The Model Dispute Resolution Clause set out below is of particular importance to those drafting or entering into contracts. Commercial contracts drafted by law firms of all sizes across the Canada commonly contain a clause indicating that any dispute that arises with respect to the contract will be administered by ADR Canada, or one of its affiliates, pursuant to the National Mediation Rules or the National Arbitration Rules of the ADR Institute of Canada.
Section I of the National Mediation Rules provides a Model Dispute Resolution Clause for Mediation and /or Arbitration.
All disputes arising out of or in connection with this agreement, or in respect of any legal relationship associated with or derived from this agreement, shall be mediated pursuant to the National Mediation Rules of the ADR Institute of Canada, Inc. The place of mediation shall be [specify City and Province of Canada]. The language of the mediation shall be English or French [specify language].
Section II provides a Model Dispute Resolution Clause – Mediation and Arbitration.
All disputes arising out of or in connection with this agreement, or in respect of any legal relationship associated with or derived from this agreement, shall first be mediated pursuant to the National Mediation Rules of the ADR Institute of Canada, Inc. Despite this agreement to mediate, a party may apply to a court of competent jurisdiction or other competent authority for interim measures of protection at any time. All disputes remaining unsettled after mediation shall be arbitrated and finally resolved pursuant to the National Arbitration Rules of the ADR Institute of Canada, Inc. [the Simplified Arbitration Rules of the ADR Institute of Canada, Inc.]. The place of mediation and arbitration shall be [specify City and Province of Canada]. The language of the mediation and arbitration shall be English or French [specify language].