1. The Globalization of Business and the Dispute Resolution Environment by Robert F. Ruyak Chairman and CEO

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3. 3 The Global Business Environment  Acceleration in the Globalization of Businesses and Markets  Growing Interdependence of National and Regional Economies  Rise of new Developing Economies  Enabled by new Technologies: information, communication, biotech, transportation, energy  Has driven multinational corporate expansions, joint ventures, partnerships and contractual relationships

4. 4 The Global Business Environment The Global Business Environment  Challenges:  Projects, and ventures: more complex with greater likelihood of failures or disputes  Investments: larger and less secure  Effects of laws, regulations and government interventions: less predictable  Viability of partners, suppliers, participants and customers: less certain  Agreement performance and enforceability: more risky  Resolutions: more difficult

5. 5 The Global Legal Environment Developing Countries—(China, India, Brazil) -Unpredictable -Establishing new legal and regulatory schemes -competition, intellectual property, liabilities -operation, ownership, taxation and legal status of multinationals Developed Countries— -Increased regulation and government intervention -Private litigation (private risk funds) -antitrust, environmental, product liability, investor losses

6. 6 The Global Dispute Environment Future growth of world economy is “dispute dependent” --NOT a negative--necessary element of progress --So Long As –a process for efficient, timely, satisfactory, fair resolution is available --Legal profession must address and create new, acceptable solutions --To meet the future demands of these more complex regulatory and commercial conflicts

7. 7 Challenges for the Global Legal Profession Challenges for Firms and Legal Departments: -Predict and Plan for Disputes -Control Costs and Time Horizons -Manage Multi-venue, Trans-national matters -Obtain Acceptable, Predictable, Timely Resolutions -All Consistent with Business Strategy

8. 8 Creating a New Dispute Resolution Environment  Dispute Management: Streamlining  Anticipation  Consolidation  Prioritization  Process  Dispute Resolution: ADR  Negotiated and Contractual  Legally Mandated  Regulatory Agency Required

9. 9 Dispute Management  Conflict Identification, Planning and Strategy  Early Engagement  “Scope of Dispute” Agreements  Mutual Information Exchange  Discussion and Negotiation  Mediation and Arbitration  “Scope of Litigation” Agreements

10. 10 Dispute Resolution: ADR  Negotiated and Contractual  Parties  Participants  Legally Mandated  Pre-court Access  Joinder and Prescriptions  Regulatory Agency Required  Approval Process  ENV, SEC, FERC, etc.

11. 11 Future Role of CPR  Focal Point for the Global Legal Profession  Thought Leader for Innovation  Advocate for Creative Change  Source of a Global Panel of Neutrals

12. The Globalization of Business and the Dispute Resolution Environment by Robert F. Ruyak Chairman and CEO