Arbitration can Ease the Courts

Abstract

Alternative Dispute Resolution (ADR) is a solution to cater for a load of cases from ordinary courts. The commercialization of the whole world in recent years demands a parallel system for the resolution of disputes in a speedy and less costly manner. Therefore, legislation of different countries working on Alternative Dispute Resolution (ADR) is more focused on arbitration. This article explains how factors of neutrality and confidentially in arbitration proceedings enhanced its demand in recent decades for the resolution of conflicts between private parties and state-to-state as well. Due to the narrow grounds of appeal against the award of arbitrators and a broader scope of enforcement of the award, parties are more comfortable in settling their disputes through arbitration. Notwithstanding, third-world countries, including Pakistan, are reluctant to legislate laws on ADR, especially regarding arbitration, that should be focused to build confidence among national and international investors.