THE UNTAPPED POTENTIAL OF ARBITRATION IN HUNGARY

Arbitration in Hungary, despite its modern legal framework and strategic location in Central and Eastern Europe (CEE), remains underutilised compared to neighbouring countries such as Austria. This paper explores the reasons behind this trend, examining Hungary’s arbitration landscape, strengths, and challenges. Key factors include legislative interferences, deviations from the UNCITRAL Model Law, and cost concerns. The authors argue that Hungary has a significant untapped potential in arbitration, which could be realised by addressing these challenges and leveraging its rich arbitration culture and favourable legal framework to attract more domestic and international arbitration cases.