INTERNATIONAL COMMERCIAL dispute resolution Essay

INTERNATIONAL COMMERCIAL dispute resolution - Essay Example The International Council for Commercial Arbitration (ICCA) has been set up to meet the expectations of all global parties that enter into negotiations with other entities outside their country of origin or where territorial boundary of countries was merged. In light of international conflict resolution, this paper will try to discuss the arbitrator’s duty of impartiality and independence under the English arbitration Act and compare with at least another system using resolved cases as basis. Arbitration Arbitration is one of the more popular forms of alternative dispute resolution of which two opposing parties agree to use a third person or more to settle the case in question. Although conducted outside the court, this system is acceptable and legal with the decision called the award1. The third party reviews the dispute and provides a decision that the parties have agreed to be bound. In many countries, the arbitration may either be mandatory or voluntary and it is often use d in commercial transactions even between varying nationals or countries. The third party of the arbitration process is called the arbitrator and the arbitrator is independent and impartial23. The International Commercial Congress of Arbitration clarified that arbitration follows the contractualist theory of arbitration that the parties have the right to control the process and maintain that right during the process; and that the parties’ agreement to settle their disputes entails to allow the arbitrator or arbitrators to control the process4. However, in reality, the ICCA stated that it is the State which has sole control of the arbitral process because it provides the power to the parties as well as the arbitrators. The role of the State is apparent in the principle of independence as well as impartiality of the arbitrators together with the principle of immunity bestowed on the arbitrator by the State5. An Arbitrator’s Duty of Impartiality The impartiality of the ar bitrator is a traditional expectation of which â€Å"business managers, investors, and nations entrust their treasure and their welfare,†6. The ethical principles must be guarded by the arbitrators themselves. There are continuing trends and changes that may affect attitudes and will temp arbitrators such as conflict-of-interest cases but Park endorsed an implementation with â€Å"sensitivity to new trouble spots,†7. Such caution of impartiality can be attributed to a lawyer who may serve as an advocate for one case but where there is shift of role to an arbitrator, will remain open about propositions so that regular adjustment becomes necessary on the part of the arbitrator8. The expectation on the arbitrator as impartial was further explored by Bishop and Reed as â€Å"An arbitrator who is impartial but not wholly independent may be qualified, while an independent arbitrator who is not impartial must be disqualified. In selecting party-appointed arbitrators in inter national arbitration, the absolutely inalienable and predominant standard should be impartiality,†9. These conflicts were observed in the cases mentioned in the LCIAM AMINZ Arbitration Seminar involving a partner layer in one locality who served as an arbitrator for an overseas dispute10. Arbitration in England and the United States It was observed that court cases in England and the United States have raised the standards for arbitrators as they were accused of possible bias. They were enabled to refuse as part of their rights although