Arbitration is one of the most effective Alternative Dispute Resolution (“ADR") approaches to resolving disputes outside the courts. Arbitration is often considered for the resolution of disputes, most commonly used in relation to international commercial transactions.

The parties to a contract can mutually agree to settle all or certain disputes arising between them by an arbitral tribunal, known as an arbitration agreement. In essence, the arbitral award rendered by the arbitral tribunal will bind the parties, which will be recognized and enforced by the courts of contracting states under the Convention on Recognition and Enforcement of Foreign Arbitral Awards (1958), commonly known as the “New York Convention”. Thailand is one of contracting stages to the New York Convention and has also adopted UNCITRAL Model Law as well as the New York Convention as a model for Thai Arbitration Act B.E. 2545 (2002) (the “Arbitration Act”).