Civil and commercial arbitration in Quebec law
By Simon Blais (November 4, 2025)
As part of our series of articles on private form of alternative dispute resolution, we will explain civil and commercial arbitration in Quebec law. In Quebec, arbitration is fully integrated into the Code of Civil Procedure("C.c.p."). In summary, arbitration allows the parties to obtain a final and binding decision[1]in a confidential, flexible and generally faster setting than a traditional civil trial.
What is arbitration?
Essentially, arbitration consists of entrusting an arbitrator with the task of deciding a dispute (litigation) in accordance with the rules of applicable law. Unlike mediation, where the mediator helps the parties reach an agreement to settle a dispute, it is the arbitrator who decides the dispute after the parties have presented evidence. In short, arbitration is a private trial for the parties. In order to better understand what arbitration is, here are some elements to remember.
The arbitrator is a neutral and impartial third party who decides the dispute
The arbitrator is chosen by the parties to render a decision on the merits of the dispute. The arbitrator may also render decisions during arbitration, particularly on procedural incidents. Parties often select their arbitrator for his sectoral expertise (e.g. in commercial matters). In some cases, the parties may decide to appoint more than one arbitrator to constitute the arbitration tribunal[2].
The C.c.p. specifies the arbitrator's mission, which is to decide the dispute in accordance with the rules of law and, if necessary, to determine damages[3]. Thus, the arbitrator "decides the dispute in accordance with the stipulations of the contract between the parties and takes into account any applicable usages"[4].
If the parties agree, they may ask the arbitrator to act as an amiable compositeur[5]. In short, the arbitrator acting as an amiable compositeur can render a decision in equity, and not by strictly applying the rules of law. In concrete terms, he seeks the fairest and most balanced solution for the parties, taking into account their interests and circumstances, while respecting public policy and fundamental procedural principles.
The arbitrator may also act as a conciliator if requested by the parties and the circumstances are suitable[6].
The arbitration agreement
An arbitration agreement is defined by the Civil Code of Québec ("C.c.Q.")[7]as the agreement by which the parties agree to submit a dispute to one or more arbitrators, excluding the judicial courts[8]. The arbitration agreement shall be evidenced in writing[9]. In practice, the arbitration agreement is often a clause (which can also be called an arbitration clause) found in a contract between the parties. However, this clause (arbitration agreement) is considered to be an agreement separate from the other clauses of the contract [10]. In concrete terms, this means that the arbitration agreement can be valid even if other clauses of the contract, in which it is found, are declared invalid.
It is important to note that certain matters (e.g. family matters) cannot be submitted to arbitration[11].
Even if the parties have not previously agreed an arbitration agreement (e.g., when signing the contract from which a future dispute will arise), they may jointly decide to resort to arbitration when such a dispute arises. However, this will of the parties must be expressed in writing[12]. Usually, it is in the context of the signing of an arbitration protocol with the arbitrator that the parties will confirm in writing their choice to resort to arbitration for their dispute.
A flexible procedure but also regulated
The arbitral proceedings begin with the notification of a notice of arbitration specifying the subject matter of the dispute[13]. The arbitrator then conducts the proceedings in accordance with the procedure he determines, while respecting the principles of adversarial and proportionality[14]. This includes the taking of evidence, the scheduling of the case and management conferences.
While the arbitrator has the ultimate decision-making authority, the parties are generally involved in the development of the timeline of the case and can work together to make the arbitration process more efficient. This may include, but is not limited to, shorter timelines than in the civil courts. In terms of evidence, the parties can agree on joint admissions, limiting the number of witnesses and recognizing the authenticity of certain documents.
Usually, the arbitration takes place orally in a hearing[15]. In such a case, the arbitrator and the parties may decide on the most appropriate methods of holding the hearing. This can be done in persons, remotely by videoconference or in hybrid mode. The parties may also agree to proceed only by documentary review, which means by each sending their evidence and written submission to the arbitrator[16]. In short, this flexibility is one of the advantages of arbitration.
With some exceptions, it is important to mention that the entire arbitration process, including the arbitration award, is confidential. This can be advantageous in order to preserve the reputation of the parties and avoid the disclosure of information in the public sphere.
The arbitral award: final and enforceable
As mentioned earlier, the arbitrator's decision on the merits of the dispute is referred to as the arbitral award. Thus, the arbitral award is binding on the parties[17]. It is final and without appeal[18].
To make the award enforceable (such as a court judgment), a party may apply for its homologation[19]. When applying for homologation, the judicial court cannot examine the merits of the dispute[20]. In addition, the refusal of approval by the judicial court is exceptional and limited to certain exhaustive reasons (e.g. incapacity of a party, public order). [21]
In addition, the arbitral award cannot be the subject of an application for judicial review contrary to for instance, decisions of administrative tribunals[22]. The only way to appeal against an arbitral award is by an application for annulment, which is subject to the same grounds as those applicable to a refusal of homologation[23].
Conclusion
Arbitration in Quebec is a modern and effective tool for resolving civil and commercial disputes. It offers autonomy to the parties in a confidential, flexible and efficient procedure. Arbitration allows for a final and binding decision, generally in a faster time than in the judicial courts. Thus, arbitration offers tangible added value compared to traditional legal remedies, while remaining solidly regulated by the C.c.p.
In our next articles, we will explore other features of arbitration, including those in an international context.
Simon Blais is an accredited arbitrator and mediator. He acts as an arbitrator in civil, commercial and sports matters.
The use of the masculine is only intended to lighten the text.
REFERENCE:
[1]The arbitrator's decision on the merits of the dispute is called the arbitral award; see in particular article 642 C.c.p.
[2] Article 624 C.c.p.
[3] Article 620 C.c.p.
[4] Ibid.
[5] Ibid.
[6] Ibid.
[7] Articles 2638 to 2643 C.c.Q.
[8] Article 2638 C.c.Q.
[9] Article 2640 C.c.Q.
[10] Article 2642 C.c.Q.
[11] Article 2639 C.c.Q.
[12] Article 2640 C.c.Q.
[13] Article 631 C.c.p.
[14] Article 632 C.c.p.
[15] Article 633 C.c.p.
[16] Ibid.
[17] Article 642 C.c.p.
[18] Ibid.
[19] Article 645 C.c.p.
[20] Ibid.
[21] Article 646 C.c.p.
[22] Chapter IV C.c.p.
[23]Article 648 C.c.p.
EXTRACTS
"Essentially, arbitration consists of entrusting an arbitrator with the task of deciding a dispute (litigation) in accordance with the rules of applicable law."
"Even if the parties have not previously agreed an arbitration agreement (e.g., when signing the contract from which a future dispute will arise) , they may jointly decide to resort to arbitration when such a dispute arises."
"With some exceptions, it is important to mention that the entire arbitration process, including the arbitration award, is confidential. This can be advantageous in order to preserve the reputation of the parties and avoid the disclosure of information in the public sphere."
"Arbitration allows for a final and binding decision, generally in a faster time than in the judicial courts."