Unlike the official SCC arbitration cost calculator, an authoritative tool to determine administrative fees and arbitrator fees for SCC arbitrations, this SCC arbitration cost calculator determines the same administrative and arbitrator fees for ordinary and expedited SCC arbitrations, using the 2020 Schedule of Costs for ordinary and expedited arbitrations, while also automatically estimating all other costs per SCC arbitration, including legal fees, expert fees and anticipated witness, management and other party costs, from the filing of a Request for Arbitration through the rendering of a Final Award.
This is useful, as the majority of SCC arbitration costs do not relate to administrative and arbitrator fees, but instead to party costs, including especially legal fees and expert fees. The assumptions used in this SCC arbitration cost calculator are listed below.
** The following underlying assumptions are used in this automatic cost calculator:
- SCC administrative fees and arbitral tribunal fees are based on the 2020 Schedule of Costs for ordinary and expedited arbitrations. Results should be identical to the official SCC Cost Calculator.
- Like the official SCC Cost Calculator, this calculator is limited to amounts in disputes of up to EUR 100,000,000. For higher amounts, fees are in fact determined by the SCC Board on a case-by-case basis.
- As with the official SCC Cost Calculator, for arbitral tribunals composed of three arbitrators, co-arbitrators receive 60 percent of the fee of the Chairperson. The SCC Board may decide that a different percentage shall apply.
- Average legal fees range from EUR 50 per hour (very low) to EUR 800 per hour (high). Most law firms will charge over EUR 50 per hour.
- The average SCC arbitration requires between 1,000 and 5,000 hours of legal work, depending on its complexity, the procedure adopted and the actions of opposing counsel. In case of doubt, enter 2,000 hours for the average amount of legal work per arbitration, which is fairly standard.
- In low-complexity cases (fewer than 2,000 hours of legal work required) and where there are small amounts in dispute (less than EUR 2,000,000), it is assumed that no quantum or legal experts will be required. This may not always be the case.
- Expert fees themselves are estimated on the basis of the external legal fee to expert fee ratio shown in the CIArb Costs of International Arbitration Survey (2011), which is the single most complete source of data on arbitration costs to date.
- Anticipated witness, management and other external costs are also based on the ratio between legal fees and such costs in the CIArb Costs of International Arbitration Survey (2011).
- VAT is assumed to be inapplicable.
- Each party is assumed to split SCC Administrative Fees, Arbitrators’ Fees and expenses equally, although if a Respondent refuses to pay, its counterclaims will not be heard but the Claimant will need to bear its costs (which can then be claimed as costs at the end of the arbitration).
- A successful party may be reimbursed all or a significant portion of its legal costs by the losing party in the final arbitration award. This possibility is not factored into this model.