Question

Ad-hoc arbitration can be sought _______________________.

• A. when the parties involved in commercial transaction choose to incorporate arbitration clause as a part of agreement to refer their future disputes
• B. when a dispute that arose between the parties to a business transaction could not be settled through mediation or conciliation
• C. when the parties agree to submit to arbitration 'all or any' differences which have arisen or may arise
• D. only (b) and (c)

Answer 1

Answer: (B)

when a dispute that arose between the parties to a business transaction could not be settled through mediation or conciliation

Ad hoc Arbitration is a proceeding that is not administered by others and requires parties to make their own arrangements for selection of arbitrators. The parties are under discretion to choose designation of rules, applicable law, procedures and administrative support.