Prestige Institute of Management and Research

Presented By ~Isha Joshi

(BFT – IV sem)

ARBITRATION

A process of dispute resolutionA neutral third party (called the arbitrator)

renders a decision after a hearingBoth the parties have an opportunity to be

heardIt is the means by which parties to a dispute

get the same settled without having recourse to court of law

An arbitrator is basically a private judge appointed with consent of both the parties.

ARBITRATION

PROCEDUREOF

ARBITRATION

Submission of statements of Claim and Defense

Hearings and Written Proceedings

Settlement during Arbitration

Arbitral Award

Cost of Arbitration

PROS&

CONS

S. No.

PROS CONS

1 Cost Cost2 Speed Speed3 Fairness Fairness4 Finality Finality5 Simplified

ProceduresLocation

6 Confidential No Jury

ARBITRATION

INTERNATIONAL

DOMESTIC

DOMESTIC ARBITRATION

In a domestic arbitration:1) The arbitration takes place in India2) The subject matter of contract is in India3) The merits of the dispute are governed by the Indian Law.4) The procedure of arbitration is also governed by the Indian Law.

INTERNATIONAL ARBITRATION

Clause(f) of sub-section (1) of section 2 of the 1996 Act defines international arbitration as the arbitration relating to disputes arising out of legal relationships, whether contractual or not, where at least one of the parties is:

1) An individual who is a national of, or habitually resident in or any country other than India2) A corporate body which is incorporated in any country other than India3) A company or an association or a body of individuals whose central management and control is exercised in any country other than India4) The government of foreign country.

The 1958 New York Convention

each contracting state shall recognize an agreement in writing under which the parties undertake to submit to arbitration all or any difference which have arisen or which may arise between themin respect of a defined legal relationship, whether contractual or not, concerning a subject matter capable of settlement by arbitration.”

France, Civil Codeone cannot submit to arbitration questions of status and capacity of personsquestions relative to divorce and separationquestions respecting controversies that concern public entities or public establishments

Arbitration Law of China

contractual disputes between citizen of equal status, legal persons and other economic organizations and disputes arising from property rights may be put to arbitration.

Following disputes can not be put to arbitration :

disputes arising from marriage, adoption, guardianship, bringing up of children and inheritance

disputes that have been stipulated by law to be settled by administrative organs.

COMPOSITION OF ARBITRATION TRIBUNAL

may be composed of three arbitrators or one arbitrator. In the case of three arbitrators, there should be a chief arbitrator. An arbitrator shall be withdrawn if :the arbitrator is a party involve in the case or a blood relation or relative of the parties concerned or their attorneys. the arbitrator has vital personal interests in the case. The arbitrator meets the parties concerned or their attorneys in private or has accepted gifts or attended banquets hosted by the parties concerned or their attorneys.

Thank You…