The New Jersey legislature recently took a giant step to position itself as a favorable forum for disputes in international commercial and trade agreements that require arbitration and mediation. On February 6, 2017, the New Jersey Legislature enacted the New Jersey International Arbitration, Mediation, and Conciliation Act (N.J.S.A. 2A:23E-1) (Act). The objective of the Act is to encourage "the development of New Jersey as an international center for the resolution of international business, commercial, trade, and other disputes..."
The Act applies to the arbitration of disputes for both residents and non-residents where:
The Act does not apply to disputes involving real property located in New Jersey (unless parties expressly submit the resolution of that dispute) and family and domestic law disputes.
The Act applies to "any arbitration within the scope of this act, without regard to whether the place of arbitration is within or without this State" if:
Comment: The Act will certainly raise New Jersey's profile as a forum for international arbitration. New York City is one of the most popular arbitral seats in the world. New Jersey, with its proximity to New York, Connecticut and Pennsylvania and with its international airports and rail system, is now an attractive alternative venue to New York for those seeking to resolve international business and trade disputes. Finally, foreign and domestic clients that are engaged in international commerce or trade may consider inserting New Jersey as the arbitral forum in their contracts, particularly those businesses based in New Jersey.
For more information, please contact Kenneth E. Sharperson at email@example.com or 973.854.1060.