such an appeal is admissible according to the standards applicable to the resortability of the

decisions in question.

9-A The execution of the arbitral sentence handed down in Portugal runs in the state court of

1ª competent instance, pursuant to the applicable law of procedure.

10-For the action tendant to effect the civil liability of a referee, they are

competent the judicial courts of 1ª instance in whose constituencies are located

domicile of the defendant or the place of the arbitration, to the choice of the author.

11-If in an arbitration proceedings the litigation is recognized by a court court or

administrative, or by the respective President, as of the respective competence

material, for the purposes of the application of this Article, such a decision is not, in that part,

recurrable and should be aced by the remaining courts that come to be called to

exercise in the same process any of the skills provided herein.

Article 60.

Applicable process

1-In cases where the competent state court is intended to profess a

decision under any of the points a) a d) of Article 59 (1), shall the

interested to indicate in your application the facts justifying your request, in it

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including the information that it considers relevant to the effect.

2-Received the application provided for in the preceding paragraph, are notified the remaining

parties to the arbitration and, where applicable, the arbitral tribunal, to, within 10

days, say what to offer to them about the content of the same.

3-Before making a decision, the court can, if it is understood necessary, spoon or

request the convenient information for the prolation of your decision.

4-The processes provided for in the preceding paragraphs of this article are always

urgent nature, preceding the respective acts any other judicial service does not

urgent.

CHAPTER XII

Final provisions

Article 61.

Scope of application in space

This Law shall apply to all arbitrages that take place in territory

portuguese, as well as to the recognition and implementation in Portugal of sentences

rendered in arbitrages located abroad.

Article 62.

Institutionalized arbitration centres

1-A creation in Portugal of institutionalized arbitration centres is subject to

authorization of the Minister of Justice, pursuant to the provisions of special legislation.

2-It is considered to be made for the present article the constant remission of the Decree-Law

n ° 425/86 of December 27 for Article 38 of Law No. 31/86 of 29 of

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August.