Jurisdiction(s):
United Kingdom

Key definition

Commercial arbitration definition

What does Commercial arbitration mean? The resolution of business disputes by private arbitration arising out of commercial transactions, such as sale of goods, construction, shipping, energy, finance or technology contracts. It is usually between companies or other private parties, but can include states or state‑owned entities when acting in a commercial capacity. The term is descriptive rather than a defined statutory category. In England & Wales and Northern Ireland, commercial arbitration is governed by the Arbitration Act 1996; in Scotland by the Arbitration (Scotland) Act 2010; and in Ireland by the Arbitration Act 2010, which gives the UNCITRAL Model Law the force of...

CIETAC arbitration in Mainland China and Hong Kong: institutional structure, rules (2015/2024), jurisdiction, sub-commissions, domestic/international divide, ad hoc constraints, and interim measures arrangement

Published by a LexisNexis Arbitration expert

Practice notes

The most prominent Chinese arbitral body is the China International Economic Trade Arbitration Commission (CIETAC), established in 1954 to bolster China’s expanding trade and economic ties with other nations, and it endured the Cultural Revolution, continuing to operate. Today, CIETAC ranks among the world’s foremost commercial arbitration centres, administering a very considerable caseload. Chinese parties tend to favour arbitration as the vehicle for resolving commercial disputes, particularly those arising out of international commercial transactions.

Amid China’s current extensive outward investment, Chinese parties participate in international arbitration across all leading global centres. Nevertheless, wherever they can, they prefer to arbitrate at home, so foreign parties should understand clearly what to expect when confronted with an arbitration before a tribunal in China.

An introduction to arbitration in China

Two significant and enduring characteristics of arbitration in China stem from its historical evolution. The first concerns the clear divide between domestic and international cases. Following the enactment of the Economic Contract Law in 1981, a number of arbitration commissions were set up to resolve domestic disputes between Chinese businesses...

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Kevin Hong

Norton Rose Fulbright

Kevin is an Of Counsel in the Dispute Resolution Group of Norton Rose Fulbright Hong Kong. Kevin's practice focuses on international arbitration and commercial litigation. He advises local and multinational corporations on fraud and asset recovery and in resolving joint venture, shareholders, shipping, sale of goods, product liability, insurance and other contractual disputes. In particular, he has significant experience representing clients in construction related disputes. Kevin has represented clients in arbitration proceedings conducted under the HKIAC, UNCITRAL, SIAC, CIETAC and LMAA rules as well as ad hoc arbitration proceedings in a number of jurisdictions. Kevin has contributed to arbitration publications for various major publishers in the region including Arbitration in Hong Kong: A Practical Guide, 2nd Edition, Construction Arbitration in Hong Kong: A Practical Guide and BAC arbitration: a step-by-step guide. Kevin is currently serving as a regional representative for North Asia for the...

Web page updated on 21/05/2026

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