Advantages of Arbitration in Cross-Border Disputes

In a commercial cross-border dispute, there will be multiple jurisdictions and international laws to contend with, which has the potential to make your dispute confusing and hard to navigate. Choosing options such as arbitration to resolve a commercial dispute can help you to save time and money, allowing you to focus on other aspects of your business. Ideally, a jurisdiction clause should be in the contract that designates a particular jurisdiction should a dispute arise. However, even if there is no jurisdiction clause, suggesting arbitration to resolve an issue before considering litigation will almost certainly appeal to both sides of a dispute.

It is strongly advised that you obtain legal advice from expert multi-jurisdictional lawyers. Multi-lingual lawyers can provide clear, understandable advice on the laws applicable in each country.

Here, we discuss the option of using arbitration in a cross-border dispute and the key benefits of arbitration. We also explain how Giambrone & Partners can assist businesses in a commercial cross-border dispute.

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Read some examples of commercial cross-border disputes that may arise.

Find out more about arbitration and how it differs from other options of dispute resolution.

The key benefits of arbitration and how it may help to maintain business relationships.

Find out which court will have jurisdiction over a cross-border dispute.

Find out what Giambrone can offer to help you resolve a commercial cross-border dispute.

Some examples of commercial cross-border disputes that may occur

There are many types of cross-border disputes that can occur between two businesses – varying from disagreements between shareholders to trading issues and outstanding invoices. One re-occurring cause of commercial cross-border disputes is outstanding debt – which can be a costly and time-consuming situation for your business. Cross-border disputes involving an overseas business can often escalate into a complex, long-term dispute. Now that the UK has withdrawn from the European Union disputes involving debt between a UK business and a business in the EU are now more complex and lengthier.

Another common type of commercial cross-border dispute is a breach of contract due to a failure to carry out tasks outlined within the contract. These can vary from breach of confidence disputes and misrepresentation claims to professional service disputes.

Disputes between shareholders and business partners are also a common – for example, there may be a disagreement over important decisions in the business.

Other common types of commercial cross-border disputes include:

  • Fraud
  • Professional and commercial negligence
  • Share purchase disputes
  • Intellectual property disputes
  • Technology and data protection
  • Manufacturing issues

Find out how Giambrone can assist in cross-border commercial disputes here.

What is Arbitration?

Arbitration is a type of alternative dispute resolution (ADR) where an independent, impartial adjudicator is engaged jointly with the disputing parties. The arbitrator will hear both their arguments and make a final and legally binding decision that resolves the conflict.

Arbitration provides a far greater degree of finality than mediation or negotiation. An arbitrator will come to a decision in every case. The award is agreed upon beforehand by both parties to be final, which precludes the potential for years of legal challenges involving expensive litigation. Arbitration has the advantage of being heard in private as opposed to in open court.

At Giambrone & Partners, our multi-lingual lawyers can advise you on whether arbitration is ideal for you and can also assist you in your own language, thus ensuring that the whole process is transparent and understandable. Contact us today for assistance.

The benefits of using arbitration in a cross-border dispute

Arbitration, as opposed to Litigation, can help you maintain your trading relationship

Litigation nearly always fractures a long-term business relationship, and choosing arbitration over litigation may, in some cases, help to preserve a trading relationship in the future. This can prevent you from potentially losing an important business relationship. Once a mutual decision has been agreed upon, there is a greater likelihood of compliance due as both parties have worked together to find a solution.

Alternative dispute resolution can help to protect the reputation of your business

One of the key advantages of ADR is that the matter is conducted privately and not through a court that is open to the public, including journalists and your rivals. In a particularly high-profile or sensitive dispute, this can be a disadvantage and damage your business reputation.

Are you looking for an alternative dispute resolution service for a cross-border dispute? Find out how Giambrone & Partners can help here, or contact us for assistance.

Which court has jurisdiction over a commercial cross-border dispute?

We strongly advise including a jurisdiction clause in your contract to determine the jurisdiction in which a dispute is dealt with, should one arise. In the absence of a jurisdiction clause, the rules of civil, international law will be applied. Giambrone & Partners’ cross-border lawyers have capacity across a wide range of jurisdictions, and our offices across Europe allow our lawyers to provide swift, economical legal advice to our clients.

How can Giambrone & Partners assist you with a commercial cross-border dispute?

Giambrone and Partners has years of experience in dealing with commercial cross-border disputes, pre- and post-Brexit. We can provide advice on how to proceed with your case, as well as supporting you through ADR and helping you build your case.

Our lawyers can assist with all kinds of international and cross-border disputes, such as:

  • Cross-border debt recovery
  • Insurance claims
  • Manufacturing issues
  • Contractual disputes
  • Share purchase disputes
  • Intellectual property disputes
  • Technology and data protection
  • International supply chain issues.

Our lawyers specialise in various jurisdictions in the EU, so get in contact today to arrange an appointment.

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