International Arbitration

International Arbitration

Subject: Economy

Context:

Global India must maintain the sanctity of international arbitral proceedings–CJI said with respect to the Amazon arbitration case.

Concept:

• International arbitration is arbitration between companies or individuals in different states, usually by including a provision for future disputes in a contract.
• International arbitration allows the parties to avoid local court procedures.
• Arbitration agreements and arbitral awards are enforced under the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958 (the “New York Convention”).
  • The New York Convention-provides for court recognition and enforcement of foreign arbitration decisions.
  • In contrast, there is no equivalent treaty for the international recognition of court decisions with a large membership and no equivalent treaty exists so far for the international recognition of settlements achieved in mediation or conciliation.
  • Article III requires courts in contracting states to recognize international arbitral awards as binding and enforce them.
  • Article V provides for seven reasons that a court can use to refuse to enforce the award.
• The International Centre for the Settlement of Investment Disputes (ICSID) also handles arbitration, but it is limited to investor-state dispute settlement.
• Several major international institutions and rule making bodies set out rules and appoint arbitrators:
  • International Court of Arbitration
  • London Court of International Arbitration
  • Singapore International Arbitration Centre
  • Hong Kong International Arbitration Centre
  • Arbitration Institute of the Stockholm Chamber of Commerce
  • International Centre for Settlement of Investment Disputes
  • American Arbitration Association (International Center for Dispute Resolution)
  • Center for Arbitration and Mediation of the Chamber of Commerce Brazil-Canada
• Specialist ADR bodies also exist, such as the World Intellectual Property Organisation (WIPO), which has an arbitration and mediation center and a panel of international neutrals specialising in intellectual property and technology related disputes.