By definition, under our municipal law, (The Arbitration and Concilitia Decree No. 11 1988 arbitration is defined as “Meaning a commercial arbitration whether or not administered by a permanent arbitrate institution1”. By virtue of the definition above, arbitration under the Act necessary means commercial arbitration, therefore, international arbitration means International Commercial arbitration. Commercial arbitration is that which concerns the relationship of a commercial nature.

            The distinction between international commercial arbitration and other forms of international arbitration is necessary, this is because, it serve to distinguish arbitrations (international) relating to commercial nature from arbitrations relating to states over boundary disputer and other political disputes.
            Secondly a state which is a party to the New York Convention may pursuant to the commercial reservation” reserve its obligations under the convention only in respect of contracts which are considered commercial under its national law; thus, for the purpose of recognition and enforcement of arbitral award under the state’s law, the term “commercial” must as a matter of law be scrutinized.

An arbitration is international if
a.   The parties to an arbitration agreement, have at the time of the conclusion of the agreement, their places of business in different countries or;
b.   One of the following places is situated outside the country in which the parties have their places of business
i.    The place of arbitration, if such place is determined in or pursuant to, the arbitration agreement
      ii.   Any place where a substantial part of the obligation of the commercial relationship is to performed, or the place with which the subject matter of the dispute is mostly closely connected
c.   The parties have expressly agreed that the subject matter of the arbitration agreement relates to more than on country; or
d.   The parties, despite the nature of the contract, expressly agree that any dispute arising from the commercial transaction shall be treated as an international arbitration4.
            Paragraphs (c) and (d) above indicates that parties to an arbitration can on their own accord decide whether their arbitration would be international or not when the facts of the relevant transaction do not obviously reveal any external connection.
            International Arbitration has been defined by the International Law Commission as “a procedure for the settlement of disputes between states by a binding award on the basis of law and as a result of an undertaking voluntarily accepted5”. International arbitration has been the most commonly used method for the settlement of International disputes and has contributed in no small measure to the development of international law, and this has not diminished even now that there have the international court of justice6.
            It is the principle of International law that states “shall settle the international disputes by peaceful means” pursuant to this principle………
            Like in all methods of pacific settlement in international law arbitration is Udumtary: parties must consent beforehand to the exercise of jurisdiction by the arbitrators which may be by ad hoc see the Guinea/Guinea-Bissau Maritime Delimination sace 77 LLR 636 and the Canadian France Maritime Delimination (1992) 31 ILM 1145, or consent may be given in advance to a specific procedure as with the permanent court of Arbitration8.
Anbitration procedure are not limited to determination of disputes between states          

section 57(2) Abriteatition and conciliation  Act cap  A18 LFN 2004
year book of international law commission 1953,11, p.202 p268
 Textbook of international law martin Dixon (oxford uru . press)
Article 2(3) UN chapter. Although expressed to terms of UN menbes it can be take to rate  any int’l law.

Established by the 1899 and 1907 Hague con. On pacific settlement provides on instrtutimalized procedure the settlement of int’l dispute by arbitration

An important function of international arb. And one which the KJ cannot undertake, is to settle of disputes between states and other bodies having international personality example multinational corporations. In otherworld, international arbi is extended to the settlement of disputes between states and corporation or between states and in exceptional cases individuals claiming against the state. One of the most important of such arbitration proceed is the international center for the settlement of investment disputers, which provides a forum for the settlement of disputes between states and multinational corporations arrsrey out of muertimate. In addition, there is now also of model rules for international Commercial Arbitration reflecting the practical importance of arbitration in the world of commerce.9
            Moving away from the machinery of international arbitration. What are the legal charactistics? In general parlance, arbitration can denole any settlement achieved by reference to a third party. However the perm ant count of justice (P.C.J) has indicated in its adulatory opinion on interpretation of the treaty of Lausanne case arbitration in international law has a more specific meaning fist, int’l arbitration is a procedure for of the settlement of the a legal dispute, it is concerned with the right and obligation of parties and a settlement is achieved by application  of the relevant law to the case this is not to say that economic and political factors are irrelevant but rather that they, of themselves, cannot affect the outcome. Like the ICT international arbitration is concerned primarily with question of intenational law.11
            Secondly, as a general rule arb. Awards are gen legdlybinding on the parties, once a party has committed itself to arb. It is under a legal allegation to give effect to the result. Infect even in absence of enforcement machinery, the majority of arbitration awards are adhered to decisms of the ICT, they have mhorent.12
            Thirdly, parties to international arb have direct control over both the composition of the panel and its procedure. This ensures that the panel anyoys the confidence of the parties and add to the fore of its final award.
9.         Textbook on Int’l Law op. G. t. p.2
10.       (1925) PCIJ ser. B No 12
11.       Ibid P. 270
12.       Ibid P.270    

The prevalence of arbitral awards and procedures testifies to the success that the form of dispute settlement enjoys within the international community.
            Finally under international arb. Courts may review the arbitration agreement where one of the parties is dissatisfied.13
            In normal circumstance an international arbitration necessarily involves external factors which ordinarily should make it less attractive to parties, example almost always, the procedure is conducted wholly or partly abroad, also vital evidence may have to be obtained from external sources and the arbitration may be foreigners. All these are bound to rather make the process rather repulsive.
            But most times parties resort to international arbitration as a “Pis aller the best action in the circumstances. Parties resort to int’l arb as the most realistic compromise, because they cannot resort to a neutral international court because there is none.
            International arbitration must be distinguished in the Act. However an inference can be asserted from the definition of international arbitration above to refer to domestic arbitration as any arbitration which does not come within the definition of international arbitration.13
11.       Textbook on international law, Martin Dixon (4th ed. Oxford Un. Press 200) p. 271 see also the Senegal/Guinea-Bissau Award case (1992) 31 UN3
Ejiofor Giaus, the law of Arbitration in Nig (1st ed. Longman P(1997)P. 135 

An Overview of the legal frame work to recogrution of international (foreign) commercial Arbitral …….. Nigeria legal system
            Commercial arbitration has bcrm a major concern and attraction in international transactions owing to its speed and effectiveness in resolving commercial disputes. Having obtained the award however. The successful party uruld have to enforce the around against his adversary. The willing of Nigerian courts to enforce foreign arbitratn awards and the ease or difficulty of doing so and of likely timeseale of the process of enforcement are issue of immense concern to any foreign person whishing to enforce an arbitral award in Nigeria.
            The United Nations Commission on International Trade law (UNCTIRAL) model law on int’l comm.. Arb has been wholly or partially adopted and enacted into national laws of several countries with diverse constitutional and legal system2. In the case of Nigeria, the law was enacted in the federation public of Nigeria in 1988 as what was called Arbitration and concentration act (Op Aiq) LFN 1990 now Arbitration and conciliation Act cap A18, LFN 2004 (“The Act) this act and treaties governs the practice of domestics and international arbitrate in Nigeria section 43 of the Arb. & Con. Act Cap,,,,, LFN 2004 stipulates that part 111 of the Act which provides for appointment of arbitrators, making of an awards, termination of proceedings, recognition and enforcement of awards applies only to international arbitration.3
It is important to note that part 111 of the ct comprise of section 43-55 these sections gull a general guideline to the practice of international arbitration in the federation of Nigeria. Some learned authors have argued that Nigeria should hold some attraction as a forum or seat, or locus arbitri for the international arbitrations. Normally, the law of the place of arbitration governs the arbitration and is characterized as the lex arbitri4
Prof. Ezejiofor Giaus in his opinim noted that the Nigeria attraction devices from the fact that its arbitration legislation, the Arbitration and Conciliation Act is an adaptation of the UNGTRAL Model law on international commercial Arb.
1.         Www. Black friars-law cen (last visit of 9th August, 2013)
2.         Chukwumere Andrew 1, studies & materials international comm. Arb (law house books 2002) p. 85)
3.         See section 43 arbitration and conciliation Act Cap A19 LFN 2004.
4.         Ezejiofor Giaus, op. Cit p. 163.

And the UNGTRAL Rules5. In Nigeria the provision of the model law and the Arbitraturb rule apply in int’l arbitration as to …….. informed concept of parties autonomy to deride by themselves all the fundamental question concerning their arbitration and the miniroal judicial control of the arbitral process. The act specifically prourded that parties to on int’l arb agreement may stipulate that the dispute arising from agreement shall be referred to arbitration, in accordance with the Arbitral Rules6 scheduled to …… the act in accordance with the UNCITRAL Rules or any other international arbi Rules7. it has been argued that the provision of the act under 5.4 which manatatrly empowers a court to say proceed 10gs brought in breach of arbitration agreement is believed to apply to international arbitration in Nigeria8 while the discretionary power to say proceed under 5.5 is brought to apply to domestic arbitration.
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