The Hague Court of Arbitration for Aviation (HCAA) took flight in mid-2022. Seated in The Hague, Netherlands and administered by the Netherlands Arbitration Institute, the HCAA is Europe’s first arbitration centre that specialises in resolving commercial and private aircraft related contract disputes.

Many international industries, such as shipping and sports, have specialised arbitration centres to resolve disputes in their respective areas. Although there are other aviation arbitration centres – such as the Shanghai International Aviation Court of Arbitration which was established in mid-2014 – international commercial aviation disputes are still often resolved by way of court litigation.

The HCAA is therefore a welcome step towards providing the international aviation industry with another option for resolving commercial aviation disputes. 

For international commercial aviation disputes especially, arbitration may provide significant advantages over court litigation.  Parties may choose an arbitrator that has relevant knowledge of the aviation industry. The dispute can be adjudicated in a forum that is neutral to the parties, rather than in the courts of one parties’ home state.  Moreover, arbitration centres like the HCAA are specifically geared towards resolving disputes in the aviation industry.  Arbitral awards also have a practical advantage over court judgments for international disputes, as arbitral awards are widely enforceable worldwide under the New York Convention.

Eugene Kwok of Prince’s Chambers regularly acts for and advises parties in commercial aviation disputes.  Earlier in 2022, he advised an aircraft manufacturer on a multi-jurisdictional claim for repossession under the Cape Town Convention of an aircraft sub-leased to a Russian cargo service company, after the lease and its sub-leases were terminated due to issues arising from the conflict in Ukraine.