1. What is the DIAC Cost Calculator?

The DIAC (Dubai International Arbitration Centre) Cost Calculator helps estimate the arbitration costs based on the claim amount and applicable fee rate. It provides a quick assessment of potential arbitration expenses.

2. How Does the Calculator Work?

The calculator uses the simple formula:

Where:

• \( Claim\ Amount \) — The amount in dispute (in USD)
• \( Fee\ Rate \) — The applicable percentage rate for the arbitration

Explanation: The calculation multiplies the claim amount by the fee rate percentage to determine the total cost.

3. Importance of Cost Calculation

Details: Accurate cost estimation is crucial for budgeting arbitration proceedings and understanding potential financial commitments.

4. Using the Calculator

Tips: Enter the claim amount in USD and the fee rate as a percentage (e.g., 2.5 for 2.5%). Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is included in the calculated cost?
A: This calculates the basic arbitration fee based on the claim amount. Additional administrative fees may apply.

Q2: How is the fee rate determined?
A: The fee rate typically depends on the arbitration rules and the amount in dispute.

Q3: Are there minimum or maximum fees?
A: Many arbitration centers have minimum fees regardless of claim amount and may cap maximum fees for very large claims.

Q4: Does this include arbitrator fees?
A: This calculation may or may not include arbitrator fees depending on the specific arbitration rules.

Q5: Are there other costs to consider?
A: Yes, parties should also consider legal representation costs, expert witness fees, and other incidental expenses.