Rising Global Demand for International Dispute Resolution: Trends and Perspectives

JAMS has released its second annual global caseload statistics report. This report captures the volume and types of international matters handled in 2023, reflecting the growing demand for alternative dispute resolution (ADR) services across various industries and sectors. Not only is this information important for JAMS in making more data-driven decisions, but making this information accessible and understandable for the global ADR community is something we’ve prioritized.

Last year, 19,464 new cases came to JAMS, which is up 7% from 2022. Of these cases, 241 were international, with parties from around the globe, including Australia, Brazil, Canada, China, Europe, India, Japan, Mexico, Singapore, the U.K. and the U.S.

The data illustrates the ongoing demand for JAMS’ services, the wide use of JAMS’ arbitration rules and the prominence of ADR within the national and global legal industries. The cases span the spectrum of practice areas and industries, including business, engineering and construction, energy and renewables, entertainment, financial markets, health care, insurance, intellectual property, life sciences, sports and technology.

New Metrics and Reporting Strategy

One notable change in this year’s report is the shift in focus from the total number of active cases to the number of new cases. We made the adjustment in response to feedback we received in order to provide a clearer picture of year-over-year activity and industry comparability. By focusing on new cases, we can better capture the dynamic nature of the ADR landscape and offer insights into emerging trends and demands.

Key Drivers of Case Volume

Several factors have driven the increase in case volume across various sectors. The global nature of businesses and economic disruptions have exacerbated conflicts, making efficient dispute resolution more critical.

There is also an impact on supply chain and production channels due to armed conflict with resulting infrastructure damage, port blockades and border closures. Disruptions in global supply chains have led to numerous disputes over delays, cancellations and nonperformance. Additionally, both political uncertainty in developed countries and political polarization has resulted in more frequent and intense disputes, leading to an increase in demand for neutral ADR processes.

Emerging Trends in ADR

One of the most pronounced trends in global ADR is the anticipated increase in the use of sophisticated technology, particularly artificial intelligence (AI). Earlier this year, JAMS announced its Artificial Intelligence Disputes Clause and Rules to address the rise in the development and usage of AI systems and smart contracts. By implementing these rules, JAMS aims to equip legal professionals and parties engaged in dispute resolution with clear guidelines and procedures that address the unique challenges presented by AI, such as questions of liability, algorithmic transparency and ethical considerations.

JAMS is also embracing hybrid ADR models, combining in-person and virtual components to enhance accessibility and convenience. The report shows that 59% of international cases involved an in-person component and 41% were fully virtual. We have made significant investments in technology to enable hybrid ADR, allowing participants to join proceedings from any location. Our panel of experienced neutrals has extensive training in leading virtual and hybrid proceedings, and we offer support via our virtual and onsite moderators. We pride ourselves on providing a premium service whether you are in a Resolution Center or sitting in front of a monitor.

The Bigger Picture for Global ADR

We anticipate continued demand for international dispute resolution. As parties consider where to seat their cases, various factors come into play, including the location's enforceability, the applicable regulatory framework and accessibility for all parties throughout the proceedings.

JAMS is well positioned to handle international disputes, having established JAMS International Rules, Clauses and Procedures to meet parties' needs in diverse situations. Our major metropolitan offices have been conducting international arbitrations for many years, and we have opened specially designed JAMS International Arbitration Centers in New York, Miami, San Francisco, Century City and Los Angeles. Additionally, we partner with various international ADR institutions to expand our reach and capabilities globally.

One example of that is our collaboration with the New York International Arbitration Center (NYIAC). This relationship leverages the strengths of both organizations to offer superior arbitration services in New York, a key global arbitration hub. New York is becoming an increasingly attractive option for international ADR matters due to its ease of access, top-notch facilities, cultural diversity, high-quality neutrals and status as a center of global commerce.

As we reflect on the data and trends from 2023, it is clear that the demand for JAMS' ADR services continues to grow. We remain committed to innovation, client service and the efficient resolution of disputes across the globe. With our dedicated team and cutting-edge technology, JAMS is poised to lead the ADR industry into the future.

Review the full global caseload report here.