Thomas\r\nMartin Law Firm recently secured a substantial award for damages for a client\r\ninvolved in a contract dispute in commercial arbitration in New York City. The client, a Denmark-based company engaged\r\nin international business, suffered a six-figure US$ loss due to breach of a\r\ncontract by a U.S. based business partner.<\/p>\r\n\r\n
Because\r\nthe contract contained an arbitration clause that called for arbitration of\r\ndisputes through the American Arbitration Association to be conducted in New\r\nYork City, the client avoided having to file a lawsuit with the state courts in\r\nthe state where the U.S. business partner was located.<\/p>\r\n\r\n\r\n\r\n
Attorney\r\nThomas Thorup represented the client in the arbitration matter, from the filing\r\nof the arbitration complaint through the final arbitration hearing before the\r\nappointed arbitrator at the American Arbitration Association\u2019s offices in Manhattan,\r\nand the arbitrator ultimately awarded the client the entire amount of damages\r\nclaimed. The entire process lasted around eight months.<\/p>\r\n\r\n\r\n\r\n
The\r\ncase is a good illustration of the advantages that, in our experience, come\r\nwith having \u2013 good \u2013 arbitration clauses in international business contracts\r\nwith U.S. business partners, as opposed to having to file lawsuit with the\r\nregular U.S. state courts. While the arbitration process does involve the added\r\ncosts of fees to the arbitration institute and the appointed arbitrator(s), it\r\nis on the other hand, most often, a much more pragmatic and faster process,\r\nwhich has the added benefit of providing confidentiality with respect to both\r\nthe parties\u2019 identities and the nature of the dispute. <\/p>\r\n\r\n\r\n\r\n
Lawsuits\r\nbefore the regular courts often take 1-2 years or more, and typically involve substantial\r\nwork for the parties\u2019 attorneys regarding procedural issues, thereby often\r\ngreatly increasing the total costs for the clients.<\/p>\r\n\r\n\r\n\r\n
Further, there is no\r\nmutual recognition of court judgments between the U.S. and Danish\/European\r\ncourts. Thus, a judgment from e.g. a Danish court against a U.S. counterpart\r\nwould not (necessarily) be recognized by a U.S. court, and vice versa. <\/p>\r\n\r\n\r\n\r\n
In contrast, because both the U.S. and Denmark (and most countries) are parties to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958, an arbitration award won in e.g. Denmark will be recognized and enforced by the courts of the U.S. While the drafting of a good contract can most often keep you out of legal disputes altogether, it is worth also to agree on the best method for dispute resolution \u2013 before disputes arise.\u00a0 At usadenmarklaw.com, we are attorneys admitted to practice law in both Denmark and the United States and we assist our clients with both contract drafting (whether Danish or U.S. contract law applies), as well as with dispute resolution, both in Denmark and the United States. <\/p>\r\n\r\n\r\n\r\n
Copenhagen, September 24, 2019<\/p>\r\n\r\n\r\n\r\n
Thomas Thorup, advokat (H) (Denmark), attorney (California, U.S. Supreme Court)<\/p>\r\n","protected":false},"excerpt":{"rendered":"
Thomas Martin Law Firm recently secured a substantial award for damages for a client involved in a contract dispute in commercial arbitration in New York City. The client, a Denmark-based company engaged in international business, suffered a six-figure US$ loss due to breach of a contract by a U.S. based business partner. Because the contract […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","inline_featured_image":false,"footnotes":""},"categories":[40],"tags":[],"class_list":["post-363","post","type-post","status-publish","format-standard","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/posts\/363","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/comments?post=363"}],"version-history":[{"count":0,"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/posts\/363\/revisions"}],"wp:attachment":[{"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/media?parent=363"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/categories?post=363"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/usaswedenlaw.com\/en\/wp-json\/wp\/v2\/tags?post=363"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}