The "Business Case" For and Against International Arbitration
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.
This paper will consider the pros and cons in assessing the "business case" for and against international arbitration. Specifically, this paper will consider whether international arbitration can help manage six business risks common in cross-border transactions, as well as identify and assess the effectiveness of some of the tools that can be used to manage each of these risks.
The article was co-authored by Andrew de Lotbinière McDougall and Kirsten Odynski.