Proceedings – general principles

What are arbitration proceedings?

Arbitration proceedings are an alternative procedure for disputes resolutions outside the state court system. They enable the parties involved to have the facts of a case examined and decided by an independent arbitration panel. The legal basis for arbitration proceedings is set out in the German Code of Civil Procedure (section 1029 et seq. Zivilprozessordnung, ZPO). The arbitration panel constituted for each case hears the parties, examines the documents submitted and the arguments presented, and renders a decision at the end of the proceedings, which is known as the “arbitration award”. The latter is binding and has the same effect as a judgement rendered by a state court.  It may be set aside only within the legal limits laid down by the Code of Civil Procedure.

With the establishment of the Court of Arbitration for Nazi-Looted Property, this form of dispute resolution is now also available for cases concerning cultural property seized as a result of Nazi persecution. The arbitration panels of the Court of Arbitration for Nazi-Looted Property arrive at their decision on the basis of the Rules of Arbitration and an Assessment Framework.

Who are arbitration proceedings intended for?

The proceedings of the Court of Arbitration for Nazi-looted Cultural Property serve to resolve disputes concerning the possible return of Nazi-looted cultural property. One party to the proceedings is the applicant claiming that the cultural property was seized as a result of Nazi persecution, either from themselves or their ancestor. Several parties may appear on the applicant side. For this reason, the model arbitration agreement arbitration agreement may be signed by several parties on one side. The specific eligibility to apply is primarily governed by sections 3 and 6 of the Assessment Framework. Generally, the other party to the proceedings is the institution holding the disputed cultural property, or its legal entity (the Land or municipality).