With increasing trade and commerce activity at the international level, there have been incidences of disagreements and conflicts between parties. When a dispute arises due to these disagreements, it leads to tension between parties. Such disagreements can further delay the import and commercial relations of the parties. There are ways to resolve these disagreements between parties. Through international commercial dispute resolution, these disagreements can be resolved.
Various types of dispute resolution methods are available today to resolve cases between parties involved in some kind of trade. These dispute resolution methods are a flexible way to resolve a range of cases today. They help parties resolve conflicts without the involvement of legal court proceedings. These methods are widely popular for settling disputes in the most flexible way. ADR (Alternative Dispute Resolution) procedures allow parties to resolve their disputes creatively and independently without the involvement of the court. Here we will talk about arbitration which is one of the dispute resolution methods.
What is Arbitration?
International arbitration is one of the alternative dispute resolution methods. It has attracted many parties in recent times. In such a method, disputes are heard outside of the courts with the help of an arbitrator. Arbitration is one of the faster and cheap methods of dispute resolution than litigation. Parties interested in arbitration can voluntarily agree to add an arbitration clause in their contract agreement. Arbitration is generally binding unlike other forms of dispute resolution methods. Its only objective is to obtain a fair resolution of disputes by taking into consideration views from both sides. In short, arbitration gives parties an opportunity to safeguard their interest and resolve their dispute without unnecessary delay.
The popularity of commercial arbitration cases has increased in recent times. According to the ICC, it recorded a total of 946 new cases in 2020 ever since 2016. Almost 929 cases were under the ICC rules of arbitration. These statistics show the efficiency arbitration could bring when handing dispute resolution cases. Parties can get the detailed cost of arbitration which help them keep the cost in check. So, arbitration is a cost-effective, fast and quick form of the dispute resolution process we know today.
Benefits of International Commercial Arbitration
1. Cheap – As we have already discussed, arbitration is a cheap method to resolve disputes. It is quick and generally has less number of proceedings than litigation which eventually reduce attorney’s fees.
2. Binding – Arbitration gives limited options for further trial and opportunity for more appeals. It gives final closure to the dispute once appealed for arbitration. So, there is no wastage of time due to further appeal.
3. Privacy – Arbitration gives total privacy to parties involved in arbitral proceedings. It benefits parties when the matter requires complete secrecy. There are a limited number of people who have access to the evidence other than the arbitration tribunal.
4. Convenient – Arbitration is one of the most convenient forms of dispute resolution. Parties have to go through trial dates for a prolonged period, but with arbitration, it is the other way around. Parties can choose proceedings dates as per their convenience.
If you are looking for dispute resolution in international law, you need to contact a dispute resolution law firm. Choose a law firm that has expertise in dealing with cases involving a variety of sectors. Always work with an arbitrator who has knowledge of conducting arbitral proceedings and knows the best strategies to help their clients.
Rattsakuten is a law firm in Sweden, capable of handling different arbitration matters as per international law. They are a skilled law firm dealing in various dispute resolution cases including commercial arbitration in Sweden. So, contact us for arbitration and other dispute resolution practices.