Understanding International Arbitration
What is arbitration?
1. Arbitration is a private, third-party mechanism of rule-based adjudicatory dispute resolution
Arbitration is private in nature: proceedings need not take place in public, arbitrators do not act as government officials, and the parties have the power to decide how they want to arbitrate. Arbitrators perform an adjudicatory function: they hear the opposing parties’ arguments and apply agreed rules to decide the disputed issues, binding the parties with their decision, rather than merely advising them.