Conciliation and arbitration proceedings are available to members and other interested parties with regard to disputes arising out of transactions in international securities regulated by ICMA as well as disputes between a member and the Association in respect of certain matters arising out of ICMA’s statutes, by-laws, rules and recommendations.

1

Conciliation

The purpose of conciliation proceedings is to reach an amicable, swift and cost-efficient settlement of a dispute.

If the parties to a dispute formally agree to submit it to conciliation, ICMA assigns a member of its panel of conciliators as conciliator to the case. The members of this panel are persons of high integrity with wide experience of the international capital market. They are appointed by ICMA’s executive committee on an annual basis.

The place of the conciliation proceedings is to be agreed upon by the parties, failing which it is determined by the conciliator.

The conciliator hears the case and then recommends a settlement proposal to the parties. Following a settlement, or, if no settlement can be reached, the conciliator closes the conciliation proceedings and notifies ICMA and the parties accordingly.

The costs of conciliation proceedings, including the remuneration of and the costs incurred by the conciliator as well as ICMA, are normally borne in equal parts by the parties concerned.

2

Arbitration

The purpose of arbitration proceedings is to resolve a dispute by a formal award of the court of arbitration.

If the parties to a dispute formally agree to submit it to arbitration, following an unsuccessful attempt to resolve it through ICMA’s conciliation proceedings, ICMA assigns three or five members of its panel of arbitrators to the case. The members of this panel are persons of high integrity with wide experience of the international capital market or with other relevant professional qualifications. They are appointed by ICMA’s executive committee on an annual basis.

The seat of the court of arbitration is Zurich, Switzerland. The place where the court of arbitration holds its sessions is determined by the court.

The award rendered by the court of arbitration is binding upon the parties and is subject to challenge in a court of law based on limited grounds only.