Using AI in International Arbitration: From Predictive Analytics to Automated Awards

Abstract

Modification International arbitration with the application of artificial intelligence (AI) does not leave all opportunities revolutionary, nor are all material challenges. The given discussion gives an overview of the growing use of AI in the fields of arbitrator selection, collection of evidence, predictive analysis, automation of legal research, and online dispute resolution. It emphasizes the way AI can be used to enhance efficiency, decrease expenses, as well as make better decisions based on advanced data analysis. Moreover, technology can enhance accessibility, include cultural sensitivity into transnational conflicts and strategically contribute to the legal environment. The application of AI in complex scenarios, however, has certain limitations caused by such factors as data shortage, regulatory risk, ethical issues, and technological limitations. Such issues are also complicated by the risk of privacy, algorithmic bias, and differences in terms of legal status of the AI-generated awards. One of the solutions is a hybrid system that would integrate the benefits of AI with the control of human beings, particularly in investment-state arbitrations and digitalization in the post-pandemic world. Nowadays, legal regulations, including the United States Federal Arbitration Act and the New York Convention, are not clear enough in the context of AI-generated awards, which is why they should be updated. In conclusion, the paper highlights the need to have a moderate integration of AI to settle the ethical concerns and utilize its potential to revolutionize international dispute resolution.