Recent decisions by Australian courts give confidence in use of arbitrations

A series of recent decisions by Australian courts have upheld the enforceability in Australia of determinations or awards made by international and Australian arbitrators.

The ability for arbitration to be used to resolve disputes is fundamental to international trade. It is in an increasingly popular way to resolve commercial disputes as the process is confidential and, in theory, offers a quicker and less expensive alternative to traditional court proceedings.

Given international arbitral determinations have been enforced by Australian courts in a wide variety circumstances, people should have greater confidence in using such proceedings to resolve disputes. At the same time, parties should be aware that they need to pay careful attention to any arbitration proceedings to be used to resolve disputes.