Regarding pre-trial dispute resolution
31 January, 2013
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As regarding to pre-trial settlement of disputes.
Interlegal made up domestic statistics of applications on settlement of disputes in shipping and international trade the company’s experts worked on in 2012.
The statistics showed that:
- – Nearly70% of applications in Interlegal in this case category resulted in pre-trial (amicable) settlement between the parties,
- – In most cases of pre-trial settlement the contract parties maintained business relationship with each other,
- – Clients’ expenses on pre-trial settlement usually do not exceed 2-3 thousand Euros,
- – The amount of disputable sums being settled successfully makes up from $70 thousand to $1,5 million,
- – Terms of settlement make up from 3 to 30 days with few exceptions.
- – In some cases in order to settle the dispute there was enough only Interlegal’s notification to the defaulting party on start of case proceeding.
Whereas there is no need to bear significant expenses on judicial procedures and there is significant client’s time saving at least (several months), the result’s significance always exceeds the expenses borne on settlement.
The main conclusion is the following: the statistic data confirm reasonableness and economic effectiveness of clients’ applications to the recognized specialized law company at first signs of a disputable situation (obtaining a claim, delay in loading/unloading or vessel’s arrival/departure, delay in payment, obtaining a surveyor’s report with incorrect cargo parameters etc.).
Despite the successful experience and permanent practice among several international arbitrations (LMAA, FOSFA, GAFTA etc.) Interlegal will go on with offering pre-trial settlement to its Clients as a first way to settle disputes leaving application to court or arbitration as an extreme argument.
News prepared by
Press center Interlegal
31 01 2013