There are two types of arbitration:

1. • Institutional: It is carried out in an institution generally with its own rules and with a closed list of arbitrators (a type of institutional arbitration is the Consumer Arbitration System in force in the Spanish State).

2. • Independent or Ad Hoc: It is one in which the parties choose the arbitrators and the rules that will govern the arbitration.

Also, and depending on the type of award sought, arbitration can be classified as:

1. • In law: When the resolution must be based on legal criteria (legislation and jurisprudence, fundamentally).

2. • In equity: It is also called "in conscience": When the preparation of the award appeals to the "good know-how" and the conscience of the arbitrator who resolves the conflict. It implies that the arbitrator must be an expert in the subject matter of the controversy and the arbitration.

Based on the subject matter they deal with, arbitrations can be classified as: prohibited, forced and voluntary.

1. • Prohibited arbitration: It is that which falls on matters that the law, for reasons of high public convenience or general social interest, prevents from being submitted to the decision of arbitrators.

2. • Forced arbitration: It is that which falls on matters that the law expressly delivers to the decision of this type of courts, that is, arbitrators.

3. • Voluntary arbitration: It is that which falls on matters, which are indifferent to the law, which the parties may or may not submit to arbitration.[4]​.

Arbitration is generally based on rules established by some international organizations:

• - The UNCITRAL (United Nations Commission on International Trade Law) (from English: «UNCITRAL»).[5]​.

• - The International Court of Arbitration of the ICC (International Chamber of Commerce) (from English: «ICC»).[6]​.

• - The LCIA (from English: «London Court of International Arbitration») is the oldest, founded in 1892.[7]​.

However, the vast majority of Arbitration Centers produce their own rules of procedure, for example the HKIAC, CAM-CCBC and LCIA.

By their nature, the subject matter of some disputes is not susceptible to arbitration. In general, there are two groups of legal proceedings that cannot be submitted to arbitration:

• - Procedures that necessarily lead to a determination on which the disputing parties cannot reach an agreement:[8]​ Some judicial procedures give rise to rulings that are binding on all members of the general public, or on public authorities in their capacity as such, or on third parties, or that are carried out in the public interest. For example, until the 1980s, antitrust matters were not arbitrable in the United States.[9] Matters involving criminal, state, and family law are generally not considered arbitrable, since the power of the parties to reach an agreement on these matters is, at a minimum, restricted. However, most other disputes involving private rights between two parties can be resolved by arbitration. In some disputes, some parts of the claims may be arbitrable and others may not. For example, in patent infringement litigation"), an arbitral tribunal could determine whether a patent has been infringed, but not the validity of a patent: Since patents are subject to a public registration system, an arbitral tribunal would not be empowered to order the relevant body to rectify any patent registration based on its determination.

• - Some legal systems exclude or restrict the possibility of arbitration for reasons of protection of weaker members of the public, for example, consumers. Examples German law excludes residential rental disputes from any form of arbitration,[10]​ while arbitration agreements with consumers are only considered valid if they are signed by either party,[11]​ and if the signed document has no content other than the arbitration agreement.[12]​.

Generally, the parties in conflict go to arbitration, since it is established in the contract, in an arbitration clause, which establishes that the parties in the event of a conflict agree to submit to an arbitration tribunal. Sometimes problems arise with the interpretation of these clauses, especially with regard to jurisdiction and the place of arbitration, among others.

The clause is an agreement by which the parties agree to submit to arbitration, by a specific arbitrator or an arbitration institution, to resolve a conflict in matters of available law. Arbitration institutions usually advise a general clause that will allow the solution of the conflict to be adapted to the procedure provided by the institution.

The Spanish Arbitration Society, the leading entity that created the first arbitration chamber in Spain, recommends the following:

A model clause we can say is that of the International Court of Arbitration of the International Chamber of Commerce (ICC):.

Likewise, arbitration can be resolved during the process through the transaction:

On the other hand, there are arbitration clauses that grant different rights and obligations to each of the contracting parties. These "Asymmetric Clauses"[13]​ are not perfectly bilateral and establish rights for only one of the parties. Some examples of them refer to costs, arbitration expenses, selection of arbitrators or the power to resort to ordinary jurisdiction.

The principles that regulate arbitration are:

• - Voluntariness: the parties voluntarily submit to the decision of a third party (the third party is chosen by both actors).

• - Equality: the parties must be treated equally, with the same rights and obligations.

• - Hearing: the parties have the right to present their reasoning, either in writing or in person.

• - Contradiction: the parties, specifically the defendant, have the right to know what they are accused of.

• - Freedom of configuration of the Arbitration Process: the parties can determine the process, even once it has already begun, if they agree.

• - Confidentiality: neither the parties, nor the arbitrator, nor the court (if any) can make public what they know during the arbitration, nor the final award. Unless agreed by the parties.

• - Habilitation: in legal systems such as the Colombian one, the arbitrator exercises the function of administering justice only by virtue of powers that have been conferred by the parties in the arbitration agreement.

• - Temporality: the arbitration court only has temporary jurisdiction determined by the limits of the arbitration agreement or by the Law.

Parties often seek to resolve their disputes through arbitration due to a number of perceived potential advantages over court procedures. Companies usually demand arbitration with their customers, but prefer the advantages of courts in litigation with their competitors:[14]​.

• - Unlike litigation, where you cannot "choose the judge",[15]​ Arbitration allows the parties to choose their own court. This is especially useful where the subject matter of the dispute is highly technical: arbitrators with an appropriate degree of experience can be chosen (for example, experience in surveying, in the case of a construction dispute, or experience in commercial property law, in the case of a real estate dispute[16]​).

• - Arbitration is usually faster than litigation before the courts.[15]​.

• - The arbitration procedure and the arbitration award are not usually public and may be confidential.[17]​.

• - In arbitration proceedings the language of arbitration can be chosen, while in judicial proceedings the official language of the country of the competent court will automatically apply.

• - Due to the provisions of the 1958 New York Convention"), arbitration awards are generally easier to enforce in other nations than court rulings.

• - In most legal systems the means of appeal against an arbitration award are very limited, which is sometimes an advantage because it limits the duration of the litigation and any associated liability.

• - Increasing relevance of the use of technology in the arbitration procedure: arbitration institutions have made a great effort, especially after Covid 19, so that new technologies facilitate the processing of arbitration procedures, offering greater speed and cost reduction. [18]​.

Some of the disadvantages are:

• - Arbitration agreements are sometimes contained in ancillary agreements, or in fine print in other agreements, and consumers and employees often do not know in advance that they have agreed to mandatory pre-dispute arbitration when purchasing a product or accepting a job.

• - If arbitration is mandatory and binding, the parties waive their rights to access the courts and to have a judge or jury decide the case.

• - Sometimes there is a disconnect between the presumption of confidentiality and the realities of disclosure and publicity imposed by courts, arbitrators, and even the parties themselves.[19]​.

• - If the arbitrator or arbitration forum relies on the company for repeat business, there may be an inherent incentive to rule against the consumer or employee.

• - The avenues of appeal are very limited, meaning that a wrong decision cannot be easily overturned.

• - Although typically thought to be faster, when there are multiple arbitrators on the panel, juggling their schedules for hearing dates in long cases can lead to delays.

• - In some legal systems, arbitration awards have fewer enforcement options than sentences; although in the United States arbitration awards are executed in the same way as court rulings and have the same effect.

• - Arbitrators generally cannot enforce injunctive relief against a party, making it easier for a party to take steps to prevent enforcement of a member or a small group of members in the arbitration due to increased legal costs, without explaining to members the adverse consequences of an unfavorable award.

• - Discovery&action=edit&redlink=1 "Discovery (law) (not yet drafted)") may be more limited in arbitration or completely non-existent.

• - Lawyers' billing potential may be less than in a trial.

• - Unlike court rulings, arbitration awards are not directly enforceable. A party seeking to enforce an arbitration award must resort to judicial remedies, called an action to "confirm" an award.

• - Portal:Law. Content related to Law.

• - Negotiation.

• - Mediation "Mediation (Law)").

• - Private arbitration agency.

• - Aizenstatd, Najman Alexander. "The Asymmetric Arbitration Clauses." Vol. 25 Law Review of the Francisco Marroquín University 23 (2005) ISSN 1562-2576 [3].

• - [4].

• - Bonet, José. "Arbitration", in BBP.

• - Latin American Map of Conflict Resolution.

• - International Commercial and Investment Arbitration.

There are two types of arbitration:

1. • Institutional: It is carried out in an institution generally with its own rules and with a closed list of arbitrators (a type of institutional arbitration is the Consumer Arbitration System in force in the Spanish State).

2. • Independent or Ad Hoc: It is one in which the parties choose the arbitrators and the rules that will govern the arbitration.

Also, and depending on the type of award sought, arbitration can be classified as:

1. • In law: When the resolution must be based on legal criteria (legislation and jurisprudence, fundamentally).

2. • In equity: It is also called "in conscience": When the preparation of the award appeals to the "good know-how" and the conscience of the arbitrator who resolves the conflict. It implies that the arbitrator must be an expert in the subject matter of the controversy and the arbitration.

Based on the subject matter they deal with, arbitrations can be classified as: prohibited, forced and voluntary.

1. • Prohibited arbitration: It is that which falls on matters that the law, for reasons of high public convenience or general social interest, prevents from being submitted to the decision of arbitrators.

2. • Forced arbitration: It is that which falls on matters that the law expressly delivers to the decision of this type of courts, that is, arbitrators.

3. • Voluntary arbitration: It is that which falls on matters, which are indifferent to the law, which the parties may or may not submit to arbitration.[4]​.

Arbitration is generally based on rules established by some international organizations:

• - The UNCITRAL (United Nations Commission on International Trade Law) (from English: «UNCITRAL»).[5]​.

• - The International Court of Arbitration of the ICC (International Chamber of Commerce) (from English: «ICC»).[6]​.

• - The LCIA (from English: «London Court of International Arbitration») is the oldest, founded in 1892.[7]​.

However, the vast majority of Arbitration Centers produce their own rules of procedure, for example the HKIAC, CAM-CCBC and LCIA.

By their nature, the subject matter of some disputes is not susceptible to arbitration. In general, there are two groups of legal proceedings that cannot be submitted to arbitration:

• - Procedures that necessarily lead to a determination on which the disputing parties cannot reach an agreement:[8]​ Some judicial procedures give rise to rulings that are binding on all members of the general public, or on public authorities in their capacity as such, or on third parties, or that are carried out in the public interest. For example, until the 1980s, antitrust matters were not arbitrable in the United States.[9] Matters involving criminal, state, and family law are generally not considered arbitrable, since the power of the parties to reach an agreement on these matters is, at a minimum, restricted. However, most other disputes involving private rights between two parties can be resolved by arbitration. In some disputes, some parts of the claims may be arbitrable and others may not. For example, in patent infringement litigation"), an arbitral tribunal could determine whether a patent has been infringed, but not the validity of a patent: Since patents are subject to a public registration system, an arbitral tribunal would not be empowered to order the relevant body to rectify any patent registration based on its determination.

• - Some legal systems exclude or restrict the possibility of arbitration for reasons of protection of weaker members of the public, for example, consumers. Examples German law excludes residential rental disputes from any form of arbitration,[10]​ while arbitration agreements with consumers are only considered valid if they are signed by either party,[11]​ and if the signed document has no content other than the arbitration agreement.[12]​.

Generally, the parties in conflict go to arbitration, since it is established in the contract, in an arbitration clause, which establishes that the parties in the event of a conflict agree to submit to an arbitration tribunal. Sometimes problems arise with the interpretation of these clauses, especially with regard to jurisdiction and the place of arbitration, among others.

The clause is an agreement by which the parties agree to submit to arbitration, by a specific arbitrator or an arbitration institution, to resolve a conflict in matters of available law. Arbitration institutions usually advise a general clause that will allow the solution of the conflict to be adapted to the procedure provided by the institution.

The Spanish Arbitration Society, the leading entity that created the first arbitration chamber in Spain, recommends the following:

A model clause we can say is that of the International Court of Arbitration of the International Chamber of Commerce (ICC):.

Likewise, arbitration can be resolved during the process through the transaction:

On the other hand, there are arbitration clauses that grant different rights and obligations to each of the contracting parties. These "Asymmetric Clauses"[13]​ are not perfectly bilateral and establish rights for only one of the parties. Some examples of them refer to costs, arbitration expenses, selection of arbitrators or the power to resort to ordinary jurisdiction.

The principles that regulate arbitration are:

• - Voluntariness: the parties voluntarily submit to the decision of a third party (the third party is chosen by both actors).

• - Equality: the parties must be treated equally, with the same rights and obligations.

• - Hearing: the parties have the right to present their reasoning, either in writing or in person.

• - Contradiction: the parties, specifically the defendant, have the right to know what they are accused of.

• - Freedom of configuration of the Arbitration Process: the parties can determine the process, even once it has already begun, if they agree.

• - Confidentiality: neither the parties, nor the arbitrator, nor the court (if any) can make public what they know during the arbitration, nor the final award. Unless agreed by the parties.

• - Habilitation: in legal systems such as the Colombian one, the arbitrator exercises the function of administering justice only by virtue of powers that have been conferred by the parties in the arbitration agreement.

• - Temporality: the arbitration court only has temporary jurisdiction determined by the limits of the arbitration agreement or by the Law.

Parties often seek to resolve their disputes through arbitration due to a number of perceived potential advantages over court procedures. Companies usually demand arbitration with their customers, but prefer the advantages of courts in litigation with their competitors:[14]​.

• - Unlike litigation, where you cannot "choose the judge",[15]​ Arbitration allows the parties to choose their own court. This is especially useful where the subject matter of the dispute is highly technical: arbitrators with an appropriate degree of experience can be chosen (for example, experience in surveying, in the case of a construction dispute, or experience in commercial property law, in the case of a real estate dispute[16]​).

• - Arbitration is usually faster than litigation before the courts.[15]​.

• - The arbitration procedure and the arbitration award are not usually public and may be confidential.[17]​.

• - In arbitration proceedings the language of arbitration can be chosen, while in judicial proceedings the official language of the country of the competent court will automatically apply.

• - Due to the provisions of the 1958 New York Convention"), arbitration awards are generally easier to enforce in other nations than court rulings.

• - In most legal systems the means of appeal against an arbitration award are very limited, which is sometimes an advantage because it limits the duration of the litigation and any associated liability.

• - Increasing relevance of the use of technology in the arbitration procedure: arbitration institutions have made a great effort, especially after Covid 19, so that new technologies facilitate the processing of arbitration procedures, offering greater speed and cost reduction. [18]​.

Some of the disadvantages are:

• - Arbitration agreements are sometimes contained in ancillary agreements, or in fine print in other agreements, and consumers and employees often do not know in advance that they have agreed to mandatory pre-dispute arbitration when purchasing a product or accepting a job.

• - If arbitration is mandatory and binding, the parties waive their rights to access the courts and to have a judge or jury decide the case.

• - Sometimes there is a disconnect between the presumption of confidentiality and the realities of disclosure and publicity imposed by courts, arbitrators, and even the parties themselves.[19]​.

• - If the arbitrator or arbitration forum relies on the company for repeat business, there may be an inherent incentive to rule against the consumer or employee.

• - The avenues of appeal are very limited, meaning that a wrong decision cannot be easily overturned.

• - Although typically thought to be faster, when there are multiple arbitrators on the panel, juggling their schedules for hearing dates in long cases can lead to delays.

• - In some legal systems, arbitration awards have fewer enforcement options than sentences; although in the United States arbitration awards are executed in the same way as court rulings and have the same effect.

• - Arbitrators generally cannot enforce injunctive relief against a party, making it easier for a party to take steps to prevent enforcement of a member or a small group of members in the arbitration due to increased legal costs, without explaining to members the adverse consequences of an unfavorable award.

• - Discovery&action=edit&redlink=1 "Discovery (law) (not yet drafted)") may be more limited in arbitration or completely non-existent.

• - Lawyers' billing potential may be less than in a trial.

• - Unlike court rulings, arbitration awards are not directly enforceable. A party seeking to enforce an arbitration award must resort to judicial remedies, called an action to "confirm" an award.

• - Portal:Law. Content related to Law.

• - Negotiation.

• - Mediation "Mediation (Law)").

• - Private arbitration agency.

• - Aizenstatd, Najman Alexander. "The Asymmetric Arbitration Clauses." Vol. 25 Law Review of the Francisco Marroquín University 23 (2005) ISSN 1562-2576 [3].

• - [4].

• - Bonet, José. "Arbitration", in BBP.

• - Latin American Map of Conflict Resolution.

• - International Commercial and Investment Arbitration.