INTERNATIONAL ARBITRATION

International Arbitration

International Arbitration

Introduction

With the rapid growth and expansion of communities in financial and business world is increasingly important for companies to have a recognized method of resolving commercial disputes quickly, effectively and constructively (Alan, 1999, 44). When disputes arise in the ordinary course of business, the parties prefer to settle privately and informally, in a pragmatic way to preserve their business relationships.

Arbitration is designed for such occasions, which can be designed for a resolution quickly, conveniently and efficiently.

Arbitration is a voluntary process of conflict resolution where a neutral third party makes a final binding decision after each party has the opportunity to present their views. This method is especially useful in international business transactions in which the parties are not familiar with foreign legal systems (Parker, 1997, 332).

Unlike court proceedings, arbitration takes place outside the judicial system by impartial arbitrators who are chosen by the parties on the basis of criteria that best suits the nature of the contract. Arbitration is usually carried out either by an arbitrator or a panel of three arbitrators in the structure, format, location and scope of arbitration agreed by all parties and immortalized by the arbitration clause of the contract. The parties usually negotiate the arbitration clause at the same time developing the original contract. A well-structured agreement, establish a framework for rapid resolution of contractual disputes.

Arbitration allows the parties more flexibility in judicial proceedings. The parties may opt for short periods in which to respond to allegations that the arbitration will be conducted, how formal the process will be, or whether to involve lawyers in the arbitration.

National laws

The arbitration law of a country's global survey showing a significant difference not only in individual terms and the solutions, but also in terms of development and improvement. Some laws may be considered as obsolete, and sometimes goes back to the nineteenth century, often equivalent to the arbitration and court proceedings. Other laws may be said to be fragmented, because not solve all the problems. Even most of these laws appear to be current and complete drafting and domestic arbitration primarily, if not wholeheartedly. Although this approach, in fact, even today governed by the general law of arbitration cases most of the purely domestic nature is understandable.

The expectations of the parties in some arbitration rules or "off" selected arbitration agreement can be frustrating, especially through the mandatory provisions of applicable law. unexpected accidents involving state laws that restrict, for example, the ability of the parties in future disputes to arbitration effective, or have their own interests in the arbitration proceedings in accordance with the agreed rules, power, free choice of referee and court involvement, there is nothing more appropriate. The frustration also comes from the non-mandatory provisions cannot be without the knowledge of the parties who do not want to separate requirements. Even if non-mandatory provisions may lead to not give answers, many arbitration proceedings and arbitration related to not always difficult to reach an agreement (Gary B, 2001, ...