Does Everything Happen for a Reason? Reconsidering the Function and Purpose of the Duty to Give Reasons in International Arbitration

Abstract

The giving of reasons for the decision in the form and contents of the award is becoming an increasingly common element of procedure in international commercial arbitration. This paper critically analyses the duty to give reasons across a range of contemporary arbitration contexts. It first examines the position of the duty in the broader international legal framework of commercial arbitration, before conducting a comparative analysis of the duty to give reasons in judicial, administrative law and investment arbitration contexts. It identifies the function and purpose of the duty to give reasons and concludes that the duty is currently applied in ways which undermine the party autonomy as well as compromising the finality and efficiency of award enforcement. Finally, it examines future implications of this finding and proposes remission as an alternative remedy upon breach.