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Arbitration

Arbitration is a legal technique for the resolution of disputes outside the courts. It is a proceeding in which a dispute is resolved by an impartial adjudicator whose decision, the parties to the dispute have agreed will be final and binding. Arbitration is today, most commonly used for the resolution of commercial disputes, particularly in the context of international commercial transactions. Business dealings have become even more global, and threats can arise in the form of enforcement issues when dealing with other countries. Arbitration is a consensual process; parties will only ever arbitrate where they agree to do so. Such agreements generally provide that, if a dispute should arise, it will be resolved by arbitration. These agreements are normal contracts which contain an arbitration clause.