Question

State the features of ad-hoc arbitration.

Hint:

Ad-hoc arbitration offers flexibility and party control but lacks institutional support and standardized procedures.

Answer 1

Ad-hoc arbitration is a form of arbitration where the parties agree to resolve their dispute without institutional support. Its key features include:
No Institutional Rules: It is not administered by any permanent arbitration institution.
Party Autonomy: Parties have freedom to decide the procedure, number of arbitrators, and other aspects.
Flexibility: Procedures are tailor-made by the parties, allowing more informality.
Cost-Effectiveness: Often less expensive due to absence of institutional fees.
Enforceability: Awards are enforceable under laws such as the Arbitration and Conciliation Act, 1996.
Risk of Delay or Complexity: Lack of institutional oversight may lead to delays or procedural disputes.