Whole Section

  • 5.01 Disputes Arbitrated

    • 5.01.1 Dispute Resolution Involving Contracts (Excluding Deliverable Commodity Futures Contracts)

      5.01.1.1 Where any dispute arises from or in connection with a Contract (excluding deliverable commodity futures contracts), other than a complaint of a disciplinary nature, the disputing Clearing Members shall attempt to settle the dispute through good faith negotiations, failing which the disputing Clearing Members may choose to settle the dispute, by such other means they elect, including arbitration before the SIAC in accordance with the rules of the SIAC.

      Added on 27 March 200627 March 2006 and amended on 22 September 200622 September 2006, 26 January 200726 January 2007 and 26 November 200726 November 2007.

    • 5.01.2 Dispute Resolution Involving Deliverable Commodity Futures Contracts

      5.01.2.1 Where any dispute arises from or in connection with a commodity futures contract, other than a complaint of a disciplinary nature, the parties shall attempt to settle the dispute, through the claim procedure set forth or referred to in the relevant Contract Specifications. In the absence of an applicable claim procedure, the parties shall attempt to settle the dispute through good faith negotiations, failing which, at the election of any disputing Clearing Member, the dispute shall be settled by arbitration before the SIAC in accordance with the rules of the SIAC.
      5.01.2.2 Unless otherwise specified under the claim procedure set forth or referred to in the relevant Contract Specifications, if any, the award of the arbitrator or panel of arbitrators shall be binding on Sellers and Buyers.
      5.01.2.3 The failure or refusal of a Clearing Member to settle the dispute under the claim procedure set forth or referred to in the relevant Contract Specifications, or arbitrate under this Rule where the other counterparty elects to do so shall constitute a breach of this Rules.
      5.01.2.4 Subject to the claim procedure set forth or referred to in the relevant Contract Specifications, Clearing Members shall cause their Sellers and Buyers and their respective assigns to agree that where there is a dispute as a result of or arising in connection with a deliverable commodity futures contract:
      a. the Sellers and Buyers shall agree to submit to arbitration before the SIAC at the election of their respective Clearing Members; and
      b. the award of the arbitrator or panel of arbitrators shall be final and binding on the Sellers and Buyers.

      Added on 22 September 200622 September 2006 and amended on 26 January 200726 January 2007, 26 November 200726 November 2007 and 1 October 20091 October 2009.