Procedual Steps

All proceedings are based on an arbitration agreement (section 8 of the Rules of Arbitration) between the parties under which they agree to have an arbitration panel decide on the specific item or items of cultural property in question pursuant to the Assessment Framework and the arbitration agreement. If the applicants are able to invoke a “standing offer”, the Service Desk assists the parties in completing and signing the arbitration agreement. By issuing a “standing offer”, the other party has consented in advance to a unilateral initiation of proceedings. If there is no “standing offer”, the Service Desk provides an arbitration agreement. In such cases, the Service Desk seeks out the other party to ask it to agree to arbitration in the specific case.

The party entitled to apply for arbitration submits an application containing the information and supporting documents required under section 9 (2) of the Rules of Arbitration. In addition to the names and addresses of the parties involved, information of the specific subject of the proceedings have to be provided, including information on the original ownership of the cultural property concerned and the circumstances of its loss. If a public institution holding cultural property is a party, proceedings can only be initiated if the “previous procedure” under the Rules of Arbitration has achieved no result or if the parties have agreed to forgo one. The Service Desk is responsible for checking incoming applications for completeness. If necessary, the applicant will be contacted regarding any missing documents.

For each case, a separate arbitration panel is constituted consisting of five persons. The appointment is made on the basis of a list of 36 persons. The arbitrators were jointly selected by the Federal Government Commissioner for Culture and the Media, the Länder and the national associations of local authorities, the Central Council of Jews in Germany and the Jewish Claims Conference. Each party has four weeks to select two arbitrators from this list – one qualified in law and one in history/art history – in accordance with section 12 (1) of the Rules of Arbitration. Once the parties have notified the Service Desk of their chosen arbitrators, these selections can generally no longer be changed by the parties themselves. An exception only applies if an arbitrator is challenged on the grounds of doubts as to their impartiality. After their appointment, the four arbitrators choose a chairperson from the list of arbitrators, in accordance with section 12 (3) of the Rules of Arbitration.

After its constitution, the arbitration panel holds a case management conference (section 19 of the Rules of Arbitration), which the parties shall also attend. This serves in particular to discuss the schedule for the proceedings, including setting a date for the oral hearing and assessing whether expert witnesses should be consulted.

Unless the parties agree otherwise, the proceedings before the arbitration panel are conducted as oral hearings (section 21 Rules of Arbitration). These provide an opportunity for the parties to present their arguments, for the facts of the case to be discussed and clarified, and for experts to be questioned. The oral hearing forms the basis for the arbitration panel’s decision.

The arbitration panel renders its decision solely based on the Assessment Framework (section 27 (1) of the Rules of Arbitration); questions such as those relating to acquisition by prescription or limitation are therefore not relevant. Its arbitration award has the effect of a final and binding judgment and is enforceable. If a settlement is reached during the proceedings, the case is concluded by way of a decision or an arbitration award (section 28 (1) of the Rules of Arbitration). The arbitration award is communicated to the parties promptly. An English translation may be provided upon request, but it has no binding legal effect (section 29 (1) of the Rules of Arbitration).

The costs of the arbitration panel (section 31 of the Rules of Arbitration) are not charged to the parties. Each party must bear only the costs it incurs itself, such as the costs of obtaining legal counsel and representation and also travel expenses. Arbitration proceedings are conducted in German; documents may be submitted in other languages. If translations are required, these will be arranged by the arbitration panel at no cost to the parties.

The place of arbitration may be freely chosen by the parties within the Federal Republic of Germany