Arbitration In Arbitration

705 Words2 Pages

dispute between two or more parties by exercising the jurisdictional mandate conferred on him by the latter’. It should be noted that the third party acts in a private capacity and does not represent any public office.
Disputants agree to refer to arbitration and agree to be bound by the arbitration decision. The arbitrator reviews the evidence in the case and imposes a decision that is legally binding on the parties. keutgen define arbitration as ‘a form of dispute resolution which is based on a private agreement and which leads to a decision having res judicata effect. Such decision is the result of the activity of one or more individuals whose power to determine the dispute derives from the common will of the parties’.
The characteristic, in which arbitration is distinguishable from other forms of dispute resolution, is the most important character of the binding nature of the decisions. Bucher emphasizes the power of the arbitrator to render “an award which becomes res judicata in the same way as a judgment”. The broadest definition for arbitration was provided by poudert and lesson in which it states “ arbitration is a contractual form of dispute resolution exercised by individuals, appointed directly or indirectly by parties, and vested with the power to adjudicate the dispute in the place of state court by rendering a decision having effects analogous to those of a judgment.
Where dispute arises between parties and there’s need for it to resolve in accordance to a legal process. This process should have the confidence of the parties or at least provide a forum in which is acceptable to the parties. Frequently parties in international commercial contract look into arbitration as a pri...

... middle of paper ...

...tions or disputes between different countries. National courts follow procedures in accordance with the national law set down by the state. These laws in case of and international dispute might not fit well to solve the dispute at hand. National courts are generally open to public; anyone can go in to follow an ongoing case.
Another major factor differentiating national courts to arbitration is the rigidity of national court procedures. National courts follow civil procedures or rules to a way in which cases are conducted. “The procedural rules or code lay down the basis for the courts jurisdictions, the circumstances in which an action can be brought, which national court has jurisdiction over a particular type of dispute, how to initiate proceedings, what documents must be filed, the rights of reply, and how the case, generally, should be conducted”.

Open Document