Why choose arbitration for new tech related disputes?

By Signature Litigation
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Signature Litigation

Although still underused in this field, there are at least four reasons to favour arbitration in new technology disputes: expertise, efficiency, flexibility, ability to deal with international cases and confidentiality.

  • Expertise. One of the major advantages of arbitration is that it is based on party autonomy. The parties can therefore choose their judge (an arbitrator) according to the specificities of the case and ensure that the tribunal deciding the case has in-depth knowledge of the issues at stake.
  • Efficiency. Contrary to French litigation, arbitration allows expert evidence to be provided in the course of the proceedings without dedicating a lengthy phase to the process (the “expertise”) which saves considerable time.
  • Flexibility. Arbitration has shown great adaptability throughout the pandemic by embracing technology to go digital and virtual when desired.
  • Internationality. The parties’ ability to decide the language of the proceedings is a huge advantage for handling disputes with parties from around the world. Exhibits can often remain in their language of origin with the appropriate choice of counsel and arbitrator. This saves considerable translation costs.
  • Confidentiality. Unlike court proceedings, arbitration can be entirely confidential which prevents instrumentalisation by the media and know-how being potentially disseminated.

We believe these arguments should encourage parties involved in new technologies to introduce arbitration agreements in their contracts to resolve potential disputes. Confidentiality offered by arbitration proceedings is also a very interesting option for tech disputes.

Our Associate Thibaud Roujou de Boubée was recently interviewed on the topic, here.


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