COMMERCIAL DISPUTES

Evening Post, Volume CIII, Issue 54, 6 March 1922, Page 8

COMMERCIAL DISPUTES

STATUS OF ARBITRATION AGREE- .; MENTS.

.- An American proposal for enhancing the status of commercial arbitration agreements is the subject of a circular "letter received by the Central Chamber of Commerce from the Chamber of Commerce of the State of New YoTk. The New York . Chamber, •in December, received a report from the committee on ; arbitration stating:—"With a view to making the system of arbitration in .trade disputes: within this country, and with foreign countries more universal, effective, expeditious, and economical, a conference ,was held on 15th November at the Department of Commerce in Washington. : Executives representing fifteen different trade organisations were present. The chairman of your committee on arbitration was elected chairman of the conference. The Honourable Herbert Hoover, Secretary of Commerce, addressed the conference, givingl his ■views on the subject." The conference resolved :—That the Department of Commerce i urge all business -organisations, not only- in this country, but in foreign,countries as well, to create arbitration, mediation, and conciliation committees in their respective organisations for the handling of business disputes. Second: That the Secretary of Commerce be urgently requested to use his best endeavours in aiding the passage of a Federal law making arbitration clauses, voluntarily entered into, in written contracts valid, enforcable arid irrevocable. Third: That the Secretary of Commerce urge the Secretary of State to negotiate at the earliest possible moment: Treaties with foreign countries with which our country does business, ■ which shall provide that arbitration agreement in commercial contracts, made between their respective nationals shall be valid, enforcable, ■ and irrevocable; that .such .treaties contain provision for reciprocal" enforcement of such arbitration agreements by the courts in the countries party to the treaties;' that .in such_ treaties it be covenanted that, reciprocally, arbitration ■ decisions in the countries party to the treaties be honoured and .enforced; that such treaties provide that arbitration agreements in -foreign trade bind the American mer,'chant when tfoeyvare,..equally binding upon the foreign merchant in this country- '-""■-- - '•'-■■ '"'■■■ •-' '■■' '■ „ Tl\e New York' Chamber expressed approval of the action of tho conference, and authorised the committee to take such steps as it may deem necessary to carry the above recommendations into effect. The Central Chamber of Commerce will deal with the subject at its meeting on Wednesday.