A Comparison of the Position of Litigation and Arbitration in Int l Trade Disputes Settlement

when an international trade contract is concluded, appearance of disputes seems inevitable. For solving such disputes the parties should appoint beforehand the law applicable thereon as well as an approach by which those disputes should be solved. Two outstanding approaches for this purpose are “litigation” and “arbitration”. There seems a jurisdictional conflict or ambiguity on priority of any one of them on the other, when a jurisdictional conflict happens. For solving this matter, three ideas, i.e. “sole jurisdiction of courts”, “conditional sole jurisdiction of arbitration” and an “in between relative jurisdiction of court & arbitration”, have been developed from which the third idea is now widely adopted. The appreciation of the degree of merits and demerits of the litigation and arbitration approaches vis-a-vis required a study on this matter as well as on the above mentioned jurisdictional conflict, the task which was taken up by the present article the findings of which are hereby presented to the interested legal academics as well as the researchers in fond thereof.