51Arbitration

51 Arbitration

(1) The procedure set out in this section applies if the parties to a milk supply agreement agree, in writing, to have a dispute resolved by arbitration conducted in accordance with this Subdivision.

Note: The milk supply agreement may provide for arbitration to be used as a means of resolving disputes or, if the agreement does not provide for arbitration, the parties may agree in another written document to use arbitration to resolve disputes.

Appointment of arbitrator (2) The parties must request the Ombudsman to appoint an arbitrator for the dispute. (3) The Ombudsman: (a) must appoint an arbitrator from the list kept by the Ombudsman under paragraph 5A(a) within 14 days after receiving the request under subsection (2) unless the Ombudsman is satisfied that the complaint giving rise to the dispute: (i) is frivolous or vexatious; or (ii) has previously been the subject of another arbitration; and (b) must give the parties to the dispute, in writing, details of the arbitrator appointed. Conduct of arbitration (4) Subject to subsection (5), the arbitrator must decide: (a) how the arbitration is to be conducted (for example, by telephone or in meetings); and (b) the time and place for the arbitration; and (c) the day the arbitration commences for the purposes of this Subdivision. (5) The arbitration must be conducted in Australia. Arbitrator must notify Ombudsman that arbitration has commenced (6) Within 14 days after the arbitration has commenced, the arbitrator must notify the Ombudsman, in writing, that the arbitration has commenced and of the nature of the dispute.

Note: The arbitrator decides under paragraph (4)(c) when an arbitration commences.

Attendance at arbitration (7) Each party to the dispute must attend the arbitration. (8) For the purposes of subsection (7), a party is taken to attend an arbitration if the party is represented at the arbitration by a person who has the authority to enter into an agreement to settle the dispute on behalf of the party. Arbitrator must give notice of successful arbitration (9) If the dispute is resolved, the arbitrator must, within 14 days after the dispute is resolved: (a) set out, in writing, the terms of the resolution; and (b) give a copy of the terms to each party to the dispute; and (c) notify the Ombudsman that the dispute has been resolved.