Number of arbitrations in Brazil increases in 2017, but amounts in dispute fall

nila44

2017 was the year with the most arbitration procedures initiated at the Arbitration and Mediation Center of the Brazil-Canada Chamber of Commerce (CAM-CCBC). The 141 cases represented an increase of 44% compared to 98 in 2016, and 26% compared to the center's previous historical record, 112 in 2015. The institution accounts for 45% of the arbitration market.


However, the values ​​involved in the B2B Lead procedures fell by 24%, going from R$15.6 billion in 2016 to R$11.9 billion last year. Thus, the average amount of these processes decreased by almost half: from R$159.2 million to R$84.5 million.

According to the president of CAM-CCBC, Carlos Forbes , the drop in arbitration fees is due to the popularization of the conflict resolution method. According to him, in 2016, only really big disputes were brought to the center. But most companies that needed cash flow chose to do deals or installments.

However, in 2017, the scenario changed. Companies have “lost their fear” of discussing contracts, highlights Forbes. As a result, the average cost of procedures fell. “Companies are realizing that arbitration is suitable for average cases. And this is good for arbitration and for Brazil”, he assesses.

The president of CAM-CCBC expects a slight increase in the number of arbitration cases in 2018. So much so that the center should hire another executive secretary by the middle of the year. Currently, the institution has 10 professionals of this type. Their role is to take care of the needs of arbitrators and lawyers, reducing costs and increasing the speed of cases.



Carlos Forbes recognizes that arbitration does not pay off in disputes worth less than R$1 million. Above this value, however, the procedure is worth it due to its shorter duration than legal proceedings and the arbitrators' specialization in business matters, he states.