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This paper considers the use of arbitration in administrative contracts and its enforcements by Thai local courts. Though arbitral award is definite and final, it may be cancelled or is required to be enforced by the courts of law. Major problems concerning the use of arbitration in administrative contracts in Thailand is the fact that Thai courts often overruled the judgements of arbitral tribunal, claiming that such an arbitral award violating ordre public. To promote investment, this paper argues that Thailand should adopt new arbitration rules and procedures, especially with regards to the use of arbitration in public contracts, while educating Thai local judges on supporting arbitration and enforcing the awards. The paper is then concluded with some recommendations for further developments of the new arbitration rules and practices in Thailand.
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