When drafting major commercial contracts in Saudi Arabia and the Gulf, law firms always recommend including an "arbitration clause" as a fast, effective, and internationally enforceable alternative under the New York Convention of 1958. But the question remains: do we choose arbitration through a center (institutional) or independent arbitration (ad-hoc)?
Institutional Arbitration
In this type, parties agree to refer the dispute to a permanent institution or arbitration center (such as the Saudi Center for Commercial Arbitration). The center does not resolve the dispute, but rather provides an administrative framework; it applies its procedural rules to the case, helps in forming the tribunal, and provides the secretariat.
Ad-Hoc or Private Arbitration
Here, there is no institution managing the dispute. The parties themselves organize the procedures (and perhaps adopt UNCITRAL rules) and choose the arbitrators directly. This type provides maximum flexibility, but lacks the administrative logistical support that facilitates the conduct of hearings and the preservation of deposits.
"The Tahkeem platform eliminates the logistical disadvantages of ad-hoc arbitration and adds unprecedented technological efficiency to institutional arbitration."
Flexibility of Tahkeem's Technical Engine
Most platforms available on the market are built for a single rigid template. As for the Tahkeem platform, it is intelligently designed with the ability to modify the workflow engine.
In the event that a commercial arbitration center contracts with the platform and customizes it with its identity, the control panel can be configured to literally comply with the center's internal regulations, appeal periods, and fee determination. In the case of arbitrators working on an "ad-hoc" case, they can rent the platform to manage their case with complete flexibility, opening accounts for the parties, to compensate for the lack of secretariat and logistical institutional support.