Microsoft, the United States-based multinational computer technology corporation has recently won a domain name case against TN Chen. The company submitted a complaint to the National Arbitration Forum, requesting the disputed domain names bing-wallpaper.com and bingimg.com to be transferred from the respondent to the complainant.
This post opens the set of short comments concerning the most common stereotypes related to the advantages and disadvantages of international arbitration as well as other myths related to international arbitration.
Stereotype No 1. Speed and economy
“Arbitration is faster and less expensive than litigation in the courts. Although a complex international dispute may sometimes take a great deal of time and money to resolve, even by arbitration, the limited scope for challenge against arbitral awards, as compared with court judgements, offers a clear advantage. Above all, it helps to ensure that the parties will not subsequently be entangled in a prolonged and costly series of appeals. Furthermore, arbitration offers the parties the flexibility to set up proceedings that can be conducted as quickly and economically as the circumstances allow. In this way, a multi-million dollar ICC arbitration was once completed in just over two months.”
ICC International Court of Arbitration
“Introduction to arbitration. Advantages of arbitration”
4 - 5 March 2010 Arbitration Committee of the International Bar Association presents the 13th Annual IBA International Arbitration conference. The event is supported by the IBA European Regional Forum. It will take place in Lancaster London Hotel, London, England.
- The main topics of the conference include:
essential and non-essential elements of the agreement;
- pathological clauses;
- states’ consent to arbitration;
- non signatories’ consent to arbitration and joiners;
- legislatures and courts’ interference with the parties’ agreement to arbitrate.
The event is recommended to be attended by arbitrators, litigators, judges, government officials and all those involved in dispute resolution. For more information and to participate please see: http://www.int-bar.org/conferences/conf320/
Recently the arbitration court at the public association “Ukrainian arbitration union” (Odessa) issued an award. That award was adopted after the hearings which were held by means of telecommunication. The participants presented their position to the arbitration court in video conference. The award was announced to the parties through a web-cam as well. Later on the award was signed as a written document and forwarded to the parties. This event became a ground for discussion in Ukrainian specialized mass media. Some of my colleagues treated that event as a step to implementation and propagation of the Internet-arbitration concept. Though I welcome that progressive practice I am far from believing that e-arbitration is limited to or its main feature consists of the possibility of web-hearings. Electronic form arbitration clause (agreement), e-claim, admissibility of electronic evidences, turnover of electronic documents during the process and enforceability of an electronic award, - that is an inexhaustive list of main issues related to the e-arbitration concept. If the reader is interested in that matter I would recommend to familiarize with the document “International commercial arbitration. 5.9. Electronic arbitration” prepared under the auspices of the United Nations Conference on Trade and Development (UNCTAD).
More than 600 General Motors and Chrysler dealers have filed for arbitration, challenging their closing, ahead of Monday's deadline.
In December, Congress passed a provision signed into law by President Barack Obama that grants dealers on the automakers' closing lists a chance to appeal and receive a decision within six months.
Although arbitration and mediation are both forms of alternative dispute resolution and the second one is popularized by several institutions in Ukraine it still may not be treated as a competitor to arbitration.
There is no specific regulation allowing or prohibiting online arbitration in Ukraine at the time. Actually there is no Ukrainian practice of online arbitration. However, I have already heard “well grounded” opinions of specialists in arbitration concerning online ADR and its future in Ukraine. Those opinions seemed interesting to me because (1) they are based on subjective understanding of the term “online arbitration” and (2) for the mentioned reason they jeopardize the idea of online arbitration. Let me explain. The term “online arbitration” is often replaced with the terms “e-arbitration” and “virtual arbitration” which have almost synonymous meaning. In the Ukrainian language the word “online” and prefix “e-“ are rather foreign substance. Thus, “virtual arbitration” remains. However, for Ukrainian legal brains virtual is something fake. Moreover, during several years (2005-2009) local arbitration courts were often misused. Many times they were used as an instrument of legitimization of title to real estate. Taking into account that usually there was no dispute in such real estate cases the proceedings were “virtual”: no evidences presented, no hearings took place.
Thank heaven that the experts supported by the United Nations Conference on Trade and Development (UNCTAD) developed the concept of electronic arbitration. This is what may be implemented in the Ukrainian legal practice though it may take years.
The Kingdom of Bahrain today formally launched the Bahrain Chamber of Dispute Resolution and, in the process, became the first country in the world to establish an arbitration “free zone” and introduce the concept of statutory arbitration.
The Chamber, an initiative of Bahrain’s Ministry of Justice and delivered in partnership with the American Arbitration Association, the world’s leading provider of conflict management and dispute resolution services, will be known formally as the BCDR-AAA.
Arbitration as an alternate method of dispute settlement has long been recognized as convenient, efficient and less expensive than the traditional lawsuit in court. These benefits have always been a significant reason for the success of securities industry arbitration. In the USA and many European countries the arbitration is the primary means of resolving disputes in the securities market. The arbitration won that status because the public perception of its fairness was of paramount importance. The amendments to the Ukrainian legislation introduced in 2009 might help the Ukrainian local arbitration to find its niche as an alternative mechanism of dispute resolution in the industries where the benefits of the arbitration are of the essence, in particular, on the stock market.