Originally from American Review of International Arbitration - ARIA

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At the end of the day, one must ask whether those participants in the international economy who choose arbitration as their mode of dispute settlement have simply made a choice of forum, with the expectation that that choice has no effect on the substance of any dispute that may arise, or whether some difference in the source of law as well as in the decision-making process is part of the understanding of those who choose arbitration.[1]

I. INTRODUCTION

The growing number of trade and investment disputes between Chinese and foreigners is a by-product of the remarkable expansion of China's foreign trade and foreign investment in China since it embarked on an extensive program of economic reform in late 1978.[2] This article examines the resolution of international commercial disputes in China, with particular emphasis on arbitration as it is conducted before the China International Economic and Trade Arbitration Commission ("CIETAC"). CIETAC handles virtually all commercial arbitrations between Chinese and foreign entities, and its caseload has grown so large that it now annually hears more disputes than any other arbitral institution in the world except the International Chamber of Commerce.[3]