In April 2001, a seminar jointly organized by the International Institute for the Unification of Private Law (UNIDROIT) and the International Chamber of Commerce (ICC) took place at ICC headquarters on the subject of the UNIDROIT Principles of International Commercial Contracts in international commercial arbitration. One of the principal purposes of the seminar was to provide an overview of how and the extent to which these Principles have been used in arbitral practice.

There was a practical reason for holding the seminar when we did. The UNIDROIT Principles of International Commercial Contracts constitute an ongoing project. Phase one culminated in 1994 with the publication of Part One, which deals with what may happen when parties enter into an international commercial contract and events that may occur throughout the life of the contract and upon its demise. Phase two is currently under way and will lead to a second part dealing with such issues as agency, assignment, third party rights, set-off, limitation of actions and waiver.

The Working Group that is currently preparing this second part has a wide representation and includes jurists from Australia, Belgium, Brazil, Canada, China, Denmark, Egypt, France, Germany, Italy, Japan, the Netherlands, Russia, the United Kingdom and the USA, plus, as observers, representatives of various arbitration institutions around the world. However, it was felt that preparation of Part Two of the Principles would benefit from a wider consultation so as to obtain a better idea of how the Principles are living up in practice, what may be missing and how they may be corrected. Thus arose the idea of a seminar at which an exquisite panel of speakers would be matched by an audience of experts. It is highly gratifying to note that in this respect our aims were amply fulfilled, as evidenced by the list of eminent participants.

The seminar was structured around six pre-selected themes. Two speakers were invited to present papers on each of the first five themes and a single speaker dealt with the sixth and final theme. The presentation of each theme was followed by a discussion open to members of the floor. This publication includes both the papers and the discussions. Some of the papers have been expanded and updated since the seminar to take account, where appropriate, of awards that have been published since April 2001.

In view of the practical purpose underlying the seminar it was my wish that both panellists and participants should feel free to express themselves openly. The Principles as they currently exist are neither static nor finite. Their future development depends on the lessons to be learned from past experience and a constructive exchange of opinions between those familiar with their content and use. We might even have provocatively entitled the seminar 'Uses and Abuses of the UNIDROIT Principles', for there is no overlooking the fact that they have been applied in major cases without merit or justification. This, of course, is a disservice to the Principles. The way to avoid its recurrence is by increasing awareness of the true role of the Principles and the circumstances in which they may be applied.

The seminar and especially the publication of its proceedings represent a major step in this direction. Through the papers and the discussion we learn, amongst other things, that the Principles allow greater transparency in the process of identifying the applicable law and giving it a shape, that they offer guided flexibility (which is after all what arbitrators seek), and that they offer a cultural bridge, supplying a common denominator for parties who are foreign to each other.

On the basis of the experiences related in the following pages and the conviction with which views on the use of the Principles have been expressed, it is clear that the UNIDROIT Principles of International Commercial Contracts are not only here to stay but have a promising future before them. This is an encouragement to the Working Group and a challenge to respond adequately to the expectations and needs of the international trading community. Part Two of the Principles is already on the horizon, maybe in 2003 or 2004, and we might begin to contemplate Part Three. Mr Raeschke-Kessler's paper contains indications as to possible directions.

We are not alone in our work. The seminar was but one-albeit a very important-example of the input upon which we rely. Arbitration institutions also play a major part, and I wish to acknowledge here the important contribution of the ICC International Court of Arbitration. It is essential that information on the use of the Principles continues to be made available to enable UNIDROIT to achieve its purpose, which, as one of the distinguished participants at the seminar pointed out, is to everybody's benefit.