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DRC’s Jurisdiction Expansion

During the June 2024 DRC Board of Directors (BoD) Meeting, the BoD approved amendments to the DRC Operating Rules to eliminate the requirement that disputes involve products entering commerce in Canada, Mexico, or the United States.

Prior to these amendments, members could only file a Notice of Dispute (NOD) to initiate the informal mediation process if one of the parties was in Canada, Mexico, or the United States. For example, if a DRC member in Chile had a dispute with another member located in Asia or Europe, the DRC would not be able to accept an NOD.

The jurisdiction expansion allows the DRC’s Dispute Resolution Rules (particularly informal mediation, formal mediation, and arbitration services) to operate without jurisdictional limitations as long as both parties are members of the DRC at the time of the dispute, a DRC arbitration clause is included in the contract, or if the parties voluntarily sign an arbitration agreement to resolve the dispute using DRC.

Significantly, this enhancement does not alter how our members conduct their business; instead, it simply expands the accessibility to our dispute resolution services, allowing members to trade with confidence anywhere in the world.

If you have any questions about the article and would like to learn more, our team at the DRC is here to assist you. We value your inquiries and are eager to provide support. Click here to proceed.

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