The benefits or arbitration

by Lic. Gamill Arreola Leal, Notario 32



There are several ways to resolve conflicts between individuals. They are divided into two branches, one called “autocompositivos” which means: a) .- The negotiation; b) .- The Settlement; c) .- Mediation and; d) .- The transaction. The chief feature of this method is that the involved parties by themselves or with help from others, resolve their differences or disputes directly. The second method is called “heterocompositivos” in which the jurisdiction over the matter is given to a third party unrelated to the parties responsible for resolving the dispute raised. Among the jurisdictions allowed are, the State (trials before local courts) and private arbitration.
 
Private arbitration dates back to ancient times, that is prior to the advent of state jurisdiction, when differences and conflicts between individuals were settled through the intervention of persons named as worthy arbiters due to their respect and recognition for their age and wisdom, familial status or knowledge in the subject matter of conflict. Subsequently, the State took almost a monopoly over this judicial function, establishing the rules and regulations for court proceedings. Over time, however, that for disagreements in the populace with the State Justice, there is a perception that the State does not provide a prompt, speedy, impartial, objective, comprehensive and effective justice system, as indicated by our Article 17 of the Constitution.
 
That is why private arbitration has reemerged and taken great interest as an alternative means of dispute resolution. In view of this, our domestic law has adapted and updated rules so that the settlement of jurisdictional disputes are resolved quickly ; expedited; objective; impartial; effective; professional and of high quality.
 
Among the aforementioned adaptation and updating of our domestic law stands Federal Law of Public Brokers (Corridors), which in its Article 6 paragraph IV states:
 
"The Public Corridor applicable: ...
IV.- act as arbitrator, at the request of the parties in a dispute arising from acts, contracts or agreements of a commercial nature, as well as those resulting between suppliers and consumers, according to the law of matter. "

 The social demand in our country aimed at the administration of justice is carried out by agile, appropriate and effective, contrary to what, in many cases happens, where the administration of State justice, in many cases, is characterized as following: a) .- Slow and late; b) .- In a formal and a ritualistic excess; c) .- Tortuos for its lack of expediency; d) .- Unsafe for lack of uniform criteria for interpreting and applying the law (this is due to the system being based on Napolean/Roman Law, not English Common Law which bases law on case history). The points stated, obviously lead to situations that prevent the delivery of State justice as dictated by the aforementioned Article 17 of the Constitution.
 
If one considers that the slowness and the delay in the duration of official court proceeding, the impact and affects of  the value of money, goods and services, since after a long and delayed proceedings, the creditor who obtains a favorable ruling , recover well and devalued reduces the possibilities of use and enjoyment with regard to the time required. In other words, "the coin has a value at the time it is agreed and another value at the time it is paid."
 
That is why, it is useful to know some differences and advantages to using private commercial arbitration. Among these are:
 
1. Flexibility: The arbitration procedure is designed by agreement of the parties, depending on your needs. Its rules are flexible, the procedure has fewer formalities and less contentious.
 
2. Speed: There is no appeal and the reasons why can go under with this abuse of amparo is avoided and shortens the procedure is dimensioned.
 
3. Confidentiality: In arbitration, there is no obligation to publicize the proceedings and resolutions handed down.
 
4. Specialization of referees: In arbitration specialists named in the matter of the dispute, as is the Public Corridor. Improvisation is avoided in the person who will solve.
 
 
5. Agreement will of the parties: The arbitration arises from the will of the parties, who by clear and concrete rules agree how to resolve the dispute, in turn, the parties involved in the constitution of the arbitral tribunal, they designate themselves or arbitrators to resolve the issue, which obviously favors voluntary compliance with arbitral awards.


 6. Independence and impartiality of arbitrators: Regulation of arbitration proceedings imposes the obligation to declare independence arbitrators with the parties and impartiality. This prevents corruption and thus reduces the duration and cost of the procedure.
 See below




7. Enforceability of the award in Mexico and abroad : Domestic laws and conventions that Mexico has ratified, ensure compliance and enforcement of arbitral awards in our country and abroad .


By Lic. Gamill Arreola Leal, NOTARIA PUBLICA 32 and CORREDURIA PÚBLICA 4, Mariano Abasolo 650 entre 20 de Noviembre y Revolución, Cabo San Lucas, Baja California Sur. México.,Tel (624) 688-1378, arreolagamill@gmail.com