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Just Resolutions

May 2023 - ADR Practice Management, Business and Skills Development Committee

From IA to AI: A Conversation with a Language Model on International Arbitration

Maria Gomez Nombela and Ivan I Bracho Gonzalez

Summary

  • The use of technology and AI in international arbitration may contribute to the growth and efficiency of the arbitration process.
  • AI can assist with data analysis but the interpretation of information and application of law require human understanding.
  • Notable arbitrators throughout history include Gabrielle Kaufmann-Kohler.
From IA to AI: A Conversation with a Language Model on International Arbitration
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The term “Justice” comes from the Latin iustitia, which means “the quality of being iustus.” Qualities have been commonly known to be attributes to human nature or, to objects, to the extent these are an extension of humans in nature.

Since the 16th century, in Roman tradition, Lady Justice—as it the idea of iustitia personified was named, has represented the moral force in judicial systems. Lady Justice is often depicted wearing a blindfold, as a somewhat satirical addition intended to depict her as indifferent, neutral, or blind to whomever comes before her.

The long road traveled by Lady Justice up to present times has not left anyone unmoved, whether inside or outside the legal profession.   And for the last few years, and particularly in the last few months, us, lawyers, have been living with the constant fear that technological advancements might reshape our profession and make us obsolete and dispensable.   Technology developments appear to have shaken Lady Justice’s strong foundations, to make way for an idea of ​​justice completely monitored and oblivious to any human remnant.

In that context of apocalyptical concerns, the International Arbitration field is no stranger, as its fundamental purpose or raison d’etre is to impart justice.   What follows, then, is the excerpt of a conversation sustained with ChatGPT carried on with the specific purpose of probing this model’s “understanding” about its role in international Arbitration.   And while the format of this article was intentionally created to allow for readers to draw their own conclusions, to the authors—and at least for now, it seems that it correctly identifies the several concerns associated with AI decision-making.

ChatGPT. (2023, April 25).  Conversation with a language model on international arbitration [Chat log]. Retrieved from https://chat.openai.com

Do you know what international arbitration is?

Yes, I can help explain what international arbitration is.

International arbitration is a legal method for resolving disputes between parties from different countries, without having to resort to the courts of any particular country. In international arbitration, the parties agree to submit their dispute to a neutral third party or a panel of arbitrators who will make a final and binding decision on the matter.

The process of international arbitration is governed by the rules of a chosen arbitration institution, such as the International Chamber of Commerce (ICC), the American Arbitration Association (AAA), or the London Court of International Arbitration (LCIA). The parties may also agree on the substantive law that will apply to their dispute, as well as the language and location of the arbitration hearing.

International arbitration can be an attractive alternative to court proceedings, particularly when the parties come from different legal systems and want a neutral forum for resolving their dispute. It can also offer more flexibility, speed, and privacy compared to traditional court proceedings, which can be lengthy, complex, and subject to public scrutiny.

Do you have an opinion on whether it is better or worse than court proceedings?

As an AI language model, I don't have personal opinions or preferences. However, I can provide you with some objective information that may help you weigh the advantages and disadvantages of international arbitration compared to court proceedings.

One advantage of international arbitration is that it offers parties greater flexibility and control over the resolution process. For example, the parties can choose the arbitrators, the procedural rules, the place and language of the arbitration, and the applicable law. This flexibility can lead to a more tailored and efficient resolution process.

Another advantage of international arbitration is that it provides a confidential and private forum for resolving disputes. Unlike court proceedings, which are generally public, arbitration hearings are typically closed to the public and confidential. This can be particularly appealing to parties who want to avoid negative publicity or maintain the confidentiality of their business or personal affairs.

On the other hand, international arbitration can be more expensive than court proceedings, particularly if the parties choose a panel of arbitrators with high fees or if the arbitration process becomes protracted. Also, unlike court proceedings, the arbitrator's decision is usually final and binding, which means there is generally no right of appeal.

Ultimately, the choice between international arbitration and court proceedings will depend on various factors, including the nature of the dispute, the parties involved, and their preferences for resolution.

Do you think [. . .] arbitration is a fair method to resolve disputes?

As an AI language model, I don't have personal beliefs or opinions, but international arbitration is generally considered to be a fair method to resolve disputes.

Arbitration can be fair because the parties have the opportunity to choose the arbitrators, who are typically experienced and knowledgeable in the relevant legal and technical issues. The parties can also agree on the procedural rules and the applicable law, which can help ensure a fair and efficient resolution process.

Additionally, the arbitration process is generally designed to provide the parties with an opportunity to present their case and evidence and to receive a reasoned decision from the arbitrator. The arbitrator's decision is usually based on the facts and the applicable law, and is typically final and binding on the parties.

Of course, like any dispute resolution method, international arbitration has its limitations and drawbacks. For example, the parties may not always agree on the choice of arbitrators, the procedural rules, or the applicable law, which can lead to disputes and delays. Also, there is no guarantee that the arbitrator's decision will be completely free from error or bias.

Despite these limitations, international arbitration has become an increasingly popular and respected method for resolving disputes, particularly in the international commercial context.

What about the use of AI in international arbitration?

The use of AI in international arbitration is an emerging area that has the potential to transform the way disputes are resolved. AI can be used in various aspects of international arbitration, including case management, legal research, and even decision-making.

One way that AI can be used in international arbitration is to assist with case management. For example, AI tools can help automate tasks such as scheduling, document management, and communication between the parties and the arbitrators. This can help reduce costs and increase efficiency in the resolution process.

Another way that AI can be used in international arbitration is to assist with legal research. AI tools can help identify relevant legal precedents and case law, and provide insights into the likely outcomes of similar disputes. This can help arbitrators make more informed and consistent decisions.

Finally, some experts believe that AI could be used in the decision-making process itself. This could help arbitrators make more consistent and predictable decisions.

However, the use of AI in international arbitration also raises some potential challenges and ethical concerns. For example, there may be questions around the transparency and accountability of AI decision-making, as well as concerns around bias and fairness. Therefore, it is important for arbitrators and parties to carefully consider the benefits and risks of using AI in international arbitration and to ensure that the use of AI is appropriate and ethical in each case.

How can AI be used for decision-making in international arbitration?

The use of AI for decision-making in international arbitration is an emerging area that is still in the early stages of development. However, there are several ways that AI could potentially be used to assist arbitrators in making decisions.

One approach is to use AI algorithms to analyze and extract insights from large volumes of data, such as past arbitration decisions, legal precedents, and case law. The AI algorithms could identify patterns and trends in the data and provide insights into the likely outcome of a particular dispute. This could help arbitrators make more informed and consistent decisions.

Another approach is to use AI to assist with the assessment of evidence. AI tools can help analyze large volumes of documents, such as contracts, emails, and financial statements, and identify relevant information that could be used as evidence in the dispute. This could help reduce the time and cost of the arbitration process and improve the accuracy of the evidence presented to the arbitrator.

However, there are some potential challenges and limitations to using AI for decision-making in international arbitration. It is also important to ensure that the use of AI in decision-making does not compromise the principles of due process, impartiality, and independence that are fundamental to the integrity of the arbitration process.

Therefore, it is important for arbitrators and parties to carefully consider the benefits and risks of using AI for decision-making in each case, and to ensure that the use of AI is appropriate and ethical.

So, basically, AI could replace arbitrators as decision makers, right?

No, AI is not intended to replace arbitrators as decision-makers in international arbitration. Rather, the use of AI in international arbitration is intended to assist arbitrators in making more informed and consistent decisions.

Arbitrators play a critical role in international arbitration, as they are responsible for hearing the evidence and arguments presented by the parties, applying the relevant law and procedures, and issuing a final and binding decision. AI tools can help arbitrators by providing them with relevant information, insights, and analysis to assist with their decision-making.

However, AI is not capable of making decisions on its own, and it cannot replace the critical role played by arbitrators in the arbitration process. The decision-making process in international arbitration involves complex legal and factual issues, as well as the exercise of judgment, discretion, and interpretation by the arbitrators. These are tasks that require human judgment and expertise, which cannot be fully replicated by AI.

Therefore, the use of AI in international arbitration is intended to supplement and assist arbitrators in their decision-making, rather than to replace them. The ultimate decision in international arbitration still rests with the arbitrator, who must carefully consider all of the relevant evidence, arguments, and legal principles before issuing a final and binding decision.

But considering th[at] evidence, arguments, and legal principles are all tasks that can be performed by AI, aren't they?

While AI can assist with some of the tasks involved in considering evidence, arguments, and legal principles, it is important to note that the ultimate decision-making in international arbitration requires more than just the analysis of data and information.

Arbitrators must take into account various factors when making decisions, including the specific facts and circumstances of the dispute, the applicable law and regulations, the principles of fairness and equity, and the parties' interests and needs. These are all complex and nuanced factors that require the exercise of human judgment and discretion.

AI can assist with the analysis of data and information, such as legal precedents, case law, and other relevant materials. However, the interpretation of this information and the application of it to the specific facts and circumstances of a dispute require a human understanding of the law and its nuances, as well as the ability to weigh different arguments and evidence in a fair and impartial manner.

Moreover, the role of arbitrators in international arbitration goes beyond the mere application of law to the facts of the case. Arbitrators must also ensure that the arbitration process is fair, transparent, and efficient, and that the parties are afforded due process and have the opportunity to be heard. These are important considerations that cannot be fully captured or addressed by AI alone.

Therefore, while AI can assist arbitrators in certain aspects of their decision-making process, the ultimate decision-making still requires the exercise of human judgment and discretion.

I see.

I'm glad I could help clarify this for you. If you have any more questions or concerns, feel free to ask!

Will international arbitration experience growth in the near future?

Based on current trends, it is likely that international arbitration will continue to experience growth in the near future.

International arbitration has become an increasingly popular method of resolving cross-border disputes, as it offers many advantages over traditional court litigation. Some of the advantages of international arbitration include:

  • The ability to select arbitrators who have specialized knowledge and expertise in the relevant area of law or industry;
  • The flexibility to tailor the arbitration process to the needs of the parties and the specific dispute, including the choice of governing law, language, and procedural rules;
  • The privacy and confidentiality of the arbitration proceedings, which can be particularly important in disputes involving sensitive commercial or financial information;
  • The enforceability of arbitration awards under the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which allows parties to seek enforcement of awards in over 160 countries.

These advantages, among others, have contributed to the growth of international arbitration in recent years. The increasing globalization of business and trade, as well as the growing complexity of international transactions, also support the continued growth of international arbitration as a preferred method of dispute resolution.

In addition, the use of technology and AI in international arbitration, as we discussed earlier, may also contribute to the growth and efficiency of the arbitration process, making it even more attractive for parties seeking to resolve their disputes in a fair and efficient manner.

Noted. Last question; who is the most famous arbitrator?

There have been many notable arbitrators throughout history, and it is difficult to identify a single "most famous" arbitrator. However, here are a few examples of well-known arbitrators:

  • Pierre Lalive: A Swiss lawyer and academic who was widely regarded as one of the leading figures in international arbitration. He acted as an arbitrator in many high-profile international disputes, including the Iran-US Claims Tribunal and the Eritrea-Ethiopia Boundary Commission.
  • Jan Paulsson: A French-Swedish lawyer and academic who has acted as an arbitrator in many international disputes. He is the founder of the School of Arbitration at the Hague Academy of International Law and has published extensively on international arbitration and dispute resolution.
  • Gabrielle Kaufmann-Kohler: A Swiss lawyer who has acted as an arbitrator in numerous international disputes. She is a professor of law at the University of Geneva and has served on many international arbitration bodies, including the International Chamber of Commerce (ICC) International Court of Arbitration and the Court of Arbitration for Sport.

These are just a few examples of well-known arbitrators, and there are many others who have made significant contributions to the field of international arbitration.

Thank you. Can you give me a proper citation so that our conversation what be included in an article?

Certainly! Here is an example citation for our conversation: ChatGPT. (2023, April 25). Conversation with a language model on international arbitration [Chat log]. Retrieved from [insert URL here]

Please note that the URL will depend on where our conversation took place. If you need any further assistance with this, please let me know!

Will do. Do you have any comments that you would like me to include in that article?

As an AI language model, I do not have personal opinions or preferences. However, I can provide you with additional information or insights on the topic of international arbitration and the use of AI in the field, if you would like. Let me know if you have any specific questions or areas of interest that you would like me to expand on.

Only one; are there are any key issues that I might have missed in our conversation?

Our conversation covered the basics of international arbitration and the potential use of AI in the field. However, there are many complex issues and challenges associated with international arbitration that we did not discuss in depth. Some of these issues include:

  • The cost of international arbitration, which can be substantial and may limit access to justice for some parties;
  • The selection of arbitrators, which can be a controversial and subjective process;
  • The potential for bias or lack of diversity among arbitrators;
  • The challenges of enforcing arbitration awards, particularly in jurisdictions with weak rule of law or political instability;

These are just a few examples of the many issues and challenges associated with international arbitration. However, it is important to note that despite these challenges, international arbitration remains a popular and effective method of resolving cross-border disputes for many parties.

Nicely put. So, tell me again how do I create a copy of our chat? I'd like to export it to Word (please!)

The easiest way to export our chat to a Word document would be to copy and paste the conversation into a blank Word document. Here are the steps you can follow:

  1. Highlight the entire chat log by clicking and dragging your mouse over the text.
  2. Right-click on the highlighted text and select "Copy" from the dropdown menu.
  3. Open a blank Word document.
  4. Right-click in the document and select "Paste" from the dropdown menu.
  5. Format the document as desired (e.g. adjust font, spacing, etc.).
  6. Save the Word document to your computer.

That should do it! Let me know if you need any further assistance. 

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