ARBITRATION | LEGAL GLOSSARY


Arbitration


Arbitration is a widely utilized method for resolving civil and commercial disputes in Kenya's legal system. This alternative dispute resolution process allows parties to present their case before a single arbitrator or a panel, who then issues a binding decision that the parties have agreed to abide by. In Kenya, arbitration has gained popularity as an effective means of resolving both domestic and international disputes, offering several advantages over traditional litigation.

One notable benefit of arbitration in Kenya is the flexibility it provides. Parties have the freedom to choose their arbitrator(s), who are typically experienced professionals with specialized knowledge in the relevant field. This allows for a tailored approach to dispute resolution, ensuring that the decision-maker possesses the necessary expertise to handle the specific issues at hand.

Moreover, arbitration offers a level of confidentiality that is often preferred by parties involved in sensitive matters. Unlike court proceedings, which are generally open to the public, arbitration hearings can be conducted privately, safeguarding the confidentiality of the parties involved and their sensitive business information.

In the international context, Kenya has become an increasingly favored jurisdiction for arbitration. Parties often include arbitration clauses in their contracts, specifying Kenya as the agreed-upon venue for resolving disputes. This preference stems from Kenya's modern arbitration laws, which are in line with international best practices, as well as the country's strategic location as a gateway to East Africa's thriving commercial markets.

By opting for arbitration in Kenya, parties can benefit from a more efficient and streamlined dispute resolution process. Arbitration proceedings are generally less formal and time-consuming compared to traditional court litigation, allowing for quicker resolution of disputes and reduced costs.

In summary, arbitration serves as a valuable alternative to court litigation in Kenya's legal system. It offers parties the opportunity to resolve civil and commercial disputes in a flexible, confidential, and efficient manner, contributing to a more effective and reliable justice system.