Dispute Resolution Guide
When things go wrong in international trade: how to resolve disputes through negotiation, mediation, and arbitration. Plus evidence collection, prevention strategies, and key African arbitration bodies.
Common Dispute Types
Quality Disputes
Goods don't match specifications, damaged in transit, or contaminated
Most Common (~45%)Delivery Disputes
Late delivery, wrong quantity, partial shipment without agreement
Common (~25%)Payment Disputes
Non-payment, late payment, currency disagreements, LC discrepancies
Common (~20%)Contract Disputes
Breach of terms, force majeure claims, specification changes
Less Common (~10%)Resolution Escalation Ladder
Direct Negotiation
First step: Contact the other party directly. Document everything in writing. Most disputes (60-70%) resolve here.
- Stay professional - focus on facts, not emotions
- Propose specific solutions (partial refund, replacement, credit note)
- Set a clear deadline for resolution
- Keep all communication in writing (email, Gloseg chat)
Gloseg Mediation
Gloseg's mediation team reviews evidence from both parties and proposes a fair resolution. Non-binding but highly effective.
- Submit all evidence: photos, inspection reports, communication logs
- Respond to mediator requests within 48 hours
- Be open to compromise - partial solutions often work best
- Mediator's recommendation is non-binding but carries weight
Formal Mediation (External)
Independent professional mediator from ICC, LCIA, or local mediation centers. Useful for disputes >$50,000.
- Choose a mediator with trade/commodity experience
- Both parties must agree to mediate (usually contractually required)
- Prepare a position statement with supporting documents
- Settlement agreement is legally binding once signed
Arbitration
Final binding resolution by arbitral tribunal. Award is enforceable in 170+ countries under the New York Convention.
- ICC (Paris) - gold standard for international trade disputes
- LCIA (London) - popular for Africa-Europe trade
- OHADA CCJA (Abidjan) - specialized for francophone Africa
- Kigali International Arbitration Centre - growing pan-African option
Evidence Collection Checklist
- Original purchase order and signed contract
- All email/chat correspondence between parties
- Commercial invoice, packing list, bill of lading
- Pre-shipment inspection report (if conducted)
- Photographs/videos of defective goods upon receipt
- Independent lab test results (if quality dispute)
- Certificate of Analysis from manufacturer
- Shipping documents showing delivery dates
- Payment receipts and bank statements
- Insurance claim documentation (if applicable)