The Australian Centre for International Commercial Arbitration (ACICA) launched the 2020 Australian Arbitration Report with assistance from the Australian Bar Association, WA Arbitration Initiative and Francis Burt Chambers to analyse the extent of arbitration and its success within the Australian legal system. 

On top of finding a high volume of arbitration with an Australian connection – totalling $35 billion – the survey found arbitration is frequently used in construction and engineering disputes and oil and gas disputes, comprising 50 per cent of reports. 

The report, launched by the Honourable Amanda Stoker MP, also found that the industry is maturing and highlighted the appetite of Australian practitioners and its users to embrace modern international best practice in process and case management. Most practitioners reported being satisfied with the process. 

ACICA president Brenda Horrigan commented: “The results of the survey show that arbitration in Australia is thriving and that Australian corporates and practitioners are increasingly turning to arbitration as a means for resolving disputes.” 

Minister Stoker mirrored this, adding in her Sydney address that Australia is in a position to build on existing arbitration activity: “We have already laid a strong foundation for Australia to be a reputable seat. The timing is right for us to seize the opportunity to increase that volume of arbitration activity.” 

The survey found parties involved in arbitration have embraced the use of technology to facilitate remote hearings, even before the impact of COVID-19, and highlighted the robustness and flexibility of the arbitration process.

The report read that the “great transformative changes” have seen the rise of online hearings and virtual platforms, with all leading arbitral institutions now having guidelines for the conduct of online hearings. It also found that international arbitration will increasingly be used in a digital format moving forward. 

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“Even though there will likely be a gradual return to in-person final hearings for many large and complex arbitrations, many final hearings will continue to be undertaken virtually,” the report read. “In that respect technology and familiarity with virtual hearings continue to progress. The world has changed and so has arbitration.” 

While there was mostly good in the report, it also found that the arbitration industry has some way to go with respect to gender equality. Although there is hope for change in the future, tribunals are currently all male in majority of reported cases. 

Respondents to the survey noted that the pool of available arbitrators is “too shallow” and that they tended to choose based on experience and familiarity. 

“While it is not possible to draw conclusions, the data suggests that parties’ tendencies to choose well-known arbitrators may further concentrate the diminished pool of experienced arbitrators and contribute to the narrow demographic,” the report read.