One of the significant differences between domestic arbitration and international arbitration is the need to consider which law applies to particular issues. In a domestic arbitration it is very likely that the law of only one jurisdiction will apply to all issues. In international arbitration the position can be very different. The types of applicable law to be considered include:

1. •

   the law governing the parties’ capacity to enter into the arbitration agreement

2. •

   the law applicable to the substantive dispute

3. •

   the law applicable to the arbitration agreement

4. •

   the law of the seat of the arbitration

5. •

   the law and procedure of the courts of recognition and enforcement of an award

In making their selection of applicable law, parties must be aware of the possibility of conflicts between the various applicable laws. For example, the question of whether a particular dispute is capable of being the subject matter of arbitration may be answered differently by the law governing the substantive dispute, the law governing the arbitration agreement, the law governing the seat of the