ABSTRACT
Arbitration is an alternative to litigation as a means of resolving disputes. English law recognises and supports the arbitral process by providing a statutory framework for arbitrations set out in the Arbitration Act 1996. Litigation is limited by national laws. Arbitration in England and Wales is governed by the Arbitration Act 1996. International commercial arbitration follows the same judicial process as domestic arbitration. International arbitration clauses first appeared in the FIDIC Conditions of Contract in 1957. The Arbitration Act 1996 and the Civil Procedure Rules demonstrated Parliament's intention to cut down on the delay and expense of arbitration and litigation respectively. Some success has been achieved litigation and arbitration are now both primarily focused on limiting the time taken and expenditure incurred, and both sets of procedures are now relatively flexible. The AEC industry ensures that arbitration is used instead of litigation by including arbitration clauses in building contracts.
