A distinctive advantage of arbitration is its binding and enforceable award. Unlike other alternative dispute resolution methods such as negotiation, conciliation and mediation, an arbitration proceedings usually results in a binding outcome; the award. Hence, commercial contracting parties often insist on inserting an arbitration clause into their agreements. Moreover, an arbitral award is a final determination of the merits of all the matters between the parties, as decided by the arbitrator. This is in contrast to “Terms of Settlement” (TOS) resulting from out-of-court negotiations which cannot, and do not operate as final and conclusive judgement, until the court adopts makes the executed TOS a judgement of the court

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