GOI efficiency and effectiveness of dispute resolution mechanisms & reforms

Objectives of the Committee

The primary objectives of the committee are:

• Evaluation of the Existing Framework: Assessing the current arbitration ecosystem in India, identifying strengths, weaknesses, and challenges, and comparing them with international standards.

• Recommendations for Reform: Proposing changes to the Arbitration and Conciliation Act to make arbitration a more efficient, cost-effective, and party-driven process.

• Reducing Judicial Intervention: Suggesting measures to minimize unnecessary court interventions, ensuring that arbitration remains a viable alternative to traditional litigation.

Key Areas of Focus

The committee's terms of reference encompass several critical areas:

1. Arbitration Ecosystem Analysis: A comprehensive review of the existing arbitration framework, highlighting areas needing improvement.

2. Model Arbitration System: Designing a framework for an efficient and economical arbitration system that caters to the needs of users.

3. Competitive Environment Development: Strategies to foster a competitive arbitration services market for both domestic and international parties.

4. Fast-Tracking Enforcement: Proposals to expedite the enforcement of arbitral awards, reducing delays and enhancing the credibility of the arbitration process.

5. Minimizing Judicial Recourse: Recommendations to limit unnecessary recourse to judicial authorities, ensuring that arbitration remains a self-contained process.

6. Cost and Fee Determination: Establishing principles for determining arbitration costs and arbitrator fees, promoting transparency and fairness.

7. Charter of Duties: Developing a charter to guide the conduct of arbitral tribunals, parties, and arbitral institutions.

8. Separate Laws for Domestic and International Arbitration: Examining the feasibility of enacting separate laws to address the distinct needs of domestic and international arbitration.

Composition of the Committee

The 16-member committee comprises distinguished legal professionals and representatives from various sectors:

• Dr. T.K. Vishwanathan – Chairperson

• N. Venkatraman – Additional Solicitor General of India

• Gourub Banerji – Senior Advocate

• A.K. Ganguli – Senior Advocate

• Shardul Shroff – Partner, Shardul Amarchand Mangaldas

• Bahram Vakil – Partner, AZB & Partners

• Saurav Agarwal – Advocate

• Representatives from NITI Aayog, Confederation of Indian Industry (CII), National Highways Authority of India (NHAI), Ministry of Railways, Department of Economic Affairs, Ministry of Housing and Urban Affairs, Central Public Works Department (CPWD), and the Legislative Department

• Rajiv Mani – Additional Secretary, Department of Legal Affairs

Expected Outcomes

The committee's recommendations are anticipated to:

• Enhance Efficiency: Streamline arbitration procedures, reducing delays and costs associated with dispute resolution.

• Promote Transparency: Establish clear guidelines for costs, fees, and conduct within the arbitration process.

• Encourage Investment: Create a more attractive arbitration environment for both domestic and international investors.

• Strengthen Legal Framework: Align India's arbitration laws with international standards, bolstering the country's position as a global arbitration hub.

Conclusion

The establishment of this expert committee marks a pivotal step towards reforming India's arbitration landscape. By addressing existing challenges and aligning with global best practices, the proposed reforms aim to make arbitration a more effective and accessible mechanism for dispute resolution. Stakeholders are encouraged to engage with the committee's findings and contribute to the ongoing dialogue on enhancing India's legal infrastructure.