THE ISSUE OF CORRUPTION IN THE INTERNATIONAL TRADE-QUESTIONING THE ARBITRATORS’ JURISDICTION?

Authors

  • Michaela Garajová Department of International and European Law, Faculty of Law, Masaryk University, Brno, Czech Republic

DOI:

https://doi.org/10.20319/pijss.2018.42.0116

Keywords:

Arbitrability, Arbitration, Corruption, Jurisdiction, Public Policy

Abstract

Corruption and a private dispute resolution - two disciplines that have nothing in common? Contrarily. The area of international trade is, as a consequence of liberalization and globalization, free of many economical, legal and physical barriers between countries today. The international cooperation between subjects of different states and the exchange of goods and services is going hand in hand with a risky growth of international criminal activities. The jurisdiction of national judges has been limited in this field since the existence of an alternative dispute resolution that is more suitable to the global and commercial needs and claims. The aim of this paper is to analyze whether it is appropriate, in the context of the international arbitration proceedings, to raise an issue of corruption that may have affected or otherwise distorted the performance of a contract. The conclusion of this paper reveals that such issues should be permitted to be raised by the arbitrators in arbitral proceedings since the principal decision-making powers of the arbitrators in the area of international trade is undeniable.

References

Ajulor, O.V. (2018). The Challenges of Policy Implementation in Africa and Sustainable De-velopment Goals. PEOPLE: International Journal of Social Sciences, 3(3), 1497-1518. https://dx.doi.org/10.20319/pijss.2018.33.14971518

Argandoña, A. (2005). Private-to-private Corruption. Journal of business ethics, 47(3), 253-267. doi: https://doi.org/10.2139/ssrn.685864

Betz, K. (2017). Economic Crime in International Arbitration. ASA Bulletin, 35(2), 281-292.

Born, G. (2009). International commercial arbitration. Austin: Wolters Kluwer.

Cremades, B. M., Cairns, D. J. (2003). Transnational Public Policy in International Arbitral Decision-making: The case of bribery, money laundering and fraud. Karsten, K., Berkeley, A (Eds.) Arbitration – Money Laundering, Corruption and Fraud (pp. 65-91). Paris: ICC Publishing s.a.

Fortier, L. Y. (2015). Arbitrators, corruption, and the poetic experience: ‘When power cor-rupts, poetry cleanses’. Arbitration International, 31(3), 367-380. doi: https://doi.org/10.1093/arbint/aiv029

Fox, W. (2009). Adjudicating Bribery and Corruption Issues in International Commercial Arbitration. Journal of Energy & Natural Resources Law, 27(3), 487-502. https://doi.org/10.1080/02646811.2009.11435225

Hwang, M., Lim, K. (2012). Corruption in Arbitration - Law and Reality. Asian International Arbitration Journal, 8(1), 1-119.

Jenkins, A. (2003). Money laundering, corruption and fraud: The approach of an international law firm. Karsten, K., Berkeley, A (Eds.) Arbitration – Money Laundering, Corruption and Fraud (pp. 29-40). Paris: ICC Publishing s.a.

Mayer, P. (2006). Effect of International Public Policy in International Arbitration. Mistelis, L. A., Lew, J. M. Pervasive problems in international arbitration (pp. 61-69). Alphen aan den Rijn: Kluwer Law International. https://doi.org/10.1093/arbitration/19.2.249

Mayer, P., Sheppard, A. (2003). Final ILA Report on Public Policy as a Bar to Enforcement of International Arbitral Awards. Arbitration International, 19(2), 249-263. doi:10.1093/arbitration/19.2.249

Mistelis, L. A. (2009). Arbitrability – International and Comparative Perspectives. Is Arbitra-bility a National or an International Law issue? Mistelis, L. A., Brekoulakis, S. L (Eds.). Arbitrability: International and Comparative perspectives (pp.1-17). Austin: Wolters Kluwer.

Mourre, A. (2006). Arbitration and Criminal Law: Reflections on the Duties of the Arbitra-tor. Arbitration International, 22(1), 95-118. doi: https://doi.org/10.1093/arbitration/22.1.95

Pavić, V. (2012). Bribery and International Commercial Arbitration - The Role of Mandatory Rules and Public Policy. Victoria University of Wellington Law Review, 43, 661-686.

Pengelley, N. (2007). Separability Revisited: Arbitration Clauses and Bribery - Fiona Trust & Holding Corp. v. Privalov. Journal of International Arbitration, 24(5), 445-454.

Pieth, M. (2003). Transnational Commercial Bribery: Challenge to Arbitration. Karsten, K., Berkeley, A (Eds.) Arbitration – Money Laundering, Corruption and Fraud (pp. 65-91). Paris: ICC Publishing s.a.

Pieth, M. (2011). Contractual Freedom v. Public Policy Considerations in Arbitration. Büch-ler, A., Müller-Chen, M. Private Law: national – global – comparative, Festschrift fur Ingeborg Schwenzer zum 60. Geburstag. Bern: Stampfli Velag AG Bern.

Redfern, A., Hunter, M. (2015). Redfern and Hunter on International Arbitration. Oxford: Oxford University Press.

Sayed, A. (2004). Corruption in international trade and commercial arbitration. The Hague: Kluwer Law International.

Srinivasan, D., Pathak, H., Panjwani, P., Varma, P. (2014). Effect of bribery in international commercial arbitration. International Journal of Public Law and Policy, 4(2), 131-146. doi: https://doi.org/10.1504/IJPLAP.2014.060080

Wilske, S. (2010). Sanctions for Unethical and Illegal Behavior in International Arbitration: A Double-Edged Sword. Contemporary Asia Arbitration Journal, 3(2), 211-235.

Youssef, K. (2009). The death of inarbitrability. Mistelis, L. A., Brekoulakis, S. L (Eds.). Arbitrability: International and Comparative perspectives (pp. 47-67). Austin: Wolters Kluwer.

Downloads

Published

2018-07-14

How to Cite

Garajová, M. (2018). THE ISSUE OF CORRUPTION IN THE INTERNATIONAL TRADE-QUESTIONING THE ARBITRATORS’ JURISDICTION?. PEOPLE: International Journal of Social Sciences, 4(2), 01–16. https://doi.org/10.20319/pijss.2018.42.0116