I. Competence of the Maritime Arbitration Commission

　　1.1. The Maritime Arbitration Commission shall settle disputes arising from contractual and other civil law relationships in the area of merchant shipping, irrespective of whether the parties to a relationship include both Ukrainian and foreign entities, or whether the parties are only Ukrainian entities or only foreign entities. In particular, the Maritime Arbitration Commission shall settle disputes arising from relationships concerning the following matters:

　　1) the affreightment of vessels, the carriage of goods by sea, the carriage of goods in the mixed navigation (river-sea);

　　2) the maritime towage of vessels or other floating objects;

　　3) marine insurance and reinsurance;

　　4) the sale of seagoing vessels and other floating objects, their repairs and maritime liens;

　　5) piloting, conducting through ice, agencing or other servicing of seagoing vessels, as well as vessels of inland navigation to the extend that the relevant operations are connected with the sailing of such vessels on the sea routes;

　　6) the use of vessels for scientific research, extraction of minerals and hydrotechnical and other works;

　　7) the salvage of seagoing vessels or vessels of inland navigation by seagoing vessels, as well as the salvage in sea waters of vessels of inland navigation by other vessel of inland navigation;

　　8) the raising of vessels and other property sunken in sea waters;

　　9) collisions between seagoing vessels, or between a seagoing vessel and vessel of inland navigation, or between vessels of inland navigation in sea waters, as well as the infliction by a vessel of damage to port installations, navigational aids and other objects;

　　10) the infliction of damage to fishing nets or other fishing gear, as well as the infliction of other damage in conducting maritime fishery trade.

　　The Maritime Arbitration Commission shall also consider disputes arising in connection with sailing of seagoing vessels and vessels of inland navigation on international rivers, in the instances specified in the present article, and also disputes arising in connection with performing by vessels of inland navigation abroad carriages.

　　1.2. The Maritime Arbitration Commission shall entertain disputes in a case of the availability of the written agreement (arrangement) by the parties to submit to arbitration all or certain disputes which have arisen or which may arise between the parties in respect of defined legal relationship, whether contractual or not. An arbitration agreement may be in the form of arbitration clause in the contract or in the form of a separate agreement.

　　1.3. The arbitration agreement shall be in writing. An agreement is in writing if it is contained in a document signed by the parties, or in exchange of letters, telex, telegrams or other means of telecommunication which provide a record of a such agreement, or in an exchange of statements of claim and defence in which the existence of an agreement is alleged by one party and not denied by another. The reference in a contract to a document containing an arbitration agreement provided that the contract is in writing and the reference is such as to make that clause part of the contract.

　　1.4. The arbitration clause which forms part of a contract shall be treated as an agreement independent of the other terms of the contract. A decision by the Maritime Arbitration Commission that the contract is null and void shall not entail ipso jure the invalidity of the arbitration clause.

　　1.5. The Maritime Arbitration Commission shall entertain disputes subject to its jurisdiction by virtue of international treaties and agreements.

　　1.6. The question as to the competence of the Maritime Arbitration Commission in every concrete case shall be decided by the President of the Maritime Arbitration Commission.

　　1.7. A plea that the Maritime Arbitration Commission does not have jurisdiction shall be raised not later than the submission of the statement of defence. A party is not precluded from raising such a plea by the fact that he has appointed, or participated in the appointment of an arbitrator. A plea that the Maritime Arbitration Commission is exceeding the scope of its authority shall be raised as soon as the matter alleged to be beyond the scope of its authority is raised during the arbitral proceedings. The Maritime Arbitration Commission may, in either case, admit a later plea if it considers the delay justified.

　　1.8. The Maritime Arbitration Commission may rule on a plea referred to in Article 1.7. of the present Rules either as a preliminary question or in an award on the merits. If the Maritime Arbitration Commission rules as a preliminary question that it has jurisdiction, any party may request, within thirty days after having received notice of that ruling, the Kiev's City Court to decide the matter, which decision shall be subject to no appeal; while such a request is pending, the Maritime Arbitration Commission may continue the arbitral proceedings and make an award.

　　1.9. Unless otherwise agreed by the parties, the Maritime Arbitration Commission may, at the request of a party, order any party to take such interim measures of protection as the Maritime Arbitration Commission may consider necessary in respect of the subject-matter of the dispute. The Maritime Arbitration Commission may require any party to provide appropriate security in connection with such measure.

　　It is not incompatible with an arbitration agreement for a party to request, before or during arbitral proceedings, a court to order interim measure of protection and for a court to take a decision granting such measures.

　　II. Organization of the Maritime Arbitration Commission

　　2.1. The Maritime Arbitration Commission shall consist of the President, two Vice-presidents, the arbitrators and the Secretary in Charge.

　　2.2. The Maritime Arbitration Commission has its Presidium, which members are the President of the Maritime Arbitration Commission and its Vice-Presidents.

　　The President of the Maritime Arbitration Commission is at the same time the Chairman of the Presidium.

　　Two members of the Presidium constitute a quorum. Decisions of the Presidium are taken by the majority of votes. If the votes are decided equally, the Chairman of the Presidium shall have the decisive vote.

　　2.3. The President of the Maritime Arbitration Commission and its Vice-Presidents shall be approved by the Presidium of the Ukrainian Chamber of Commerce and Industry for the term of 4 years.

　　The President of the Maritime Arbitration Commission shall organize activity of the Commission, perform functions mentioned in the present Rules, represent the Maritime Arbitration Commission in its relations in Ukraine and abroad.

　　One of the Vice-Presidents, as designated by the President of the Maritime Arbitration Commission, shall perform functions of the President of the Maritime Arbitration Commission in his absence.

　　Functions of the Vice-presidents of the Maritime Arbitration Commission shall be defined by the President of the Maritime Arbitration Commission.

　　2.4. Arbitrators are persons appointed by the parties provided all conditions of the present Rules are observed, or persons appointed by the President of the Ukrainian Chamber of Commerce and Industry.

　　Presidium of the Ukrainian Chamber of Commerce and Industry shall approve the Recommendatory List of Arbitrators, which can include citizens of Ukraine, as well as citizens of other countries and persons of no nationality.

　　The List of Arbitrators shall specify the name and surname of the arbitrator, his nationality and permanent residence, education, speciality, scientific degree (title), office and other data as decided by the Presidium of the Maritime Arbitration Commission.

　　2.5. The arbitrators shall be independent, objective and impartial in fulfilling their duties. They can not be representatives of the parties.

　　2.6. The Secretary in Charge is appointed by the President of the Ukrainian Chamber of Commerce and Industry by recommendation of the Presidium of the Maritime Arbitration Commission.

　　The Secretary in Charge shall organize the clerical work and shall perform functions provided by the Rules.

　　2.7. The arbitrators, the Presidium and Secretary in Charge of the Maritime Arbitration Commission shall maintain the confidentiality in regard to the disputes settled in the Maritime Arbitration Commission.

　　2.8.The Maritime Arbitration Commission at the Ukrainian Chamber of Commerce and Industry has its own seal reproducing its name in the Ukrainian and English languages and displaying an anchor and the scales of justice.

　　III. Composition of the Maritime Arbitration Commission considering the case

　　3.1. The parties are free to determine the number of arbitrators, including the sole arbitrator. Failing such agreement of the parties, three arbitrators shall be appointed. The arbitrator or arbitrators, considering the case, irrespective of their number shall be called Composition of the Maritime Arbitration Commission for the period of proceedings.

　　3.2. No person shall be precluded by reason of his nationality from acting as an arbitrator, unless otherwise agreed by the parties.

　　3.3. The parties are free to agree on procedure of appointing the arbitrator or arbitrators, subject to the provisions of the present Rules.

　　Failing such agreement,

　　in an arbitration with three arbitrators, each party shall appoint one arbitrator, and the two arbitrators thus appointed shall appoint the third arbitrator - President of the Composition of the Maritime Arbitration Commission on a named case; if a party fails to appoint the arbitrator within 30 days of receipt of a notification to do so from the Maritime Arbitration Commission or if the two arbitrators fail to agree on the third arbitrator within 30 days of their appointment, arbitrator shall be appointed by the President of the Ukrainian Chamber of Commerce and Industry in accordance with Article 11/3/ of the Law of Ukraine On International Commercial Arbitration;

　　in an arbitration with a sole arbitrator, if the parties are unable to agree on the arbitrator, arbitrator shall be appointed by the President of the Ukrainian Chamber of Commerce and Industry in accordance with Article 11/3/ of the Law of Ukraine On International Commercial Arbitration.

　　3.4. Where, under an appointment procedure agreed upon by the parties,

　　a party fails to act as required under such procedure;

　　or

　　the parties, or two arbitrators, are unable to reach an agreement expected of them under such procedure;

　　or

　　a third party, including an institution, fails to perform any function entrusted to it under such procedure, any party may request the President of the Ukrainian Chamber of Commerce and Industry to take the necessary measures, unless the agreement on the appointment procedure provides other means for securing the appointment.

　　3.5. The President of the Ukrainian Chamber of Commerce and Industry, in appointing an arbitrator, shall have due regard to any qualifications required of the arbitrator by the agreement of the parties and to such considerations as are likely to secure the appointment of an independent and impartial arbitrator and, in the case of a sole arbitrator or president of the Composition of the Maritime Arbitration Commission, shall take into account as well the advisability of appointing an arbitrator of nationality other than those of the parties.

　　3.6. Decrees of the President of the Ukrainian Chamber of Commerce and Industry made in accordance with Articles 3.3., 3.5. of the present Rules are subjects to no appeal.

　　3.7. When a person is approached in connection with his possible appointment as an arbitrator, he shall disclose any circumstances which may give rise to justifiable doubts as to his impartiality or independence. An arbitrator, from the time of his appointment and throughout the arbitral proceedings, shall without delay disclose any such circumstances to the parties, unless they have already been informed of them by him.

　　3.8. An arbitrator may be challenged only if circumstances exist that give rise to justifiable doubts as to his impartiality or independence, or if he does not possess qualifications required by the agreement of the parties. A party may challenge an arbitrator appointed by him, or in whose appointment he has participated, only for reasons of which he becomes aware after the appointment has been made.

　　3.9. The parties are free to agree on a procedure for challenging an arbitrator, subject to the provisions of paragraphs 10 and 11 of this Article.

　　3.10. Failing such agreement, a party who intends to challenge an arbitrator shall, within 15 days after becoming aware of the constitution of the Composition of the Maritime Arbitration Commission or after becoming aware of any circumstances referred to in Article 3.8 of this Rules communicate the reasons for the challenge in writing to the Composition of the Maritime Arbitration Commission.

　　Unless the challenged arbitrator withdraws from his office or the other party agrees to the challenge, the Presidium of the Maritime Arbitration Commission shall decide on the challenge.

　　3.11. If a challenge under any procedure agreed upon by the parties or under the procedure of Article 3.10. of this Rules is not successful, the challenging party may request, within 30 days after having received notice of the decision rejecting the challenge, the President of the Ukrainian Chamber of Commerce and Industry to decide on the challenge; its decision shall be subject to no appeal. While such a request is pending, the Composition of the Maritime Arbitration Commission, including the challenged arbitrator, may continue the arbitral proceedings and make an award.

　　3.12. If an arbitrator become de jure or de facto unable to perform his functions or for other reasons fails to act without undue delay, his mandate terminates if he withdraws from his office or if the parties agree on the termination.

　　Otherwise, if a controversy remains concerning any of these grounds, any party may request the President of the Ukrainian Chamber of Commerce and Industry to decide on the termination of the mandate; its decision shall be subject to no appeal.

　　3.13. If, under Articles 3.10 or 3.12 of the present Rules, an arbitrator withdraws from his office or a party agrees to the termination of the mandate of an arbitrator, this does not imply acceptance of the validity of any grounds referred to in Articles 3.10. or 3.12. of the present Rules.

　　3.14. Where the mandate of an arbitrator terminates under Articles 3.10 or 3.12. of the present Rules or because of his withdrawal from office for any other reason or because of the revocation of his mandate by agreement of the parties or in any other case of termination of his mandate, a substitute arbitrator shall be appointed according to the rules that were applicable to the appointment of the arbitrator being replaced.