ABSTRACT
This chapter highlights the characteristics of arbitration, including those that contribute to its continued popularity. The Arbitration Act 1996 is triggered when the seat of the arbitration is in England and Wales or Northern Ireland. The anational character of arbitration is often said to be an appealing feature since parties agree to apply lex mercatoria or equitable principles. Arbitration clauses are most common in international commerical contracts, and arbitration is expected to play more of a central role as a result of globalisation. The American Arbitration Association and the Nederland Arbitrage Instituut are perhaps the better known national institutions offering services in the area of commercial arbitration. Impetus for new legislation on arbitration came from the Departmental Advisory Committee that studied United Nations Commission on International Trade Law Model Law on International Commercial Arbitration 1985 with a view to adopting it into English law.
