välimenettelystä

Välimenettely, or arbitration in English, is a method of dispute resolution outside of traditional court proceedings. It is a private and voluntary process where parties agree to have their dispute settled by one or more impartial individuals, known as arbitrators. The decision of the arbitrator(s) is legally binding and is called an award.

The process typically begins with a written arbitration agreement, which can be a standalone contract or a clause within a larger agreement. This agreement outlines the scope of disputes to be arbitrated, the number of arbitrators, the rules of procedure to be followed, and the seat of arbitration. Parties then select arbitrators, often through a process agreed upon in the arbitration clause or by following established rules from arbitral institutions.

During the arbitration, parties present their cases, evidence, and arguments to the arbitrator(s). This may involve written submissions, hearings, and witness testimonies, similar to a court trial but usually conducted with more flexibility and confidentiality. The arbitrators then review the evidence and arguments and issue a reasoned award.

Välimenettely is often chosen for its perceived advantages over litigation, such as speed, cost-effectiveness, expertise of arbitrators in specific fields, and confidentiality. It is widely used in commercial disputes, international trade, and labor relations. Enforcement of arbitral awards is facilitated by international conventions like the New York Convention. While generally binding, grounds for challenging an award are limited and typically relate to procedural fairness or public policy.