Commercial Arbitration

Commercial arbitration has rapidly caught popularity in India, particularly in relation to commercial contracts. A large number of arbitrations in India relate to infrastructure and construction contracts, particularly those with government entities, including public sector undertakings. Arbitrations are also conducted in relation to admiralty law, import-export transactions, and so on. In some circumstances arbitration may be provided for under statute. Certain bodies, such as the stock exchanges, also provide for arbitrations.

Although a large number of commercial disputes are settled through arbitration, the arbitration process in India has historically been unsatisfactory. In particular, arbitrations were seen to take inordinately long to conclude and proceeded much like a civil suit. In addition, institutional arbitrations have not become as popular as in many other countries. To deal with many of the problems in the arbitration law, the Arbitration and Conciliation Act, 1996 (Arbitration Act) was recently amended. The amendment contains a number of far-reaching changes which are yet to be considered in the courts.

Civil suits in India can take a long time to decide and dispose of disputes, particularly in some jurisdictions. As such, arbitration is considered a better method to resolve such disputes. Arbitrations are also considered useful in technical matters where expert arbitrators are required. In complex construction matters, arbitration is the preferred choice.

One of the best features of Indian Arbitration and Conciliation Act, 1996 is that parties to the arbitration agreement have no option except to go for arbitration in case of any dispute. Further, the parties can choose their own law, Indian or foreign, on the basis of which arbitration will be conducted, place and forum of arbitration, within or outside India, adopt their own procedures or the procedure of any internationally recognized arbitral forums. The essence of the above is that the parties are free to resolve their disputes in any manner, whatsoever, as may be agreed which is free from the shackles of the traditional system of justice.

It is further important to note that all awards passed by the Arbitrator are final and binding, subject to some reasonable exceptions and the same are enforceable as a final decree of the court.

The above process considerably reduces the time, which is usually taken by the conventional system of judicial redressal, and cost for resolution of dispute between the parties without adhering to the strict procedural laws. Under the Indian Arbitration & Conciliation Act, 1996, the courts are also empowered to pass orders for interim measures like preservation, interim custody or sale of any goods, securing the amount in dispute, the detention, preservation or inspection of the property. Courts are also empowered to pass any interim injunction or appoint receivers for protection of the subject matter of the dispute and enforcement of the arbitral award.

The flexibility of the law and the procedure for arbitration in India makes it a preferred option for resolution of any dispute as it provides speedy and effective remedy. Presently, ADR is the preferred mode of dispute resolution among the Government agencies as well as private parties.

Scope of our services includes:

• Carrying out domestic arbitrations under the Arbitration and Conciliation Act, 1996 as amended by the Arbitration and Conciliation Act of 2015 and the Indian Council of Arbitration Rules (ICA).
• Carrying out International Arbitrations under the UNCITRAL and International Court of Arbitration (ICC) rules, Singapore International Arbitration Centre (SIAC) and other international arbitration bodies.
• Drafting and review of arbitration clauses in contracts, arbitration agreements, notices, section 9 and 11 applications, statement of claim, rejoinders, interim applications, replies, affidavits and other legal documentation.
• Providing mediation and conciliation services to the client.
• Execution and enforcement of domestic & foreign awards.
• Challenging the enforcement of arbitral awards.
• Representations before all courts, tribunals, forums, with respect to disputes arising out of non-compliance of arbitration clauses in an agreement.
• Drafting applications for staying the proceedings in cases of breach of any of the arbitration clauses in an ongoing arbitration.
• Advisory services to the client with reference to narrowing down on suitable venue for conducting arbitration proceedings domestically and internationally.
• Advisory services provided to the client pertaining to alternative dispute resolution laws and procedures.