Speaker 1: My grandmother experienced almost everything from the past century, both world wars, the five continents, economic crisis and booms, the arrivals of cars and the internet. As a very curious woman, she was always eager to understand international arbitration. Believing that being an arbitrator was running around the football pitch dressed in black. So this is how I used to tell her about this fascinating subject. Since the dawn of time, from antiquity to the French revolution, from China to the Arab countries, men and women are involved in trade and commerce. This inevitably brought about conflicts, and in order to resolve them, traders have always turned to arbitration, even before state justice. International arbitration has boomed since 1945, as nations started to trade again, and even more so since the end of the 80s, when the world entered a new era of globalization. Arbitration can be found in every country, but also in every sector of the economy, resolving disputes about the sale of goods in the construction or the hotel industry, in entertainment, in oil and gas, or in the healthcare sector. All major international brands, and even small and mid-sized businesses, use arbitration. But how does international arbitration actually work? To remain practical, let's take the example of a French luxury brand wishing to open a store in Singapore through a local Singaporean company. Obviously, at the inception of their relationship, the two companies will sign an agreement to secure their business and commercial relationship, with provisions governing know-how, payment, delivery. The question is, what to do if things go wrong? Neither the French company nor the Singaporean one will trust the judiciary of the other company's country. This is even more true when one contracts with a public entity. Imagine that, as a counterparty, the French company faces the Singapore state. If there is a dispute, the state may become judge in its own case. The Singaporean party will likely have the same perception, should the issue be heard before French courts. The crux here is the arbitration clause. It is stipulated at the end of a contract, also at the end of investment protection treaties, in order to ensure a private, neutral and competent framework, capable of efficiently resolving a dispute, should one arise, without any party feeling foray into it. This therefore requires at least two parties in dispute, often of different nationalities, hence the use of international arbitration to operate such disputes. The parties agree to nominate an independent and impartial individual third party, as opposed to a state judge, to resolve their dispute. Parties may even refer their dispute to several arbitrators. In that case, each party will nominate one arbitrator, and the third arbitrator will be chosen by the two party-appointed arbitrators, or, as the case may be, by the arbitration centre. Unlike a traditional trial, for example with a jury, almost everything can be agreed between the parties. The number and type of arbitrators, the place of arbitration and where the hearings will be scheduled, the applicable law, the calendar and procedural rules, such as the language, cross-examining a witness, use of videoconference, of an attorney. This is commonly referred to as the arbitration autonomy. Arbitration is known as an ADR, Alternative Dispute Resolution, because it offers an alternative to the court system. Parties agree by contract to submit their dispute to an individual, the arbitrator. He is not a mediator helping to settle the case. He or her role is to render a decision binding and final on the parties. Indeed, the arbitration award has the same authority as a judgment, thanks to one of the most powerful treaties in the world, the 1958 New York Convention, which has the benefit of allowing awards to be enforced in almost 160 countries. As well as the arbitrators, arbitration centres are also very important actors. If a contract has referred to an arbitration centre, it will be in charge to frame and organize the entire proceedings. Centres regulate practices and can even nominate arbitrators. They offer tailored and swift procedures that allow for a definitive resolution to a conflict. The world's main international arbitration centre is the International Chamber of Commerce. Based in Paris, but with offices on many continents, with around 1,000 new cases every year, representing $30 billion in dispute in 2017. The other international centre for investment dispute, the ICSID, is located in Washington, D.C. Besides Europe, London, Vienna, Stockholm, other major centres are emerging. In Africa, they can be found in Cairo, Casablanca, Kigali, Mauritius. In Asia, there is, of course, the HKIAC in Hong Kong and the SIAC in Singapore, with an undeniable growing caseload. The US AAA and the Chinese CTAC also have an impressive constant volume of domestic cases. In other words, the arbitration market is both becoming more regional and growing internationally. To summarize, the main benefits of international arbitration are a secure legal system through the New York Convention, a neutral and tailored judge with expertise in the disputed field, a flexible procedural framework that can adapt to the needs of the parties, and a relatively swift and confidential justice. However, victim of its own success, arbitration can be and is sometimes criticized. It is still deemed too expensive, notably for consumers, and not fast enough. It lacks cultural and gender diversity. Conflicts of interest between arbitrators can and still exist. But whatever is being said, arbitration remains the best guardian for international trade and foreign investments. At a time of fallback and protectionism, it also remains a powerful peacemaker. One thing is certain, from my old conversations with my grandma to my continuing chats with my daughter today, I have always recounted this fascinating journey, a story to be told in the past, the present, and the future.