Speech by Senior Minister of State for Law Ms Indranee Rajah at the SIAC Congress Gala Dinner 2014

06 JUN 2014

6 Jun 2014 Posted in Speeches

Mr Lucien Wong, Chairman of SIAC,
Professor Michael Pryles, President of the SIAC Court,
Distinguished guests,
Ladies & Gentlemen,

Introduction

  1. I am delighted to join you for tonight’s gala celebration.

  2. Congratulations to SIAC on a successful inaugural run of the SIAC Congress. In just a few moments, I will launch the SIAC international arbitration training video.

  3. Before we go into that, let me touch briefly on a few trends that I see will affect the types of disputes that will arise and how they may need to be resolved in the future.

    Asian Economic Backdrop and Evolving Needs of Businesses

  4. Those of you who were here this morning would have heard what Minister said about the growth of trade and investment in Asia.

  5. In Southeast Asia, ASEAN is fast emerging as a key economic player, particularly with the development of the ASEAN Economic Community (AEC). The AEC will integrate and transform ASEAN into a single regional market of 620 million people and a combined GDP of more than US$2.2 trillion. For a sense of how far ASEAN has come, consider that in 2000, intra-ASEAN trade was about US$170 billion. By 2012, Intra-ASEAN trade had jumped almost four fold to about US$600 billion .

  6. With the global engine of economic growth shifting to Asia, the number of global business partnerships and supply chains involving Asia will concomitantly increase. We will see a more integrated economy across borders.

  7. Consequently, businesses will face more complexities in dealing with the laws, regulations, and norms across the different jurisdictions. Disputes arising will be more complex given the cross-border nature of business relationships.

  8. The ways in which businesses operate are also changing, in part due to advancements in technology such as the emergence of new information sharing platforms and data storage systems.

  9. Technology is also enabling different dispute resolution processes. Ecommerce sites like Ebay and Paypal employ online dispute resolution processes which are affordable, easy to understand and quick. For example, Modria, a spin-off from Ebay and Paypal, provides a platform for resolving disputes online. Its systems work across borders and with high volume, low value transactions. Modria reportedly processes over 60 million cases a year , with the vast majority of disputes being resolved without requiring third-party human intervention.

  10. What does this all mean for the legal sector?

  11. I am not suggesting that SIAC move its arbitration hearings to an online platform, but the point is that technology is developing rapidly and could lead to changes in the way conflicts are resolved.

  12. There will be greater opportunities but at the same time there will be corresponding challenges. We could harness technology to perform our tasks better, for example using data analytics to aid in researching for cases. To complement the use of technology, lawyers would also need to find ways to add value as they help businesses navigate the risks and regulations in the region and manage their cross-border disputes.

  13. There will be a need for lawyers who are familiar with the laws, regulations and norms of the various jurisdictions. Beyond technical knowledge, there will also be demand for lawyers who can operate comfortably across different cultures.

    Singapore as an international dispute resolution hub

  14. The growth in Asia also creates opportunities for Singapore to continue developing as an international dispute resolution hub in Asia.

  15. In the last ten years or so, Singapore has progressively put in place an eco-system for arbitration.
    1. We have in place a strong rule of law to cement our position as a neutral venue;
    2. Our legal infrastructure is sound, having adopted the UNCITRAL Model Law and we continuously review and revise our International Arbitration Act to be on par with best international practices;
    3. Our judiciary is supportive of arbitration; and
    4. We have good infrastructure and hearing facilities in Maxwell Chambers.

  16. We are now hoping to build on our success in arbitration by progressively introducing new dispute resolution offerings so as to meet the different needs of parties.

  17. In that regard, we see international commercial mediation and international commercial litigation as Singapore’s further offerings in the dispute resolution landscape.

  18. As you may already be aware, we set up Working Groups to study the above offerings in detail and we have accepted recommendations to establish the Singapore International Mediation Centre (“SIMC”) and the Singapore International Commercial Court (“SICC”).

  19. These initiatives will help to develop Singapore as a one-stop centre, offering a full suite of dispute resolution options. We think this is the step in the right direction and will contribute to growing the pie for the legal sector in Singapore. We welcome any feedback from you on how we can further improve our current system and framework.

    Conclusion

  20. In closing, I have pleasure in launching the new SIAC arbitration training video. This video is meant for the benefit of lawyers, in-house counsel, arbitrators and judges from all over the world. It is designed to be used in mock arbitration workshops, client seminars and training programmes organised by law firms, professional arbitrators’ institutes and universities, amongst others. The video was filmed entirely on location in the state-of-the-art hearing rooms at Maxwell Chambers.

  21. The video was produced and directed by our very own home-grown talent and award winning film director Eric Khoo. The video showcases Singapore as a preferred seat and venue for international arbitration, and depicts the workings of SIAC as a leading international arbitral institution.

  22. The video features many well-known names in international arbitration and will have subtitles available in various languages. I am certain parties will find the video to be a very comprehensive and useful guide.

  23. I wish to thank SIAC for all your good work, and wish you every success. For all the delegates here, I hope to see you again at the next Congress.

  24. Thank you.

Last updated on 09 Jun 2014