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The Problem With Damages In International Arbitration

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Chapter Summary

Damages are the subject of a separate phase in any dispute resolution process, including in criminal cases. Since international arbitration almost invariably involves conflicts between businesses, the consideration of damages must involve the ways in which businesses operate - and how they have failed to operate properly as a consequence of the actions complained of in the arbitration. This chapter presents the conflict prevention and resolution (CPR) protocol on determination of damages in arbitration. The purpose of this Protocol is to provide guidelines for arbitrators in making damage determinations. The determination of damages is important and should be done with considerable care by arbitrators. Therefore, arbitrators should, in their award of damages, apply a consistently reasoned approach and procedures that are fair, efficient and not overly costly.

Keywords: arbitrators; conflict prevention and resolution (CPR) protocol; damages in arbitration; dispute resolution process; international arbitration



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