Originally from Reflections on International Arbitration - Essays in Honour of Professor George Bermann

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I. INTRODUCTION

Along with the increased globalization of commercial and investment flows, cross-border commercial contractual relations have become ever more complex, involving multiple parties and their affiliates in different jurisdictions, and multiple tiers of contracts, often governed by different laws.   No doubt encouraged by the almost global acceptance of the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the “New York Convention”),  which facilitates the enforcement of both arbitration agreements and arbitral awards, parties increasingly choose arbitration, rather than court litigation, as their preferred means to resolve disputes arising in connection with international contracts.  International arbitration is also recognized as providing a more balanced forum than national courts. As arbitration is based on consent, however, difficulties may arise where not all parties involved in a dispute are signatories to an arbitration agreement.