The “Business Case” For and Against International Arbitration

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INTRODUCTION -

A 2013 survey conducted by PricewaterhouseCoopers and Queen Mary, University of London found that corporations across all sectors refer as many disputes to international arbitration (47%) as they do to litigation (47%). These survey results indicate that while international arbitration is a popular method for resolving disputes, corporations must regularly make the choice between international arbitration and litigation, and the two methods are equally important.

In the case of complex cross-border transactions, the choice between international arbitration and litigation is a complex one requiring consideration of a number of factors. The following table sets out some well-known pros and cons of international arbitration and of litigation with the caveat that no list is perfect, and views vary on what is an advantage and disadvantage...

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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