ABSTRACT
This chapter discusses the structural coupling between law and politics, i.e. constitution or sovereignty, as a source of justification for dispute resolution. It describes the conventional and modern approaches to sovereignty and demonstrates how the concept has proved to be easily adapted to changing societal conditions. The chapter states that conflicts involve the diverse interests of the parties, the public, the market operators and the state. Several scholars have discussed the future of sovereignty in a globalised world, where European integration and the globalisation of markets and communication have created competing authorities alongside the traditional supremacy of the nation-state. Domestic awards are enforced in accordance with the national legislation, but enforcement of foreign awards requires the multilateral instrument between the state where the award is given and the state where it will be enforced. The chapter concludes with remarks on the future role of sovereignty in dispute resolution.
