The Asian International Arbitration Centre (AIAC), formerly known as the Kuala Lumpur Regional Centre for Arbitration (KLRCA), is Malaysia’s leading institution for domestic and international arbitration and other alternative dispute resolution disputes. Arbitration is the most popular type of alternative dispute settlement. Seat of arbitration (institutional arbitration) and ad hoc arbitration are the two types of arbitration.
While it is commonly assumed that ad hoc arbitration is less expensive than institutional arbitration, this is not necessarily true. Ad hoc arbitrations are conducted by individuals who are not attorneys, which may result in erroneous decisions in international commercial arbitrations. Due to the parties’ lack of cooperation or the controlling tribunal’s continuous delays, the parties may seek regular judicial intervention. This intervention is not cheap, and in the case of ad hoc arbitrations, it is even more difficult to come by because this type of arbitration restricts outside intervention. The necessity to engage a secretary to cope with the extensive paperwork needed in ad hoc arbitrations adds to the expenditures.
Although ad hoc arbitrations save time, they only save money in ideal circumstances. These include the parties’ cooperation, the parties’ comprehension of the arbitration procedure, and the arbitration being conducted by expert and/or experienced arbitrators. The latest change in identity reflects the organisation’s dedication to the worldwide Alternative Dispute Resolution (ADR) environment and determination to supply the industry’s most innovative and ideal services.
Despite the change in identity, the confidence that AIAC has earned over the last four decades remains intact. This trust, along with a fresh new identity, has resulted in the ideal blend of current innovation and traditional legacy. The new AIAC is a non-profit, non-governmental organisation that is still located in the historic Bangunan Sulaiman. Certain freedoms and specific immunities have been granted to it in order for it to carry out its arbitration in the most efficient and effective manner possible.
For more information please checkout Ad-hoc Arbitration