Arbitration in Scotland
Scotland, like many jurisdictions, has a long history of
arbitration being an acceptable means of dispute resolution. Indeed
a set of regulations made in 1695 (by the previous Scottish
Parliament) still remain valid.
It is the position, however, in Scotland that there are few
statutory provisions in relation to arbitration and such guidance
as there is tends to be based upon decisions of the Court. Most of
these are somewhat historic and certainly not based upon modern
thinking in relation to dispute resolution. They also tend to take
a fairly "conservative" approach in relation to the use
of arbitration. While it is clear that if there is a binding
arbitration clause the Courts will enforce it and sist (stay) an
action, the approach of the courts in seeking to interpret an
arbitration clause in cases of ambiguity often seems to be to
approach it in a manner which limits the effect of the arbitration
clause.
