Alternative Dispute Resolution (ADR) are methods through which disputing parties seek to settle their conflict outside the state judicial system. Throughout this brief, we cover three main topics: the four types of ADR methods used to resolve disputes between both parties (I), the list of institutions that provide such services to clients locally and globally (II). Lastly, we discuss the current implications of COVID19 on ADR (III).
Arbitration is a method used to settle various types of disputes between entities. For example, arbitration mitigates conflict between private entities regarding their commercial relationship, commonly known as "commercial arbitration." Additionally, arbitration aids in settling disagreements between States "inter-State arbitration", as well as assisting in minimizing conflict between a private investor and a State "investor-State arbitration."
Although arbitration is generally perceived as a consensual method, there are cases where arbitration is the primary procedure used in national laws.
Coincidentally, arbitration is currently the only ADR provided for and regulated by Egyptian law (see Law No. 27/1994 Promulgating the Law Concerning Arbitration in Civil and Commercial Matters).
2. Institutions offering ADR services locally and globally
Recently, the industry providing ADR services flourished due to the increase of parties willing to resort to these methods to help settle disputes.Established in 1979, "Cairo Regional Centre for International Commercial Arbitration (CRCICA)" is among the several institutions offering services to ADR clients. In addition to providing several ADR related services, the centre acts as an arbitral institution and a mediation centre.
The most notable international institutions are:
3. COVID-19's implications on ADR
Kim M Rooney, a renowned international arbitrator, shared in the journal of the IBA's Dispute Resolution Section that "the conduct of international arbitration has been less affected (concerning litigation), as a move to online proceedings was already underway before the pandemic was accelerated. Online mediation has proven to be highly effective."Court closures due to precautionary measures causing a backlog of cases have pushed parties to seek ADR to settle their disputes quicker and more conveniently. What made ADR particularly appealing to entities is its ability to adapt to the current conditions; this can be observed through the development of Online Dispute Resolution (ODR). The United Nations Commission defines the ODR on International Trade Law as "a mechanism for resolving disputes facilitated through the use of electronic communications and other information and communication technology."
The flexible nature of ADR has allowed this type of service to claim its place as a reliable resort for disputing parties.
ADR is adaptable to new conditions, time-efficient, reliable and confidential for the most part, which is why ADR is here to stay, especially with the COVID-19 crisis proving its place among individuals and entities worldwide.
To view our sources, please click on the attached file below.
Download Attachment