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Arbitration today is turning into a quagmire of clashing cultures and conflicting ethical rules. Opinions differ on whether and how to address this situation. One approach is to level the global playing field by means of best practices, rules and guidelines, such as the IBA Guidelines on Party Representation in International Arbitration. Institutions can also issue their own particular rules, such as the LCIA General Guidelines for the Parties' Legal Representatives. This article takes a contrary approach by exploring how the general principle of good faith can guide arbitration proceedings and help fend off guerilla tactics. A comparative analysis of selected legal systems suggests that the principle of good faith permeates both litigation and arbitration, increasingly also in common law jurisdictions. It applies to all participants - parties, counsel, and arbitrators alike - and allows for bespoke solutions. The aim is to keep arbitration informal and flexible, in the interest of the users. Good faith may not be a panacea for all real or perceived ills afflicting arbitration, but it is arguably the closest substitute we have available.
ASA Bulletin – Kluwer Law International
Published: Jun 1, 2015
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