South Korean Dispute Resolution Practice
Expert Services International can provide dispute resolution services in South Korea under the Korean Arbitration Act, KCAB Rules and construction dispute mechanisms.
South Korean Dispute Resolution Practice
Dispute resolution in South Korea is governed by the Korean Arbitration Act (Act No. 6083, amended 2016), which implements the UNCITRAL Model Law. The Korean Commercial Arbitration Board (KCAB) is the principal arbitration institution, administering both domestic and international arbitrations under the KCAB International Arbitration Rules.
Expert Services International can provide arbitration, mediation, expert determination and dispute advisory services in South Korea. The Framework Act on the Construction Industry establishes specific dispute resolution mechanisms for the construction sector.
South Korea is a civil law jurisdiction. The Korean Arbitration Act (Act No. 6083, amended 2016) implements the UNCITRAL Model Law and provides the statutory framework for arbitration.
Commercial Arbitration Framework
The Korean Arbitration Act provides the primary legislative framework for commercial arbitration in South Korea and governs both domestic and international commercial arbitration. Originally enacted in 1966, the Act was comprehensively amended in 1999 to incorporate the UNCITRAL Model Law 1985, bringing Korean arbitration law into alignment with internationally recognised standards. Further amendments in 2016 adopted the 2006 UNCITRAL Model Law amendments, ensuring continued consistency with international best practice and reflecting South Korea's commitment to maintaining Seoul as a competitive arbitration seat. The framework provides a comprehensive regime addressing agreements to arbitrate, the conduct of arbitral proceedings, tribunal constitution and the recognition and enforcement of arbitral awards.
The Korean Commercial Arbitration Board (KCAB) administers institutional arbitration under its International Arbitration Rules 2016, which provide detailed procedures for the conduct of international commercial arbitrations. KCAB maintains a panel of experienced arbitrators with expertise across a broad range of commercial and technical matters, and the institution has established substantial experience in managing international disputes involving parties from across the Asia-Pacific region and internationally. The KCAB also administers domestic arbitrations under its domestic rules, which were significantly revised effective 1 March 2025, reflecting evolving practice and contemporary developments in domestic arbitration procedures. These revised rules modernise procedures for domestic arbitration whilst maintaining alignment with the Korean Arbitration Act framework.
International commercial parties frequently utilise KCAB arbitration for disputes involving Korean law or Korean parties and assets, and Seoul has become increasingly recognised as an attractive seat for disputes in the region. The Seoul International Dispute Resolution Centre, established as an institutional framework to support arbitration and other dispute resolution mechanisms, provides state-of-the-art facilities and services for arbitration proceedings. International arbitration rules and procedures are commonly adopted in South Korean arbitrations, including the International Bar Association Rules on the Taking of Evidence in International Arbitration and practices consistent with the Chartered Institute of Arbitrators protocols. The combination of modern legislative framework, experienced institutional arbitration body and recognition of Seoul as a regional arbitration centre has contributed to the growing prominence of South Korea as a seat for dispute resolution.
Construction Dispute Resolution
Construction disputes in South Korea are addressed through a framework of legislation and institutional mechanisms designed to facilitate efficient resolution of construction industry disputes. The Framework Act on Construction Industry provides the legislative foundation for construction dispute resolution, establishing requirements and procedures applicable to construction contracts and disputes. Within this framework, the Construction Dispute Mediation Committee operates as a specialised institution providing mediation and alternative dispute resolution services for construction disputes, bringing together expertise in construction industry matters with mediation and negotiation skills.
International construction projects undertaken in South Korea frequently incorporate standardised international contractual frameworks, particularly FIDIC conditions of contract which are widely used on major infrastructure projects. The application of international standard forms has contributed to increased familiarity with international construction dispute resolution practices and has created demand for dispute resolution mechanisms aligned with international construction industry norms. The Construction Dispute Mediation Committee has developed capabilities for managing disputes arising under these international forms, ensuring that resolution procedures are consistent with the expectations of international parties and with practice understood across the region and internationally.
Many construction disputes in South Korea are resolved through mediation and alternative dispute resolution procedures rather than arbitration or litigation, with the Construction Dispute Mediation Committee facilitating settlement discussions and providing mediator services. This preference for mediation reflects both the effectiveness of these mechanisms in achieving timely resolution and the preference of construction industry participants for dispute resolution mechanisms that preserve business relationships and enable continuation of construction works whilst disputes are being resolved. For disputes requiring binding determination, commercial arbitration under KCAB rules or litigation in Korean courts remains available, with arbitration increasingly favoured for its expertise, confidentiality and finality.
Alternative Dispute Resolution Mechanisms
Mediation and alternative dispute resolution mechanisms play a central role in the South Korean framework for dispute resolution, reflecting both legislative encouragement and practical preference for negotiated settlement of commercial and construction disputes. Court-annexed mediation programmes operate within the Korean court system, providing parties with structured opportunities to pursue settlement before proceeding to formal litigation. These programmes provide access to trained mediators and formal procedures for settlement discussions, enabling parties to explore resolution possibilities whilst maintaining the availability of court proceedings as a backstop if settlement negotiations prove unsuccessful.
The Korean Commercial Arbitration Board has expanded its services to include mediation as an alternative to arbitration and litigation. The KCAB mediation services, administered under the Board's mediation rules, provide a framework for the resolution of commercial disputes through mediation procedures. These procedures are particularly valuable for disputes where parties maintain ongoing business relationships and seek to preserve those relationships through negotiated resolution. The KCAB has also established International Mediation Rules to support international commercial mediation involving parties and disputes crossing national borders, reflecting Seoul's role as a regional dispute resolution centre.
The Construction Dispute Mediation Committee provides specialised mediation services for construction disputes, with mediators experienced in construction industry matters and construction contract interpretation. This specialisation ensures that construction disputes are mediated by individuals with detailed understanding of construction contracts, construction management, construction defects and the technical and commercial issues commonly arising in construction disputes. The effectiveness of mediation in construction disputes has contributed to its widespread adoption, and many construction disputes that might otherwise proceed to arbitration or litigation are successfully resolved through mediation services provided by the Committee.
Contemporary Developments
South Korea has experienced significant developments in dispute resolution practice in recent years, driven by both legislative modernisation and initiatives to strengthen Seoul's position as a regional and international arbitration centre. The Korean government has demonstrated strong commitment to these objectives through the adoption of the second Master Plan for Promotion of the Arbitration Industry covering the period 2024-2028. This strategic initiative includes specific objectives of securing a stable operational foundation for KCAB, strengthening the internal capabilities of KCAB International, and establishing an Online Dispute Resolution system to support contemporary dispute resolution practices. These government initiatives reflect recognition that effective dispute resolution mechanisms are fundamental to supporting commercial activity and attracting international disputes to Seoul as a seat.
The Korean Commercial Arbitration Board has undertaken substantial modernisation of its rules and procedures. The domestic arbitration rules were significantly revised effective 1 March 2025, reflecting contemporary practice and developments in dispute resolution procedures. More substantially, KCAB has been preparing a comprehensive revision of its International Arbitration Rules, which have remained unchanged since their adoption in 2016. This revision, the first major update to the international rules in nearly a decade, is expected to be implemented in the coming year and will incorporate lessons learned from contemporary international arbitration practice and align KCAB procedures more closely with best practice standards adopted by other leading arbitration institutions internationally.
The South Korean Supreme Court has reaffirmed its pro-arbitration stance and commitment to supporting arbitration as an effective dispute resolution mechanism. On 23 January 2025, the Supreme Court addressed the validity of arbitration agreements notwithstanding significant ambiguities in their formulation, demonstrating judicial support for arbitration and willingness to uphold arbitration agreements even where their technical drafting is imperfect. This judicial approach promotes confidence in arbitration as a reliable dispute resolution mechanism and supports Seoul's position as an attractive arbitration seat. The Seoul International Dispute Resolution Centre continues to develop its facilities and services to support international arbitration and mediation, positioning Seoul as a centre offering world-class dispute resolution infrastructure and capabilities.
Specialised Expertise
Expert Services International provides specialised dispute resolution services to law firms, contractors, principals, engineers and other parties involved in commercial and construction disputes in South Korea. Our practice combines technical expertise in construction quantum, delay, disruption and construction defects with knowledge of Korean arbitration frameworks, KCAB procedures, construction dispute resolution mechanisms and alternative dispute resolution processes.
Whether the dispute is being resolved through KCAB commercial arbitration, construction dispute mediation, court-annexed mediation or litigation in Korean courts, our team understands the specific requirements applicable to each forum. We prepare detailed written submissions and expert statements that comply with applicable institutional rules and procedural requirements, we participate effectively in mediation and settlement discussions, and we provide expert input on technical and commercial matters in dispute resolution proceedings conducted in Korean and English language contexts.
Our Expertise
Expert Services International can provide dispute resolution services to parties involved in construction and infrastructure disputes. Our services include acting as arbitrator, expert determiner and mediator. We also provide expert witness reports and testimony addressing quantum, delay, disruption, construction defects, contractual interpretation, variations, liquidated damages and claims for set-off.
We prepare claims submissions, expert reports and advocacy for use in arbitration, expert determination, mediation and dispute board proceedings. We can assist parties with the preparation and presentation of claims and defences across all forms of dispute resolution.
Service Scope
Acting as arbitrator in domestic and international arbitration proceedings. We manage all aspects of arbitral procedure, conduct efficient hearings and deliver reasoned awards addressing the issues in dispute in accordance with applicable law and the parties' contractual framework.
Acting as expert determiner under contractual expert determination clauses and institutional rules. Expert determination provides a binding resolution of technical and valuation disputes by a suitably qualified professional, typically within a shorter timeframe than arbitration or litigation.
Preparation of expert reports addressing quantum, delay, disruption, construction defects, contractual interpretation, variations, liquidated damages and claims for set-off. We provide expert testimony in arbitration, court proceedings, mediation and expert determination proceedings.
Acting as mediator and providing mediation services to assist parties in reaching a negotiated resolution of disputes. We facilitate structured discussions, assist in identifying common ground and help parties achieve settlement without the need for formal adjudication.
Acting as dispute board member, chairperson or single neutral on major infrastructure projects. Dispute boards provide a standing mechanism for the rapid resolution of disputes during project execution, maintaining familiarity with the project throughout its duration.
Preparation of claims submissions and expert analysis for use in arbitration, expert determination, mediation and dispute board proceedings. We assist parties with the preparation and presentation of claims and defences addressing quantum, delay, disruption and contractual matters.
