A Deep Dive into International Commercial Arbitration, The Key Concepts, Major Arbitral Institutions, Potential Benefits and Drawbacks

Abstract

International Commercial Arbitration is like to having all the doors under one roof when it comes to cross-border commercial disputes. This article examines how International Commercial Arbitration works, the advantages and potential disadvantages of international commercial arbitration, being one of the most popular ADR processes for resolving international business controversies. Along this line, it looks at the development history and legal context of arbitration, emphasizing the New York Convention and UNCITRAL, as well as the present-day debates. The study also takes cognizance of the benefits of arbitration as a method of dispute resolution in international business, such as speed, neutrality, confidentiality and cost-effectiveness. However, it also has shortcomings, including the absence of appeal mechanisms, being expensive and biased, and problems concerning the execution of awards. Other proposed measures include newer developments like digital arbitration and new jurisdictional additions, also mentioned as potential reforms to some of these challenges. Based on the synthesis of the literature, the article shares some practical considerations of arbitration for business and law practitioners. Lastly, suggestions are made on overcoming the cons and enhancing the efficiency of arbitration in the cross-border business disputes.