Regulations of the Chamber of Commerce and Industry of Cortés - Current Version 02 May 24 (published in Official Gazette 04 May 2024)

The Conciliation and Arbitration Center is organized pursuant to the powers and authorities granted to the Chamber of Commerce and Industries of Cortés (CCIC) by the Conciliation and Arbitration Law and internal regulations. The Center is a department of the Chamber of Commerce and Industries of Cortés that does not resolve disputes itself, but rather administers dispute resolution processes such as arbitration and conciliation, in accordance with the Conciliation and Arbitration Law and this Regulation.

The Center has the following functions:

• a)

  Administer conciliations and arbitrations, national and international, when so requested, providing its advisory and assistance services, in accordance with the procedure established in this Regulation.

• b)

  Appoint conciliators and arbitrators when appropriate.

• c)

  Maintain lists of conciliators and arbitrators accredited to the Center, which must include a sufficient number of experts to enable the provision of services in an agile and efficient manner.

• d)

  Maintain a list of Arbitral Tribunal secretaries, experts in the technical management of the Secretariat and arbitral proceedings.

• e)

  Maintain lists of expert witnesses by specialty, to provide technical support to the Arbitral Tribunal.

• f)

  Promote the use of conciliation and arbitration as alternative dispute resolution methods and seek their permanent development and improvement.

• g)

  Process inquiries and issue opinions requested in relation to conciliation and arbitration.

• h)

  Design training programs for conciliators, arbitrators, and Arbitral Tribunal secretaries, either directly or in conjunction with other institutions, national or international.

• i)

  Develop the designed programs or those agreed upon through agreements with other conciliation and arbitration centers, universities, and similar entities in general, national or international.

• j)

  Keep statistics that allow for knowledge of the quantitative and qualitative development of alternative dispute resolution methods.

• k)

  Conduct analysis and studies on alternative dispute resolution methods, at national and international levels.

• l)

  Promote the execution of agreements aimed at strengthening relationships with analogous organizations and institutions, national or international, to maintain a permanent network of collaboration that results in the development and promotion of alternative dispute resolution methods.

• m)

  Maintain a schedule of administrative expenses of the Center and fees of conciliators, arbitrators, and Arbitral Tribunal secretaries; as well as any other service offered.

• n)

  Administer any other alternative dispute resolution method, develop the procedure, if necessary, and the respective training plan. o) Administer arbitrations following the procedures established by the parties, even in Ad-hoc proceedings. p) Any other function that develops and improves the foregoing, in accordance with the Law.

The Arbitration Commission is the advisory, consultative, and disciplinary body of the Conciliation and Arbitration Center of the Chamber of Commerce and Industries of Cortés, responsible for performing the functions set forth in this Regulation. It is composed of three (3) principal members and three (3) alternate members, who shall be elected by the Board of Directors of the CCIC, taking into account their affinity with the subject matter of alternative dispute resolution methods and in accordance with the internal regulations of the CCIC. Two of its members must be legal professionals with experience in alternative dispute resolution methods. The Board of Directors, at the time of election, shall designate the President of the Commission. The members of the Commission shall enjoy independence in the performance of their functions.

The functions of the Arbitration Commission are the following:

• a)

  Ensure compliance with the Center's regulations and that services are provided by applying the Center's ethical principles, in an efficient manner, in accordance with the law and this Regulation.

• b)

  Approve or disapprove applications to integrate the lists of conciliators, arbitrators, secretaries, and expert witnesses.

• c)

  Address violations committed by arbitrators, arbitral tribunal secretaries, conciliators, and decide whether sanctions should be imposed.

• d)

  Exclude from the Center's lists, for just cause, conciliators, arbitrators, secretaries, and expert witnesses, when appropriate.

• e)

  Serve as a consultative body to the Director of the Center, to whom it shall indicate the policies and general guidelines to follow.

• f)

  Resolve challenges to arbitrators, including matters related to conflicts of interest and similar issues.

• g)

  Approve the administration of procedures other than those provided for in this Regulation.

• h)

  Appoint principal and alternate arbitrators according to specialties and experience for proceedings that require it, using the procedure established by the Commission itself.

• i)

  Approve the reports presented by the Director.

• j)

  Approve the strategic service plan presented by the Director.

The term of the members of the Arbitration Commission shall be two (2) years. However, they shall continue in their positions if they are not replaced upon the expiration of their respective term and until such replacement occurs.

Sessions of the Arbitration Commission shall be confidential, unless a majority of the members present at the respective session agree otherwise, which must be recorded in the corresponding minutes.

The Arbitration Commission may delegate to one or more of its members the study and decision of a specific matter.

OF THE DIRECTOR: The Conciliation and Arbitration Center shall have a Director responsible for the execution of the center's policies and procedures; an expert in the management of the techniques, procedures and services provided by the center. The Director shall be appointed by the President of the Board of Directors of the CCIC in accordance with the established internal procedures and upon proposal of at least three (3) suitable candidates who shall be sent to him by the Commission of the center.

FUNCTIONS OF THE DIRECTOR: The Director shall exercise the following functions:

• a)

  To ensure and intervene so that the provision of the Center's services is efficient and in compliance with law, regulation and framed in the principles of the Center's ethics.

• b)

  To act as Secretary of the Arbitration Commission, for which he shall attend the sessions of the Arbitration Commission with voice, but without vote.

• c)

  To act as Conciliator, prior to the integration of an Arbitral Tribunal or at any time during the processing of the arbitration at the request of the parties. In these cases the Center may delegate the conciliation functions of the Director to a Conciliator who is part of the Center's list, at its sole discretion.

• d)

  To verify that applicants to integrate the lists of conciliators, arbitrators, Secretaries of Arbitral Tribunal and experts, meet the required requirements for it.

• e)

  To resolve questions of disqualification of conciliators.

• f)

  To keep updated the personal and professional data of those who make up the lists of conciliators, arbitrators, experts and Secretaries of Arbitral Tribunal with the curriculum vitae that corresponds to each one.

• g)

  To personally execute the administrative functions of the Center, in accordance with the policies and general guidelines that the Arbitration Commission establishes in order to achieve the proposed objectives.

• h)

  To timely submit to the consideration of the Arbitration Commission, the name of persons who request to be registered in the lists of conciliators, arbitrators, experts and Secretaries of Arbitral Tribunal.

• i)

  To issue certificates and certifications that accredit the status of conciliators, arbitrators, experts and Secretaries of Arbitral Tribunal of the Center.

• j)

  To issue authentic copies of arbitral proceedings, once concluded.

• k)

  To propose to the Arbitration Commission changes in the management of the Center, when he deems it convenient or necessary.

• l)

  To handle the public relations of the Center, personally or through an official designated for this purpose.

• m)

  To enter into, prior authorization from the Arbitration Commission, inter-institutional agreements.

• n)

  To promote alternative methods of conflict resolution and to respond to inquiries that are presented to him. o) To prepare reports to be presented to the Board of Directors of the CCIC, prior approval of the Commission. p) To prepare the strategic plan of services. q) In general, to fulfill all functions inherent to the position and to execute all actions aimed at the improvement of the services provided by the Center and its image.

SUB-DIRECTOR OF THE CENTER: The President of the Board of Directors of the CCIC may appoint a Sub-Director, who shall act as Director in the temporary or permanent absences of the latter, until the Director is designated, and shall be responsible for the activities assigned or delegated to him by the Director. The hiring shall be in accordance with the internal procedures of the Chamber of Commerce and Industries of Cortés. SECTION IV OF CONCILIATORS, ARBITRATORS AND SECRETARIES OF ARBITRAL TRIBUNAL

LISTS. The Center shall have official lists of conciliators, arbitrators, and Secretaries of Arbitral Tribunal, without prejudice to the fact that it may have lists of experts or others that it deems pertinent according to the matter to be dealt with. The official lists of the Center shall have a number of members that allows it to provide the service in an agile and effective manner. One same person may simultaneously be part of the list of conciliators, arbitrators, experts, and Secretaries of Arbitral Tribunal, but whoever, in accordance with article 25 of this Regulation, is excluded or suspended from one of them, shall be automatically excluded or suspended from the others. Once a person is chosen as a conciliator, arbitrator, expert or secretary, he is not disqualified from being selected from the other lists of which he is part, except in those cases related to the conflict and object for which he has already acted as a conciliator, arbitrator, expert or secretary.

INCORPORATION TO THE OFFICIAL LISTS: The official lists of the Center shall be prepared and kept updated, in accordance with the following rules: In order to be included in any of the lists, the interested party must submit to the Director of the Center, the corresponding written request, accompanied by the curriculum vitae and documents that prove the fulfillment of the legal and regulatory requirements to exercise the functions. The Director shall verify that the required formal requirements are met and, having been complied with, shall present the name of the applicant to the consideration of the Arbitration Commission so that it may decide definitively on the application for registration.

LETTER AGREEMENT. Once the respective application for admission is approved, the admitted party must sign a letter agreement with the institution, by virtue of which the applicant assumes the formal commitment to perform his function in a diligent and effective manner, complying with the policies and regulations of the Center. Persons who already integrate the lists of arbitrators, secretaries, conciliators or any other, upon the entry into force of this Regulation shall also sign this agreement, within the period established by the Center, in order to continue integrating such lists.

CONCILIATOR PROFILE: In order to act as conciliator of the Conciliation and Arbitration Center of the Chamber of Commerce and Industries of Cortés, the following requirements must be met and the following characteristics must be present:

• a)

  To be a university professional.

• b)

  To have a clear sense of justice.

• c)

  To believe in conciliation as a means to resolve conflicts.

• d)

  To possess a broad awareness and sensitivity, in accordance with the humanistic function that it performs.

• e)

  To have the capacity to review and permanently update his personal paradigm, to adapt attitudes, positions and beliefs in favor of conciliation.

• f)

  To be an agent of cultural change, which contributes to the transition from the culture of litigation to the culture of peaceful coexistence.

• g)

  To have the capacity to give real and practical meaning to the civic values that characterize democracy and pluralism: Solidarity, dialogue, respect, individual freedoms and the common good.

• h)

  To know the ethical principles that govern the Center, to have the attitudes that facilitate their practice and to comply with the regulations.

• i)

  To be trained, in accordance with the requirements of the Center, in the management of negotiation and conciliation techniques.

• j)

  Not to be disqualified from exercising his political or civil rights.

• k)

  To remain updated in his knowledge about conciliation.

• l)

  To prove that on the date of application he has not been sanctioned criminally or administratively; and,

• m)

  To meet the other requirements that the law and regulation require of him or that the Arbitration Commission deems appropriate.

PROFILE TO BE AN ARBITRATOR: Those who aspire to be included in the list of arbitrators of the Conciliation and Arbitration Center of the Chamber of Commerce and Industries of Cortés, must meet the following requirements, without prejudice to the others that the Arbitration Commission may consider:

• a)

  To previously know the ethical principles that govern the Center, to have the attitudes that facilitate their practice and to comply with the regulations.

• b)

  To be a law professional and to be legally incorporated into the Bar Association of Honduras, to integrate those arbitral tribunals that must rule in accordance with Law.

• c)

  To be a professional expert in the corresponding technique, to integrate those arbitral tribunals that must rule in accordance with technical knowledge related to the matter submitted to arbitration.

• d)

  Minimum professional practice of six (6) years.

• e)

  To have attended and passed the training course on the subject required by the Conciliation and Arbitration Center of the CCIC.

SECRETARIES OF THE ARBITRAL TRIBUNAL: The Arbitral Tribunal of the Conciliation and Arbitration Center of the CCIC shall appoint a secretary from the official list of the Center, who shall provide legal and technical support to the Tribunal and shall have the functions of technical guidance of the process and the management of the case file.

PROFILE TO BE AN ARBITRAL TRIBUNAL SECRETARY: To be included in the list of Arbitral Tribunal secretaries and to exercise these functions, the following requirements must be met:

• a)

  Know the ethical principles that govern the Center, possess the attitudes that facilitate their practice and comply with the regulations.

• b)

  Must be a legal professional, be incorporated into the Bar Association of Honduras and know the technique of managing the arbitral process.

• c)

  Have attended and passed the training course on the subject required by the Conciliation and Arbitration Center of the CCIC.

OBLIGATIONS. The persons subject to this Regulation shall comply with the following obligations, according to their position and functions, without prejudice to the others contained in other sections of this regulation and the Law: 1. To comply with and uphold the guiding principles of the Center, as well as its objective. 2. To develop the functions and duties contained in all applicable regulations applicable to their respective functions. 3. To exercise their functions with full compliance with professional ethics and with the guidelines established by the law and by the Center. 4. To report to the competent authorities and notify the Center of any conduct that, according to this regulation or the law, is subject to disciplinary action. 5. To process arbitration, conciliation and similar proceedings in accordance with the procedures established by current legislation and by the Center. 6. To dedicate to the attention and study of the case all the time that it reasonably requires. 7. To carry out the acts that are necessary to avoid invalidity of the proceeding and, if applicable, to resolve those that may have arisen. 8. To adhere in its actions to the principle of good faith. 9. To comply with all rules related to disqualifications, incompatibilities, conflicts of interest and duty of information, as appropriate to the nature of the functions and the position, and to notify the appropriate party of any situation that may cast doubt on their impartiality and independence. 10. To treat with respect, courtesy, impartiality and rectitude the representatives, the parties and in general, the persons with whom they have contact by reason of the service. 11. To be punctual and responsible in the management of the schedules established for the different hearings, arriving in advance to prepare everything that is needed and to begin the proceeding exactly at the scheduled time. 12. To grant to any legally interested person in a proceeding, or to that person's lawyer, the full right to be heard in accordance with the law. 13. To refrain from executing acts in the Center's facilities that offend morality or good customs. 14. To guarantee the proper custody and conservation of both the case file that contains the procedural records and the other elements related to the process. 15. To cite the parties or their representatives, as appropriate, to each of the hearings or meetings, with sufficient notice and in the manner indicated by law or by the Center's procedures. 16. To update and train themselves in matters of both alternative dispute resolution methods and the specialty to which they belong, attending conferences, forums, internships, training, seminars and in general, academic activities scheduled by the Center. 17. To provide disinterested collaboration to the Center if it so requires and conditions permit. 18. To train and update themselves in the use of computer systems in order to handle, at a minimum, the basic elements of the main software programs (Word, Excel, internet, etc.). 19. To train and make appropriate use of the information systems offered by the center in order to provide better service. 20. To report in writing to the Center the acceptance or withdrawal from a public position, for purposes of being temporarily suspended or reinstated on the lists. 21. To safeguard the interests of the Center, being loyal to the institution and acting in such a way as to help achieve its permanence and development. 22. To fully comply with the current regulations on the matter and with the professional and ethical duties of the respective profession. 23. In general, to comply with any other duty established by the Center in accordance with the Law and this Regulation.

INFRACTIONS. An infraction consists of the failure to comply with the obligations established in the Law, in this Regulation and other Center standards, such as the following:

• 1)

  Failure to meet the legal requirements, regulations and ethical principles of the Center.

• 2)

  Failure to accept the appointment made by the institution to handle a specific case or failure to appear at a hearing, except in case of force majeure, act of God or justifiably excused reason.

• 3)

  When sanctioned criminally or disciplinarily or incurring in ethical infractions that damage their image or that of the Center, provided this fact is duly accredited to the Center. Exceptions are made for criminal sanctions for negligent crimes.

• 4)

  Failure to participate in at least one of the free dissemination or promotion activities of the Center, scheduled annually.

• 5)

  Failure to comply with the terms established in this Regulation.

• 6)

  Providing inaccurate or false information, or omitting relevant information.

• 7)

  Failure to repeatedly participate in academic activities coordinated or directed by the Center.

SANCTIONS. According to the severity of the infraction, one of the following sanctions may be imposed on the responsible party:

• 1)

  Private Admonition: Is a call to attention of a confidential nature contained in a written document signed by the Director, which shall be filed in the professional's record to whom it is directed.

• 2)

  Suspension: Is the temporary removal from the list of professionals to which they belong. Suspension shall have a minimum duration of three (3) months and a maximum of six (6) months, after which they shall be considered again as an eligible professional by the Center.

• 3)

  Exclusion: Is the definitive separation from the Center's lists. Exclusion results in the inability to be part of or to re-enter any of the Center's official lists. The professional who has been excluded or suspended from the Center's lists, applying numerals 2 and 3 of this article, may also not be chosen by the parties to exercise functions as an arbitrator, conciliator or secretary in the proceedings administered by the Center.

PROCEDURE AND APPLICATION OF SANCTIONS. 1. The process may be initiated by written request of any natural or legal person, submitted to the Center's facilities. 2. The Director shall notify the professional of the investigated fact so that they may present in writing their version of the facts, providing relevant explanations or their admission of them, within ten (10) business days following receipt of the communication informing them of the disciplinary process. Failure to do so within the aforementioned term shall be understood as an admission of the facts and the respective sanction shall be imposed, if applicable. The result of the investigation shall be submitted to the Arbitration Commission, which shall decide the sanction applicable to the specific case. 3. The person against whom the sanctionary proceeding is initiated shall have the right to know all proceedings, to request copies of the case file containing them, to exercise their right of defense by submitting written responses and providing the evidence they deem appropriate or requesting the practice of evidence not in their possession. They may also appoint a representative and may know the content of the decisions. 4. The sanctions shall be executed by the Director, following what is decided by the Arbitration Commission. 5. The sanction must be reasoned and based on the evidence gathered in the proceeding. 6. No appeal may be filed against the resolution of the Arbitration Commission in which sanctions are imposed.

INFRACTIONS THAT WARRANT PRIVATE ADMONITION. The following conducts may result in private admonition: 1. Failure to accept cases assigned to them without impediment or valid excuse. 2. Failure to comply with the scheduled times for hearings or meetings. 3. Failure to prepare hearings with proper notice and depth. 4. Failure to comply with the procedures established by the Center. 5. Failure, without valid written excuse, to attend training programs scheduled by the Center. 6. Use of inappropriate vocabulary to any person's dignity, that is, uttering insults or using offensive or vulgar words to refer to a party, their representative or any other professional or employee of the Center. 7. Failure to update personal data and information held at the Center, either by update requested by the Center or by changes that may affect the service. 8. Schedule hearings outside of service hours, unless expressly authorized by the Center. 9. Failure to ensure proper custody and conservation of both the case file containing the procedural records and other elements related to the process. 10. Failure to timely inform the Center of any situation that may jeopardize the success of the proceeding or the reputation of the Center, its collaborators or alternative conflict resolution mechanisms.

INFRACTIONS THAT WARRANT SUSPENSION. The following conducts may result in suspension: 1. Incurring in a second infraction that results in written admonition. 2. Inadequate management of resources under their custody, or failure to deposit them promptly to the appropriate party. 3. Violate the confidentiality duties established in this Regulation and the Law. 4. Failure to comply with duties related to impediments, conflicts of interest, duty of information and, in general, those duties related to independence and impartiality. 5. Renunciation of the proceeding, without just cause, once accepted. 6. Exercise any kind of pressure or lobbying with a party or with the Center to be appointed in a proceeding as an arbitrator, secretary, conciliator or similar.

INFRACTIONS THAT WARRANT EXCLUSION FROM PROFESSIONAL LISTS. The following conducts may result in exclusion: 1. Having been sanctioned with suspension on two (2) or more occasions for the same or different reason. 2. Having been sanctioned by the Honor Tribunal of the Bar Association of Honduras or by any other entity or authority, for violation of their duties as a professional or for criminal or disciplinary infractions. 3. Participate in a process knowing that they are or may be in a possible conflict of interest or in a disqualification or grounds for impediment, which prevents them from acting with impartiality or independence towards the parties or their representatives. For this purpose, the actions carried out by the professional to identify this situation shall be verified. 4. Having seriously violated the Rules and Ethical Principles of the CCA-CCIC.

VALIDITY OF INCORPORATION. The Center's official lists shall be reviewed by the Arbitration Commission and shall be renewed every three (3) years, upon expiration of which the Arbitration Commission shall renew or not the registration. To this end, the Center shall send a communication requesting the relevant documents to carry out the renewal, for which a term of 30 calendar days shall be given. No appeal shall be available against the decision of the Arbitration Commission by which the renewal or non-renewal of the registration is resolved.

CONFIDENTIALITY: Conciliation and arbitration shall be confidential, so the right to privacy and good reputation that the users of the processes and proceedings carried out at the Center possess shall be protected. However, for academic and statistical purposes, with the express written authorization of both parties and excluding their names, the Center may compile the awards and decisions that are produced in the arbitral cases submitted to the Center. In accordance with this principle, the participants in any proceeding or action related to any function provided for in this Regulation must not at any time or under any circumstance use confidential information acquired during the proceeding. The duty of confidentiality is not violated when it is necessary to present information about deliberations or proceedings to defend oneself against any imputation in the framework of a regulatory, disciplinary or jurisdictional sanctionary process of any kind that is brought against them and this information may only be presented to the body conducting the investigation, whether it is a competent authority or the Court. In no case may this information be presented to the parties or to third parties other than the aforementioned entities. Neither is there a violation of the duty of confidentiality when the parties, by mutual agreement, in writing and expressly, authorize access to the information. In no case may conciliators reveal anything about what happened in the conciliation hearings, nor even in the cases established in the previous paragraph.

ACCEPTANCE OF THE REGULATION. By the simple submission of the request for incorporation to any of the Center's lists, it is understood that the applicant has read and accepts the content of this Regulation and is obligated to comply with it and to ensure its compliance in the exercise of their functions; likewise, it is understood that they commit to exercise their position with strict adherence to the Conciliation and Arbitration Law and the ethical principles of the Center. Acceptance also includes that of the fees fixed in the current Fee Schedule and payment guidelines.

GENERAL FUNCTION: The Center shall conduct, in accordance with this Regulation, the conciliation proceeding to promote the solution of conflicts in disputes whose resolution is referred to it and the law permits to be resolved by this mechanism.

REQUEST FOR CONCILIATION: The request to obtain the Center's conciliation services shall be directed in writing to the Director, either by one or several parties, directly or through an express power of attorney, in person or through electronic means determined by the Center, to request, attend conciliation and conciliate, if applicable. The request must contain:

• a)

  Name, domicile, physical address, email address, telephone number of the applicant and of their representatives or agents when applicable.

• b)

  Name, domicile and address of the prospective respondent and of their representatives or agents when applicable.

• c)

  A brief description of the conflict.

• d)

  The rational estimation of the amount or the statement of lacking a determined value.

• e)

  The documents that are considered pertinent for the best development of the conciliation process and that have a direct relationship with the conflict.

• f)

  The receipt proving full payment of administrative expenses in favor of the CCIC and the conciliator's fees.

PROCEEDING: Once the request to obtain the Center's conciliation services is received and accepted, the Director shall appoint the conciliator within three (3) business days following, in the manner provided in this Regulation. The conciliator and the parties shall be cited through communication sent to the address registered in the request, by any efficient means, indicating the place, date and time when the hearing will be held. The provisions in subsections a) and b) of article 43 of this Regulation, which refer to deadlines, shall be applicable to conciliation processes.

APPOINTMENT OF THE CONCILIATOR: The appointment of the conciliator who is to conduct the hearing in each case shall be made by the Director in a rotating manner among the experts that make up the list of conciliators. In accordance with articles 2, 14, 15, and 16 of the Conciliation and Arbitration Law, the parties by mutual agreement may designate the conciliator, provided that such conciliator is part of the Center's official list of conciliators.

DISQUALIFICATION AND RECUSAL OF THE CONCILIATOR: The conciliator shall have the same disqualifications and may be recused for the same grounds established for arbitrators. If the appointed conciliator considers that there is some impediment to act as such, without waiting for recusal, within the period of three (3) business days, he shall communicate it in writing to the Director, who within the same period shall resolve what is appropriate. The recusal shall be filed in writing before the Director within a period no longer than three (3) days after having received the notice of appointment or for grounds that arise thereafter. The Director shall forward it to the conciliator so that within the period of three (3) days he may state, also in writing, whether or not he accepts the recusal, justifying his pronouncement and, if applicable, providing the evidence of the case. Upon receipt of the conciliator's pronouncement, the Director shall have three (3) days to decide on the recusal. Against the decision of the Director no appeal shall lie.

PERSONAL APPEARANCE: Conciliation hearings may be conducted in person or virtually. The parties themselves must appear at the conciliation hearing, and in the case of legal entities, through their legal representatives, accompanied or not by their legal proxies. In the event that the parties attend with their legal proxies, these may be present at the hearing and provide advice to their clients, but shall not intervene directly; except as the conciliator deems convenient and appropriate. In the event that the parties cannot attend personally, they must be represented by duly authorized proxies with express and written authority to conciliate.

CONCILIATION HEARING: The Conciliator shall conduct the hearing in accordance with the established parameters and shall take into account the following aspects: a. He shall reaffirm to the parties the confidentiality and submission to the Center's regulations for the conciliation process. b. He shall act with equity, expediency, transparency, and impartiality, ensuring that the parties understand clearly that his only interest is to assist them impartially so that they may achieve the self-resolution of their conflict. c. He shall clarify the steps or rules that the parties shall respect during the course of the hearing. d. Once the conflict is defined, he shall support the parties so that they present settlement proposals, taking careful note of the approaches that occur or the proposed solutions that lead to a positive and fruitful result considering the actual interest of the parties. e. He shall have special interest and care in warning the parties that the agreements that occur are viable.

MINUTES: The minutes shall be clear and precise, containing the rights and obligations that each party acquires, if there is an agreement, or the record that there is none, always preserving the confidentiality that characterizes the proceeding. The conciliator, in order to draft the minutes, shall follow these rules: a. In the event that the parties reach a total or partial conciliation agreement, the conciliator shall immediately prepare the minutes, clearly stating that having the capacity to conciliate they have reached the following agreement, incorporating it therein. The minutes shall be signed by the parties and the conciliator. b. If either or both parties do not appear at the second hearing, the same shall be concluded and the conciliator shall issue to the interested party a certificate of impossibility of conciliation. c. When the parties cannot achieve the self-resolution of the conflict, they may request from the conciliator verbally, jointly or separately, to be cited for a new hearing. The conciliator shall record an act of suspension of hearing and shall set the date and time when the new hearing is scheduled and shall inform the Director of the request for a new hearing, in order to verify the number of hearings that have been conducted and the costs thereof. d. When one or both parties, through disagreement or lack of conciliation spirit, do not achieve a settlement of the conflict, the proceeding shall be concluded and the conciliator shall immediately prepare the minutes constituting a record of disagreement and shall be signed by the parties and the conciliator.

APPLICATION OF THE REGULATION: This Regulation applies when: 1. The parties have agreed in the arbitration agreement to submit to the Regulation of the Conciliation and Arbitration Center of the Chamber of Commerce and Industries of Cortés. 2. When this Regulation is applicable, it shall be the one in effect at the time of filing the claim, unless the parties have agreed in the arbitration agreement to submit to the Regulation in effect at the date of execution of the arbitration agreement. 3. In matters not provided for in this Regulation, the proceedings before the Arbitral Tribunal shall be governed by the provisions of the Conciliation and Arbitration Law. 4. The parties may, by mutual agreement, modify in whole or in part the procedural rules provided for in this Regulation, in accordance with the provisions of the Conciliation and Arbitration Law. However, if such modifications are agreed upon, it shall be accepted and understood by the parties that, in the event that such modifications require acts or omissions that cannot reasonably be performed by the Center or the Arbitral Tribunal, they shall be considered nonexistent and, consequently, both the Center and the Arbitral Tribunal shall observe the procedure, in their respective capacity, in accordance with the provisions of this Regulation, without taking into account such modifications. 5. In those cases in which the parties indicate in the arbitration agreement that they submit to both the procedural rules of this Center and those established in the Conciliation and Arbitration Law, this Regulation shall prevail and, in the gaps thereof, the Conciliation and Arbitration Law shall apply. 6. Everything not provided for in this regulation and in the absence of agreement between the parties, shall be resolved by the Arbitral Tribunal, once it is integrated and installed.

DIRECTION OF THE PROCESS: The Arbitral Tribunal, through its president, shall have the power to direct the process and the debate; without prejudice to the participation of the other arbitrators. For the purposes of directing the process, the Arbitral Tribunal may call the parties to participate in preparatory meetings, which may be conducted in person or virtually, in which the parties may reach agreements and decide on how to efficiently advance the process, including from general matters of scheduling activities to specialized matters such as the determination of rules and parameters for the presentation and production of evidence in the ongoing process. The foregoing is without prejudice to the power established for the Arbitral Tribunal in article 37, numeral 6 of this Regulation, in the event that the parties do not reach an agreement in this regard.

MANNER OF RESOLVING MATTERS: The Arbitral Tribunal shall decide all matters submitted to its consideration subject to law, in equity, or in accordance with the norms and principles of a science, art, or trade, as stipulated in the arbitration agreement. In the event that the parties have not agreed thereon, the Tribunal shall resolve according to law.

NOTIFICATIONS AND COMMUNICATIONS: The following criteria regarding written notifications and communications are adopted:

• a)

  Any notification and any other written communication shall be considered valid when delivered personally to the recipient or to someone with his representation, at his special domicile, at the establishment where he conducts his principal activity, or at his habitual residence.

• b)

  When it is not possible to locate any of the places indicated in the preceding subsection, any notification or written communication shall be considered received when it has been sent by certified mail or any other means that provides proof of the fact, to the last known establishment, domicile, or habitual residence.

• c)

  Notifications shall be equally valid when made by certified mail, telex, facsimile, or any other means of electronic communication, of which there is proof of receipt by its recipient.

• d)

  In hearings, notifications shall be made in open court to the parties present or absent when they have been duly summoned, in accordance with the provisions of this article.

• e)

  In case of default by the defendant, notifications to him shall be made in accordance with what is indicated in subsections a), b), c), and d).

• f)

  In the cases of subsections a) and b), the notification or communication shall be considered received on the date on which delivery was made.

COPY OF PROCEEDINGS AND DOCUMENTS: Of all proceedings, documents, and any other information that one of the parties supplies to the Arbitral Tribunal, a copy shall be delivered to the other without the need for an order to that effect. Similarly, expert reports or evidentiary documents on which the Arbitral Tribunal may base its decision shall be made available to both parties.

DURATION OF THE PROCESS: Unless otherwise agreed by the parties, the duration of the arbitral process shall not exceed five (5) months, counted from the moment when the last arbitrator accepted his position, without prejudice to the parties by mutual agreement and prior to its expiration deciding to extend it.

DEADLINES: 1. For the purposes of calculating the periods established in this Regulation, these shall begin to run on the day following receipt of a notification or communication. If the last day of the period falls on a holiday or non-working day, the period shall be extended until the first following working day. 2. It is understood that the periods indicated in days in this Regulation are business days, unless expressly indicated otherwise. Business days are those days and hours during which the Center is open to the public. 3. The Arbitral Tribunal may enable non-business days and hours, it being understood that it makes the enabling when ordering or executing proceedings in non-business hours and days. 4. The Arbitral Tribunal, in addition to the periods set forth in this Regulation, shall have the freedom to set those required by the procedure. However, the Tribunal may extend them if it deems that the extension is justified.

SEAT OF ARBITRATION: The seat of the Arbitral Tribunal is the same as that of the Center. Without prejudice to the foregoing and unless otherwise agreed, the Arbitral Tribunal may meet in any place it deems appropriate.

LANGUAGE: 1. The language of national arbitration shall be Spanish. 2. In hearings, any of the parties may request from the Arbitral Tribunal the appointment of a translator. The translator's fees shall be borne by the party requesting him. 3. The Arbitral Tribunal shall order that documents attached to the claim or answer and any documents or instruments presented during proceedings in a language other than Spanish be accompanied by a translation. The translation shall not require any formality, except that it shall be performed by a person qualified to do so. 4. In case of international arbitration, the parties may freely agree on the language or languages to be used in the arbitral proceedings. In the absence of such agreement, the arbitral tribunal shall determine the language or languages to be used in the arbitral proceedings.

REPRESENTATION: The parties shall be represented by one or more duly bar-certified legal professionals accredited by power of attorney granted before a Notary in office; except in cases where the law permits their direct intervention. The power of attorney granted to represent the parties in an arbitral proceeding includes, in addition to the legal powers granted to him, the power to be notified of all proceedings adopted in the tribunal without this being able to be stipulated otherwise. In cases in which the parties are represented by two or more duly accredited legal professionals, communications and notifications shall have their effects when made to any of them. It is the duty of the parties' proxies to provide physical and electronic contact addresses for purposes of information and notification. Likewise, the proxies shall update said addresses in case of modification, under penalty of communications and notifications being validly served at the previously provided addresses. The parties may grant special power of attorney to their proxies to modify the arbitration agreement and/or to designate the arbitrators when it corresponds to the parties to designate them in accordance with what is provided in the arbitration agreement. If such powers are not expressly granted, the parties shall be the only ones authorized to perform such proceedings.

ORALITY OF PROCESS The Arbitral Tribunal shall apply, in the arbitral process, the principle of orality and shall endeavor that proceedings be conducted in accordance with this principle, through the holding of the respective hearings that may be recorded by any means of material support. The proceedings conducted at hearings may be recorded succinctly in minutes, provided that such practice does not compromise the orality of the process, reducing the agility of the arbitral procedural actions.

PRESENTATION OF DOCUMENTS: All documents related to the arbitral procedure must be presented to the Center in person or electronically, as appropriate, within the established deadlines. The presentation shall be made by the parties themselves or through their representatives, who may use a messenger, certified mail, courier service, electronic mail, or any other means available to them that guarantees the certainty of sending and receipt.

EXEMPTION OF LIABILITY: Neither the Chamber of Commerce and Industries of Cortés, nor the Center for Conciliation and Arbitration, nor its administrative personnel shall be responsible to any person or institution for facts, acts, or omissions related to arbitral processes that it administers. SECTION II CONSTITUTION OF THE ARBITRAL TRIBUNAL

NUMBER OF ARBITRATORS: The number of arbitrators shall always be odd. Any agreement of the parties to the contrary shall be deemed unwritten, in which case the provisions in the following paragraph of this article shall apply for the constitution of the tribunal. If the parties have not agreed on the number of arbitrators, the tribunal shall be constituted by:

• a)

  One (1) arbitrator, when the amount of the claims is less than the sum equivalent to fifty (50) legal minimum monthly salaries for the largest commerce sector.

• b)

  Three (3) arbitrators, when the amount of the claims is equal to or greater than the sum equivalent to fifty (50) legal minimum monthly salaries for the largest commerce sector.

• c)

  Three (3) arbitrators, when the amount is undetermined.

APPOINTMENT OF ARBITRATORS In the event that the parties have not appointed arbitrators in the arbitration agreement or have omitted the procedure for doing so, the appointment shall be made by the Arbitration Commission in a rotating manner and taking into account the specialty of those registered on the official list of arbitrators. The Arbitration Commission may, for such purpose, conduct a pre-selection of arbitrators specializing in a particular matter who, in accordance with the nature of the case presented, have the experience and knowledge required for such case, and from these the designation shall be made for the constitution of the Tribunal. In pursuit of greater efficiency, principal arbitrators and alternates shall be designated for each case, who shall replace the principals in the event that they do not accept the position, or for any other reason are unable to exercise it or cease to perform their duties. If the procedure for appointing arbitrators does not correspond to the CCIC, it shall proceed in accordance with the will of the parties and the provisions of applicable law; but if those who must appoint the arbitrators fail to do so in the manner and deadline established, the Arbitration Commission shall proceed to make the corresponding appointment or appointments. Once the arbitrators have been designated, they shall be notified in writing of their appointment by the most expeditious means at the Center's discretion, so that within the following five (5) days they shall declare in writing whether they accept or not. Failure to make a declaration within the stated deadline shall be deemed a rejection and shall allow the Arbitration Commission to appoint another arbitrator. If the parties did not agree on the substitution of arbitrators, the appointment shall be made by the Arbitration Commission. The parties jointly may delegate to the two arbitrators designated by them the appointment of the third arbitrator who shall constitute the arbitral tribunal, from the official lists of arbitrators of the Center.

MULTIPARTY ARBITRATION: When arbitrators are to be appointed by the parties and there is a plurality of claimants or defendants, the members of each party shall act jointly, in their capacity as claimants or defendants, for the appointment of arbitrators, unless another method for doing so has been defined. In the event that one of the parties, with a plurality of claimants or defendants, fails to reach an agreement on the designation of arbitrators or does not attend the arbitrator designation meetings to which they have been summoned, the Arbitration Commission shall proceed with the appointment of the arbitrators not designated, at the request of any of the parties.

INDEPENDENCE AND IMPARTIALITY: Every arbitrator must be and remain, at all times, independent and impartial.

CHALLENGE: Arbitrators may refrain from acting as such or be challenged on the same grounds established by Law for holders of judicial office. In the same manner, they may be challenged for not meeting the conditions that in accordance with the law, the arbitration agreement, or this Regulation have been established for the case. Arbitrators designated by the parties may only be challenged immediately and on grounds that arise after their appointment.

PROCEDURE FOR CHALLENGE a) The party challenging an arbitrator must communicate it in writing to the Director of the Center, to the Arbitration Tribunal, and to the other party, explaining the grounds for the challenge. The challenge shall be presented within a period of three (3) days counted from the day following the date of receipt of the notice of acceptance of the arbitrator, or within three (3) days following the date of becoming aware of the existence of the ground for challenge. b) When an arbitrator has been challenged by one party, the other party and/or the challenged arbitrator shall have the right to present the corresponding defenses. This right shall be exercised within a period of three (3) days counted from the day following the date of receipt of the communication referred to in the preceding subsection, with copies to the Director of the Center, the Arbitral Tribunal, and the party that filed the challenge. c) The Tribunal, at its sole discretion, may suspend or continue the arbitral proceedings while the challenge is pending resolution by the Arbitration Commission. d) The other party may agree with the challenge or the challenged arbitrator may voluntarily resign. If either of the two stated situations occurs, the arbitrator shall be replaced, which does not imply that the grounds for the challenge are valid. e) If the other party does not agree with the challenge and if the challenged arbitrator does not accept the challenge nor resigns from the position, the decision shall be made by the Arbitration Commission, based on the evidence submitted. No appeal shall lie against the decision of the Arbitration Commission.

SUBSTITUTION OF AN ARBITRATOR: In the event of death, absolute impossibility, resignation, or removal of an arbitrator during the arbitral process, a substitute arbitrator shall be appointed or elected in accordance with the rules established in this Regulation. In such case, the arbitral proceeding shall be suspended, for which reason such period shall not be taken into account for purposes of computing the maximum duration deadline of the arbitral proceeding and, consequently, must be deducted in its entirety. SECTION III ARBITRAL PROCESS SUB-SECTION I INITIATION OF ARBITRATION

REQUEST FOR CONSTITUTION OF ARBITRAL TRIBUNAL: Once a conflict has arisen, any of the parties signatories to the arbitration agreement, which may be made electronically in accordance with the provisions of the Honduran Law on Electronic Signatures, shall present the request for constitution of arbitral tribunal to the Center, in person or by the electronic means determined by the Center. This request for constitution of arbitral tribunal does not constitute the complaint, which the interested party could present if applicable, in accordance with the provisions of this regulation. The action shall be understood as initiated by the arbitral route from the date the request for constitution of arbitral tribunal is presented, as referred to in this article, to the Center, whether in physical or electronic form. In the event that the request for constitution of the Arbitral Tribunal is presented in person, copies of the same shall be presented, taking into account the number of arbitrators that must constitute the Arbitral Tribunal and the number of defendant parties. The request for constitution of arbitral tribunal directed to the Center shall contain the requirements established in article 58 of this Regulation. The Center shall proceed to form the merit file, in physical or digital form, in the software that the Center has for that purpose, as appropriate, in which any document, writing, and/or request that is presented shall be added until the Tribunal is installed and issues the corresponding resolutions. Prior to the installation of the arbitral tribunal, only the parties, their legal representatives, or their duly accredited proxies shall have access to the request for constitution of arbitral tribunal and its annexes, and from that point on, it shall be the Arbitral Tribunal that is competent to establish which persons have access to the complaint and the file.

REQUIREMENTS OF THE REQUEST FOR CONSTITUTION OF ARBITRAL TRIBUNAL: The request for constitution of arbitral tribunal shall be presented to the Center, in physical or electronic form, as appropriate, duly signed by one or several parties, or by their representatives expressly authorized to present it. The same shall contain:

• a)

  Full name of the parties if they are natural persons. In the case of legal entities, their company name or business designation.

• b)

  Address, electronic mail, telephone, legal particulars of the parties and their legal representatives or proxies.

• c)

  A brief summary of the controversy, disagreement, or issues they wish to submit to arbitration.

• d)

  A rational estimate of the amount in dispute or a statement that there is no determined value.

• e)

  The address for receiving notifications, telephone number, fax, and electronic mail.

• f)

  The receipt that proves payment of the corresponding 50% of administrative fees in favor of CCIC.

CONCILIATION HEARING IN THE ARBITRAL PROCESS: Once the request for constitution of arbitral tribunal is presented, the Center shall send a notice informing the other party of the presentation of such request and shall invite the parties to hold a conciliation hearing. This communication shall be sent to the address provided by the applicant in his request for constitution of arbitral tribunal. If a full agreement is reached and all claims of the parties are settled, the Director shall declare the arbitral proceeding concluded. If the settlement is partial, the proceeding shall continue with respect to the claims not settled. If conciliation is not achieved, the director shall proceed to constitute the Arbitral Tribunal in accordance with what was agreed by the parties or established in this Regulation.

NEW CONCILIATION HEARING: At any stage of the arbitral proceeding, before issuing the award, the parties, by mutual agreement, may request that the Tribunal suspend proceedings to hold a new conciliation hearing directed by the Director of the Center, or reach a settlement that shall be incorporated in an arbitral award if the parties so request. The time that the parties dedicate to the holding of the new conciliation hearing, from the request until the moment an agreement is or is not reached between them, shall not be taken into account for computing the deadline of the arbitral process.

INSTALLATION HEARING: Once the designation has been accepted in writing by all arbitrators and, where applicable, the procedures for challenge and substitution have been completed and conciliation has been conducted without reaching a full settlement of the differences, the arbitral tribunal shall be installed at a hearing for which the Center shall set the date and time and shall summon the parties. At this hearing: 1. The Center shall deliver to the Arbitral Tribunal a copy of the file with all proceedings completed up to that date. 2. The Center shall administer the oath to the arbitrator(s) and shall declare them duly sworn in to their positions. 3. The President of the Arbitral Tribunal shall be appointed. 4. The Tribunal at the Installation hearing shall appoint and administer the oath to its Secretary, who shall take office in that act and shall assume the duties that correspond to him from that moment on. 5. The Director or Sub-Director of the Center shall serve as Ad-Hoc Secretaries, solely for the development of this hearing. 6. The Center for Conciliation and Arbitration of the Chamber of Commerce and Industries of Cortés shall be established as the seat of operation of the Arbitral Tribunal. 7. A deadline of fifteen (15) business days shall be granted to the party that presents the request for constitution of arbitral tribunal, so that it may proceed to present to the arbitrators the complaint, together with its corresponding annexes. 8. The provision of funds for the operation of the arbitral tribunal shall be determined.

REQUIREMENTS OF THE COMPLAINT: The complaint document must contain at a minimum the following requirements:

• a)

  Full name of the parties if they are natural persons. In the case of legal entities, their corporate name or denomination.

• b)

  Address, email, telephone, domicile, and general information as required by law of the parties and their representatives or legal agents.

• c)

  Proof of the existence and legal representation of the plaintiff, when the plaintiff is a legal entity.

• d)

  The claims being asserted, points in dispute, the facts on which they are based and the evidence intended to be presented, and in the case of arbitration in law, the legal grounds.

• e)

  A rational estimate of the amount in controversy or a statement that it lacks a determined value.

• f)

  The address for receiving notifications, telephone number, fax, and email.

• g)

  A copy of the document containing the arbitration agreement, if one exists.

• h)

  Any annexes that may be relevant. In the event that the party promoting the request for arbitral tribunal integration does not present its complaint within the prescribed timeframe, the tribunal shall terminate its functions and return the proceedings to the parties.

ADMISSION OF THE COMPLAINT: The Arbitral Tribunal shall proceed to issue a ruling resolving on the admission, non-admission, or correction of the complaint. In the event that the complaint contains defects or correctable omissions, the Arbitral Tribunal shall communicate this to the plaintiff, so that it may proceed to correct what is necessary within five (5) business days following notification.

RESPONSE AND COUNTERCLAIM: 1. If the Arbitral Tribunal admits the complaint, it shall be transmitted to the defendant for response and, if applicable, to propose such exceptions as it deems relevant, within fifteen (15) business days following transmission. The response to the complaint must meet the same requirements as the complaint. 2. If the summoned party or defendant, with the response to the complaint, proposes exceptions or counterclaims, the file shall be transmitted to the summoning party or plaintiff so that within the term of seven (7) business days it may pronounce itself with respect to the exceptions raised and respond to the counterclaim. 3. If in responding to the counterclaim the counterclaimant opposing party interposes exceptions, the file shall be transmitted to the counterclaimant so that within the term of seven (7) business days it may respond to the exceptions raised. 4. If the summoned party or defendant does not respond to the complaint within the term to do so, the Secretary of the Arbitral Tribunal shall place this on the record, and the case shall proceed with the defendant in default.

TACIT SUBMISSION: Notwithstanding that proof that the arbitration agreement is in writing is not attached to the complaint, the Secretary, upon order of the Arbitral Tribunal, shall transmit the file to the other party in accordance with legal provisions, and if that party responds to the complaint within the established timeframe, it shall be understood that it agrees to submit the dispute to the arbitral jurisdiction of the Center and consequently is bound by the provisions of this Regulation. Otherwise, it shall be understood that it does not agree to submit the dispute to the arbitral jurisdiction of the Center, and therefore the Arbitral Tribunal shall issue an order of dismissal of the proceedings.

PROVISION OF FUNDS: At the installation hearing, the Tribunal shall require each of the parties, as applicable, to deposit an equal sum as payment for arbitrator fees, secretarial fees, and administrative expenses, in accordance with the fee schedules established by the Center, without prejudice to the accreditation of 50% of the administrative expenses incurred by the applicant at the time of filing the request for arbitral tribunal integration. During the proceedings, the Tribunal may require additional deposits from the parties for expenses necessary for the functioning of the Tribunal. If one of the parties so requests, the Tribunal shall fix the amount of the deposits or additional deposits. If within five (5) days from notification of the requirement the deposits have not been made in full, the Tribunal shall inform the parties of this fact so that each may make the required payment. If this payment is not made, the Tribunal may cease its functions, conclude the arbitration procedure, or may dispense with the proposed evidence or proceeding, as applicable. In the event that one of the parties does not comply with the tribunal's requirement, the party that did comply with the requirement may deposit the amount corresponding to the other party in order to prevent the Tribunal from dispensing with evidence or a proceeding, ceasing its functions, or concluding the process; a situation that the Arbitral Tribunal shall take into account in calculating the individual costs of the process. In the event of default by the defendant, the party requesting the arbitration process may pay the entire costs of the process; without prejudice to any calculation made by the Arbitral Tribunal or the right of recourse. Payment of administrative expenses and fees corresponding to a party composed of multiple parties cannot be divided and they are obligated to pay the full amount thereof.

CONSOLIDATION OF ARBITRAL PROCEEDINGS: At the request of a party, two or more arbitral proceedings may be consolidated provided that: 1. The parties have agreed to consolidation, 2. In the more recent proceedings the Arbitral Tribunal has not been constituted and all requests in the arbitral proceedings have been formulated under the same arbitration agreement. 3. When the complaints are formulated based on different arbitration agreements, the arbitrations shall be: between the same parties, the disputes in the arbitrations arise in connection with the same legal relationship, and the Arbitral Tribunal before which the consolidation request is filed, based on its examination of the proceedings, determines that the arbitration agreements are compatible and that the proceedings should constitute a single case and end in a single award. In all of the foregoing cases, consolidation shall always be made with the oldest proceeding, unless all parties mutually agree otherwise.

RULES FOR DETERMINING THE AMOUNT IN CONTROVERSY OF THE ARBITRAL PROCEDURE: The Arbitral Tribunal shall determine the amount in controversy of the arbitral procedure in accordance with the following rules: 1. If there is no counterclaim, the amount in controversy of the arbitral procedure shall be the amount stated in the complaint. 2. If there is a counterclaim, an amount shall be computed for the principal complaint and another for the counterclaim, which shall have separate provisions of funds, although they are processed in the same procedure. 3. If from examination of the complaint, the counterclaim if applicable, and other preceding matters, it appears that the amount in controversy can be determined, the Arbitral Tribunal may fix it, even though the parties have stated that it is indeterminate. 4. If from examination of the complaint, the counterclaim, other preceding matters, and the circumstances of the case, it appears that the economic significance of the case is of greater significance, even though its amount in controversy remains indeterminate, the Arbitral Tribunal may establish and determine that the provision of funds be adjusted in accordance with the economic impact of the case. Only for purposes of determining the provision of funds may the plaintiff or counterclaimant indicate a range of estimation regarding the economic significance of its claim, even if the complaint is of indeterminate amount in controversy. 5. In the event that the amount in controversy is indeterminate, the Arbitral Tribunal may establish in the award a specific amount of the complaint or counterclaim if, in accordance with the evidence presented in the process, the amount is proven. In this case the parties shall pay the resulting amount, prior to delivery of an authentic copy of the award issued.

FIRST PROCEDURAL HEARING: Once the complaint, response to the complaint, counterclaim, and response thereto, if applicable, have been admitted, the Arbitral Tribunal shall convene the parties to a first procedural hearing, setting the date, time, and place. In this hearing, which may be held in person or virtually, the Tribunal shall resolve the following matters: 1. Its own jurisdiction, including objections relating to the existence, validity, or effectiveness of the arbitration agreement that shall be raised in the response to the complaint or considered by the Tribunal on its own initiative. 2. Total or partial objection to arbitration on grounds of non-existence, ineffectiveness, or invalidity of the arbitration agreement, or because arbitration was not agreed upon to resolve the disputed matter, must be raised when presenting the response to the complaint. The arbitrators, however, may consider these matters on their own initiative. The Arbitral Tribunal shall resolve these matters as a preliminary issue, if possible. However, the arbitral tribunal may continue with its proceedings and decide on its jurisdiction and any objection thereto in the award when it so determines. 3. The Arbitral Tribunal may request that the parties provide clarification, correction, or supplementation to the complaint, response, counterclaim, or response thereto; which they shall answer within three (3) days counted from the day following the conclusion of this hearing. The parties shall have three (3) days to respond to any corrections or supplementations. 4. On the amount in controversy of the complaint and counterclaim, if applicable, as well as provisions regarding the corresponding provision of funds. 5. The exceptions or procedural defects that have been raised, unless the Tribunal reserves ruling on these exceptions for the award. 6. Correction of nullities or any other issue affecting the procedural or material elements. 7. Establishment of the admitted facts and disputed facts that the Tribunal shall resolve. 8. Maximum date for issuing the award. 9. The procedure to be followed in the arbitration, the schedule of hearings for the presentation and taking of evidence, including evidence in relation to evidence presented by the opposing party, the manner in which evidence shall be presented, and any other aspect it considers relevant for the proper processing of the case.

ADMISSIBILITY AND VALUE OF EVIDENCE: The Arbitral Tribunal shall have exclusive authority to determine the admissibility, relevance, and value of evidence, as well as the deadlines for the presentation and taking of evidence, applying the following criteria: 1. Each party shall bear the burden of proof for the evidence it relies upon to support its claims or defenses. 2. At any stage of the proceedings, the arbitrators may request that the parties provide clarifications or information; they may also order on their own initiative the presentation of the means of proof they deem necessary. 3. In the case of expert evidence, they may order that the opinion be explained or supplemented. 4. The Arbitral Tribunal may consider deadlines for stages already completed by the parties as expired. The inactivity of the parties does not prevent the continuation of the process or the issuance of the award based on what has already been done. 5. The Arbitral Tribunal may, with reasoned justification, dispense with evidence not presented if it considers itself adequately informed, by means of a ruling against which no appeal shall lie. 6. The presentation of evidence, except in the case of documentary evidence, shall be carried out at a hearing for which purpose the parties shall be informed in advance of the date, time, and place where the respective hearing or proceeding shall take place. 7. Evidence shall be presented by the Tribunal in pleno; for evidence to be taken outside the place of domicile, it may either do so directly or delegate to some judicial authority of that place to present it. For the presentation of evidence abroad, the Tribunal shall proceed in the same manner and terms as ordinary judges do in accordance with the Civil Procedure Code.

EXPERT WITNESSES: The parties may request the appointment of expert witnesses to inform the Tribunal on specific matters that the latter shall determine. The fees of the expert witness shall be paid by the party requesting the appointment. Likewise, the Tribunal may appoint expert witnesses on its own initiative that it deems necessary; in this case the fees of the expert witnesses shall be covered by the proceeding's expense fund.

CLOSING ARGUMENTS: Once evidence has been presented, the Arbitral Tribunal shall convene the parties to hear the closing arguments of the parties, setting the date, time, and place for this purpose, at which time they shall deliver in writing a summary of their allegations.

AWARD HEARING: Once closing arguments have concluded, the Arbitral Tribunal, at the same hearing, shall set the date and time for the award hearing, in which the Arbitral Tribunal shall conduct the following: 1. It shall read the operative part of the award, and the parties shall thereby be notified of the decision of the Arbitral Tribunal. 2. The hearing shall be concluded with the delivery of an authentic copy of the award to each of the parties. If any of the parties does not attend said hearing, the award shall be notified to it within three (3) days of being issued, with delivery of an authentic copy thereof.

VOTING OF THE ARBITRAL TRIBUNAL: Awards or decisions of collegial arbitral tribunals shall be valid when adopted by simple majority vote of the arbitrators. In the event that a majority vote is not obtained, the president of the Tribunal shall have double voting power.

CONTENTS OF THE AWARD: The award shall be issued in writing, shall be reasoned, and shall contain the following:

• a)

  Place and date.

• b)

  Names of the parties, their legal representatives if any, and the arbitrators.

• c)

  The matter submitted to arbitration and a summary of the allegations and conclusions of the parties.

• d)

  The evaluation of the evidence presented.

• e)

  The ruling, which shall be clear, precise, and consistent with the claims and other relief sought in a timely manner in the case, making the declarations required by them, condemning or acquitting the defendant, and deciding all disputed points that were the subject of debate. When there have been several, the corresponding ruling shall be made with proper separation for each of them.

• f)

  The determination of the amount of the costs of the proceeding if any; and,

• g)

  The signature of the members of the tribunal and the secretary.

FORCE AND VALIDITY OF THE AWARD: The award has the same force and validity as a judicial sentence.

EFFECT OF THE AWARD: The final arbitral award has the effect of res judicata and provides executive force in the manner and terms established in the Civil Procedural Code.

CLARIFICATION AND CORRECTION OF THE AWARD: Within three (3) days following notification of the award to the parties, they may request clarification, supplementation or correction thereof, in the latter case, for calculation, copying or typographical errors, or the arbitrators may do so ex officio. The tribunal shall clarify, supplement or correct the award, if applicable, within a period not exceeding seven (7) days counted from the respective request. No appeal shall lie against this decision.

REMEDIES: Against the arbitral award only the nullity remedy may be filed and against other decisions of the arbitrators, only the reconsideration remedy is available before the same Tribunal, unless the Conciliation and Arbitration Law has provided that no remedy is available. If the parties so stipulate in the arbitration agreement, the nullity remedy of the award issued by the Arbitral Tribunal may be heard and decided by another arbitral tribunal constituted in the same manner as the first, for which purpose the proceedings shall be transmitted to it. In all other respects, both remedies shall be regulated in accordance with the provisions of the Conciliation and Arbitration Law. SUB SECTION VI LIQUIDATION OF TRIBUNAL COSTS

FINAL LIQUIDATION OF COSTS: Upon conclusion of the proceedings, the Arbitral Tribunal shall make a final liquidation of additional costs requested from the parties to advance the proceedings, other than the administrative costs contemplated in the Center's fee schedule, for which purpose it shall cover pending costs and, after providing a reasoned accounting, shall return any balance to the parties if there is any. CHAPTER IV THE ARBITRAL TRIBUNAL THAT SHALL HEAR THE NULLITY REMEDY

COMPOSITION OF THE ARBITRAL TRIBUNAL THAT SHALL HEAR THE NULLITY REMEDY: The arbitral tribunal that shall hear the Nullity Remedy shall be appointed, composed and installed in accordance with the provisions of the Conciliation and Arbitration Law and this Regulation, solely to hear the Nullity Remedy that may have been filed, in the event that the parties have agreed that such remedy shall be heard by an arbitral tribunal. For the proper processing of this Remedy, the provisions of articles 74, 75, 76 and 77 of the Conciliation and Arbitration Law shall be followed. The appellant shall have a period of fifteen (15) business days to submit the request for composition of the appellate arbitral tribunal to the Center, based on the requirements established in article 58 paragraphs a, b, d, e, f of this regulation, counted from the day following the date on which the Arbitral Tribunal that issued the appealed Award notifies it of the transmission of the record to the Center, granting it such period. If the appellant does not submit the respective request within the stated period, the nullity remedy that was filed shall be deemed abandoned.

ADMISSIBILITY OF THE NULLITY REMEDY: The Arbitral Tribunal that shall hear the Nullity Remedy shall summarily reject the nullity remedy when it is apparent that its filing is untimely or when the grounds do not correspond to any of those indicated in the Conciliation and Arbitration Law. In the order by which the arbitral tribunal that shall hear the Nullity Remedy assumes jurisdiction of the remedy if it is deemed admissible, it shall order successive transmissions for five days to the appellant to sustain it and to the opposing party to present its arguments. The transmissions shall be made by the Secretary and without need of a new order. In the event that the remedy is not formalized by the appellant, the arbitral tribunal that shall hear the Nullity Remedy shall declare it abandoned with costs against it.

EVIDENCE: After the transmission and after the necessary evidence has been presented at the discretion of the Arbitral Tribunal, the remedy shall be decided, for which purpose said Arbitral Tribunal shall have a period not exceeding one (1) month.

CONSEQUENCES OF THE NULLITY REMEDY: When any of the grounds set forth in numerals 1, 2, 3, 4, 5 and 6 of article 74 of the Conciliation and Arbitration Law are upheld, the arbitral tribunal that shall hear the Nullity Remedy shall declare the award null and void. In the other cases, it shall proceed to order the arbitral tribunal to make the corresponding corrections or additions. Against the order of the arbitral tribunal that shall hear the Nullity Remedy, no remedy shall lie.

PRECAUTIONARY MEASURES IN CASE OF NULLITY REMEDY: Once the Nullity Remedy is filed, the party who has an interest may request the appropriate precautionary measures to ensure the full effectiveness of the remedy. CHAPTER V INTERNATIONAL ARBITRATION

INTERNATIONAL ARBITRATION: The Conciliation and Arbitration Center of the Chamber of Commerce and Industry of Cortés may process international arbitrations, in cases where the parties have agreed to such in the respective Arbitration Agreement. Arbitrations shall be considered international when, in accordance with International Treaties or the law, they must have such consideration.

SUBSTANTIVE NORMS: In international arbitrations, the substantive norms applicable shall be considered to be those that the parties have agreed upon in the respective Arbitration Agreement or, failing that, those determined by the Arbitral Tribunal in the respective First Procedural Hearing. PROCEDURAL NORMS: The procedural norms in international arbitration are considered to be those of the regulation to which the parties have submitted themselves and as mandatory arbitral norms those of the place that has been established as the seat of arbitration. In international arbitrations conducted at this Center, the procedural norms set forth in this Regulation shall be considered, and the mandatory norms shall be those of the Conciliation and Arbitration Law of Honduras. Arbitrations shall be conducted in accordance with the provisions of this Regulation, with the modifications established in this Chapter.

ARBITRATION IN LAW: In international arbitrations that must be resolved in law, the arbitrators must be legal professionals and be authorized to practice their profession. It is understood that the arbitrator meets such requirement if authorized to practice the legal profession in the country where they practice it.

TECHNICAL ARBITRATION: In international arbitrations that must be resolved in accordance with technical norms or principles, the arbitrators must be experts in the art, profession or trade in question. It is understood that the arbitrators meet such requirement if they practice it in their country of origin.

FIRST PROCEDURAL HEARING: In international arbitrations, in addition to what is established in article 69 of this Regulation, the Arbitral Tribunal, in the event that the parties do not establish it by common agreement, shall rule on the language of the arbitration and the norms applicable to the specific case.

NATIONALITY OF ARBITRATORS: Unless the parties agree otherwise, the nationality of a person shall not be an obstacle to that person acting as an arbitrator. CHAPTER VI FINAL PROVISIONS

FEES: The Board of Directors of the Chamber of Commerce and Industry of Cortés shall have the authority to establish, regulate, and modify fees for administrative expenses, honorariums for conciliators, arbitrators, court secretaries, expert witnesses, and other persons involved in proceedings; as well as fees for any other service provided by the Center.

APPLICATION OF FEES BY THE ARBITRAL TRIBUNAL: The Arbitral Tribunals that are constituted in accordance with this Regulation shall comply with the fees authorized by the Board of Directors, as well as the guidelines related to the payment of expenses and honorariums approved by the Arbitration Commission.

ETHICAL PRINCIPLES: The ethical principles that govern the Center shall be approved by the Board of Directors of the Chamber of Commerce and Industry of Cortés, as well as any amendments thereto.

PROCEEDINGS IN PROCESS: Conciliations and arbitrations that are pending when this Regulation comes into effect shall continue to be processed until their conclusion in accordance with the previous Regulation, which shall remain in effect only for these purposes.

SPECIAL PROCEDURES: The Arbitration Commission may submit for consideration and approval by the Board of Directors of the CCIC regulations for specialized procedures, supplementary to this Regulation.

AMENDMENTS TO THE REGULATION: This Regulation may be amended by the Board of Directors of the Chamber of Commerce and Industry of Cortés, when it deems it convenient or necessary.

EFFECTIVE DATE OF THE REGULATION. Once this Regulation is approved by the Board of Directors of the Chamber of Commerce and Industries of Cortés, it must be published on the website portal of the Conciliation and Arbitration Center of said Chamber, and shall take effect on the date of May two (02) of the year two thousand twenty-four (2024), expressly replacing the one in effect until that date. Note: This Regulation was approved by the Board of Directors of the Chamber of Commerce and Industries of Cortés on January 26, 2024, and was published on the website portal of the Conciliation and Arbitration Center of said Chamber on January 29 of the same year.