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LAW OF THE AZERBAIJAN REPUBLIC

of March 29, 2019 No. 1555-VQ

About mediation

(as amended on 09-07-2021)

This Law, according to Items 10 and 12 of part I of article 94 of the Constitution of the Azerbaijan Republic, governs the public relations in the field of the organization of one of methods of the alternative dispute resolution - mediations, determines the purposes, the principles, procedure of mediation and the status of mediators.

Chapter 1. General provisions

Article 1. Basic concepts

1.0. The concepts used in this Law designate the following:

1.0.1. mediation - the process determined by this Law, in connection with the dispute resolution, arising between the parties, with mediation of mediator (mediators) on the basis of mutual consent;

1.0.2. the parties - physical persons and legal entities (including the physical persons performing business activity without creation of the legal entity), and also the administrative authorities which agreed to mediation process application;

1.0.3. mediator - the physical person involved by the parties in implementation of process of mediation on professional basis or appointed by the organization for mediation and meeting the requirements of this Law;

1.0.4. the organization for mediation - the legal entity, the stipulated in Clause 11.1 presents of the Law;

1.0.5. participants of mediation - mediator and the parties;

1.0.6. other persons participating in mediation - the lawyers, representatives, translators, experts and specialists participating in mediation process, the staff of the organization for mediation, and also other persons participating in process of mediation with the consent of the parties;

1.0.7. the voluntary settlement - the written agreement between the parties reached as a result of mediation process;

1.0.8. the agreement on mediation process application - the written agreement signed between the parties for the dispute resolution (existing or able to arise in the future) by means of mediation process;

1.0.9. clause on mediation - the agreement, the condition in the agreement or other document demanding from the parties of participation in process of mediation before appeal to the court or arbitration (reference tribunal) in connection with this or that dispute;

1.0.10. the service provision agreement on mediation - the written agreement signed between mediator or the organization for mediation and the parties on rendering services in mediation;

1.0.11. dispute - the stipulated in Article 3.1 presents of the Law the dispute arising (or able to arise) between the parties.

Article 2. Legislation on mediation

2.1. The legislation on mediation consists of the Constitution of the Azerbaijan Republic, this Law, other regulatory legal acts, and also international treaties which participant is the Azerbaijan Republic.

2.2. The relations in the field of mediation in the free economic zone Alyat are governed according to requirements of the Law of the Azerbaijan Republic "About the free economic zone Alyat".

Article 3. Mediation application circle

3.1. Mediation is applied on following:

3.1.1. civil cases and commercial disputes (including disputes with external element);

3.1.2. the disputes arising from the family relations;

3.1.3. the disputes arising from employment relationships;

3.1.4. the disputes arising from administrative legal relations.

3.2. On the commercial disputes and disputes arising from family and employment relationships before appeal to the court according to articles 28 and 29 of this Law participation at preliminary session of mediation is required.

3.3. If the disputes mentioned in article 3.1 of this Law infringe on interests of the third parties who are not participating in mediation or persons recognized by court incapacitated or is limited capable, mediation on such disputes cannot be carried out. In case of identification of such circumstances the mediator (the organization for mediation), the parties or one of them refuse process of mediation on these disputes.

3.4. In cases if the voluntary settlement as a result of process of mediation is not signed, the question of release from the state fee of the party which paid part of the expenses in connection with process of mediation assigned to it to court, or the party which paid expenses for mediation according to article 36.2 of this Law in case of appeal to the court is regulated by the Law of the Azerbaijan Republic "About the state fee". If the voluntary settlement between the parties is signed as a result of process of mediation after appeal to the court, the paid state fee returns according to the Code of civil procedure of the Azerbaijan Republic.

3.5. In office buildings of courts information boards about mediators and the organizations for mediation, places, functioning in adjacent to them, shall be established. Council on mediation shall provide implementation of permanent updating by the relevant courts of information containing on these information boards in process of changes in the register on mediation.

Article 4. Purposes and principles of mediation

4.1. Mediation aims at ensuring decrease in level of the conflict between the parties and dispute resolutions in type which suits them.

4.2. Mediation is performed on the basis of the following principles:

4.2.1. voluntariness;

4.2.2. legal equality and cooperation of the parties;

4.2.3. impartiality and independence of mediators;

4.2.4. inadmissibility of intervention in mediation process;

4.2.5. confidentiality.

Article 5. Voluntariness

5.1. Mediation has voluntary nature (taking into account articles 28 and 29 of this Law), and the parties are free in the choice of mediator

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