EFFECTIVENESS OF COMMERCIAL MEDIATION IN RESOLUTION OF TRANSNATIONAL BUSINESS DISPUTES: A COMPARATIVE ANALYSIS OF LEGAL FRAMEWORKS AND PRACTICES IN THE ASEAN REGION
Keywords:
Commercial Mediation, Alternative Dispute Resolution, Transnational Business Disputes, ASEAN, Singapore ConventionAbstract
This study comprehensively examines the role and effectiveness of mediation as an alternative dispute resolution mechanism in the context of cross-border business in the ASEAN region. Using a qualitative approach using comparative case studies and legal document analysis, the study explores the legal framework of international commercial mediation, its implementation practices, and the challenges and opportunities in harmonizing mediation systems across ASEAN countries. The findings indicate that while mediation has significant advantages over litigation and arbitration in terms of cost efficiency, speed of resolution, and preservation of business relationships, its implementation in the ASEAN region faces structural barriers in the form of disparities in national legal frameworks, differences in legal cultures, and limited professional mediation infrastructure. Case studies from Singapore, Malaysia, Thailand, Indonesia, and Vietnam demonstrate substantial variation in the level of development of mediation institutions and the adoption of international standards. The study finds that the success of mediation depends heavily on factors such as the quality of the mediator, the commitment of the parties, the support of a strong legal framework, and the level of understanding of the advantages of mediation among business stakeholders. Progressive harmonization through the Singapore Convention on Mediation and other regional initiatives demonstrates positive momentum towards a more integrated mediation system in ASEAN.
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