2 The Law of the Arbitration
This second chapter starts by clarifying the concept of ‘law of the arbitration’ or lex arbitri, underscoring that any arbitration needs to be governed by a national law of arbitration. The chapter then examines how to determine the national arbitration law that governs a specific arbitration by analysing the scope of application of the national arbitration law, especially Chapter 12 of the Private International Law Act (PILA), and distinguishing between international and domestic arbitrations. In this context, the chapter addresses the legal significance the seat of the arbitration, the practical considerations that should guide the selection of the seat, as well as the possibility for parties to arbitrations seated in Switzerland to opt in or out of the (international or domestic) regime governing the arbitration. Finally, the chapter describes the main features of national arbitration laws using Chapter 12 PILA as an example.