• Journal of Arbitration Studies
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• v.29 no.2
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• pp.3-34
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• 2019

The resumption of economic cooperation between South and the North Korea will be a new growth engine for our economy. Many Korean companies are preparing to invest in North Korea in accordance with the progress of inter-Korean relations. However, there are many risks inherent in inter-Korean economic cooperation, as experienced in previous cases. Specifically, one should be prepared for unfair measures such as the expropriation of investment assets of South Korean enterprises by North Korea authorities. Therefore, it is essential to review the protection measures of investment in North Korea and to review the investment dispute settlement system. The South and the North have an agreement to establish the inter-Korean Commercial Arbitration Committee to resolve the disputes that may arise if one party's investments are lost due to inappropriate or unfair measures due to the other party's authority. However, the Investment Agreement, which governs the Inter-Korean Commercial Arbitration Committee, contains a number of declarative statements that are somewhat ineffective. Even today, nearly 20 years after the adoption of the Agreement, the specific detailed procedures have shown no real progress, such as in the enactment of arbitration rules. Therefore, at present, it is difficult to expect a system that can effectively address the damage of our corporations which have invested in North Korea. When the assets freeze after the suspension of Kumgang tourism and the closure of the Kaeseung Industrial Complex by North Korea, the activation of the inter-Korean Commercial Arbitration Committee is the most important prerequisite for economic cooperation with North Korea. For this purpose, the resolution of disputes through the Inter-Korean Commercial Arbitration Committee has to be made more concrete, with the effectiveness of the dispute settlement system enhanced by means of various efforts.

• Journal of Arbitration Studies
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• v.14 no.1
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• pp.61-101
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• 2004

Information and communications technologies are affecting an economic and social transformation of all countries. Without exception international commercial dispute resolution systems are faced with change its mechanism to online technology. Dispute parties can seek redress through arbitration other than litigation or mediation. Traditional dispute resolutions do not match the cyber trade environment which is basically pursuit the speed and efficiency in cyberspace. Arbitration other than resolution methods have been considered to be match with the online environment which is including party autonomy, speed and internationally accepted and binding awards. Traditional arbitration, however is lack of time and different physical location relating all parties. So we now think cyberspace as for the resolving place which is online arbitration. Even the parties exist in different space and time they may meet in the same time and space without moving or trips. Nowadays there are many online arbitration service provider serving the resolution of dispute arising with online transaction. In this paper we study the tendency for online arbitration, the recognize uncertain matters and avoiding programs its matters when use the online arbitration between disputing parties under cyber trade environment.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.77
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• pp.91-112
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• 2018

Mediation is one of several alternatives to litigation or arbitration. It is the most informal of the alternatives and the only one that gives the parties control over the outcome. The mediator in mediation is there to help the parties persuade each other that it is in their best interests to settle. As several advantages of mediation, it is considered as the fastest way to resolve a dispute because procedures associated with litigation are not imported into the process. In mediation, the client's resources are focused on resolving the dispute as opposed to building armaments of evidence to buttress legal and factual positions. The AAA commercial mediation rules and operations in the USA are very successful owing to professional training for mediators and simple procedures for mediation to the public. Comparison with USA mediation, KCAB mediation system has several weak points. KCAB mainly deals with administrative matters related to Foreign Trade Law. Therefore, it is necessary for KCAB to come up with more improved international commercial mediation. For example, mediation should be promoted to the public as who easily rely on litigation or arbitration. Second, Setting a rule for easy access to mediation is needed by bench marking AAA's mediation guidelines and operations. Third, professional mediators should be developed by establishing relevant ADR course in law schools. This article investigated some differences of mediation system between KCAB in Korea and AAA in USA, and present some suggestions in order to promote International commercial mediation in KCAB.

• Journal of Arbitration Studies
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• v.13 no.2
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• pp.489-517
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• 2004

The resolution of the 1993 Uruguay Round and the opening of Korea's construction market in '97 marked the beginning of the globalization of Korea's domestic construction market. Consequently, the process led to changes in contracting procedures, as well as disputes in construction management. With globalization came a rapid realization of reasonable values, which forced the hierarchical vertical relationship between the owners, constructors, and subcontractors into a more equal, horizontal relationship. Once the hierarchical relationship was altered, the late 1990's witnessed a dramatic increase in managerial disagreements, in addition to escalating legal disputes and expenditures. The horizontal relationship was a new concept and brought forth many complexities. Unfortunately, because all of this was new, management of construction disputes was elementary at best. Anticipation of disputes is the key to effective dispute management. This includes thorough reviews of contract documents, document management, construction records, and checklists. Also necessary is the education of owners and contractors with pertinent knowledge concerning dispute management. The following paper focuses on the importance of observing construction disputes in order to facilitate management thereof.

• Journal of Arbitration Studies
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• v.20 no.3
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• pp.3-24
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• 2010

In the approaching 21th century, the outstanding development in international trade and commerce has established arbitration as the preferred form of dispute resolution on international business transaction. Because the form of commercial dispute becomes more complicated and varied with the quantitative increase of them, the reasonable and rapid settlement of them must be the important problem simultaneously. In this article, the author discusses various issues on the recognition and enforcement of an foreign arbitral awards under Korean Arbitration Act, which is modeled after the Model Law on International Commercial Arbitration of the UNCITRAL of 1985. The Dec. 31, 1999 amendment to the Korean Arbitration Act admits the basis for enforcement of foreign arbitral awards rendered under United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958(commonly known as the New York Convention). Korea has acceded to the New York Convention since 1973. When acceding to the convention, Korea declared that it will apply the Convention to the recognition and enforcement of awards made only in the territory of anther Contracting State on the basis of reciprocity. Also, Korea declared that it will apply the Convention only to differences arising out of legal relationships, whether contractual or not, which are considered as commercial under the national law of Korea. The provision relating to the enforcement of arbitral awards falling under the New York Convention consists of Article III, IV, V. In particular, Article V of the New York Convention enumerates the grounds for refusal of recognition foreign arbitral awards. The grounds are separated into two categories : One that abides by procedures and the others are based on national legal sovereignty. In Korea, a holder of a foreign arbitral award is obliged to request from the court a judgment ordering enforcement of awards. Because Korea requires enforcement to be based on a judgement, the result is that arbitral of award holders are forced to institute domestic litigation.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.57
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• pp.3-34
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• 2013

In the international sales contract, long-term contracts often face hardship in fulfilling the original contract terms by relevant parties due to rapid change and uncertainty of political and economic circumstance. In this case, party who faces hardship of fulfillment terminates contract or demands adaptation to contract condition but if opponent doesn't accept this, it proceeds to commercial dispute needing legal interpretation. Generally it is wise to set forth governing law in contract between parties in the case of international contract, for legal stability. One of universal governing law which relevant parties select by agreement to solve economical hardship of fulfillment is PICC. PICC defines the hardship in detail for renegotiation on following hardship of fulfillment unexpected. In the case of failing renegotiation, Court(arbitral tribunal) conducts termination to contract or adaptation to contract condition through arbitration or mediation. In conclusion, when signing international long-term contract, it is desirous to handle dispute effectively by inserting provisions which can deal with economical hardship in contract or defining PICC as governing law in the case of hardship incurred. It is because it is realistic to handle dispute smoothly to the extent that both parties can be satisfied in the case of hardship incurred, though international contract should be fulfilled.

• Journal of Arbitration Studies
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• v.22 no.3
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• pp.71-92
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• 2012

The significant increase in international trade over the last few decades has been accompanied by an increase in the number of commercial disputes between Korea and India. Understanding the Indian dispute resolution system, including arbitration, is necessary for successful business operation with Indian companies. This article investigates characteristics of India's Arbitration and Conciliation Act in order to help then traders who enter into business with Indian companies to settle their disputes efficiently. The Arbitration and Conciliation Act(1996) based on the 1985 UNCITRAL Model Law on International Commercial Arbitration and the UNCITRAL Arbitration Rules 1976, has a number of characteristics including the following: (i) this act covers ad hoc arbitration and institutional arbitration (ii) parties to the arbitration agreement have no option except arbitration in case of any dispute (iii) the parties can choose their own laws, places, procedures, and arbitrators (iv) the decision of the arbitrators is final and binding (v)role of the court has been minimized and (vi) enforcement of foreign awards is recognized. However, there have been some court decisions that have not been in tune with the spirit and provisions of the Act. Therefore, Korean companies insert the KCAB's standard arbitration clause into their contracts and use India's ADR(Alternative Dispute Resolution) Methods to strategically resolve their disputes. Additionally, Korean companies investigate Indian companies' credit standing before entering into business relations with them.

• International Commerce and Information Review
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• v.6 no.2
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• pp.23-41
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• 2004

Rapid development of computer and telecommunication technology brought out the expansion of electronic commerce which is the new type of business transaction. Offline transaction can lead to problems and disputes the same is for cyberspace transactions. However ADR is not meet for the online transaction for speed, cost and open network system, ODR methods to resolve electronic commerce conflicts is crucial for building confidence and permitting access to justice in an online business environment. And ADR refers to processes other than judicial determination in which an impartial person assists those in a dispute to resolve the issues between them. ODR refers to ADR processes assisted by information technology, particularly the internet. ODR has been available since 1996. Its development can be as passing through three broad stages : hobbyist, experimental, entrepreneurial, institutional phrase. Also, ODR has adapted a range of traditional ADR for use online, including arbitration. mediation. facilitated negotiation and case appraisal. Mediation and arbitration have been the most prevalent forms of ODR. ODR is the burgeoning field and has created a new issues. All such issues which have been debated in the ADR are composed with ODR. But these are not limited. Some of issues are further complicated by the nature of the online environment such as confidentiality and principle of parties. Finally electronic commerce now takes place on the Internet, it is inevitable that the commercial world wants access to dispute resolution process that best suits the new commercial environment. ODR methods are processing for development and legal issues are considered by both national and international authorities.

• Korea Trade Review
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• v.43 no.6
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• pp.1-24
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• 2018

This study analyzes the dispute settlement of between arbitration and litigation using a game theoretical approach. Many studies on arbitration have so far focused on the relevant institutions. However, there are few theoretical studies that have focused on the demand side of arbitration. The model presented here suggests conditions under which arbitration form a perfect Bayesian Nash equilibrium, provided that the players strategically choose a dispute settlement tool. Furthermore, the suggested model is used to analyze simple cases of international commercial dispute cases.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.58
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• pp.99-124
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• 2013

International commercial arbitration is a specially formed mechanism for the final and binding settlement of disputes arisen between contracting parties regarding procedures, structures or other contractual relationship agreed by them. It is a resolution system which is processed autonomously by arbitrators who are appointed by contracting parties without involving the national court. If the contracting parties want to settle their disputes by arbitration, there must be a valid agreement. With a valid agreement, the most important concern is which law(called as the substantive law) should be applied in order to determine the rights and obligations of both contracting parties in relation to the dispute. At this point, the substantive law is really important because it is applied to the dispute itself directly during proceedings as well as it plays an crucial role in scrutiny and enforcement of arbitral awards. This article discusses about the substantive law under international commercial arbitration, specially focusing on the regulations of the ICC rules of arbitration, which is the most widely used all over the world and UNCITRAL Model law, which most countries' rule and laws are based on. By discussing how these rules and regulations should be interpreted and applied, it is expected to provide practical help to practitioners when they agree on an arbitration agreement.