International Arbitration 101
What is it?
International arbitration is a non-court centered means of resolving disputes between parties that agree to be held to the non-country specific standards of ethical conduct.
What is the New York Convention?
The New York convention is the predominant organ of international arbitration.
It gives arbitration decisions from member countries enforceability in the courts of all countries that have ratified the Convention.
It was created in 1958 under the auspices of the United Nations.
Some 166 countries, territories, principalities and regions have ratified the New York Convention including, including the United States, Puerto Rico and several other US territories.
How does it affect US businesses?
Businesses in the US that do business abroad may, in the case of a dispute, have decisions made by New York Convention arbitrators in foreign countries that are enforceable here in the US.
In the US, the Federal Arbitration Act applies in both federal and state courts and includes the New York Convention in chapter two.
Because the New York Convention is governed by an act of Congress and an international treaty it preempts state laws that may contradict it. Therefore, The New York Convention applies evenly across all jurisdictions of the United States and its territories.
Dealing with international business matters? Contact South Florida Law today on (954) 900-8885 or via our contact form