Financial Services Disputes: ISDA Raises The Profile Of Arbitration

Summary and implications

On 9 September 2013 International Swaps and Derivatives Association (ISDA) published guidance on arbitration in the context of disputes arising under its documentation and a set of model arbitration clauses. This step reflects growing interest in arbitration in the financial services sector.

This briefing considers the potential for increased use of arbitration in cross-border financial services disputes, the reasons driving change and the implications for key stakeholders within the financial services sector.

A tradition of litigation

Financial institutions have historically favoured litigation over arbitration for resolving disputes connected with complex financial transactions/products.