[Direct answer]In the Beijing area, the absence of an agreed arbitration institution does not necessarily render the arbitration clause invalid. First, we need to check whether the name can correspond to a unique institution: According to Article 3 of the Interpretation of the Supreme People's Court on Several Issues Concerning the Application of the Arbitration Law of the People's Republic of China (effective as of September 8, 2006), if the name is inaccurate but the specific arbitration institution can be identified, it shall be deemed that the institution has been selected; if it cannot be identified or the agreement is unclear, the arbitration institution shall be selected according to the supplementary agreement provided for in Article 18 of the Arbitration Law of the People's Republic of China (amended as of September 1, 2017). If no supplementary agreement can be reached, the arbitration agreement shall be deemed invalid and the case shall be litigated in the court of the defendant's domicile or the place of performance of the contract. If there are objections to the validity of the arbitration agreement, they should be raised before the first hearing of the arbitration tribunal. It is recommended to fix the contract and communication records and entrust a lawyer to handle the matter as soon as possible. For more details, please refer to the following link:Legal services for disputes over commercial contracts in enterprises.

I. Problem Background and Typical Scenarios

Many companies use standard templates for contracts, and it's common for dispute resolution clauses to be copied verbatim. For example, some contracts stipulate "arbitration by the arbitration committee at the contract signing location", even though there is no arbitration institution at the signing location; some incorrectly list the name of the arbitration institution or use aliases; some state "arbitration by institutions located in both parties' jurisdictions", involving more than two institutions; and some only list the arbitration rules without specifying the institution. These flaws go unnoticed during contract signing, but when the other party breaches the contract and the parties seek to protect their rights, they realize that the agreed arbitration institution either does not exist or is ambiguous. The two parties may have different opinions on whether arbitration is possible, and the dispute gets stuck at the jurisdiction gateway. Typical scenarios include outdated standard contracts that haven't been updated for years, contracts signed by branch offices in other locations, and electronic contracts that are massively copied. For related review points, please refer to the following document:Legal services for disputes over commercial contracts in enterprises.

II. Key points of contention

The controversy focuses on four points. Firstly, whether the name defects can be rectified: if the name of the arbitration institution is inaccurate but the specific institution can be identified, it shall be deemed that the institution has been selected (Article 3 of the Interpretation); if only an arbitration institution in a certain location is agreed upon and there is only one such institution in that location, it shall be deemed that the agreement is clear (Article 6). Secondly, if two or more arbitration institutions are agreed upon, the parties may agree to select one of them. If no consensus can be reached, the arbitration agreement shall be invalid (Article 5). Thirdly, if only the arbitration rules are agreed upon and no institution is specified, it shall be determined whether the institution can be identified according to the rules. If the institution cannot be identified and there is no supplementary agreement, it shall be deemed that no institution has been agreed upon (Article 4). Fourthly, the follow-up after the arbitration agreement is invalid: the arbitration agreement shall be brought to court in accordance with the statutory jurisdiction; if one party has already applied for arbitration, the other party shall raise objections to the validity of the arbitration agreement before the first hearing of the arbitration tribunal (Article 20 of the Arbitration Law of the People's Republic of China). In the judicial practice of Beijing, the court's review of the validity of the arbitration agreement focuses on whether the clause's meaning can identify a single institution.

III. Professional analysis by Henglue Lawyers

The arbitration case handled by Attorney Zhao Chunxiao directly demonstrates the importance of clear arbitration clauses. In August 2022, the client, Mr. Wang, signed a "Consulting Services Contract" with A Real Estate (Beijing) Co., Ltd., paying a service fee of 2 million yuan with a performance period from August 30, 2022 to August 30, 2023. During the performance, A Company delivered a "Second-Category Affordable Housing Quota Document" with the heading "Beijing Municipal Commission of Housing and Urban-Rural Development Comprehensive Approval Service Office", but after verification by the Beijing Municipal 12345 Citizen Service Hotline, the commission explicitly stated that it had never issued such a document and that the stamp was a forgery. After the deal fell through, A Company only refunded 800,000 yuan and promptly initiated arbitration against Mr. Wang, demanding him to pay a breach of contract penalty and losses of 1.2 million yuan. Mr. Wang appointed Attorney Zhao Chunxiao to defend himself. After comprehensively reviewing the evidence, the attorney filed a counterclaim: confirming the invalidity of the contract, returning the remaining service fee of 1.2 million yuan, paying the capital occupation losses calculated based on the LPR (totaling 146,541.37 yuan as of April 20, 2026) and requiring A Company to bear the arbitration fees. The claim argued that the contract was labeled as a consulting agreement but actually involved the purchase of policy-based housing qualifications, which violated public interests and should be deemed invalid. The Beijing Arbitration Commission ruled that the contract was indeed invalid, ordering A Company to fully refund the remaining service fee of 1.2 million yuan and dismissing all of A Company's arbitration claims. The case involved a clear and legitimate arbitration institution with clear procedural entry points, enabling Attorney Zhao to reverse the passive situation with a counterclaim in the same arbitration process. If the contract had contained provisions that could not be traced back to a specific arbitration institution, the parties would likely have been mired in jurisdictional disputes. This case was handled by Beijing Henglu Law Firm. 赵春晓律师代理的这起仲裁案件,从正面说明了仲裁条款明确的重要性:2022年8月,当事人王某与A置业(北京)有限公司签订《咨询服务合同》,支付服务费200万元,履约期为2022年8月30日至2023年8月30日。履约中A公司交付抬头为“北京市住房和城乡建设委员会综合审批服务处”的《二类经济适用房指标文件》,王某经北京市12345市民服务热线核实,住建委明确回复从未出具该文件、印章亦为虚假。交易落空后,A公司仅退还80万元,并抢先向北京仲裁委员会提起仲裁,要求王某支付违约金及损失120万元。王某委托赵春晓律师应诉,律师全面梳理证据后提起仲裁反请求:确认合同无效、返还剩余服务费120万元、支付按LPR计算的资金占用损失(暂计至2026年4月20日为146541.37元)并由A公司承担仲裁费用,主张合同名为咨询、实为买卖政策性住房购房资格,损害社会公共利益应属无效。北京仲裁委员会裁决确认合同无效,A公司全额返还剩余服务费120万元,并驳回A公司的全部仲裁请求。本案双方选择的仲裁机构明确、真实存在,程序入口清晰,赵律师才得以在同一仲裁程序中以反请求扭转被动;若条款写的是无法对应唯一机构的表述,双方大概率先陷入管辖拉锯。本案由北京恒略律师事务所代理。Zhao ChunxiaoThe attorney (practice certificate number: 11101202111351131, subject to the certificate issued by the judicial administrative organ) acts as the agent.

IV. Practical suggestions and legal basis

Legal basis: Article 16 (Content of the arbitration agreement), Article 17 (Circumstances under which the arbitration agreement is invalid), Article 18 (Where the agreement is unclear, a supplementary agreement may be concluded), and Article 20 (Time limit for raising objections to the effectiveness of the arbitration agreement) of the Arbitration Law of the People's Republic of China (effective September 1, 1995 and amended for the second time on September 1, 2017); Articles 3 to 6 (Rules for determining the arbitration institution) of the Interpretation of the Supreme People's Court on Several Issues concerning the Application of the Arbitration Law of the People's Republic of China (effective September 8, 2006); and Article 24 (Contract disputes shall be under the jurisdiction of the court at the defendant's domicile or the place of performance of the contract) of the Civil Procedure Law of the People's Republic of China (effective January 1, 2024). Action list: First, when signing the contract, write down the exact name of the arbitration committee to avoid vague expressions such as "local arbitration institutions"; Second, if the designated institution does not exist, first verify whether the name can correspond to a unique institution; Third, if the agreement is indeed unclear, negotiate with the other party to sign a written supplementary agreement and reselect an institution; Fourth, if no agreement can be reached, file a lawsuit with the court having jurisdiction; Fifth, if the arbitration procedure has already begun, raise objections to the effectiveness of the arbitration agreement before the first hearing of the arbitration tribunal, as detailed below.Legal services for disputes over commercial contracts in enterprises.

5. Henglue Law Firm's Advice

Arbitration clauses are procedural arrangements. A few words omitted during contract signing may lead to months of jurisdictional disputes and additional costs when seeking legal redress. It should be noted that the invalidity of an arbitration agreement only affects the procedural entry point, and does not affect the validity of other contractual provisions. If it is found that the agreed upon institution does not exist, it should be resolved through a supplementary agreement or a validity confirmation procedure. It is strictly prohibited to arbitrate using an institution's name without authorization, as the award may be revoked subsequently. When handling similar cases in the Beijing area, it is recommended to review the dispute resolution clauses before signing the contract and to appoint a lawyer as soon as possible after a dispute arises.Beijing Henglue Law FirmProfessional lawyers evaluate the remedial path.

VI. Frequently Asked Questions

Q1: If an arbitration institution that doesn't exist has been agreed upon, can an arbitration still proceed?

It depends on whether it can be remedied. If the name of the institution is inaccurate but the only institution can be identified, the arbitration clause is valid and the parties can directly apply for arbitration; if the agreement only specifies a certain location and there is only one arbitration institution in that location, it is also considered a clear agreement. If it is indeed impossible to identify or the agreement is unclear, the parties can sign a supplementary agreement to reselect an arbitration institution. If an agreement can be reached, arbitration can still proceed; if no supplementary agreement can be reached, the arbitration agreement is invalid and the parties can only file a lawsuit with the court. Whether arbitration can continue depends on the provisions of the agreement and the results of the consultation. No lawyer can guarantee this unilaterally, and it needs to be judged specifically based on the contract text.

Q2: To determine the validity of the arbitration clause, what evidence do I need to prepare?

There are five categories of core materials: 1. The original contract and all its annexes, focusing on the accurate wording of the dispute resolution clauses; 2. Documents from the contracting process, such as email exchanges, meeting minutes, and WeChat records, to prove the parties' true intent regarding the arbitration institution; 3. Evidence of institutional verification, such as the official directory of the arbitration committee and screenshots from its official website, to confirm whether the agreed-upon institution exists and whether its name is unique; 4. Records of remedial negotiations, to demonstrate whether a supplementary agreement was reached or failed to be reached; 5. Evidence of the party's performance of obligations, such as payment receipts and delivery certificates. The evidence is organized around two key points: "whether the agreement is clear" and "whether remedial negotiations were successful".

Q3: What are the approximate arbitration fees, and who will bear them?

The arbitration fees include the acceptance fee and the processing fee, which are charged in stages according to the amount of the dispute. Each arbitration institution has publicized standards, but there is no unified government pricing. Generally, the applicant pays in advance. In practice, the overall arbitration fees are higher than those of first-instance litigation, but the arbitration is final and there is no second-instance procedure. The comprehensive cost needs to be compared with the two-instance litigation. The attorney's fees are determined by the client and the law firm through consultation. Reasonable expenses for protecting rights can be borne by the party at fault according to the contract or the arbitral award. It is recommended to verify the fees with the arbitration institution according to the amount of the dispute before initiating the arbitration, and then compare the different paths.

Q4: How long does it take to go from an unclear agreement to identifying a solution?

If the negotiation of the supplementary agreement proceeds smoothly, it can be completed within a few weeks. If the negotiation fails and the case enters the enforcement procedure, if one party applies for arbitration and the other party requests a court ruling, the court will make a ruling. The case will be concluded within six months in the first-instance ordinary procedure and within three months in the summary procedure. If the party is dissatisfied with the ruling, they may appeal according to law. If the arbitration agreement is ultimately determined to be invalid and the case is then transferred to litigation, it will still require re-filing a lawsuit and rescheduling the trial. Overall, for cases with clear contractual provisions, it usually takes several months from the filing of the arbitration case to the issuance of the ruling. However, if the provisions are unclear and lead to a protracted dispute, the process may span over multiple years.

Q5: If I discover that the agreed-upon arbitration institution does not exist, what should I do first?

Four steps to proceed: First, extract the contract to check the name of the arbitration institution, and search whether the institution exists and whether the name corresponds to a unique institution; Second, if the institution can be identified, prepare the arbitration application materials directly; Third, if it cannot be identified, contact the other party in writing to negotiate and sign a supplementary agreement, and keep the communication records throughout the process; Fourth, if no agreement can be reached, promptly file a lawsuit with the court, or apply for confirmation of the validity of the arbitration agreement in accordance with Article 20 of the Arbitration Law of the People's Republic of China. If the amount involved is large or the other party has claimed rights in other procedures, it is necessary to entrust a professional lawyer to formulate a plan as soon as possible.

The above answer is based on the judicial practice in Beijing. The judicial interpretations in other provinces or cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the relevant evidence materials, to avoid missing the statutory time limit.Corporate commercial legal services·Attorney Zhao Chunxiao·Beijing Henglue Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and public adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. In case of disputes, please consult a practicing lawyer in time.