Wednesday, June 12, 2013

ARBITRATION and ALTERNATIVE DISPUTE RESOLUTION

à Arbitration : Law number 30, 1999. (Indonesia)

à Court System in Indonesia


à Legal Efforts :

            Appeal à Cassation à Civil Request

à Schuyt’s Horseshoe (Hoefijzer) model:

1.    Implied Subjection (Penundukan Diri)
2.    Negotiation (Self-Managed) : Pengelolaan sendiri
3.    Mediation (using 3rd parties) : Pra-yuridis
4.    Adjudication and Arbitration : yuridis-kehakiman
5.    Political Pressure : yuridis-politis
6.    Violence : Kekerasa




à Justifications for ADR:
        
            Why Choose ADR?

a.     To lower court caseloads and expenses
b.    To reduce the parties expenses and time
c.     To provide speedy settlement of those disputes that were disruptive of the community or the lives of the parties’ families
d.    To improve the public’s satisfaction with the justice system
e.     To encourage resolutions that were suited to the parties needs
f.      To increase voluntary compliance with resolutions
g.     To restore the influence of neighborhood and community values and the cohesiveness of communities (win-win solution)
h.    To provide accessible forums to people with disputes
i.      To teach the public to try more effective processes than violence or litigation for settling disputes.

à Several outcomes from the ADR process:

a.     Win/Lose : I win, you lose
b.    Lose/Win : I capitulate and give up, you ein
c.     Win/Win : both winners
d.    Lose/Lose : both losers
e.     No deal

à Other ways to settle disputes :

a                      a. Negotiation :                    à No third party facilitator
à Voluntary
à If agreement, enforceable as contract
à Usually informal, unstructured
à Nature of proceeding : unbounded presentation of evidence, arguments and interest
à Outcome : mutually acceptable, agreement sought
à Private
à If parties cannot settle the dispute by themselves, and bring in a third party, they give up some control over the process but not necessarily over the solution.

b. Mediation :                      à Parties select the third one as the mediator
                                                à Voluntary
                                                à If agreement, enforceable as contract
                                                à Usually informal, unstructured
                    à Nature of proceeding: unbounded presentation or evidence, arguments and interests
                    à Outcome : mutually acceptable agreement sought
                                                à Private
                    à The disputing parties determine when and how to proceed the settlement
                    à The mediator informally proposes any kind of settlement
                    à The parties are free to accept or reject the proposal
                    à If the settlement fails, the process can be through another mechanism


c.  Conciliation :                 à Parties select the third one as the conciliator
                                         à Voluntary
                                         à If agreement, enforceable as contract
                                         à Formal, structured

d. Adjudication :           à Involuntary
                                    à Binding ; subject to appeal
             à Third party is imposed, third-party neutral decision maker, generally with no specialized expertise in dispute subject
             à Formalized, highly structured by predetermined, rigid rules
             à Nature of proceeding: opportunity for each party to present proofs and arguments
             à Outcome: principled decision, supported by reasoned opinion
             à Public
           
       e. Arbitration :                   à Parties selected third party decision makers, often with specialized subject expertise. Procedural rules and substantive law may be set by parties (written).
                                                à Binding; subject to review on limited grounds
                                                à Less formal
                                                à Nature of proceeding: Opportunity for each party to present proofs and arguments
                                                à Private, unless judicial review sought


 à Choice of Law

All disputes arising in connection with this agreement shall be finally settled under the rules of conciliation and arbitration of the ICC by one or more arbitrators appointed in accordance with the rules and the arbitration shall be held in Jakarta.

à Choice of Forum

Choice on how to settle the dispute, either by adjudication, arbitration, mediation, conciliation or negotiation.
    



0 comments:

Post a Comment