INTERNATIONAL DISPUTE RESOLUTION

INTERNATIONAL DISPUTE RESOLUTION AND INTERNATIONAL TRADE

Abstract

In this study we try to explore the concept of “International Dispute Resolution” in a holistic context. The main focus of the research is on “International Dispute Resolution” and its relation with “International Trade”.

TABLE OF CONTENTS

INTERNATIONAL DISPUTE RESOLUTION1

INTRODUCTION1

Types of International Dispute Settlement1

Alternate Dispute Resolution2

Advantages of ADR2

Disadvantages of ADR2

International Tribunals3

Advantages of WTO3

Disadvantages of WTO:4

International Court Of Justice4

Advantages of ICJ5

Disadvantages of ICJ5

MUNICIPAL COURTS AND INTERNATIONAL DISPUTE SETTLEMENT5

EFFECT OF INTERNATIONAL DISPUTE RESOLUTION ON TRADE AND BUSINESS6

CONCLUSION7

REFERENCES8

International Dispute Resolution

Introduction

International dispute resolution is the process of resolving misunderstandings in between parties at the international level through the use of mediatory. It requires the consent of the parties involved, which is usually given through a clause that is inserted into the business contract. The decision then is usually binding for all the parties involved.

There are essentially two types of resolutions, ad hoc and institutional. An ad hoc resolution is conducted independently without an organization and according to the rules specified by the parties and their attorneys, while in institutional arbitration one of the arbitration institutions are entrusted to handle the case.

Types of International Dispute Settlement

Basically there are 2 ways through which the disputes at an international level are resolved

1. Alternate Dispute resolution

2. International Tribunals

Alternate Dispute Resolution

Alternative dispute resolution is a method of resolving dispute among countries or companies which include processes and techniques that help the parties who have some conflict among themselves to reach an agreement without involving any litigation process, this method involves diplomacy. Due to eradication of courts and litigation this method of dispute resolution has gained popularity among both the general public and the legal profession. The beauty of this method is that it makes the conflicting parties to sit on a table and discuss their issues and resolve them through negotiation. (Lynch 2001)

Advantages of ADR

•Excellent for multi-party disputes

•Flexibility is there, the process is handled according to the consent of concerned parties.

•No big costs involved.

Disadvantages of ADR

The biggest disadvantage of ADR is that it is a private system. Alternate Dispute Resolution may keep some legal issues of vital public importance outside the limit of the courts thus depriving the common law of a critical means of progress.

International Tribunals

International tribunals are international forums on which the conflicts among parties are solved.

The international tribunals include forums like WTO (World Trade Organization) and ICJ (International Court of Justice).

WTO (World Trade Organization)

The WTO came ...