Compare and contrast the arbitration laws of two countries Essay Example for Free

Compare and contrast the arbitration laws of two countries Essay The significant increase in the role of international trade in the economic development of nations over the last few decades has been accompanied by a considerable increase in the number of commercial disputes as well. Today rapid globalization of the economy and the resulting increase in competition has led to an increase in commercial disputes. At the same time, however, the rate of industrial growth, modernization, and improvement of socio-economic circumstances has, in many instances, outpaced the rate of growth of dispute resolution mechanisms Keeping in mind the broader goal of exploring links between the quality of legal performance, this assignment is an attempt to critically evaluate arbitration in India as a legal institution and to judge the growth and development of the same and to see the exact footing of India in the international front a simultaneous comparison of the arbitral laws of USA to that of India has also been made. In this assignment, the evolution of arbitration law and practice in India has been explored. This assignment is divided into three parts Part 1 explores the evolution of Arbitral laws in USA and India, the underlying idea behind this is to see the process through which arbitration came into being and how the old is the law and its due development in the respective countries. Part 2 explores the present arbitral laws in light of The Federal Arbitral Act and The Arbitration and conciliation Act. Part 3 compares the laws and arbitral process in India with that of USA this part shows the similarity and distinction of the laws in both the countries and also highlights the common meeting point of both the laws. HISTORY OF ARBITRATION LAW IN UNITED STATES OF AMERICA Native Americans used arbitration as a means of resolving disputes within and between tribes long before Europeans journeyed to America’s Atlantic shores.However the use of arbitration was introduced in America by the revolutionary war by the colonists who had had business experience in Europe. The use of arbitration in the ports of Europe was already known at that time among maritime and trade businesses. The experience of arbitration as a means of dispute resolution which minimized conï ¬â€šict and allowed continuation of the business relationship was brought to Atlantic by the people coming to live and work in North America. In England, arbitration is a much older concept than the common law system, which the United States courts later adopted. In fact, in England arbitration was used as a common means of commercial dispute resolution from as long as 1224. George Washington, the first President of USA incorporated an arbitration clause in his will that basically stated that, ‘ if any dispute should arise over the wording of the document that a panel of three arbitrators would be implemented to render a final and binding decision to resolve the dispute.’ In the ï ¬ rst decade of the 20th Century, several major trade groups applied arbitration beneï ¬ ts of simplicity, speed and minimal enmity. When New York’s The Association of Food Distributors, Inc. (originally known as the Dried Fruit Association of New York) was formed, its bylaws included an arbitration panel for the resolution of disputes. This was done to reduce the risk that its disagreeing members in case of any dispute and after its settlement would find ,themselves unable to resume their business relationship.1 Until the early 1920s, the only law governing arbitration proceedings in the United States came from court decisions, some dating made in the cases in17th and 18th Centuries. In 1925, The Federal Arbitration Act was enacted. It was a recognition of the several beneï ¬ ts of arbitration and it thereby established a national policy which promoted arbitration.It was initially designed to overcome the judicial hostility that was existing towards arbitration which had evolved from the English courts. With the increasing industrialization and growth and development the reluctance of people to adopt arbitration decreased. With the rise in number of disputes mainly involving â€Å" a transaction of commerce† AMERICAN ARBITRATION ASSOCIATION was established by Moses Grossman in 1926 and an era of Alternate Dispute Resolution was started by Charles Bernheimer2 . The National Labour Realtion Act passed in 1930 marked the a steep rise in the concept and usage of Arbitration in USA. The second woeld war was the turning point for arbitration law in America the economic depression and arising conflict led to more and more dispute settlement by means of arbitration by the War Labour Board. A major milestone regarding Arbitration Law was Achieved in the 1970 when when the Uniform Convention on the  Recognition and Enforcement of Foreign Arbitral Awards (The New York Convention)3 became law in the United States by the addition of Chapter 2 to the Federal Arbitration Act.This convention is still effective and provides for International Arbitration Awards which is considered to be more reliable and consistent than the existing court judgement framework in the country. Bibliography LINKS REFERRED: Alternative dispute resolution Wikipedia, the free encyclopedia Development and Practice of Arbitration in India Has It Evolved as an Effective Legal Institution? – CDDRL www.uniformlaws.org/shared/docs/arbitration/arbpswr.pdf www.kaplegal.com/upload/pdf/arbitration-law-india-critical-analysis.pdf www.williamwpark.com/documents/Arbitral Jurisdiction IALR.pdf Conflict resolution research Wikipedia, the free encyclopedia www.utexas.edu/law/centers/cppdr/portfolio/2010 Symposium/Stipanowich New Litigation Final.pdf www.kaplegal.com/upload/pdf/arbitration-law-india-critical-analysis.pdf unctad.org/en/Docs/edmmisc232add38_en.pdf STATUTES REFRRED: The Abitration and Conciliation Act 1996 The Federal Arbitration Act 1925 United States Arbitration Act The Arbitration and Conciliation Act 1940