International Court of Arbitration and Permanent Court of Arbitration (PCA)

Why is it in news?
  • The NITI Aayog and ICC International Court of Arbitration had recently organised a Workshop on Best Practices in International Arbitration in New Delhi.
  • The workshop is part of on-going efforts to institutionalize and streamline dispute resolution to make India a hub for doing business.
  • It encourages and highlights the need for understanding and implementing arbitration across the spectrum of commercial contracts.
What is Arbitration?
  • Arbitration is a settlement of dispute between two parties to a contract by a neutral third party i.e. the arbitrator without resorting to court action. The process can be tailored to suit parties’ particular needs.
  • Arbitrators can be chosen for their expertise. It is confidential and can be speedier and cheaper than court. There are limited grounds of appeal. Arbitral awards are binding and enforceable through courts.
The International Court of Arbitration
  • The International Court of Arbitration is a branch of the International Chamber of Commerce (ICC) and one of the world’s leading institutions for providing international arbitration services.
  • The International Court of Arbitration is known for resolving international commercial and business disputes, administering more than half of all arbitration disputes worldwide.
  • The ICC seat is located in Paris.
  • The International Chamber of Commerce is an international business organization with hundreds of thousands of member companies in over 130 countries spanning virtually every sector of private enterprise.
Permanent Court of Arbitration (PCA)
  • The Permanent Court of Arbitration (PCA) is an international organization based in The Hague, the Netherlands. The PCA was created in The Hague by treaty in 1899.
  • It is not a court and does not have permanent judges. The PCA is a permanent bureaucracy that assists temporary tribunals to resolve disputes among states (and similar entities), intergovernmental organizations, or even private parties arising out of international agreements.
  • The cases span a range of legal issues involving territorial and maritime boundaries, sovereignty, human rights, international investment, and international and regional trade.
  • The decision of the arbitrators is binding in all cases on the parties.
Source
PIB


Posted by Jawwad Kazi on 12th Oct 2018
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