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Arbitration

A dispute-resolution process in which an agreed tribunal decides matters within the arbitration agreement, subject to law.

Search terms: Arbitral dispute resolution

A business example

A distributor disputes a supplier's termination and the contract contains an arbitration clause.

Follow the exampleFictional business scenario
  1. Dispute identified

    Set out the termination issue and the relief being sought.

  2. Clause reviewed

    Check scope, seat and the agreed appointment process.

  3. Process initiated

    Use the applicable procedure to bring the dispute before the tribunal.

What this shows

An arbitration clause creates a route for determination; it does not mean either party has already won or that every issue falls within its scope.

What it is often confused with

Arbitration differs from mediation, where a mediator helps parties seek an agreed settlement.

What to look at in your business

Check the seat, appointment procedure, scope and relationship with court remedies.

Context and further reading

This entry explains the business term. The related guide below provides the next layer of context; any applicable legal test depends on the transaction and relevant period.

Commercial legal and IP →

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