PENYELESAIAN SENGKETA BISNIS MELALUI ARBITRASE SEBAGAI MEKANISME ALTERNATIVE DISPUTE RESOLUTION

Abstract

This study examines business dispute resolution through arbitration as a form of Alternative Dispute Resolution (ADR), which is considered more effective than litigation. The research method applied is normative juridical with library and comparative approaches. The analysis reveals that arbitration offers several advantages, including faster proceedings, confidentiality, flexibility, and the freedom for parties to appoint arbitrators with relevant expertise. Arbitration awards are final and binding, thus providing stronger legal certainty. Nevertheless, arbitration also has weaknesses, such as absolute dependence on arbitrators, the absence of precedent, and challenges in recognizing and enforcing foreign arbitral awards. In addition to arbitration, other ADR mechanisms such as consultation, negotiation, mediation, and conciliation remain relevant, yet arbitration holds a strategic role in resolving business disputes.

Keywords: Arbitration, Alternative Dispute Resolution, Business Dispute, Legal Certainty