Introduction
In an ideal world, disputes would be able to be resolved
amicably. In practice, however, disputes are more often settled by
adversarial methods such as litigation and arbitration. To offer
another chance at preserving relationships,
Arb-Med-Arb has emerged as a means of
incorporating mediation into the arbitral process, where parties
who have commenced arbitration may "pause" proceedings to
attempt to settle the dispute by mediation. If unsuccessful,
parties would then continue the arbitration.
In Indonesia, Arb-Med-Arb was initially developed from the use
of mediation in court litigation as an effort to enhance the
amicable dispute resolution process and obtain a win-win solution
for all parties involved. Article 45 of Law No. 30 of 1999 on
Arbitration and Alternative Dispute Resolution
("Indonesian Arbitration Law") requires
that on the first day of a hearing, the arbitral tribunal must
attempt initiating an amicable settlement for the