Banking and finance disputes: to arbitrate or not to arbitrate, that is the question

“It has been said that “[b]ankers have traditionally preferred judges to arbitrators”. Indeed, where banks or financial institutions are involved in a dispute, state courts have usually been preferred, while arbitration has, so far, often been overlooked. However, in the last decade, the financial landscape has endured colossal changes worldwide. The 2008 crisis led to a paradigm shift. Banks – and notably Swiss banks – have suffered the hostility of certain jurisdictions’ national justice systems, while also enduring increasing regulatory burdens. Fintech startups are also remodeling the traditional ways banks have made business and creating some competition while bringing new legal challenges. The COVID-19 pandemic is still currently affecting every region of the globe, disrupting economic growth and foreshadowing a severe global recession. Banks already experience an increase of disputes. In the context of this new décor, it is the opportunity to forget preconceived ideas and to…