Arbitration and Litigation

“Arbitration is Better Method of Dispute Resolution than Litigation”



“Arbitration is Better Method of Dispute Resolution than Litigation”

Introduction

In terms of the dispute resolution between contracting parties, there is a common threat which is most often used, “I'll see you in court!” People resort to courts to resolve their conflicts. For dispute resolution, arbitration has become very popular for the past few years. The provisions of arbitration are; now, appeared routinely in most basic agreements. However, most often majority of the parties include these provisions without truly understanding the arbitration's effects. There is another matter which is used for dispute resolution as well, litigation.

In personal relationships in general and in particular legal, conflict and litigation is on the agenda, whose motivations become the most varied causes. The final solution to these conflicts can occur in two ways, with or without dialogue of the parties involved or, despite attempting a friendly settlement, the parties agree to reach an agreed solution. In these cases, either because of lack of dialogue, to conceal the existence of the problem or any other cause, the resolution will depend on a third. However, the intervention of a third party may promote a new dialogue to mediate between the parties, assisting and mediating between them to resume the dialog is interrupted or you end up in a real trial, judicial or arbitration.

Legal Regulation

The adoption in most countries of the Arbitration Act 60/2003 (the LA), and its entry into force, represent a fundamental leap in the development of the arbitration system as a method of conflict resolution in relationships, commercial, legal and contractual occur daily.

It also highlights the actual grounds of the LA which amended Law 36/1988, of December 5, it is developed with a view to harmonizing the legal framework of arbitration (in particular international trade), encouraging the spread of practice and promote the unity of criteria in their application to facilitate more effective as a means of settling disputes .

Article 31 of Law 26/1984 of July 19, for the Defense of Consumers and Users establishes a system of arbitration is binding and enforceable resolution of consumer complaints, provided that no poisoning, injuries or death, and no reasonable suspicion of crime, subsequently adopted the Royal Decree 636/93 of 3 May that regulates the Consumer Arbitration System.

Intellectual Property, apply Article 158 of the Consolidated Copyright Act, approved by Royal Decree 1 / 1996 of April 12, and the Royal Decree 479/1989, of May 5 by regulating the composition and operating procedure of the Arbitration Commission on Intellectual Property, and Royal Decree 1248/1995 of 14 July, partially amending Royal Decree 479/1989.

From March 26, 2004, consumer legislation and intellectual property rights are affected so the LA Extra matters not covered by them. We indicate that expressly excludes its application in the workplace (Art.1.4. LA, "are excluded from the scope of this Act, the labor arbitration."). The revised labor Procedure Act, approved by Royal Legislative Decree 2 / 1995 of 7 April (BOE of 29 April 1995), Article 63 Title V ...