Out-Law News 2 min. read

English institutions and law popular for global dispute resolution


New research shows the important role that English law, courts and arbitration bodies play in dispute resolution in a competitive global market, experts have said.

Emilie Jones and Scheherazade Dubash of Pinsent Masons, who specialise in litigation and international arbitration respectively, were commenting after the Law Society cited data that highlights the popularity of the London Commercial Court (LCC) for resolving complex commercial litigation and English law as the governing law in international arbitrations.

On the LCC, the Law Society identified the popularity of the court with international parties and the rise in the number of new claims the court is seeing. According to its data, the LCC has issued more judgments in each of the last three years than equivalent forums in New York, Dubai, Qatar and Singapore.

The Law Society also cited data from across major international arbitral institutions that shows how common it is for English law to be chosen by parties to govern their cases.

“In 2023, 20.7% of cases administered by the Singapore International Arbitration Centre (SIAC) were governed by UK law, making it the second most popular choice after Singapore law,” the report said. “In 2023, English law was the second most common governing law in cases administered by the Hong Kong International Arbitration Centre (HKIAC) and in cases administered by the Arbitration Institute of the Stockholm Chamber of Commerce (SCC). In 2023, English law was selected in 15% (131) of all new cases handled by the International Chamber of Commerce Court of Arbitration, making it the most commonly used law.”

Further data in its report highlighted the popularity of the London Maritime Arbitrators Association (LMAA) for resolving global maritime law disputes.

The Law Society, the independent professional body for solicitors in England and Wales, said its research constitutes “an objective, evidence-based assessment of the international standing of our jurisdiction and the global use of English law”.

Jones said: “It is encouraging to see that the London Commercial Court is retaining its long-standing appeal to businesses and high net-worth individuals around the world. There is a growing number of other ‘rival’ international commercial courts globally, including the New York Commercial Division and Singapore International Commercial Court. The Law Society’s data analysis shows that the London Commercial Court is still delivering very significantly more judgments than these other courts, demonstrating its continued attractiveness as a forum for resolving international disputes.”

“There are likely to be a number of reasons for this. The continued popularity of English law as the governing law of many transactions is one reason. In addition, the court’s judges continue be held in international high regard, while features of English civil procedure such as a rigorous regime for the disclosure of relevant evidence also appeal to many litigants,” she said.

Jones said, though, that it is important that investment continues to be made in the English courts, including the London Commercial Court, so that they continue to be attractive.

“For example, it is important that investment continues to be made in technology, to provide a cutting-edge modern dispute resolution service,” Jones said. “Parties using the Commercial Court also have a part to play in ensuring its continued efficiency: for example, the courts have emphasised in recent times that the Commercial Court’s resources should be reserved for the most complex, high-value, international cases, with other good options – particularly the London Circuit Commercial Court – available to those with smaller claims.”

Dubash said it is clear from the report that English law continues to be the governing law of choice for parties in international arbitration administered by various global arbitration institutions, and not just those that are based or headquartered in England and Wales.

“The concerted efforts of the government, judiciary, and legal professionals to keep arbitration laws up to date and responsive to stakeholders’ needs are commendable and have gone a long way towards the reputation English law has earned in being a robust, reliable and transparent system,” Dubash said. “The recent Arbitration Bill exemplifies this commitment, updating legislation enacted 25 years ago to maintain the attractiveness of English law and London as a premier destination for dispute resolution.”

“However, we must also acknowledge the significant strides made by competing and upcoming arbitration hubs like Singapore, which continue to enhance their arbitration frameworks,” she said.

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