International Commercial Arbitration at Guinea-Bissau
International Commercial Arbitration in Guinea-Bissau is governed primarily by the country’s adherence to international treaties and its national legal framework, though its arbitration infrastructure is relatively underdeveloped compared to more prominent arbitration jurisdictions. Here's an overview of the key aspects:
🔹 Legal Framework
Domestic Arbitration Law:
Guinea-Bissau does not have a comprehensive, modern domestic arbitration law specifically tailored for international commercial arbitration.
It largely relies on general civil law principles (derived from Portuguese civil law traditions) and lacks detailed provisions regulating arbitration proceedings.
OHADA Treaty:
Guinea-Bissau is a member of the OHADA (Organisation for the Harmonization of Business Law in Africa).
As such, the Uniform Act on Arbitration (adopted in 1999 and revised in 2017) applies. This is the main legal basis for arbitration in OHADA member states.
OHADA's Uniform Act allows for both ad hoc and institutional arbitration and applies to both domestic and international arbitrations within its member states.
International Conventions:
New York Convention: Guinea-Bissau is not a party to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.
This may pose challenges for the enforcement of foreign arbitral awards in Guinea-Bissau and may influence parties’ willingness to choose it as an arbitration seat.
🔹 Arbitration Institutions
Guinea-Bissau does not have a well-established arbitration institution of international repute.
However, parties may designate an OHADA-recognized institution like the Common Court of Justice and Arbitration (CCJA) based in Abidjan, Côte d’Ivoire, which acts as a regional arbitration body.
🔹 Practical Considerations
Neutral Seat: Due to institutional and legal limitations, Guinea-Bissau is rarely chosen as a seat for international commercial arbitration.
Enforcement Risks: The absence of New York Convention ratification raises concerns about enforceability of awards both within and outside Guinea-Bissau.
Judiciary: The judiciary is under-resourced, and delays or a lack of specialization in arbitration matters may hinder efficient resolution or enforcement.
🔹 Recommendations for International Contracts
If dealing with a counterparty in Guinea-Bissau, it is advisable to:
Choose an arbitration seat in a country that is a New York Convention member.
Specify that disputes will be resolved under OHADA arbitration rules or through an internationally recognized arbitration institution (e.g., ICC, LCIA).
Consider mediation or alternative dispute resolution (ADR) mechanisms for lower-value or simpler disputes.
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