Cultural Diversity in International Arbitration - a Challenge for Decision-Makers and Decision-Making

Abstract

The problems and misunderstandings caused by cultural diversity are more than ever evident. Cultural diversity makes that parties talk at cross-purposes, even when they speak the same language. It may turn the tools of dispute resolution: words and reason, into dangerous weapons that may unexpectedly attack as well as backfire. On a different plane this is what many international arbitration practitioners are confronted with regularly. Between the varying connotations of East, West, North and South, between different politics, economics, religions, languages and legal systems, a dispute about an ordinary commercial contract may prove to be a wasps' nest. In a successful attempt to provide a different angle to discussions on the international arbitral process, the Milan Chamber of National and International Arbitration1 organizes each year a private symposium for international arbitrators. By their small size and informal atmosphere, as well as by their audacious choice of topics, these meetings allow for creative and sometimes innovative discussion results. So far, two symposia were organized, the third one to follow this year. They concentrated on the pitfalls of cultural diversity in arbitration. In 1989 the emphasis was on the necessary qualities of international arbitrators; in 1990 on the merits of comparative law.2 Cultural Neutrality . Usually, discussions on international arbitrators and their qualities focus on independence and impartiality. Arbitrators should have no relevant relationship with one of the parties, and should not for whatever reason be predisposed towards one of the parties or to the outcome of the dispute.3 The 1989 Milan discussion concentrated on a less common phenomenon within this subject, the cultural neutrality of the international arbitrator. In general, the neutrality of arbitrators in an international arbitration is often safeguarded by the choice of an arbitrator or chairman from a country other than that of the parties. …