ERDEM-NEWSLETTER-2018-metin

167 ARBITRATION LAW Costs Follow the Event This outcome-based approach that refers to “Loser Pays All,” and the losing party is assessed the costs of the arbitration 3 . Thus, the suc- cessful party of the dispute gets full indemnification of the legal costs incurred 4 . This approach, which was developed in the English court system, has spread to many other common law jurisdictions, with the notable exemption of the United States of America 5 . According to a survey on the preferred practices in the arbitral process (“Survey”), in 50% of the awards examined, the arbitral tribu- nals applied the Costs Follow the Event method for cost allocation 6 . The Costs Follow the Event appears to be the most preferred method amongst the arbitral tribunals, especially in ICC arbitrations 7 . Never- theless, it shall be noted that in the last few years, the arbitral tribunals have been taking into consideration factors, such as the relative suc- cess and conduct of the parties in the proceedings and have a tendency to move towards other methods, such as the Apportionment of Costs . 3 Flecke-Giammarco, Gustav : “ The Allocation of Costs by Arbitral Tribunal s in International Commercial Arbitration ” , in Jorge A. Huerta-Goldman , Antoine Romanetti , et al. (eds), WTO Litigation, Investment Arbitration, and Commer- cial Arbitration, Global Trade Law Series, V. 43, Kluwer Law International 2013, p. 412, http://www.kluwerarbitration.com/document/KLI-Huerta-Ch13a (Access date: .January 2018). 4 Power, Jenny; Konrad, Christian W. , “ The Award - Costs in International Commercial Arbitration–A Comparative Overview of Civil and Common Law Doctrines ”, in Christian Klausegger, Peter Klein , et al. (eds), Austrian Yearbook on International Arbitration, V. 2007, Manz’sche Verlags- und Universitätsbuch- handlung 2007, p. 263. 5 Koch, Christopher : “ Is There a Default Principle of Cost Allocation in Inter - national Arbitration? – The Importance of the Applicable Provisions and Legal Traditions ”, Journal of International Arbitration, Kluwer Law International 2014, V. 31, Issue 4, pp. 492. 6 Queen Mary University and White & Case , “2012 International Arbitration Survey: Current and Preferred Practices in the Arbitral Process”, p. 40-41, http:// www.arbitration.qmul.ac.uk/docs/164483.pdf (Access date: January 2018). 7 Flecke-Giammarco , p. 412.