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When legal disputes arise—especially in business—most people assume court is the only option. But court battles in Nigeria are often lengthy, expensive, and unpredictable.

Arbitration offers a smarter, faster, and more private alternative.

At Universal Solicitors & Advocates, we’ve successfully represented clients in high-value arbitration matters across various sectors—ranging from commercial disputes to construction and joint venture disagreements.

This article explains what arbitration is, why it’s beneficial, and when it’s a better option than going to court.

What Is Arbitration?

Arbitration is a private method of resolving disputes outside the formal court system. The parties agree to present their case to a neutral third party (the arbitrator), whose decision—called an “award”—is final and legally binding.

It is governed by the Arbitration and Mediation Act 2023 (which repealed the old Arbitration and Conciliation Act) and relevant institutional rules such as:

• Lagos Court of Arbitration (LCA) Rules

• Nigerian Institute of Chartered Arbitrators (NICArb) Rules

• International Chamber of Commerce (ICC) Rules

• London Court of International Arbitration (LCIA) Rules

How Arbitration Works in Nigeria

1. Arbitration Agreement
   Most arbitration cases begin because the parties included an arbitration clause in their contract. This clause states that if a dispute arises, it will be resolved by arbitration—not the courts.

2. Appointing an Arbitrator
   Both parties either jointly choose an arbitrator or each appoints one, with a third appointed as chair (in a panel setup).

3. Proceedings
   Arbitration sessions are scheduled. Evidence is presented. Witnesses may be called. The process is usually more flexible and less formal than court.

4. Award
   The arbitrator issues a final written award, which is enforceable like a court judgment.

Benefits of Arbitration

At Universal Solicitors & Advocates, we recommend arbitration in many cases because it offers:

✅ Speed

Arbitration matters are typically resolved in months—not years like court litigation.

✅ Privacy

Proceedings are confidential. No media coverage. No public hearings. Ideal for sensitive or high-profile disputes.

✅ Cost-Effectiveness

Though arbitrators charge fees, the reduced time and avoidance of procedural delays can make it cheaper than prolonged litigation.

✅ Neutrality

Parties can choose arbitrators with technical expertise and a neutral background, especially in cross-border transactions.

✅ Finality

Arbitration awards are binding. Appeals are limited, preventing endless delays.

When to Choose Arbitration Over Court

Arbitration is especially ideal for:

• Commercial contracts (e.g., service agreements, partnerships)

• Construction and infrastructure disputes

• International trade or investment disputes

• Joint ventures or shareholder disagreements

• Tech, energy, and telecom transactions

It may not be suitable for:

• Criminal matters

• Matrimonial or child custody cases

• Disputes involving third parties not bound by the arbitration agreement

Why Choose Universal Solicitors & Advocates

Our dispute resolution team is deeply experienced in arbitration. We’ve represented clients at both local and international arbitration panels and have enforced arbitral awards in Nigerian courts.

We assist clients with:

• Drafting enforceable arbitration clauses

• Choosing qualified arbitrators

• Representing them throughout the arbitration

• Enforcing or challenging arbitral awards

We also advise businesses to include smart arbitration clauses in their contracts from the start—this avoids future delays and complications.

Conclusion

Litigation may be the default in Nigeria, but it isn’t always the best path. If you value speed, confidentiality, cost control, and expertise—arbitration may be your smartest move.

Let Universal Solicitors & Advocates help you resolve disputes efficiently, strategically, and discreetly.

Have a legal dispute or want to draft arbitration-ready contracts?
📧 Email: info@usalaw-ng.com
📍 Visit us: 208 Ikorodu Road, Palm Grove, Lagos

Arbitrate smart. Arbitrate with Universal Solicitors & Advocates.