In-House LawyerТs Role In International Arbitration - Aria Vol. 20 No. 3 2009
John P. Bowman Partner, King & Spalding L.L.P., Houston, Texas. J.D., University of Kansas
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American Review of International Arbitration - ARIA - Vol. 20 No. 1 - 4 2009
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ARIA Vol. 20 No. 3 2009
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I. IN-HOUSE ARBITRATION COUNSEL’S “JOB DESCRIPTION”
The job of in-house arbitration counsel in international commercial and
investment disputes can be best described in its simplest terms as two-fold. On
the transactional side, the company’s arbitration specialist should be able to draft,
negotiate, and advise concerning contractual dispute resolution provisions. In
most cases, the job of drafting a workable and enforceable dispute resolution
agreement is not difficult, unless the parties needlessly make it so. Part of the job
of in-house arbitration counsel should be to ensure that the company’s commercial
representatives keep things simple and avoid common drafting mistakes. The
company’s in-house international arbitration counsel should also be directly
involved in formulation of the company’s dispute protocol, or at least be fully
familiar with it. This protocol constitutes an important resource for in-house
counsel, covering guidelines for drafting dispute resolution provisions and key
tasks relating to management of the dispute’s process, particularly at the early
intake stage.
On the disputes side, he or she manages disputes, overseeing their progression
through the dispute resolution process from initial intake to arbitral award or
settlement. At each stage of this process, company counsel performs a
multifaceted role frequently crucial to the successful conclusion of the dispute, a
role that ranges from selection, engagement, and supervision of outside arbitration
counsel to the more substantive, significant, and collaborative responsibilities as
part of the trial team. In order to perform this part of the job effectively, he or she
must be knowledgeable concerning the legal framework in which arbitration
occurs, the applicable arbitration agreement and arbitral rules, and the arbitration
process, as well as be familiar with the client, its business, and the industry in
which it operates. Throughout this entire process, the in-house arbitration lawyer
performs the oftentimes difficult job of managing client expectations. To achieve
a successful result in arbitration, in-house counsel should practice, just as outside
counsel must, the art of anticipation. If he or she can do all these things, and
more, the in-house lawyer deserves to be recognized as the company’s
international arbitration expert.
II. ANTICIPATE, PLAN FOR FUTURE DISPUTES
As even the smallest company with the best intentions learns eventually,
commercial disputes happen. For the international corporation operating through