NEWSLETTER-2017

176 NEWSLETTER 2017 Advantages and Drawbacks of Arbitration The Report addresses the advantages of arbitration as the ease in enforcement of the awards, the ability to appoint sector specific arbi- trators, procedural flexibility, confidentiality in certain banking busi- nesses and neutrality 2 . Notwithstanding these positives, the possible drawbacks of arbitration are found to be on interim measures, which must be obtained from national courts in cases where arbitration insti- tutions lack procedure, providing an emergency arbitration prior to the constitution of a tribunal. Similarly, the absence of summary disposi- tion, high costs, and the lack of precedents due to confidentiality and transparency are found to be limitations of arbitration. In order to cope with possible drawbacks of arbitration, the Task Force brings recommendations to financial institutions. The parties are suggested to comply with the techniques listed in Appendix IV and ICC Rules of Arbitration and Commission’s Guide Effective Manage- ment of Arbitration: A Guide for In House Counsel and Other Party Representatives , which contain a case management conference, limita- tion in the number of rounds of submission and document production, elimination of hearings and etc 3 . Discussions on Financial Instruments and Sectors By the ever-changing characteristic of the finance sector, arbi- tration has become more preferred as a dispute resolving method in comparison to court litigation. The Task Force states that with the emergence of the number of cross-border banking and finance dis- putes, industry specific arbitration initiatives have also increased. The Report underlines that the banking and finance sector contains various fields that do not resemble each other and require in-depth understand- 2 Georges Affaki / Claudia T. Salomon , “ ICC Report Identifies Financial Institu- tions’Experience and Perceptions Of International Arbitration ”, Kluwer Arbitra- tion Blog, accessed at: http://kluwerarbitrationblog.com/2016/12/22/booked-icc- taskforce/, Date of Access: 12.02.2017. 3 “ Commission’s Guide Effective Management of Arbitration: A Guide for In House Counsel and Other Party Representatives” , ICC Publication, February 2015, ac- cessed at: http://www.iccwbo.org/Advocacy-Codes-and-Rules/Document-cen- tre/2014/Effective-Management-of-Arbitration-A-Guide-for-In-House-Counsel- and-Other-Party-Representatives/, Date of Access: 13.02.2017.