Originally from The MENA Leading Arbitrators’ Guide to International Arbitration

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I. INTRODUCTION

The primary purpose of arbitration is to provide a procedural framework for the efficient and impartial resolution of disputes in a final and binding manner.  Arbitration is either domestic or international and parties who wish to take their dispute to arbitration may choose between ad hoc and institutional arbitration. The main difference between ad hoc and institutional arbitration is that the former does not require the parties to resort to an institution to administer the arbitral proceedings; instead, the arbitration is conducted outside any institutional framework.

This chapter seeks to examine both types of arbitration by distinguishing between them and weighing their respective pros and cons, with specific reference to the Middle East and North Africa (MENA) region.

By way of general guidance, it should be borne in mind that depending on the parties’ preferences, the nature of their contractual relationship and the particular dispute at hand, the parties will agree on one type of arbitration over the other.