12.4 Dispute Resolution争议解决

12.4 Dispute Resolution争议解决

In international trade,disputes between exporter and importer can be settled through negotiation,mediation,arbitration or litigation.Negotiation is always top choice.The majority of disputes are settled through amicable negotiations between exporter and importer,and business relations are maintained.If negotiation fails,mediation would be next best,followed by arbitration.Litigation,being costly and time-consuming for cross-national disputes,is never top choice.Compared with negotiation,both mediation and arbitration follow a structured procedure,which makes them highly executable and effective and therefore commonly regarded as alternative dispute resolutions to litigation.The International Chamber of Commerce has established frameworks for resolving international trade disputes through mediation and arbitration,which adds to their executability.It has established the Alternative Dispute Resolution Center and the Mediation Rules and Arbitration Rules under its administration.For these frameworks to work in case of a dispute,you’d better contain a clause in the contract allowing both parties to refer the case to those rules under ICC or,in the absence of such a clause,to apply for mediation,arbitration or a combination of both to the Alternative Dispute Resolution Center of ICC unilaterally or jointly with the importer.If agreed to by the importer,the case can also be submitted for mediation or arbitration to a third country or in China,to China International Economic and Trade Arbitration Commission(CIETAC)or China Maritime Affairs Arbitration Commission.

In international practice,the place of arbitration is generally set in a third country agreed to by both you and the importer to ensure fairness and impartiality.Sometimes,it is also set in the country where the dispute occurs.Of course,in order to save money,efforts and time,you may try to have the case arbitrated in China,but the importer may also try to have it done in his/her country.