The Arbitration Centre Shaped

for Business Reality

BAC awards are structured for recognition and enforcement across more than 170 jurisdictions under the 1958 New York Convention. To provide maximum legal certainty, Article 28 of the BAC Rules includes a specific provision setting out the rules applicable to the arbitration agreement itself. In practice, this means that the validity of the arbitration agreement is governed by clearly identified rules from the outset, preventing a losing party from later challenging an award in national courts on the ground that the law governing the arbitration clause was uncertain or incorrectly applied — a technical objection that has historically been used to resist enforcement of otherwise valid awards.

To resolve future disputes through BAC, you must include the official BAC model arbitration clause in your commercial contracts. Parties should adapt the clause below to their specific circumstances, including the number of arbitrators, the seat of arbitration, the language of proceedings, and the governing law of the contract. The recommended wording is:

"Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity, interpretation, performance or termination, shall be referred to and finally resolved by arbitration under the BAC Rules, which Rules are deemed to be incorporated by reference into this clause."

The number of arbitrators shall be X arbitrator(s) appointed in accordance with these Rules.

The seat of arbitration shall be [City and/or Country].

The language to be used in the arbitral proceedings shall be [ ].

The governing law of the contract shall be the substantive law of [ ].

The Baku Arbitration Centre handles a wide range of commercial disputes, including those arising from energy sector contracts, construction projects, international trade, investment agreements, and cross-border Caspian region transactions. The Centre administers only commercial matters and does not handle consumer or family disputes. Both domestic and international parties may submit disputes under the Centre's Rules, with proceedings available in multiple languages as agreed by the parties.

The Baku Arbitration Centre (BAC) is an independent arbitration institution headquartered in Baku, Azerbaijan, inaugurated in October 2025. It is designed to handle both domestic and international commercial disputes. BAC operates under BAC Arbitration Rules (2025), which are informed by international best practices. The Centre offers transparent procedures, an expert panel of arbitrators, and awards structured for recognition and enforcement across jurisdictions under the New York Convention.