Comparative and Analytical Survey of Conditions of Application of Equity in International Commercial Arbitrations

It is now common that most national arbitration legislation and international arbitration instruments provide settlement of disputes by amiable compositeur and ex aequo et bono. This decision-making method is a contractual waiver of the parties in dispute as to benefits of applying legal rules and it authorizesthe arbitrators to decide by ignoring strict techniques of law. However, arbitrators will be authorized to act as amiable compositeur exclusively when the parties in conflict explicitly ask them so. The purpose of the present article is to investigate the condition of parties’ agreement as well as its necessity and scope and also to analyze arbitrator’s power limit in this regard as well as consequences of ignoring this condition withdue regard to rules, the legal doctrine, and arbitration awards.