Failure to enforce an arbitration judgment. unless based on one of the defenses specified under the convention. in my opinion raises an obligation on the part of the offending signatory to satisfy the debt at issue. Arbitration clauses such as those governed by the convention are especially important in countries without a tradition of adhering to the rule of law. There. if a conflict arises triggering arbitration a neutral thirdcountry forum provides for a resolution free from the possible xenophobic biases of local courts and the vagaries of an unresponsive judiciary. One case in particular of which I am aware illustrates why adherence to the convention is so important to stable international trade. On June 4. 1988.
Identified stereotypes
Implies that countries without a tradition of adhering to the rule of law are xenophobic.