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CHAPTER 3. The agreement to arbitrate

Understanding International Arbitration

Page 51


The agreement to arbitrate


1. Arbitration is consensual, but requires that agreements to arbitrate be enforceable

Arbitration is based on the consent of the parties, but by the time a dispute has arisen, one party will often no longer wish to arbitrate. As a result, arbitration can only be effective as a dispute resolution mechanism if parties can be compelled to arbitrate once they have agreed to do so.

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